Liquidity Services

Last updated
Liquidity Services
Nasdaq:  LQDT
S&P 600 component
Industry Surplus asset management
E-commerce
Founded1999;25 years ago (1999)
FoundersWilliam P. Angrick III
Jaime Mateus-Tique
Ben Brown
Headquarters,
United States
Key people
William Angrick III (CEO)
BrandsGoIndustry DoveBid
GovDeals
IronDirect
Machinio
Network International
Liquidation.com
Secondipity
sierraauction.com
Number of employees
687
Website liquidityservices.com

Liquidity Services (NASDAQ:LQDT) operates a network of e-commerce marketplaces.

Contents

Its online auction marketplaces include: Liquidation.com, [1] GovDeals.com, [2] Network International, GoIndustry DoveBid, IronDirect, Machinio, and Secondipity.com. [3]

The company is based in Bethesda, MD. [4] It has warehouses and offices throughout the world.

Liquidity Services’ annual revenue totaled $270 million for the fiscal year ending in September 2017. It is listed on the NASDAQ stock exchange under the symbol LQDT and completed its initial public offering (IPO) in 2006.

History

Liquidity Services was co-founded by William P. Angrick III, Jaime Mateus-Tique, and Ben Brown in 1999. It was branded as Liquidation.com and was a B2B auction marketplace that connects sellers to buyers. [5] The platform allowed retailers to resell retail returns and overstock [6] and enabled buyers to access bulk lots of surplus merchandise. [7] In 2001, the company acquired SurplusBid.com, which included a contract with the United States Department of Defense. [8]

The company's Initial public offering (IPO), valuing the business at $76.9M, [9] took place on February 23, 2006, and the company began trading on the NASDAQ stock exchange under the symbol LQDT. [10] Prior to going public, Liquidity Services opened online auctions for European corporations and government agencies to sell their surplus goods on the international market. [11]

Between 2008 and 2011, Liquidity Services acquired four new marketplaces: Network International, GovDeals, TruckCenter.com, and the remarketing business of Jacobs Trading Company. [12] In 2012, it acquired GoIndustry DoveBid, a provider of surplus asset management, auction, and valuation services. [13]

In 2015, the company lost two large contracts. Walmart terminated its deal with Liquidity Services, and the company lost a bidding war for the right to sell the Department of Defense's surplus tanks, trailers, and other vehicles. [14] Liquidity Services holds the DoD's scrap property contract. [15]

In September 2016, Liquidity Services launched IronDirect.com, [16] an online marketplace selling large construction equipment. [17]

In July 2018, Liquidity Services acquired Machinio.com, [18] an online platform for used equipment listings.

On March 25, 2020, in response to the COVID-19 pandemic, Liquidity Services announced "business contingency plans" in reaction to "an adverse impact on its financial condition and results of operations." [19]

Services

Liquidity Services’ online marketplaces include: Liquidation.com, [20] Secondipity.com, [3] GovLiquidation.com, [21] GovDeals.com, [2] Network International, GoIndustry DoveBid, and IronDirect. They offer over 500 product categories [22] organized into categories across 12 major industry verticals: government, energy, construction and mining, transportation, industrial manufacturing, biopharmaceuticals, electronics manufacturing, consumer goods and OEMs, automotive manufacturing, retail, [23] fast-moving consumer goods, and aerospace and defense.

Related Research Articles

<span class="mw-page-title-main">Dot-com bubble</span> Tech stock speculative craze, c. 1997–2003

The dot-com bubble was a stock market bubble that ballooned during the late-1990s and peaked on Friday, March 10, 2000. This period of market growth coincided with the widespread adoption of the World Wide Web and the Internet, resulting in a dispensation of available venture capital and the rapid growth of valuations in new dot-com startups.

<span class="mw-page-title-main">Nasdaq</span> American stock exchange

The Nasdaq Stock Market is an American stock exchange based in New York City. It is the most active stock trading venue in the US by volume, and ranked second on the list of stock exchanges by market capitalization of shares traded, behind the New York Stock Exchange. The exchange platform is owned by Nasdaq, Inc., which also owns the Nasdaq Nordic stock market network and several U.S.-based stock and options exchanges.

An initial public offering (IPO) or stock launch is a public offering in which shares of a company are sold to institutional investors and usually also to retail (individual) investors. An IPO is typically underwritten by one or more investment banks, who also arrange for the shares to be listed on one or more stock exchanges. Through this process, colloquially known as floating, or going public, a privately held company is transformed into a public company. Initial public offerings can be used to raise new equity capital for companies, to monetize the investments of private shareholders such as company founders or private equity investors, and to enable easy trading of existing holdings or future capital raising by becoming publicly traded.

<span class="mw-page-title-main">Nasdaq, Inc.</span> American multinational financial services corporation

Nasdaq, Inc. is an American multinational financial services corporation that owns and operates three stock exchanges in the United States: the namesake Nasdaq stock exchange, the Philadelphia Stock Exchange, and the Boston Stock Exchange, and seven European stock exchanges: Nasdaq Copenhagen, Nasdaq Helsinki, Nasdaq Iceland, Nasdaq Riga, Nasdaq Stockholm, Nasdaq Tallinn, and Nasdaq Vilnius. It is headquartered in New York City, and its president and chief executive officer is Adena Friedman.

Nasdaq Dubai is a Dubai-based stock exchange that lists regional and international shares in the Middle East. Through the exchange, regional issuers can access regional and international investment. International issuers can access investment from the region, through a primary or dual listing.

A special purpose acquisition company, also known as a "blank check company", is a shell corporation listed on a stock exchange with the purpose of acquiring a private company, thus making the private company public without going through the initial public offering process, which often carries significant procedural and regulatory burdens. According to the U.S. Securities and Exchange Commission (SEC), SPACs are created specifically to pool funds to finance a future merger or acquisition opportunity within a set timeframe; these opportunities usually have yet to be identified while raising funds.

Friend Finder Networks is an American internet company founded in 1996 by Andrew Conru and Lars Mapstead. Its corporate headquarters are located in Boca Raton, Florida, with additional offices in California, New York, and Taiwan.

uBid Online Auction Company

uBid.com was an online auction style and fixed-price shopping website offering goods sold directly by the company and items sold by pre-approved third party uBid-certified merchants. The site specialized in excess new, refurbished and overstock consumer electronics such as computers, electronics, home goods, jewelry, watches and cellular phones.

<span class="mw-page-title-main">Intercontinental Exchange</span> American exchange and clearing house company

Intercontinental Exchange, Inc. (ICE) is an American company formed in 2000 that operates global financial exchanges and clearing houses and provides mortgage technology, data and listing services. Listed on the Fortune 500, S&P 500, and Russell 1000, the company owns exchanges for financial and commodity markets, and operates 12 regulated exchanges and marketplaces. This includes ICE futures exchanges in the United States, Canada and Europe, the Liffe futures exchanges in Europe, the New York Stock Exchange, equity options exchanges and OTC energy, credit and equity markets.

Rackspace Technology, Inc. is an American cloud computing company based in Windcrest, Texas, an inner suburb of San Antonio, Texas. The company also has offices in Blacksburg, Virginia, and Austin, Texas, as well as in Australia, Canada, United Kingdom, India, Dubai, Switzerland, the Netherlands, Germany, Singapore, Mexico, and Hong Kong. Its data centers are located in Amsterdam (Netherlands), Virginia (USA), Chicago (USA), Dallas (USA), London (UK), Frankfurt (Germany), Hong Kong (China), Kansas City (USA), New York City (USA), San Jose (USA), Shanghai (China), Queenstown (Singapore), and Sydney (Australia).

<span class="mw-page-title-main">Leaf Group</span> American online brand company

Leaf Group, formerly Demand Media Inc, is an American content company that operates online brands including eHow, livestrong.com, and marketplace brands Saatchi Art and Society6. The company also provides social media platforms to existing large company websites and distributes content bundled with social media tools to outlets around the web.

Surplus Record is the leading independent business directory of surplus, new, and used machine tools, machinery, and industrial equipment in the United States. It was founded in 1924 by Thomas P. Scanlan.

<span class="mw-page-title-main">Nasdaq Private Market</span> Secondary market trading venue

Nasdaq Private Market (NPM) provides a secondary market trading venue for issuers, brokers, shareholders, and prospective investors of private company stock. Since inception, NPM has facilitated more than $40 billion in transactional volume and has worked with 400+ private companies and 100,000+ employees, stakeholders, and investors. NPM offers private company and investors different solutions including tender offers, auctions, block trades, and custom company marketplaces. In 2021, NPM spun-off of Nasdaq to become its own, independent company receiving strategic investments from Silicon Valley Bank, Citi, Goldman Sachs, Morgan Stanley, and Allen and Co.

<span class="mw-page-title-main">Farfetch</span> Online fashion retail platform

Farfetch is an e-commerce company focused on luxury clothing and beauty products. It operates as a digital marketplace that sells products from several hundred brands, boutiques and department stores from around the world. The company was founded in 2007 by the Portuguese entrepreneur José Neves and headquartered in London. In 2023 Farfetch was bought by Coupang , the largest online marketplace in South Korea.

<span class="mw-page-title-main">Copart</span> American automotive auction company

Copart, Inc. is a global provider of online vehicle auction and remarketing services to automotive resellers such as insurance, rental car, fleet and finance companies in 11 countries; the US, Canada, the UK, Germany, Ireland, Brazil, Spain, UAE, Bahrain, Oman and Finland. Headquartered in Dallas, Texas, Copart has more than 200 physical locations around the world, where it houses more than 10,000 acres of vehicle inventory. Copart sells used, wholesale and repairable vehicles in weekly and bi-weekly online auctions to buyers ranging from consumers to automotive businesses around the world. Copart provides vehicle sellers with a range of services to process and sell repairable and clean title vehicles over the internet, using its patented virtual auction technology, named VB3, as well as others of its auction-related brands.

CoStar Group, Inc. is a Washington, DC-based provider of information, analytics, and marketing services to the commercial property industry in the United States, Canada, the United Kingdom, France, Germany, and Spain. Founded in 1987 by Andrew C. Florance, the company has grown to include the online database CoStar and many online marketplaces, including Apartments.com, LoopNet, Lands of America, and BizBuySell.

Royalty Exchange is an American company that operates an online platform for buying and selling royalty assets of any type, mostly music, where royalty owners can sell their future payments to investors as alternative assets. The company hosts a centralized marketplace and online auction platform that connects a community of over 22,500+ investors with owners of royalty-based assets.

<span class="mw-page-title-main">Shift Technologies</span> Shift was an online, peer-to-peer, marketplace for buying and selling used cars.

Shift Technologies, Inc.was an American company that sold used vehicles online and also maintained a consignment-based online marketplace for buying and selling used cars. Founded in 2014, Shift is based in San Francisco's Mission District. As of October 2022, the company offered its services in the San Francisco Bay Area, Greater Los Angeles, and Portland, OR. On October 6, 2023, Shift Technologies announced its intentions to file for Chapter 11 bankruptcy. As of that date, its final two locations in Oakland and Pomona, California, and its website is no longer in operation.

Credible Labs Inc., commonly known as Credible, is a financial technology company headquartered in San Francisco. The company also does business through its subsidiary Credible Operations, Inc. Its online marketplace offers consumers the ability to compare and refinance loans, mortgages, and other financial products from lenders. Credible became a subsidiary of Fox Corporation in 2019. In December 2021, Credible acquired digital insurance platform Young Alfred, adding various kinds of insurance including home, auto, and pet to its platform.

StockX is an online marketplace and clothing reseller, primarily of sneakers. Since November 2020, it has also opened up to electronic products such as game consoles, smartphones and computer hardware. The Detroit-based company was founded by Dan Gilbert, Josh Luber, Greg Schwartz, Chris Kaufman, David Webber and Mathew Piccinato in 2015–2016. StockX has more than 800 employees in Downtown Detroit. StockX currently has international offices in London, UK, in Eindhoven, the Netherlands, and has authentication facilities in Detroit's Corktown neighborhood, Moonachie, NJ, and Tempe, AZ. Scott Cutler and Schwartz serve as chief executive officer and chief operating officer, respectively, and Deena Bahri became the company's first chief marketing officer in 2019.

References

  1. Lopez, Sandy. "Business lets customers purchase other stores' surplus online, pick up at North Las Vegas warehouse". Review Journal. Las Vegas Review Journal. Retrieved 26 June 2017.
  2. 1 2 Nguyen, Jason (16 February 2017). "Good deals from the government: How to buy surplus items online". KATU. Retrieved 30 June 2017.
  3. 1 2 Harte, Tricia (16 January 2017). "Where do all the Christmas returns go?". Fox 59. Retrieved 30 June 2017.
  4. "Online shopping drives surge in holiday returns, and what happens next may surprise you". The Star. Retrieved 17 July 2017.
  5. Richardson, Karen. "Supply chain gains". kellogg.northwestern.edu. Retrieved 26 June 2017.
  6. Swiatek, Jeff. "Where do returned gifts end up? Probably Plainfield". IndyStar. Retrieved 26 June 2017.
  7. Bhattarai, Abha. "Capital Business After shoppers return items, some buyers try selling them again". Washington Post. Retrieved 30 June 2017.
  8. Reeves, Scott. "An IPO For The Scrap Heap". Forbes. Retrieved 23 June 2017.
  9. "Liquidity Services Inc. (Liquidity Services, Inc.) Initial Public Offering". IPO Find the Company. Retrieved 26 June 2017.
  10. "Liquidity Services Inc. (Liquidity Services, Inc.) Initial Public Offering". Find the Company. Retrieved 26 June 2017.
  11. Ramstack, Tom. "Liquidity Services Fosters Growth". press reader. The Washington Times. Retrieved 26 June 2017.
  12. "Liquidity Services to acquire remarketing business of Jacobs Trading". BizJournals. Washington Business Journal. Retrieved 26 June 2017.
  13. Steiner, Ina. "Liquidity Services Buys UK's GoIndustry DoveBid". Ecommerce Bytes. Retrieved 26 June 2017.
  14. Moore, Tad. "D.C.-based Liquidity Services takes stock of its own business". Washington Post. Retrieved 26 June 2017.
  15. "Liquidity Services Awarded New Scrap Contract With The U.S. Department Of Defense". The Street. Retrieved 26 June 2017.
  16. "Introducing IronDirect.com". Constructionequipment.com. Retrieved 27 March 2017.
  17. Gruver Doyle, Marcia (15 September 2016). "Rising from ICP's ashes, IronDirect wants to be the Amazon of construction equipment". Equipment World. Big Iron Dealer. Retrieved 30 June 2017.
  18. "Press Release | Liquidity Services". investors.liquidityservices.com. Retrieved 2018-08-22.
  19. "Document".
  20. Levey, Brandon. "Rid Your Business of Zombie Stock Before the Holidays". Entrepreneur. Retrieved 10 July 2017.
  21. Censer, Marjorie. "Fort Meade acts as warehouse site for 'eBay for the Pentagon'". Washington Post. Retrieved 10 July 2017.
  22. "Liquidity Services: Hidden Growth Comes To The Surface". Seeking Alpha. Retrieved 26 June 2017.
  23. Aviles, Candice; Williams, Lydia (17 August 2016). "Indiana's returned-merchandise mecca". theindychannel. Retrieved 30 June 2017.