Li-Cycle Holdings Corp., a prominent global lithium-ion battery resource recovery company, announced that it has secured waiver extensions from its convertible note holders, Glencore Canada Corporation and Wood River Capital, LLC. These extensions allow Li-Cycle’s common shares to continue trading on the OTCQX® Best Market as an eligible market under the terms of the convertible notes until 11:59 p.m. Eastern Time on Friday, May 9, 2025.
Previously, the company had obtained waivers from the convertible note holders that permitted trading on the OTCQX until 9:00 a.m. Eastern Time on Monday, May 5, 2025. The recent extensions provide additional time under the current trading arrangements outlined in the convertible notes.
Despite the waiver extensions, Li-Cycle disclosed that it faces significant challenges that may necessitate substantial modifications or the cessation of its operations. The company indicated that it might be required to dissolve and liquidate its assets in accordance with applicable insolvency laws or alternatively seek insolvency protection. In response to these potential developments, Li-Cycle is actively seeking purchasers for its business or specific assets, either in whole or in part. However, the company has emphasized that there are no guarantees regarding the identification of buyers or the terms that any potential transactions may entail.
Li-Cycle, established in 2016, focuses on the recovery of critical battery-grade materials with the objective of building a domestic closed-loop battery supply chain to support a clean energy future. The company collaborates with major customers and partners globally to achieve its mission of sustainable battery resource management.
Source: Business Wire
