MINNEAPOLIS, Aug. 22, 2017 /PRNewswire/ -- Appliance Recycling Centers of America, Inc. (Nasdaq: ARCI) ("ARCA" or the "company"), a leading provider of utility appliance recycling programs, announces today that it intends to diversify and reposition its current business model.
Having nearly completed a turnaround of its existing operations and successfully sold its joint venture interest in AAP, management commenced discussions with its Board of Directors to reposition the company's current business model. As part of this effort, the company will seek to acquire targets in high margin, high growth industries such as the technology sector. Management believes this repositioning will lead to an increase in shareholder value and will attract institutional shareholders to the company's stock.
"We believe we can achieve more for shareholders by navigating into new territories," said Tony Isaac, CEO of ARCA. "As a result, we are exploring the many opportunities for our company which presently exist in high growth sectors and we look forward to sharing our progress with shareholders as these explorations come to fruition."
ARCA's two business components are uniquely positioned in the industry to work together to provide a full array of appliance-related services. ARCA's regional centers process appliances at end of life to remove environmentally damaging substances and produce material byproducts for recycling for utilities in the U.S. and Canada. Eighteen company-owned stores under the name ApplianceSmart, Inc.® sell new appliances directly to consumers and provide affordable ENERGY STAR® options for energy efficiency appliance replacement programs.
Forward Looking Statements
This press release contains statements that are forward-looking statements as defined within the Private Securities Litigation Reform Act of 1995, including statements regarding ARCA's future success. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from the statements made, including the risks associated with the general economic conditions, competition in the retain and recycling industries and regulatory risks. Other factors that could cause operating and financial results to differ are described in ARCA's periodic reports filed with the Securities and Exchange Commission. Other risks may be detailed from time to time in reports to be filed with the SEC.