Loop Industries and SK Global Chemical close strategic equity deal for $ 56.5 million and provide additional information on Asian joint venture to manufacture 100% recycled PET plastic

DGAP-News: Loop Industries / Key word (s): Miscellaneous
02.08.2021 / 15:00
The issuer is solely responsible for the content of this announcement.

Loop Industries and SK Global Chemical close strategic equity deal for $ 56.5 million and provide additional information on Asian joint venture to manufacture 100% recycled PET plastic

– $ 56.5 million to purchase Loop Industries new treasury common stock at $ 12 per share under the agreement announced by the two companies on June 23, 2021

– Joint venture begins planning phase for first Infinite Loop (TM) facility in Ulsan, South Korea, with at least four production facilities planned by 2030

– Mr. Jonghyuk Lee appointed to Loop’s board of directors

MONTREAL, QC / ACCESSWIRE / Aug 2, 2021 / Loop Industries (NASDAQ: LOOP) (“Loop” or “The Company”), a leading clean technology innovator whose mission is to accelerate a circular economy made of plastic and SK Global Chemical Co. Ltd. (“SKGC”), a subsidiary of South Korean SK Group, announces the completion of a $ 56.5 million purchase by the two companies on June 23, 2021 of new treasury common stock in Loop Industries. SKGC now owns 10 percent of Loop’s common stock .

The strategic partnership between the companies aims to accelerate the commercialization of loop technology across Asia to provide global CPG branded companies with virgin PET resin and polyester fiber made from 100% recycled material. Based on the first plant in Ulsan, South Korea, which is expected to begin with preparations in 2022, the joint venture plans to build at least four plants by 2030. Together, these plants will process around 400,000 tons of PET plastic and polyester fiber waste annually.

Appointment of Jonghyuk Lee to Loop’s board of directors
In connection with the investment, Mr. Jonghyuk Lee, Vice President of SKGC’s Green Business Division, has been appointed to Loop’s board of directors with immediate effect. This appointment reflects SKGC’s strategic view of the importance of its investment in Loop as part of its global strategic vision of “Green for Better Life”.

About Loop Industries
Loop Industries is a technology company whose mission is to accelerate the global shift towards sustainable PET plastic and polyester fibers and to free ourselves from our dependence on fossil fuels. Loop has a patented and proprietary technology that depolymerizes zero and low quality PET plastic and polyester fiber, including plastic bottles and packaging, carpets and textiles of any color, transparency or texture, and even marine plastics that have been degraded by the sun and salt. to its basic building blocks (monomers). The monomers are filtered, purified and polymerized to create new quality Loop (TM) PET resin and polyester fibers that are suitable for use in food packaging and enable our customers to meet their sustainability goals. Loop Industries is contributing to the global movement towards a circular economy by preventing plastic waste and reclaiming plastic waste for a more sustainable future for all.

Loop Industries common stock is listed on the Nasdaq Global Market under the symbol “LOOP”.

More information is available at www.loopindustries.com. Follow us on Twitter: @loopindustries Instagram: loopindustries, Facebook: Loop Industries and LinkedIn: Loop Industries

About SK Global Chemical
In 1972, SK Global Chemical laid the foundation for the development of the petrochemical industry with the operation of the first naphtha cracking plant in Korea. SK Global Chemical offers a variety of automotive and packaging products and solutions that customers and markets require. In addition, through continuous R&D efforts and global expansion, SK global Chemical is growing into a technology-based global chemical company.

SK Global Chemical will realize its vision “Green for Better Life” by establishing a plastic-based circular economy through cooperation with various partners and interest groups. SK Global Chemical will expand its portfolio of environmentally friendly products and continuously recycle beyond the amount of plastics produced in order to realize and leverage the sustainability efforts that benefit our planet.

More information is available at www.skglobalchemical.com.

Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the US Private Securities Litigation Reform Act of 1995. Such statements may include the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates”, “should.” “,” could “,” project “,” predict “,” estimate “,” aim “,” believe “,” hope “,” potentially “or” continue “the negative of such terms or similar words. These forward-looking statements include, among other things, statements about our market opportunities, our strategies, the ability to improve and expand our capabilities, the competition, the activities and expenses expected in pursuing our business plan, the adequacy of our available cash, regulatory compliance, plans for future growth and activity, the size of our addressable market, market trends, and the effectiveness of the company’s internal control over financial reporting. Forward-looking statements are not guarantees of future performance, are based on certain assumptions, and are subject to various known and unknown risks and uncertainties, many of which are beyond Loop’s control and cannot be predicted or quantified, and consequently actual results could differ materially Forward-looking statements express or implied. These risks and uncertainties include, but are not limited to, risks and uncertainties related to: (i) commercialization of our technology and products, (ii) our status of relationships with partners, (iii) development and protection of our intellectual property and products, (iv) Competition in the industry, (v) our needs and ability to obtain additional funding, (vi) the construction of our manufacturing facility, (vii) our ability to scale, manufacture and sell our products for revenue, (viii ) our proposed business model and ability to implement it, (ix) adverse business and operational effects due to increased regulatory, media or financial reporting and practices, rumors or otherwise, (x) disease epidemics and health concerns, such as the current outbreak of a novel coronavirus strain (COVID-19) leading to (and in the case of the COVID-19 outbreak, could (and in the case of the COVID-19 outbreak, has resulted in some of the following) capital market disruptions, supply chain disruptions, and control or embargoes on goods manufactured in affected areas , government-ordered company closures and the resulting vacation days for our employees, government employment promotion programs, travel restrictions or the like to prevent the spread of diseases, and market or other changes that could lead to non-cash impairment of our intangible assets and property, plant and equipment, (xi) that Result of the current SEC investigation or recent class action lawsuit against us, (xii) our ability to hire and / or retain qualified employees and advisors, and (xiii) other factors discussed in our subsequent filings with the SEC. More detailed information about Loop and the risk factors that could affect the realization of any forward-looking statements are included in our filings with the Securities and Exchange Commission (“SEC”). Investors and security holders are strongly encouraged to read these documents free of charge on the SEC’s website at http://www.sec.gov. Loop assumes no obligation to publicly update or revise its forward-looking statements as a result of new information, future events or for any other reason.

Media contacts:

Loop industries
Stephanie Corrente, Director Marketing & Communication
+1 (450) 951-8555 ext. 226
[email protected]

SK global chemistry
Joon young jeong, professional manager
SK innovation | Value creation center
Media PR – battery business
[email protected]

Loop Industries Investor Relations
MZ Group-MZ North America
+1 (949) 259-4987
[email protected]

SOURCE: Loop Industries, Inc.

08/02/2021 Dissemination of a Corporate News, transmitted by DGAP – a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

DGAP sales services include regulatory notices, financial / corporate news and press releases.
Archive on www.dgap.de

Comments are closed.