ECO MATERIAL TECHNOLOGIES, INC. ANNOUNCES NEW ASSET BASED LENDING FACILITY

SALT LAKE CITY, July 2, 2024 /PRNewswire/ -- Eco Material Technologies Inc. ("Eco" or the "Company"), the leading producer, marketer and distributor of supplementary cementitious materials ("SCMs") and producer of Green Cement products in the United States, is pleased to announce the successful closing of a new asset-based lending facility ("ABL") with Mizuho Bank, Ltd., as administrative agent, and sole lender. The facility includes $75 million of committed liquidity and features an accordion that allows for potential expansion up to $100 million to support future growth opportunities. Under the terms of the agreement, the ABL will have a tenor of five years, providing Eco with enhanced financial flexibility and support for its strategic initiatives.

This new facility will consolidate all existing current debt instruments into the new expanded facility, enabling Eco to simplify its debt structure, extend maturity, increase liquidity and reduce cost of capital. The asset-based facility incorporates a tiered pricing structure based on the Secured Overnight Financing Rate (SOFR), offering borrowing levels with better economic terms compared to the existing financings. The facility includes standard fixed charge coverage ratio covenant tests to be applied.

Grant Quasha, Eco's Chief Executive Officer, commented, "Eco is pleased to announce the successful refinancing of its debt and enhanced liquidity into a more streamlined and economical facility that provides flexibility to grow in the future. The agreed terms evidence the strides made by the business to strengthen the balance sheet while growing the size and profitability of the business over the past several years. Going forward, we will be able to access capital when needed to grow at attractive rates without significant administrative burden. This is an important step in Eco's journey, and we are excited to continue down our strategic path with the enhanced liquidity now available to us."

With the closing of the ABL, 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 Eco on the ABL facility.

About Eco Material Technologies, Inc.
Eco Material Technologies Inc. ("Eco Material" or "the Company") is the leading producer, marketer and distributor of ash based sustainable cementitious ("SCM") products in the United States. Eco Material is also an 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 higher performance Green Cement products by the Company. Eco Material also supplies services to electric utilities related to management of coal ash and other CCPs 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'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'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 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 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 Securities and Exchange Commission. The risk factors and other factors noted in Ranger'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]

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SOURCE Eco Material Technologies Inc