Li-Cycle Reports Strong Q3 2024 Revenue Growth, Lower Costs, and $475 M U.S. Department of Energy Loan Facility
DENVER, Colo., Nov 08, 2024 (247marketnews.com)- Li-Cycle (NYSE: LICY) reported its third quarter 2024 financial results and that it entered into a loan facility agreement for up to $475 million.
The third quarter highlights include 79% year-over-year revenue growth, to $8.4 million, which matched the previous quarter’s record revenue, while lowering selling, general & administrative (“SG&A”) expenses by 50% year-over-year, to $12.9 million, largely due to the Company’s cash preservation initiatives.
The loan, through the U.S. Department of Energy Loan Programs Office’s Advanced Technology Vehicles Manufacturing program, includes up to $445 million of principal and up to $30 million in capitalized interest, which is a $100 million increase over the original conditional commitment. Additionally, the transaction is the DOE’s first loan facility for a battery resource recovery facility, and sustainable lithium-ion battery materials recycling company.
Ajay Kochhar, Li-Cycle’s CEO and President, stated, “Throughout 2024, one of Li-Cycle’s primary objectives has been to finalize negotiations with the DOE in order to enter into definitive documentation to obtain a DOE loan. Today, we are excited to announce our achievement of this significant milestone, which we believe represents a strong vote of confidence in Li-Cycle’s patented and environmentally friendly recycling technology and business model. Securing the DOE Loan Facility through our close collaboration with the DOE is a critical step toward our goal of restarting construction at the Rochester Hub project.
“We believe that the DOE Loan Facility offers attractive terms relative to other third-party financing alternatives available to us. We believe it will also enhance our financial flexibility and support our mission to create a sustainable, closed-loop battery supply chain, which is vital to the electrification transition and securing energy independence in North America.”
About 24/7 Market News
As a pioneer in digital financial market media, 24/7 Market News (24/7MN) is dedicated to the swift distribution of financial market news and information. 24/7 MN incorporates comprehensive corporate communications resources and tools to engage the investment community. Visit 24/7 Market News website here.
24/7 MARKET NEWS, INC Disclaimer
Please go to https://247marketnews.com/disclaimer/ for disclaimer information.
CONTACT:
24/7 Market News
Editor@247marketnews.com