Li-Cycle Holdings Corp, a prominent player in lithium-ion battery resource recovery, has experienced a substantial surge in its stock value after the company announced that it has entered into a deal to issue a senior secured convertible note worth $75 million to an affiliate of Glencore plc, a global leader in nickel, cobalt, and lithium-ion battery production.
Following the announcement, Li-Cycle’s stock saw a remarkable surge in trading activity. After closing Tuesday’s session at $0.58, the stock commenced trading on Wednesday at $0.71, reflecting investor confidence in the company’s strategic moves. Moreover, the stock witnessed an exceptionally high trading volume, with more than 46.0 million shares traded before noon, significantly surpassing its daily average volume of 4.17 million shares.
At the time of this publication, Li-Cycle Holdings Corp stock (LICY) has witnessed a surge.
Li-Cycle Holdings Corp
Current Price: $0.73
Change : +0.14
Change (%): (24.38%)
Volume: 46.0M
Source: Tomorrow Events Market Data
The agreement between Li-Cycle Holdings and Glencore further solidifies their longstanding partnership. Glencore had previously designated Li-Cycle as one of its preferred recycling partners, aiming to create an integrated platform for supplying critical battery materials to a global customer base.
Commenting on the development, Li-Cycle Holdings’ Co-founder and CEO, Ajay Kochhar, expressed satisfaction with the additional investment from Glencore, emphasizing its significance in enhancing liquidity and supporting future plans. Kochhar also highlighted the company’s ongoing collaboration with the U.S. Department of Energy for a conditional loan commitment of up to $375 million.
Tim Johnston, Li-Cycle’s Co-founder and Executive Chairman, provided insights into the company’s comprehensive review process, indicating a strategic evaluation of its global recycling network and future plans for the paused Rochester Hub. Johnston reiterated Li-Cycle’s commitment to positioning itself as a leader in critical battery materials production through sustainable recycling technology.
Glencore’s Global Head of Recycling, Kunal Sinha, emphasized the company’s commitment to sustainable circularity in the battery supply chain. Sinha highlighted Glencore’s role as a battery feedstock partner for Li-Cycle’s facilities, underscoring their joint efforts in building a preferred platform for battery circularity.
The partnership between Li-Cycle Holdings and Glencore signifies a significant step towards strengthening the EV battery supply chain. With Glencore positioned as a key partner for Li-Cycle’s recycling facilities, both companies aim to play a pivotal role in promoting sustainability and circularity in the battery materials sector.
