• REED SOCIETE GENERALE GROUP INVESTS €10 MILLION IN LOOP VIA A CONVERTIBLE PREFERRED SECURITY AT A $4.75 CONVERSION PRICE.
• LOOP COMPLETES ITS INAUGURAL SALE OF AN INFINITE LOOP™ TECHNOLOGY LICENSE, GENERATING AN UPFRONT PAYMENT OF €10 MILLION.
• FORMATION OF A EUROPEAN PARTNERSHIP TO DEPLOY INFINITE LOOP™ MANUFACTURING TECHNOLOGY.
• PROCEEDS TO SUPPORT CONSTRUCTION OF THE INFINITE LOOP™ FACILITY IN INDIA AND FINANCE LOOP’S OPERATIONAL CASH REQUIREMENTS.

LOOP MANAGEMENT TO HOLD UPDATE CALL AT 8:45 AM ET on December 13, 2024

MONTREAL, QUEBEC, Dec 13, 2024 – (ACN Newswire) – Loop Industries, Inc. (Nasdaq:LOOP) (the “Firm,” “Loop,” “we,” “us,” or “our”), a clear know-how firm whose mission is to speed up a round plastics economic system by manufacturing 100% recycled polyethylene terephthalate (“PET”) plastic and textile-to-textile (“T2T”) polyester fiber, has secured €10 million via a convertible most well-liked safety financing with Reed Societe Generale Group, a European funding agency majority-owned by the financial institution Societe Generale. Moreover, as a part of the Reed Societe Generale Group transaction, Loop has finalized the sale of its first Infinite Loop™ know-how license, producing an preliminary €10 million cost, with extra milestone-based funds from Reed Societe Generale Group to observe.

The Reed Societe Generale Group transaction marks a pivotal step in Loop’s commercialization technique, enabling the deployment of its patented recycling know-how throughout Europe and supporting capital funding in cost-effective manufacturing areas, together with its three way partnership in India with strategic accomplice Ester Industries Ltd. Proceeds from the financing and licensing deal will fund the Indian challenge and Loop’s operational money stream wants.

Key phrases of the €10 million convertible most well-liked safety embody:

• 13% PIK dividend price
• 5-year time period
• Convertible to Loop frequent inventory at $4.75 per share or redeemable in money

The know-how license can be granted to a European partnership owned 90% by Reed Societe Generale Group and 10% by Loop, which is being fashioned to develop Infinite Loop™ manufacturing services in Europe. Loop retains the proper to extend its fairness stake within the European manufacturing facility, in addition to potential future services, to a most of fifty% for every facility. The license is to construct one Infinite Loop™ manufacturing facility in Europe. Future services beneath this partnership would require the acquisition of extra know-how licenses from Loop.

The license sale underscores the business readiness of Loop’s know-how, validated by 4 years of profitable operations at its Terrebonne facility, which provides bottle-grade PET resin for client packaging and T2T polyester fiber to advance round vogue for attire manufacturers. Loop is dedicated to increasing the attain of its confirmed answer to the plastic waste world subject by partnering with well-financed, dependable prospects via know-how licenses and engineering companies. This technique permits Loop to handle world demand in areas the place it doesn’t plan to construct services, driving additional development and worth creation whereas focusing Loop’s inner assets and capital on direct fairness investments.

With regulatory approval for Societe Generale’s acquisition of a 75% stake in Reed Societe Generale Group finalized, it’s positioned to deploy capital into this and different initiatives. The earlier situation precedent to closing referring to authorities funding is now not relevant, though Loop expects that such extra financing can be obtainable when the Indian challenge is accredited to start development. Funding for each the financing and the preliminary cost for the know-how license is predicted inside seven enterprise days following the incorporation of the European partnership firm.

Julien Touati, CEO of Reed Societe Generale Group, commented: “Lowering dependency on virgin plastics is a worldwide problem. We’re proud to help the rollout of Loop’s know-how in Europe by changing into the bulk shareholder of this European partnership. This strategic funding permits us to leverage Loop’s distinctive experience and powerful relationships with world-class manufacturers dedicated to decarbonizing their provide chains. It suits completely with our ambition to actively contribute to the industrialization of Europe’s round economic system, considerably scale back air pollution, and foster sustainable development.”

“The sale of our first know-how license is a transformative milestone, proving the scalability and market readiness of our Infinite Loop™ know-how,” mentioned Daniel Solomita, CEO and Founding father of Loop Industries. “Our financing settlement and partnership with Reed Societe Generale Group propels us into a brand new section of development – increasing into Europe with strategic precision whereas advancing our flagship Infinite Loop™ challenge in India. These strategic steps align with our long-term funding imaginative and prescient and underscore our dedication to innovation, scalability, and delivering distinctive worth for our shareholders. I stay up for working intently with Julien and his crew at Reed Societe Generale Group in main the round economic system in plastic packaging and round vogue in Europe.”

Company Replace Name

Senior Administration of Loop will host a company replace name, adopted by a question-and-answer session, which may be accessed through the dial-in numbers beneath.

Date: Friday, December 13, 2024

Time: 8:45 am Jap Time

Participant becoming a member of particulars (by Phone):

United States (Native): +1 404 975 4839

United States (Toll-Free): +1 833 470 1428

Entry Code: 625641

OR

Registration Hyperlink: https://www.netroadshow.com/occasions/login?present=2e808989&confId=75536

– Keep away from wait time – Bypass talking with an operator to hitch the decision

– Obtain a Calendar Invitation with name entry particulars together with your distinctive PIN

About Loop Industries

Loop Industries is a know-how firm whose mission is to speed up the world’s shift towards sustainable PET plastic and polyester fiber and away from our dependence on fossil fuels. Loop Industries owns patented and proprietary know-how that depolymerizes no and low-value waste PET plastic and polyester fiber, together with plastic bottles and packaging, carpets and textiles of any colour, transparency or situation and even ocean plastics which were degraded by the solar and salt, to its base constructing blocks (monomers). The monomers are filtered, purified and polymerized to create virgin-quality Loop™ branded PET resin appropriate to be used in food-grade packaging and polyester fiber, thus enabling our prospects to satisfy their sustainability aims. Loop™ PET plastic and polyester fiber may be recycled infinitely with out degradation of high quality, efficiently closing the plastic loop. Loop Industries is contributing to the worldwide motion in the direction of a round economic system by decreasing plastic waste and recovering waste plastic for a sustainable future.

Frequent shares of the Firm are listed on the NASDAQ International Market beneath the image “LOOP.”

For extra data, please go to www.loopindustries.com. Comply with Loop on Twitter: @loopindustries, Instagram: loopindustries, Fb: Loop Industries and LinkedIn: Loop Industries

Ahead-Wanting Statements

This information launch incorporates “forward-looking statements” as outlined within the U.S. Personal Securities Litigation Reform Act of 1995. Such statements could also be preceded by the phrases “intends,” “could,” “will,” “plans,” “expects,” “anticipates,” “ought to,” “might,” “initiatives,” “predicts,” “estimates,” “goals,” “believes,” “hopes,” “potential” or “proceed,” the unfavorable of such phrases or comparable phrases. These forward-looking statements embody, with out limitation, statements about Loop’s market alternative, its development methods, plans and timelines for finishing the €10 million convertible most well-liked inventory financing and know-how license sale, plans to be used of anticipated proceeds, capacity to enhance and increase its capabilities and search extra financing, and plans for future development and future operations together with growth in Europe and advancing the three way partnership in India. Ahead-looking statements aren’t ensures of future efficiency, are primarily based on sure assumptions and are topic to numerous identified and unknown dangers and uncertainties, lots of that are past Loop’s management, and can’t be predicted or quantified and consequently, precise outcomes could differ materially from these expressed or implied by such forward-looking statements. Such dangers and uncertainties embody, with out limitation, dangers and uncertainties related to amongst different issues: (i) our capacity to commercialize our know-how and merchandise, (ii) the standing of {our relationships} with our companions, (iii) improvement and safety of our mental property and merchandise, (iv) business competitors, (v) our want for and talent to acquire extra funding relative to our present and future monetary commitments, (vi) our capacity to proceed as a going concern, (vii) engineering, contracting, and constructing our manufacturing services, (viii) our capacity to scale, manufacture, and promote our merchandise with a purpose to generate revenues, (ix) our proposed enterprise mannequin and our capacity to execute it, (x) our capacity to acquire the mandatory approvals or fulfill any closing circumstances in respect of any of our proposed partnerships, (xi) our three way partnership initiatives and our capacity to get well sure expenditures in connection them, (xii) hostile results on the Firm’s enterprise and operations on account of elevated regulatory, media, or monetary reporting scrutiny, practices, rumors, or in any other case, (xiii) public well being points, reminiscent of illness epidemics, which can result in diminished entry to capital markets, provide chain disruptions, and government-imposed enterprise closures, (xiv) struggle, regional tensions, and financial or different conflicts that would affect market stability and our enterprise; (xv) the impact of the persevering with worldwide macroeconomic uncertainty and its impacts, together with inflation, market volatility and fluctuations in international foreign money trade and rates of interest, (xvi) the result of any Securities and Trade Fee (“SEC”) investigations or class motion litigation filed towards us, (xvii) our capacity to rent and/or retain certified staff and consultants, (xviii) different occasions or circumstances over which we’ve little or no management, and (xix) different elements mentioned in Loop’s Annual Report on Type 10-Okay for the fiscal yr ended February 29, 2024 filed with the SEC and in Loop’s subsequent filings with the SEC. Extra detailed details about Loop and the danger elements that will have an effect on the conclusion of forward-looking statements is about forth in Loop’s filings with the SEC. Buyers and safety holders are urged to learn these paperwork freed from cost on the SEC’s website online at http://www.sec.gov. Loop assumes no obligation to publicly replace or revise its forward-looking statements on account of new data, future occasions or in any other case, until in any other case required by legislation.

For Extra Info:

Investor Relations:
Kevin C. O’Dowd, Investor Relations
Loop Industries, Inc.
+1 617-755-4602
kodowd@loopindustries.com

Media Inquiries:
Andrea Kostiuk, VP Advertising & Communications
Loop Industries, Inc.
+1 (450) 951-8555
akostiuk@loopindustries.com

SOURCE: Loop Industries

Matter: Press launch abstract

Supply: Loop Industries, Inc

Sectors: Day by day Finance, Surroundings, ESG, Various Power, Funds & Equities

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