Aspen Aerogels, Inc. (NYSE: ASPN), a technology leader in sustainability and electrification solutions, today announced that its wholly-owned subsidiary, Aspen Aerogels Georgia LLC, together with the Company and Aspen Aerogels Rhode Island, LLC have entered into a definitive loan agreement with General Motors Holdings LLC, an affiliate of General Motors (NYSE: GM), for a secured lending commitment of $100 million in connection with Aspen’s construction and equipping of its second aerogel manufacturing facility in Statesboro, Georgia. The $100 million of loan proceeds (the “Loan”) will be available to Aspen to draw on a periodic basis from January 2023 through September 2023, subject to certain conditions precedent to funding and other financing requirements. The Loan has a maturity date of March 31, 2025 and carries no prepayment penalty.
“Aspen is pleased to add this additional financial dimension to our strong technical and commercial relationship with GM, a relationship we deeply value,” noted Donald R. Young, Aspen’s President and CEO. “GM’s investment will be dedicated to support the construction of our new, state-of-the-art aerogel manufacturing facility in Georgia, which is designed to triple Aspen’s nameplate aerogel capacity in support of our significant growth plans. For over two decades, we have leveraged our Aerogel Technology Platform™ to bring sustainability solutions into large, important markets and, we believe that Aspen’s focus on enhancing electric vehicle battery performance and safety is well aligned with that strategy.”
Mr. Young continued, “We are proud to be a key supplier to GM. Earlier this year, GM named Aspen an Overdrive Award winner as part of GM’s 30th Annual Supplier of the Year awards. In addition, Aspen has signed GM’s ESG Supplier Pledge, with a shared vision for a collaborative supply chain that endeavors to minimize environmental impact and enhance long-term sustainable electrification.” Since signing GM’s ESG Supplier Pledge, Aspen’s sustainability performance was assessed by GM’s independent third-party supplier verification platform, EcoVadis, and in November 2022, Aspen was awarded a Silver EcoVadis Medal for its overall sustainability scorecard, placing Aspen in the 87th percentile of companies assessed by EcoVadis.
Aspen is a technology leader in sustainability and electrification solutions. The Company’s aerogel technology enables its customers and partners to achieve their own objectives around the global megatrends of resource efficiency, e-mobility and clean energy. Aspen’s PyroThin® products enable solutions to thermal runaway challenges within the electric vehicle (“EV”) market. Aspen Battery Materials, the Company’s carbon aerogel initiative, seeks to increase the performance of lithium-ion battery cells to enable EV manufacturers to extend the driving range and reduce the cost of EVs. Aspen’s Spaceloft® products provide building owners with industry-leading energy efficiency and fire safety. The Company’s Cryogel® and Pyrogel® products are valued by the world’s largest energy infrastructure companies. Aspen’s strategy is to partner with world-class industry leaders to leverage its Aerogel Technology Platform™ into additional high-value markets. Headquartered in Northborough, Mass., Aspen manufactures its products at its East Providence, R.I. facilities. For more information, please visit www.aerogel.com.
