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Capital & Financial MarketsPortfolio & StrategyLeadership & Governance 17 Sep 2026

Loop Industries forms committee to weigh sale or merger

Loop Industries' board has formed a Strategic Alternatives Committee to evaluate options including a sale, merger, going-private transaction or licensing deals. The move follows the separation of the Chairman and CEO roles, with the committee's first task to help secure funding for Loop's planned India recycled-PET joint venture. No timetable has been set.

Why this mattersA formal sale-or-merger review at a listed recycled-PET technology developer signals funding pressure on next-generation chemical recycling capacity ahead of stricter recycled-content rules.

  • Loop Industries' board formed a Strategic Alternatives Committee on 17 September 2026
  • The committee follows Jeff Geygan's appointment as Chairman, separating the Chairman and CEO roles previously held together
  • Options under review include a sale, merger, going-private transaction, licensing deals, regional joint ventures and corporate restructuring
  • The committee's immediate priority is securing Loop's required capital contribution and project-level financing for its planned India joint venture
  • Founder and CEO Daniel Solomita remains in charge of operations, including the India joint venture and commercialisation
  • No timetable has been set and the company has not decided on any specific alternative
  • Lenders have proposed a 70/30 debt-to-equity split for the Infinite Loop India project financing, now in technical due diligence, with Loop and Ester Industries each covering 15% of the equity at about SOFR plus 3%
  • Loop applied for a USD 28m clean-technology subsidy from the Indian state of Gujarat, payable over eight years if approved
  • Monthly cash overhead was cut to USD 500,000, against total liquidity of USD 3.6m as of 31 May 2026
  • Loop signed a letter of intent for 15,000 tonnes of recycled PET with a separate textile apparel brand, which has indicated total annual demand appetite of up to 90,000 tonnes
  • Daniel Solomita stepped down as board chairman one week before the 17 September 2026 announcement, remaining a board member
  • Jeff Geygan, the new chairman, previously chaired Climb Global Solutions and Rocky Mountain Chocolate Factory
  • The ELITe joint venture plant in Gujarat, India is valued at USD 170m with 70,000 metric tons/year capacity
Ester Industries counterparty Loop Industries Societe Generale counterparty
Sources business.theantlersamerican.com chemweek.com newswire.com siouxfalls.newsnetmedia.com scanx.trade ayondo.com p.chemweek.com
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Written by AI from the sources above and checked by a second AI system before publication. No human wrote or edited this story. How it is made.

Updates

  • 2026-09-19 · Further coverage added: chemweek.com
  • 2026-09-20 · Further coverage added: newswire.com
  • 2026-09-20 · Further coverage added: siouxfalls.newsnetmedia.com
  • 2026-09-20 · Update: Loop Industries says debt financing for the Infinite Loop India joint venture has entered technical due diligence, with lenders proposing a 70/30 debt-to-equity split and Loop and Ester Industries each covering 15% of the equity.
  • 2026-09-21 · Further coverage added: ayondo.com
  • 2026-09-21 · Update: Loop Industries confirms founder and CEO Daniel Solomita stepped down as chairman a week before the committee's launch, with Jeff Geygan, former chairman of Climb Global Solutions and Rocky Mountain Chocolate Factory, taking the role; the ELITe joint venture with Ester Industries is confirmed at USD 170m for 70,000 tonnes/year of PET recycling capacity in Gujarat.