Peavey to auction off $12 million worth of old unsold guitars, amps and raw materials
The US company offloads a huge selection of parts, components, tools and unsold products that it says are “no longer needed for ongoing operation”.
Peavey Electronics is auctioning off a large stock of guitars, amps, pro-audio equipment, components, tools and wood that the company claims it no longer needs for its ongoing operations.
The auction – which includes new and customer-returned products that Peavey estimates is worth over $2 million, and $10 million worth of parts inventory – will take place on 7 August 2019 through the website of asset and capital recovery specialists, CA Global Partners.
While a full catalogue for the auction has yet to be published, the photos accompanying the initial listing show off a huge amount of new or near-new products from Peavey and its various sub-brands – including Valve-King and Vypyr amps, guitar cases, several of the company’s AT-200 self-tuning guitars, and even Budda amps.
In addition to the finished products, the auction also features a large amount of stock related to the making of guitars and amps – saws, drill presses, shapers, sanders, stitchers, presses and components – plus a “large amount” of wood, including maple, mahogany, ash and walnut.
This isn’t the first time Peavey has auctioned off its equipment and materials. Back in 2015, the company sold off a range of speaker and amplifier manufacturing equipment following the closure two of its Mississippi factories, after it moved production overseas due to “changes in the marketplace”.
Guitar.com reached out to Peavey, and COO Courtland Gray explained that the closure of those facilities is in part responsible for this sale.
“As we closed or consolidated a number of manufacturing locations, the excess items all ended up in our 300,000 sq ft warehouse facility,” Gray tells us. “We found the entire facility filled with baskets and pallets of parts no longer used, wood from old guitar manufacturing, necks and bodies that never made it into a completed guitars, and overly accommodated returns from dealers that got forgotten or were left untouched by our repair team.
“Short of another decade of trying to sell it bit by bit, we decided it easiest and most expeditious to have a professional auction company market and sell it. While the return won’t be what any of us want and far less than the fully reserved book value, it will enable us to rent out some or sell all of this facility.”
Peavey still produces guitars and amps in the USA – including the HP2 range of electric guitars, as well as Budda amps – and Peavey assures us that this auction of material and equipment will not have any impact on its USA manufacturing operations.
Check out the auction listing at CA Global Partners here.