UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of
Report (Date of earliest event reported)
December 14, 2020
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LOOP INDUSTRIES, INC.
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(Exact
name of registrant as specified in its charter)
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Nevada
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000-54786
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27-2094706
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(State
or other jurisdiction of incorporation)
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(CommissionFile
Number)
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(IRS
EmployerIdentification No.)
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480 Fernand Poitras
Terrebonne, Quebec, Canada, J6Y 1Y4
(Address
of principal executive offices, including zip code)
(450) 951-8555
(Registrant’s
telephone number, including area code)
Not Applicable
(Former
name or former address, if changed since last report)
Check
the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant
under any of the following provisions (see General Instruction A.2.
below):
☐ Written communications pursuant to Rule 425
under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12
under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to
Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
☐ Pre-commencement communications pursuant to
Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
Securities
registered pursuant to Section 12(b) of the Act:
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Title of each class
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Trading Symbol(s)
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Name of each exchange on which registered
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Common
stock, par value $0.0001 per share
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LOOP
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Nasdaq
Global Market
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Indicate
by check mark whether the registrant is an emerging growth company
as defined in Rule 405 of the Securities Act of 1933 (§230.405
of this chapter) or Rule 12b-2 of the Securities Exchange Act of
1934 (§240.12b-2 of this chapter).
Emerging
growth company ☐
If an
emerging growth company, indicate by check mark if the registrant
has elected not to use the extended transition period for complying
with any new or revised financial accounting standards provided
pursuant to Section 13(a) of the Exchange Act. ☐
Item 8.01. Other Events.
On December
14, 2020, Loop Industries, Inc. (the “Company”), issued
a press release announcing the Company’s release of an
independent verification report of its patented Gen II
depolymerization technology conducted by Kemitek, a
not-for-profit College
Centre for Technology Transfer specialized in the
fields of green chemistry and chemical process
scale-up.
Loop
commissioned Kemitek to validate Loop’s technology, which
turns waste PET plastic and polyester fiber feedstocks into its
primary building blocks, or monomers: dimethyl terephthalate
(“DMT”) and monoethylene glycol (“MEG”),
which meet established purity criteria for producing virgin-quality
PET.
The
report concludes that the quality of the primary PET plastic
building blocks meets Loop’s specifications for the
production of PET resin
and polyester fiber.
A copy
of the Company’s press release is attached hereto as Exhibit
99.1.
The
foregoing summary is qualified in its entirety by reference to a
copy of the report, which is filed herewith as Exhibit
99.2.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.
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Exhibit Number
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Description
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Press Release, dated December 14, 2020
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Kemitek Report, dated December 10, 2020
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SIGNATURES
Pursuant to the
requirements of the Securities Exchange Act of 1934, as amended,
the registrant has duly caused this report to be signed on its
behalf by the undersigned hereunto duly authorized.
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LOOP INDUSTRIES, INC.
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Date:
December 14, 2020
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By:
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/s/ Daniel Solomita
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Daniel
Solomita
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Chief
Executive Officer and President
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LOOP INDUSTRIES ANNOUNCES INDEPENDENT REVIEW CONFIRMING
EFFECTIVENESS OF PATENTED TECHNOLOGY
Independent testing by respected third-party research center
confirms that Loop’s Gen II depolymerization technology
is effective at producing pure monomers
MONTREAL (CANADA), ACCESSWIRE, December 14,
2020—Loop Industries (“Loop” or “the
Company”), an innovator in sustainable plastics technology,
today released the report of an independent verification of
Loop’s patented Gen II depolymerization technology,
which allows waste polyethylene terephthalate (“PET”)
plastic and polyester fiber to be recycled into virgin-quality PET
resin made from 100% recycled content. This verification was
conducted by Kemitek, a not-for-profit College Centre for
Technology Transfer specialized in the fields of green chemistry
and chemical process scale-up.
Effectiveness of Patented Technology Producing Pure
Monomers
Loop
commissioned Kemitek to validate its technology, which turns waste
PET plastic and polyester fiber feedstock into its primary building
blocks, or monomers: dimethyl terephthalate (“DMT”) and
monoethylene glycol (“MEG”), which meet established
purity criteria for producing virgin-quality PET.
Kemitek
established a rigorous and independent methodology for this
verification:
I.
The Kemitek team
was on site at Loop’s Terrebonne, Quebec facilities for 16
days to verify each step of Loop’s technology at Mini-Pilot
(25 L reactor) and Pilot scales (6000 L reactor) from
feedstock (post-consumer waste PET plastic) to final purified
monomers (DMT and MEG).
II.
Kemitek received
the feedstock directly from Loop’s supplier at their
facilities. They then dried, sampled, sealed and shipped the waste
plastic feedstock to Loop. The feedstock was also sent to an
external laboratory by Kemitek for analysis and
characterization.
III.
Once on site, the
Kemitek team took possession of the feedstock, controlled and
secured the entire process to ensure the chain of custody at all
times via human supervision and numbered lockouts and seals on the
equipment.
IV.
Throughout the
process, the Kemitek team took samples at key steps for subsequent
analysis to confirm there was no tampering by Loop’s
team.
V.
The final purified
monomers were secured by Kemitek and sent for analysis to certified
external laboratories (ISO 17025). These analyses confirm the
purity of the resulting monomers.
The
feedstock used throughout the verification consisted of pallets of
post-consumer waste PET plastic. In appearance, it was a mix of
clear, gray and colored flakes and fines with a PET content varying
between 86% and 95%, as determined by a Loop-conducted analysis.
Feedstock contaminants identified by external laboratories mandated
by Kemitek include printed film, silicone elastomer and
polystyrene.
The
final report issued by Kemitek, which will be filed today as an
exhibit to Loop’s Form 8-K, draws the below
conclusions:
“The Kemitek team was able to understand, witness and verify
the execution of Loop’s Gen II polyethylene
terephthalate (PET) depolymerization technology from feedstock to
monomers.
While the verification was not intended to certify the yields or
economic viability of the technology, as these were out of the
scope of our mandate, our observations confirmed the production of
significant quantities of dimethyl terephthalate (DMT) and
monoethylene glycol (MEG) from a post-consumer waste PET feedstock
at both mini-pilot and pilot scales.
Characterization of the finished products also confirmed that the
quality of the primary PET plastic building blocks meet
Loop’s specifications for the production of PET resin and
polyester fiber, achieving DMT purity ranging from 99.7% to
100.1%1 (w/w) and MEG purity ranging from 98.2%
to 98.9% (w/w). The useful monomer content for the MEG product is
greater than 99.0% (w/w).
This is calculated by adding the secondary PET plastic building
blocks present in the final MEG product: Dimethyl isophthalate
(DMI), Dimethyl Terephthalate (DMT), Diethylene Glycol (DEG),
Bis-(2-Hydroxyethyl)terephthalate (BHET),
1-(2-hydroxyethyl)4-methylterephthalate (MHET) and
1-(2-hydroxyethyl)4-methylisophthalate (MHEI). It is reasonable to
expect these molecules to be integrated into the final polymer
chains of the PET resin and polyester fiber.
Kemitek’s findings through this verification allow us to
attest to the capacity of Loop’s technology to produce pure
monomers within their specifications. Kemitek conducted this
verification in an independent manner using rigorous methodology
and we ensured process integrity during the three-week testing
period via surveillance, sampling and seals.”
With
the levels of purity confirmed by Kemitek’s verification,
Loop reiterates that its technology can produce monomers of
sufficient purity to create PET plastic and polyester fiber that is
100% recycled and equivalent to virgin PET made from fossil fuels,
consistent with previous polymerization trials and testing
evaluations by clients and industrial companies.
“Loop
Industries enlisted our services to conduct a scientific
verification of its Gen II PET depolymerization technology
from feedstock to monomers,” said Alain Tremblay, M.Sc.,
Scientific Director at Kemitek and lead of the verification
project. “Our findings through this verification allow us to
attest to the capacity of Loop’s technology to produce pure
monomers within their specifications. Kemitek conducted this
verification in an independent manner using rigorous methodology
and we ensured process integrity during the three-week testing
period via surveillance, sampling and seals.”
A seasoned and published polymer
researcher, professor Jérôme Claverie, Ph.D., from
Université de Sherbrooke in Quebec, Canada acted as
external scientific expert by observing key parts of the
verification and its findings. Dr. Claverie was not compensated in
any way by Loop for his participation as an independent expert. As
a leading, highly published researcher and the holder of the Canada
Research Chair (Tier 1) in Chemistry of Advanced Organic and
Hybrid Materials, Dr. Claverie concurred with the conclusion put
forward by Kemitek’s verification, saying: “After
meeting with Loop’s team of researchers and engineers,
reviewing all of their patents, and observing their technology at
mini-pilot and pilot scales, I have absolutely no doubts that the
patented PET recycling technology leads to high-purity monomers
suitable for repolymerization into virgin-quality PET. Loop’s
team did not reinvent the fundamental, well-established chemistry
underlying depolymerization. However, they optimized a version of
this process that provides the ability to effectively depolymerize
waste PET plastic at a high purity at below 90-degree temperature,
which sets their technology apart.”
Certifications and Accreditations
Loop
has received from the European Chemicals Agency
(“ECHA”) a confirmation of registration for its MEG on
November 17, 2020, and for its DMT on December 7, 2020. The
registration under the Registration, Evaluation, Authorization and
Restriction of Chemicals (“REACH”) Regulation
(EC 1907/2006) confirms that Loop’s monomers are of a purity
equal to what is currently recognized within Europe and entitles
Loop to manufacture/import the monomers into Europe. It should be
noted that MEG and DMT are on the positive list for plastic
materials, which means that the two monomers can be used as
food-contact materials.
In
addition, as previously disclosed, Loop is in possession of a legal
opinion confirming that its depolymerization technology meets U.S.
Food and Drug Administration (“FDA”) requirements to
produce suitably pure MEG and DMT for use in food-grade packaging.
The Company has filed for a No Objection Letter (“NOL”)
from the FDA, which will validate the legal opinion obtained thus
far.
It
should be noted that the levels of monomer purity confirmed by
Kemitek’s verification are in line with the data submitted
for the REACH registration of Loop’s DMT and MEG monomers and
the FDA NOL.
Conclusion
“The
results of Kemitek’s verification reconfirm Loop’s
belief that we are well positioned to have a transformative impact
on the reduction of global plastic waste,” concluded Loop
Founder and CEO Daniel Solomita. “I wish to sincerely thank
the entire Loop team for their dedicated work and ongoing support
for the Company, as we move forward with our plans to bring our
technology to commercial scale.”
About Loop Industries
Loop
Industries (NASDAQ: LOOP) is a technology company whose mission is
to accelerate the world’s shift toward sustainable PET
plastic and polyester fiber and away from our dependence on fossil
fuels. Loop owns patented and proprietary technology that
depolymerizes no and low-value waste PET plastic and polyester
fiber, including plastic bottles and packaging, carpets and
textiles of any color, transparency or condition and even ocean
plastics that have been degraded by the sun and salt, to its base
building blocks (monomers). The monomers are filtered, purified and
polymerized to create virgin-quality Loop™ branded PET resin
and polyester fiber suitable for use in food-grade packaging, thus
enabling our customers to meet their sustainability objectives.
Loop Industries is contributing to the global movement toward a
circular economy by preventing plastic waste and recovering waste
plastic for a more sustainable future for all.
Common
shares of Loop Industries are listed on the Nasdaq Global Market
under the symbol “LOOP.”
For
more information, please visit www.loopindustries.com.
Follow us on Twitter: @loopindustries,
Instagram: loopindustries,
Facebook: Loop
Industries and LinkedIn: Loop
Industries
Forward-Looking Statements
This news release contains "forward-looking statements" as defined
in the U.S. Private Securities Litigation Reform Act of 1995. Such
statements may be preceded by the words "intends", "may", "will",
"plans", "expects", "anticipates", "should", "could", "projects",
"predicts", "estimates", "aims", "believes", "hopes", "potential"
or similar words. Forward-looking statements are not guarantees of
future performance, are based on certain assumptions and are
subject to various known and unknown risks and uncertainties, many
of which are beyond Loop's control, and cannot be predicted or
quantified and consequently, actual results may differ materially
from those expressed or implied by such forward-looking statements.
Such risks and uncertainties include, without limitation, risks and
uncertainties associated with among other things: (i)
commercialization of our technology and products, (ii) our status
of relationship with partners, (iii) development and protection of
our intellectual property and products, (iv) industry competition,
(v) our need for and ability to obtain additional funding, (vi)
building our manufacturing facility, (vii) our ability to sell our
products in order to generate revenues, (viii) our proposed
business model and our ability to execute thereon, (ix) adverse
effects on the Company's business and operations as a result of
increased regulatory, media or financial reporting issues and
practices, rumors or otherwise, (x) disease epidemics and health
related concerns, such as the current outbreak of a novel strain of
coronavirus (COVID-19), which could result in (and, in the case of
the COVID-19 outbreak, has resulted in some of the following)
reduced access to capital markets, supply chain disruptions and
scrutiny or embargoing of goods produced in affected areas,
government-imposed mandatory business closures and resulting
furloughs of our employees, travel restrictions or the like to
prevent the spread of disease, and market or other changes that
could result in noncash impairments of our intangible assets, and
property, plant and equipment, and (xi) other factors discussed in
our subsequent filings with the SEC. More detailed information
about Loop and the risk factors that may affect the realization of
forward-looking statements is set forth in our filings with the
Securities and Exchange Commission ("SEC"). Investors and security
holders are urged to read these documents free of charge on the
SEC's web site at http://www.sec.gov.
Loop assumes no obligation to publicly update or revise its
forward-looking statements as a result of new information, future
events or otherwise.
Media Inquiries
Stephanie
Corrente
+1
(450) 951-8555 ext. 226
scorrente@loopindustries.com
Note to Media: Supporting Photo Assets Available for Download
Here (Link expires December 19, 2020)
Investor Inquiries
MZ
Group - MZ North America
+1
949-259-4987
LOOP@mzgroup.us
www.mzgroup.us
SOURCE: Loop Industries, Inc.
