NR: Pyr Receives Approval for Block Sale of HPQ Shares The two companies continue to advance major projects together toward commercialization
MONTREAL, April 17, 2024 (GLOBE NEWSWIRE) -- PyroGenesis Canada Inc. (https://pyrogenesis.com) (TSX: PYR) (OTCQX: PYRGF) (FRA: 8PY), a high-tech company (the “Company” or “PyroGenesis”) that designs, develops, manufactures and commercializes advanced plasma processes and sustainable solutions which are geared to reduce greenhouse gases (GHG) and address environmental pollutants, is pleased to announce that, further to its news release of April 10, 2024 announcing a block sale of 3,779,700 shares in HPQ Silicon Inc. (“HPQ”) to P. Peter Pascali, President and CEO of PyroGenesis, the transaction has been approved by the Toronto Stock Exchange (“TSX”). The sale was conducted as of April 10, 2024, for an aggregate purchase price of $661,447.50, representing a per share price of $0.175.
The transaction was previously approved unanimously by the board of directors of PyroGenesis, with Mr. Pascali abstaining.
As said at the time by Andre Mainella, Chief Financial Officer of PyroGenesis, “This sale will bring PyroGenesis an influx of cash on favourable terms” and “underscores the continued support of Mr. Pascali of PyroGenesis and HPQ.”
“Strategic investments can be a valuable and non-dilutive tool for companies to raise capital,” continues Mr. Mainella. “Accepting shares as remuneration for some projects has proven to be beneficial to the Company, as shown by fact that since inception in 2019, the gain from sale of HPQ shares has totaled more than $11 million to the Company.”
The Company and HPQ continue to be engaged in several long-term projects together, notably the Fumed Silica Reactor (FSR) and the PUREVAPTM Quartz Reduction Reactor (QRR) projects.
The FSR project, being conducted in conjunction with HPQ Silica Polvere Inc. (“HPQ Polvere”), a wholly owned subsidiary of HPQ, is an initiative to create fumed silica from quartz in a single step. The QRR project is an initiative to create high purity silicon from quartz in a single step using a plasma reactor. PyroGenesis is the exclusive supplier of both technologies.
For the FSR project, the Company benefits from a royalty payment representing 10% of HPQ Polvere’s eventual sales, with set minimums. This royalty stream can, at any time, be converted by PyroGenesis into a 50% ownership in HPQ’s remaining equity stake in HPQ Polvere.