ShiftCarbon (CSE:SHFT) has announced what it called a “transformative strategic direction”, beginning with its Letter of Intent (LOI) to acquire Zero Carbon Technologies Limited in an all-stock transaction.
The Internet of Things (IoT) platforms and end-to-end decarbonization solutions provider said before the transaction ShiftCarbon (CSE:SHFT) will spin off its IoT technology as well as its carbon-trading business assets into separate entities.
"In the midst of our business evolution, we've identified several opportunities that promise not only to enhance our current offerings but also to chart a clear trajectory for our future growth," ShiftCarbon CEO Wayne Lloyd said in a statement.
"The decision to split the existing publicly listed entity into three independent units will result in every shareholder of ShiftCarbon receiving shares in each of these new entities, effectively amplifying the investor value proposition," he added.
Privately-held Zero Carbon Technologies is focused on the growing electric vehicle (EV) battery reuse and recycling sector, including refining battery substrate from all lithium-ion batteries, and lead acid battery recycling, according to the company.
It added that Zero Carbon’s technology reduces the carbon footprint of incumbent lead-acid recycling by 85%, cuts waste outputs by more than 90%, and improves battery energy and power densities by up to 40%.
As well, ShiftCarbon stated that the IoT SpinCo is set to secure minimum financing of at least C$2 million or another amount deemed acceptable by the Arena Partners LP and associated funds.
ShiftCarbon, formerly TraceSafe, provides an innovative platform for carbon accounting, offsets, and MRV (Measurement, Reporting and Verification) automation. The company also operates TraceSafe, a leading IoT cloud platform.
Contact Sean at sean@proactiveinvestors.com