CollectionsApr 25, 2025
Sylvie Looks to Water in New Sculptural Bridal Collection“Shell Auranova” is the next generation of the brand’s bridal line, featuring half-bezel engagement rings with bold and fluid designs.
MajorsNov 06, 2018
Refiner Republic Metals Files for Bankruptcy
There are “inventory discrepancies” in the company’s books and records, court papers state.
New York—One of the country’s largest precious metal refiners filed for bankruptcy Friday following the discovery of “inventory discrepancies” in its books and records this past summer.
Republic Metals Corp., which has its main office in New York and processes metals at a facility in Miami, filed Chapter 11 in U.S. Bankruptcy Court for the Southern District of New York.
The company is looking for a buyer, and on Oct. 29, Swiss refiner Valcambi issued a press release stating that it had “reached an understanding” to acquire Republic Metals Corp. and the companies were “working through the logistics of the planned integration.”
Jennifer Mercer, a spokeswoman for Republic Metals, clarified Monday that no deal had been finalized but that talks with Valcambi are ongoing. A Valcambi spokeswoman did not respond to request for comment.
Founded in 1980 by Richard Rubin, Republic owns Republic Metals Refining Corp. and Republic Carbon Company LLC, which processes spent carbon from metals mines.
In a declaration filed alongside the company’s Chapter 11 petition, Chief Restructuring Officer Scott Avila outlined the events that led up to the decision, starting in April when the company “discovered a significant discrepancy in its inventory accounting” while preparing its full year 2018 and first quarter 2018 financials.
Republic Metals retained accounting firm EisnerAmper LLP, which confirmed that there were discrepancies in both the company’s books and records, though Mercer said she could not elaborate on the scope or nature of the discrepancies.
In late June, the company got together with its senior lenders to ask the banks to give it “breathing room” while it worked to sort out the inventory issues and develop a plan to either rectify them or restructure, the declaration states.
But the banks began to press the company a few weeks later, serving it with termination, default and demand notices July 10.
Around the same time, Republic Metals began looking for a buyer, contacting a “major, strategic metals refiner about [a] possible acquisition”—meaning Valcambi—and bringing Avila on board as CRO.
According to the declaration, the banks agreed to hold off to give Republic Metals a chance to work out a deal with the potential buyer. But as the months passed and no deal was forthcoming, the banks cut off negotiations and one lender, ICBC Standard Bank, suspended the refiner’s ability to pay customers via credit on the London metals exchange, its most common form of payment.
Avila, the company’s board and its creditors opted to file Chapter 11 on Nov. 2, as the refiner has “limited cash” and “the inability to trade metals or deliver refined goods,” the declaration states.
If a deal with Valcambi isn’t reached and the refiner cannot find another buyer, then it will be forced to liquidate its assets and inventory.
Republic Metals Refining Corp. has between 1,000 and 5,000 creditors, with assets totaling $174.8 million but liabilities topping $265 million, according to court papers.
Its largest secured lenders include Mitsubishi International Corp., the New York branch of Coöperatieve Rabobank U.A. and Bank Leumi USA, which is among the lenders that have pulled out of the diamond and jewelry trade in recent years.
The company’s No. 1 unsecured creditor is Parsippany, New Jersey-based Laurelton Sourcing LLC, a subsidiary of Tiffany & Co. According to the Chapter 11 petition, Republic owes Laurelton more than $17 million.
Other trade debts include nearly $10 million owed to Chihuahua, Mexico-headquartered mining company Coeur Mexicana SA de CV; more than $5 million owed to Premier Gold Mines Ltd. in Thunder Bay, Ontario, Canada; and Geib Refining Corp. in Warwick, Rhode Island, which is owed more than $3 million, court records show.
If a deal with Valcambi isn’t reached and the refiner cannot find another buyer, then it will be forced to liquidate its assets and inventory.
Republic Metals Refining Corp. has between 1,000 and 5,000 creditors, with assets totaling $174.8 million but liabilities topping $265 million, according to court papers.
Its largest secured lenders include Mitsubishi International Corp., the New York branch of Coöperatieve Rabobank U.A. and Bank Leumi USA, which is among the lenders that have pulled out of the diamond and jewelry trade in recent years.
The company’s No. 1 unsecured creditor is Parsippany, New Jersey-based Laurelton Sourcing LLC, a subsidiary of Tiffany & Co. According to the Chapter 11 petition, Republic owes Laurelton more than $17 million.
Other trade debts include nearly $10 million owed to Chihuahua, Mexico-headquartered mining company Coeur Mexicana SA de CV; more than $5 million owed to Premier Gold Mines Ltd. in Thunder Bay, Ontario, Canada; and Geib Refining Corp. in Warwick, Rhode Island, which is owed more than $3 million, court records show.
More on Majors
The Latest
FinancialsApr 25, 2025
Kering’s Jewelry Brands Persevere as Q1 Sales Sink 14%Boucheron and Pomellato performed well in an otherwise bleak quarter for Kering amid struggles at Gucci.
EditorsApr 25, 2025
Piece of the Week: Deborah Meyers Experience’s ‘The Birds’ EarringsDesigner Deborah Meyers created her birds from oxidized sterling silver, rose-cut diamond eyes, and Akoya Keshi pearl feathers.
Brought to you by
Emerging Jewelers Accelerator Program Announces Second Cohort of Aspiring Jewelry Entrepreneurs Six new retail businesses were selected for the 2025 program, which began in January.
SourcingApr 25, 2025
De Beers Sales, Production Fall in Q1 Amid UncertaintyThe company said it expects sightholders to remain “cautious” with their purchasing due to all the unknowns around the U.S. tariffs.
Weekly QuizApr 24, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
Supplier BulletinApr 24, 2025
Protect Your Customers and Your BusinessSponsored by the Gemological Institute of America
EditorsApr 24, 2025
Q&A: Wolf’s CEO Talks U.S. ExpansionSimon Wolf shares why the time was right to open a new office here, what he looks for in a retail partner, and why he loves U.S. consumers.
Brought to you by
Protect Your Customers and Your BusinessThe risk of laboratory-grown diamonds being falsely presented as natural diamonds presents a very significant danger to consumer trust.
IndependentsApr 24, 2025
Longtime Iowa Jeweler Herman Ginsberg Dies at 99 A third-generation jeweler, Ginsberg worked at his family’s store, Ginsberg Jewelers, from 1948 until his retirement in 2019.
FinancialsApr 24, 2025
Charles & Colvard Delisted From Nasdaq Due to NoncomplianceThe company failed to file its quarterly reports in a timely manner.
SourcingApr 24, 2025
Young Diamantaires Transition to NonprofitThe organization also announced its board of directors.
TrendsApr 24, 2025
Amanda’s Style File: So CharmingCharms may be tiny but with their small size comes endless layering possibilities, from bracelets to necklaces and earrings.
Events & AwardsApr 23, 2025
PDPaola Creative Director Wins FGI’s ‘Rising Star’ AwardPaola Sasplugas, co-founder of the Barcelona-based jewelry brand, received the Fine Jewelry Award.
AuctionsApr 23, 2025
Rare Custom Rolex Daytona Heads to AuctionA platinum Zenith-powered Daytona commissioned in the late ‘90s will headline Sotheby’s Important Watches sale in Geneva next month.
MajorsApr 22, 2025
Zales’ Rebrand Takes Playful Approach to Fine JewelryThe Signet Jewelers-owned retailer wants to encourage younger shoppers to wear fine jewelry every day, not just on special occasions.
AuctionsApr 22, 2025
Christie’s to Auction JAR Jewelry CollectionThe 21 pieces, all from a private collector, will be offered at its Magnificent Jewels auction next month.
ColumnistsApr 22, 2025
The PR Adviser: Building Buzz Through Word of MouthLilian Raji answers a question from a reader who is looking to grow her jewelry business but has a limited marketing budget.
GradingApr 22, 2025
Avi Levy Is GCAL By Sarine’s New Chief Growth OfficerGCAL by Sarine created the new role to sharpen the company’s focus on strategic partnerships and scalable expansion.
IndependentsApr 22, 2025
Brinker’s Jewelers Acquires Fellow IndependentThe Indiana jeweler has acquired Scottsdale Fine Jewelers in Scottsdale, Arizona.
Events & AwardsApr 21, 2025
An Exhibition Exploring the History of Cartier Is Now on Display“Cartier: Design, Craft, and Legacy” opened earlier this month at the Victoria and Albert Museum in London.
IndependentsApr 21, 2025
New York Jeweler to Close After 111 YearsVan Cott Jewelers in Vestal, New York, is hosting a going-out-of-business sale.
IndependentsApr 21, 2025
IJO Names New Director of Vendor Relations, Merchandise StrategyIndustry veteran Samantha Larson has held leadership roles at Borsheims, McTeigue & McClelland, Stuller, and Long’s Jewelers.
Events & AwardsApr 21, 2025
Jewelers of Louisiana, Mississippi Jewelers Association to Co-Host ConventionThe two organizations will hold the educational event together this fall in Mississippi.
Events & AwardsApr 18, 2025
Daymond John to Give Keynote at JCK Las VegasThe entrepreneur and “Shark Tank” star will share his top tips for success.
CollectionsApr 18, 2025
Piece of the Week: Dukachi’s ‘Easter Bread’ PendantThe Ukrainian brand’s new pendant is modeled after a traditional paska, a pastry often baked for Easter in Eastern European cultures.
IndependentsApr 18, 2025
Bremer Jewelry to Reveal Renovated StoreThe jeweler has announced a grand reopening for its recently remodeled location in Peoria, Illinois.
MajorsApr 18, 2025
Tiffany & Co. Employees Star in Mother’s Day CampaignThe “Strong Like Mom” campaign features moms who work at Tiffany & Co. and their children.
