Nano One Materials Corp (TSX:NANO, OTC:NNOMF) continues to strengthen its financial position and advance strategic initiatives, the company has emphasized while reporting its fourth quarter financial results on Wednesday.
The company said that it exited the fourth quarter, which ended on December 31, with $21.4 million in net assets and $5.5 million in working capital.
Subsequent to the quarter end, in Q1 it received $26.5 million through a sale and leaseback transaction and drawdowns on government programs.
The sale and leaseback deal generated $13.7 million in net proceeds, with an additional $2 million deferred payment.
The agreement enhances the company's cash position while ensuring long-term operational stability in Québec through a 15-year lease with renewal options for up to an additional 15 years, Nano One Materials highlighted.
Additionally, the Government of Québec provided $18 million in funding to support Nano One's Candiac Facility expansion and One-Pot process commercialization.
The company also made progress with its strategic alliance with Worely Chemetics, highlighting a joint cost comparison that demonstrated the economic benefits of Nano One's One-Pot process for lithium-iron-phosphate (LFP).
The preliminary design and full-scale layout of the modular "Design One, Build Many" plant have been completed and are now being presented to potential clients alongside the cost comparison study.
The update was welcomed by investors, with shares of Nano One rising 4.5% to C$0.68 on Wednesday afternoon.
- Updated with share price movement -