Electra Battery appoints Stetson as director

Executive Summary

• Electra Battery Materials Corp. appointed industry veteran David Stetson to its board of directors, enhancing governance and strategic expertise.
• The company closed a $2 million bridge financing consisting of unsecured 90‑day promissory notes at 12% interest, providing immediate liquidity for its restructuring and recapitalization efforts.
• The appointment is linked to the recent recapitalization of senior secured convertible notes, signaling a strengthened balance sheet and continued focus on critical‑minerals projects.

Key Details

• Board Appointment: David Stetson, former CEO of Alpha Metallurgical Resources and board member of Mallinckrodt Pharmaceuticals, joins Electra’s board; he was nominated by the lenders under the bridge financing agreement.
• Bridge Financing Closure: Lenders purchased $2 million aggregate principal amount of unsecured 90‑day promissory notes bearing interest at 12.00% per annum.
• Purpose of Bridge Notes: Provide working capital to support operations during Electra’s restructuring, recapitalization, and strategic initiatives (e.g., cobalt sulfate refinery, nickel refining, battery recycling).
• Recapitalization Context: The bridge financing follows a previously announced recapitalization of senior secured convertible notes aimed at reducing debt and securing new financing for growth projects.
• Strategic Impact: Stetson’s expertise in large‑scale restructurings and value creation is expected to aid Electra’s balance‑sheet strengthening and execution of its North American critical‑minerals supply‑chain strategy.

Notable Quotes

• “On behalf of the board, I am delighted to welcome David to Electra,” said John Pollesel, Chair of Electra’s board.
• “David's appointment marks an important step forward for Electra as we strengthen our balance sheet and sharpen our focus on core operations,” said Trent Mell, CEO of Electra.
• “I am thrilled to join Trent and the team at Electra at such a pivotal time for the company,” said David Stetson.