Our client, a leading player in the global pharmaceutical industry, faced a surplus asset challenge in its China operations. Following a reallocation of resources, the company reevaluated existing assets and decided to dispose of surplus manufacturing equipment.
The client’s primary concern was managing the disposal process swiftly while ensuring high returns. The equipment, while valuable, was specialized and catered to a niche market. Finding buyers and achieving a high return also needed to dovetail with the pharmaceutical sector’s stringent compliance requirements.
The client’s strict adherence to regulatory standards and adherence to compliance meant the surplus disposal process needed to be transparent, auditable, efficient, and financially beneficial. They required a partner with a reputable commitment to compliance who would prioritize the timely and efficient management of asset disposal while securing high returns on the sale.
In response to their requirements, the client agreed with Liquidity Services’ recommended hybrid sales method. Liquidity Services combined private negotiated sales and online auctions to maximize returns from high-value, niche market assets while facilitating rapid sales.
This dual approach balanced the need for quick disposition with the goal of achieving substantial returns. Private treaty sales were targeted at high-value, specialized equipment, while online auctions were utilized for assets that could be rapidly liquidated.
Understanding the client’s urgency, Liquidity Services crafted a carefully designed schedule, aligning seamlessly with the client’s timelines. This planning ensured that the disposal process was efficient and met the client’s expectations in terms of speed.
Liquidity Services communicated consistently with the client to maintain transparency and facilitate informed decision-making. These communications included updates on progress, offers received, and critical market feedback, ensuring the client was well-informed throughout the process.
This case exemplifies Liquidity Services’ ability to navigate complex challenges in asset disposition, particularly in specialized industries like pharmaceuticals, where compliance, market knowledge, and speed are crucial. The success of this project is a testament to Liquidity Services’ proficiency in delivering tailored solutions that meet the unique needs of global clients.
