Biden-Backed Battery Firm Plunges After Pausing Construction
- Li-Cycle to review scope and budget as project costs soar
- Toronto company received $375 million US loan commitment
A worker sorts batteries at the Li-Cycle lithium-ion battery recycling facility in Kingston, Ontario.
Photographer: Christinne Muschi/BloombergThis article is for subscribers only.
Li-Cycle Holdings Corp., which is set to receive significant backing from the Biden administration, saw its share price slashed nearly in half after announcing it would pause construction on a first-of-its-kind lithium-ion-battery recycling plant.
The Toronto company said it would halt work on its Rochester Hub pending completion of a strategic review, including scope and budget. Li-Cycle said it is facing escalating construction costs that exceed prior guidance and is working closely with the US Energy Department concerning its offer of a $375 million loan commitment.