E-Waste Systems announces China expansion
By Editorial Staff, Resource Recycling
An American electronics recycling company is making inroads in China's burgeoning e-scrap industry.
E-Waste Systems, Inc. has signed an agreement with the People's Republic of China that includes an investment in the company. According to a statement from E-Waste Systems, the initial value of the deal is worth $800,000, plus royalties and a minimum $5,000,000 sales commitment. In addition to the license agreement, the deal includes an investment of $650,000 in E-Waste Systems, via a new common share issuance at $0.08 per share (PINK:EWSI).
For the venture, E-Waste Systems will be partnering with Tanke, Inc., a company that helps develop, manage and finance emerging businesses with a focus on environmental technologies.
China is currently developing regulations for e-scrap, which E-Waste Systems expects to give the industry a boost. According to E-Waste Systems, some 162 million tons of unwanted electronics, including nonferrous metals and electronics, were recycled in China in 2011, double the amount in 2005. Citing figures from a government official, the total value of these recycled products was 571.5 billion Yuan ($91.8 billion), up by 12.7 percent, compared with 2010.