Li-Cycle enters into combination agreement with Peridot Acquisition Corp.
Upon closing of the transaction, the combined company will be renamed Li-Cycle Holdings Corp. and will be listed on the New York Stock Exchange under the new ticker symbol “LICY.”
Technology / IIoT
TORONTO and HOUSTON — Peridot Acquisition Corp. has agreed to terms to enter into a business combination agreement with lihium-ion battery recycling company Li-Cycle, which had recently been named to the 2021 Global Cleantech 100 list.
Li-Cycle currently sits at the intersection of three key trends occurring in 2021. The electric vehicle expansion, the supply shortage of strategic battery materials, and the need for a truly sustainable, ESG-friendly lithium-ion battery recycling solution.
Upon closing of the transaction, the combined company will be renamed Li-Cycle Holdings Corp. and will be listed on the New York Stock Exchange under the new ticker symbol “LICY.” The combined company will be led by Ajay Kochhar, Co-Founder, President and Chief Executive Officer of Li-Cycle, and Tim Johnston, Co-Founder and Executive Chairman.
Li-Cycle utilizes a patented Spoke & Hub technology to achieve a strong recovery rate and produce the scarce battery materials underpinning the global growth in electric vehicle penetration. Legacy recycling technologies have largely relied on thermal operations, which can emit harmful emissions and result in lower recovery rates. Li-Cycle’s two-stage battery recycling model enables customers to benefit from a safe and environmentally friendly solution for recycling all types of lithium-ion materials.
Peridot Acquisition chose to invest in the Toronto-based company due to strong material demand for a shift towards electrification, Li-Cycle’s patented technology, its leading energy efficiency returns, and established customer base with established commercial contracts.
The merger is expected to provide Li-Cycle, which was valued at $1.67 billion, around $615 million in additional funding, which it plans to use to build more facilities to recycle and repurpose batteries.