U.S. markets open in 2 minutes
  • S&P Futures

    3,845.25
    +6.25 (+0.16%)
     
  • Dow Futures

    31,612.00
    +147.00 (+0.47%)
     
  • Nasdaq Futures

    12,617.75
    -46.00 (-0.36%)
     
  • Russell 2000 Futures

    2,207.70
    +18.00 (+0.82%)
     
  • Crude Oil

    65.70
    -0.39 (-0.59%)
     
  • Gold

    1,691.80
    -6.70 (-0.39%)
     
  • Silver

    25.33
    +0.04 (+0.17%)
     
  • EUR/USD

    1.1879
    -0.0045 (-0.38%)
     
  • 10-Yr Bond

    1.5780
    +0.0240 (+1.54%)
     
  • Vix

    26.01
    -2.56 (-8.96%)
     
  • GBP/USD

    1.3846
    +0.0018 (+0.13%)
     
  • USD/JPY

    108.7220
    +0.3400 (+0.31%)
     
  • BTC-USD

    50,854.29
    +311.07 (+0.62%)
     
  • CMC Crypto 200

    1,028.44
    +85.26 (+9.04%)
     
  • FTSE 100

    6,647.69
    +17.17 (+0.26%)
     
  • Nikkei 225

    28,743.25
    -121.07 (-0.42%)
     

Exclusive: Battery recycler Li-Cycle nears SPAC deal to go public - sources

Joshua Franklin
·1 min read

By Joshua Franklin

(Reuters) - Li-Cycle Corp, a recycler of lithium-ion batteries, is nearing a deal to go public through a merger with blank-check acquisition company Peridot Acquisition Corp at a valuation of about $1.7 billion, according to people familiar with the matter.

The deal could be announced as early as Tuesday, the sources said, requesting anonymity ahead of an official announcement. It represents a bet on the growing market for recycling used batteries, as well on the rising demand for lithium-ion power sources for new technologies such as electric vehicles.

Founded in Toronto in 2016, Li-Cycle recycles end-of-life lithium-ion batteries that power products such as electric cars, medical equipment and smartphones. Its investors include Moore Strategic Ventures and CC Industries.

The volume of end-of-life batteries is expected to reach 1.2 million tons in 2025 and 3.5 million tons in 2030, according to market research firm IHS Markit.

Peridot is a special purpose acquisition company (SPAC) led by investment firm Carnelian Energy Capital Management. It raised $300 million in an initial public offering (IPO) on the New York Stock Exchange in September.

A SPAC is a shell company that raises money in an IPO to merge with a privately held company that then becomes publicly traded as a result. SPACs have emerged as a popular IPO alternative for companies, providing a path to going public with less regulatory scrutiny and more certainty over the valuation that will be attained and funds that will be raised.

(Reporting by Joshua Franklin in Miami; Editing by Kirsten Donovan)