Eco Material Technologies Inc. Announces Close of $800 Million Term Loan Facility

SALT LAKE CITY, Feb. 12, 2025 /PRNewswire/ -- Eco Material Technologies Inc. ("Eco Material" or the "Company"), the leading producer, marketer and distributor of supplementary cementitious materials ("SCMs") and producer of green cement products in North America is pleased to announce the successful closing of an $800.0 million term loan credit facility (the "Green Term Loan Facility") that matures in February 2032 and provides Eco Material with enhanced financial flexibility and support for its strategic initiatives.

Grant Quasha, Eco Material's Chief Executive Officer, commented, "We are very excited to close this new Green Term Loan Facility, which provides us with significant incremental capital to invest in our market leading suite of technology enabled green supplementary cementitious material manufacturing and harvesting facilities. This raise comes from a position of strength and reflects our strong performance over the past year and robust pipeline of projects. We appreciate the ongoing support from our existing lenders, resulting in an oversubscribed raise and are excited for the growth in front of us as we push towards our goal of decarbonizing the cement and concrete sectors in North America by doubling our business to 20 million tons per year of SCM production and recycling."

Jefferies Finance LLC, Deutsche Bank Securities Inc. and Mizuho Bank, Ltd. acted as joint lead arrangers and joint bookrunners on the transaction. Jefferies Finance LLC also serves as the administrative agent and the collateral agent.

Approximately $665.0 million of the proceeds of the Green Term Loan Facility were used to redeem the Company's existing 7.875% Senior Secured Green Notes due 2027 (the "Existing Notes") and the remainder will be used for working capital needs and other business purposes. The new Green Term Loan Facility enables the Company to extend the maturity of its existing debt instruments, increase liquidity and reduce cost of capital, strengthening the balance sheet by offering better economic terms compared to the Existing Notes and the covenant flexibility to seek future growth opportunities. The Green Term Loan Facility provides loans that accrue interest at either a term Secured an Overnight Financing Rate ("SOFR") plus an applicable margin or an alternate base rate plus an applicable margin. The Green Term Loan Facility does not include a financial maintenance covenant.

With the closing of the Green Term Loan Facility, the Company is optimally positioned to leverage its strengthened balance sheet and execute on new growth opportunities.

Latham & Watkins, LLP served as legal counsel to the Company on the Term Loan Facility and redemption of the Existing Notes. Paul Hastings LLP served as legal counsel to the joint lead arrangers and joint bookrunners.

About Eco Material Technologies, Inc.

Eco Material is the leading producer, marketer and distributor of ash-based SCM products in the North America. Eco Material is also the leading environmentally focused, near-zero carbon cement producer in the United States. SCMs are the most impactful, environmentally friendly alternative materials to portland cement that significantly reduce the CO2 footprint and improve the performance and longevity of cement's end-product, concrete. Coal ash and volcanic ash are used to replace a portion of highly polluting portland cement in concrete and can be further upgraded to its higher performance Green Cement products by the Company. Eco Material also supplies services to electric utilities related to management of coal ash and other coal combustion products and recycles over 10 million tons per year of material into beneficial use - reducing emissions and avoiding landfilling of material.

Cautionary Statement Concerning Forward-Looking Statements

Certain statements contained in this press release constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements represent Eco Material's expectations or beliefs concerning future events, and it is possible that the results described in this press release will not be achieved. These forward-looking statements are subject to risks, uncertainties, and other factors, many of which are outside of Eco Material's control that could cause actual results to differ materially from the results discussed in the forward-looking statements.

Any forward-looking statement speaks only as of the date on which it is made, and, except as required by law, Eco Material does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. New factors emerge from time to time, and it is not possible for Eco Material to predict all such factors. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements in our filings with the U.S. Securities and Exchange Commission (the "SEC"). The risk factors and other factors noted in Eco Material's filings with the SEC could cause its actual results to differ materially from those contained in any forward-looking statement.

Media Contact: Michael Ganci, [email protected]

SOURCE Eco Material Technologies Inc