PureCycle Technologies, Roth CH finalize combination
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PureCycle Technologies, Roth CH finalize combination

PureCycle says the business combination will help it to expand its ability to recycle polypropylene beyond its facility in Ironton, Ohio.

PureCycle Technologies Inc., Orlando, Florida, has announced that it has completed its previously announced business combination with Roth CH Acquisition I Co., an acquisition company backed by Roth Capital Partners and Craig-Hallum Capital Group. The business combination was approved by Roth CH’s stockholders at a meeting March 16.

According to a news release from PureCycle Technologies, the company changed its name to PureCycle Technologies Inc. upon the completion of the transaction, and its common stock is expected to begin trading on the Nasdaq Stock Market under the ticker symbol “PCT” March 18. The company’s units and warrants will trade under the symbols “PCTTU” and “PCTTW,” respectively.

“The consummation of this transaction represents yet another major milestone for PureCycle, demonstrating broad market validation of our value proposition,” says PureCycle Chairman and CEO Mike Otworth. “Most importantly, we now have the increased capital market access to support the accelerated scaling required to revolutionize the transformation of waste polypropylene into sustainable products.”

PureCycle, an Innventure company, uses proprietary technology licensed from Procter & Gamble to recycle polypropylene (PP) into virgin-like recycled PP for a variety of applications.

“We are incredibly excited to complete our business combination with PureCycle,” says Byron Roth, chairman and CEO of Roth CH. “PureCycle’s revolutionary and proprietary technology to recycle waste polypropylene into virgin-like resin is not only transformative but also beneficial to our planet. We are confident that PureCycle has the resources to deliver substantial value for all stakeholders.”

Perella Weinberg Partners and Oppenheimer & Co. Inc. acted as financial advisors to PureCycle. Jones Day acted as legal advisor to PureCycle and Loeb & Loeb acted as legal advisor to Roth CH.

According to PureCycle, this business combination will enable it to build additional capacity beyond its Ironton, Ohio, facility.

“Over the last three months, PureCycle has further developed its financial and manufacturing capabilities,” Otworth says. “This is now an execution game for PureCycle. It’s incumbent on us to pull forward the best, most knowledgeable leaders to ensure that we realize the full potential of this technology. In addition to the rapid expansion of our world-class executive team, I am quite pleased with the addition of Fernando Musa, Tim Glockner and Jeffrey Fieler to our board to further enhance our growth, bringing additional finance and manufacturing expertise.”

Michael Dee, PureCycle chief financial officer, says over the last year PureCycle has raised more than $730 million in a variety of sources and from an “extraordinary group of highly sophisticated investors” who share PureCycle’s vision. This capital will be mostly dedicated to PureCycle’s expansion and corporate development in the coming year and provides what PureCycle calls a “solid financial footing” for the future in the ability to recycle PP.

The company says it will continue to be led by Otworth as CEO and chairman. The senior management team includes Dee; David Brenner, chief commercial officer; Dustin Olson, chief manufacturing officer; Brad Kalter, general counsel and corporate secretary; and Tamsin Ettefagh, chief sustainability officer. The company also hired Missy Westerman as corporate controller; Gene Guerra as vice president of financial planning and analysis; Brett Hafer as vice president of manufacturing operations; Jim Haw as vice president of automation and digital strategy; Dan Holloway as vice president of human resources; and Mike Weber as vice president of technology.

PureCycle says it also has brought in new people to its board, including Tanya Burnell and Jeffrey Fieler, who both have finance expertise, and Fernando Musa and Tim Glockner, who have operations expertise. The board consists of seven members, including Otworth, John Scott, Rick Brenner, Burnell, Glockner, Musa and Fieler.