19. Subsequent Event

On January 16^th, Loop announced that the Company signed a non-binding memorandum of understanding with Reed Management, a European investment firm, for $66 million in non-dilutive financing as part of a joint venture to roll-out Loop’s technology in the European market. Of this amount, $33 million is to be provided to Loop as non-dilutive capital to fund Loop’s technology commercialization globally. The remaining $33 million is to be invested in the European joint venture.

The non-binding memorandum of understanding is subject to customary due diligence and the fulfillment of certain pre-closing conditions.