Cover
Cover | 12 Months Ended |
Oct. 31, 2021shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Document Registration Statement | false |
Document Annual Report | true |
Document period end date | Oct. 31, 2021 |
Current fiscal year end date | --10-31 |
Document Transition Report | false |
Document Shell Company Report | false |
Entity File Number | 001-40733 |
Registrant name | Li-Cycle Holdings Corp. |
Entity Incorporation, State or Country Code | A6 |
Entity Address, Address Line One | 207 Queen’s Quay West |
Entity Address, Address Line Two | Suite 590 |
Entity Address, City or Town | Toronto |
Entity Address, State or Province | ON |
Entity Address, Postal Zip Code | M5J 1A7 |
Entity Address, Country | CA |
Entity emerging growth company | true |
Entity common stock shares outstanding | 163,179,655 |
Entity Well-known Seasoned Issuer | No |
Current reporting status | Yes |
Entity interactive data current | Yes |
Entity Voluntary Filers | No |
Entity Filer Category | Non-accelerated Filer |
Document Accounting Standard | International Financial Reporting Standards |
Entity Shell Company | false |
Amendment flag | false |
Central index key | 0001828811 |
Document fiscal year focus | 2021 |
Document fiscal period focus | FY |
Entity Ex Transition Period | false |
Common shares, without par value | |
Document Information [Line Items] | |
Title of 12(b) Security | Common shares, without par value |
Trading Symbol | LICY |
Security Exchange Name | NYSE |
Warrants to purchase common shares | |
Document Information [Line Items] | |
Title of 12(b) Security | Warrants to purchase common shares |
Trading Symbol | LICY.WS |
Security Exchange Name | NYSE |
Business Contact | |
Document Information [Line Items] | |
Entity Address, Address Line One | 207 Queen’s Quay West |
Entity Address, Address Line Two | Suite 590 |
Entity Address, City or Town | Toronto |
Entity Address, State or Province | ON |
Entity Address, Postal Zip Code | M5J 1A7 |
Entity Address, Country | CA |
Contact Personnel Name | Carl DeLuca |
City Area Code | 877 |
Local Phone Number | 542-9253 |
Contact Personnel Email Address | carl.deluca@li-cycle.com |
Consolidated statements of fina
Consolidated statements of financial position - USD ($) | Oct. 31, 2021 | Oct. 31, 2020 |
Current assets | ||
Cash and cash equivalents | $ 596,858,298 | $ 663,557 |
Accounts receivable | 4,072,701 | 571,300 |
Other receivables | 973,145 | 318,929 |
Prepayments and deposits | 8,646,998 | 963,951 |
Inventory | 1,197,807 | 179,994 |
Current assets | 611,748,949 | 2,697,731 |
Non-current assets | ||
Plant and equipment | 26,389,463 | 5,602,580 |
Right-of-use assets | 27,009,760 | 3,859,088 |
Non-current assets | 53,399,223 | 9,461,668 |
Total assets | 665,148,172 | 12,159,399 |
Current liabilities | ||
Accounts payable and accrued liabilities | 18,701,116 | 4,364,372 |
Restricted share units | 0 | 171,849 |
Lease liabilities | 2,868,795 | 591,355 |
Loans payable | 7,752 | 1,468,668 |
Current liabilities | 21,577,663 | 6,596,244 |
Non-current liabilities | ||
Lease liabilities | 26,496,074 | 3,021,815 |
Loans payable | 31,996 | 779,210 |
Convertible debt | 100,877,838 | 0 |
Warrants | 82,109,334 | 0 |
Restoration provisions | 334,233 | 321,400 |
Non-current liabilities | 209,849,475 | 4,122,425 |
Total liabilities | 231,427,138 | 10,718,669 |
Shareholders' equity | ||
Share capital | 672,079,154 | 15,441,600 |
Contributed surplus | 3,026,721 | 824,683 |
Accumulated deficit | (241,088,229) | (14,528,941) |
Accumulated other comprehensive loss | (296,612) | (296,612) |
Shareholders' equity | 433,721,034 | 1,440,730 |
Liabilities and shareholders' equity | $ 665,148,172 | $ 12,159,399 |
Consolidated statements of loss
Consolidated statements of loss and comprehensive loss - USD ($) | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Revenue | |||
Product sales | $ 6,930,475 | $ 554,914 | $ 0 |
Recycling services | 444,401 | 237,340 | 48,160 |
Revenue | 7,374,876 | 792,254 | 48,160 |
Expenses | |||
Employee salaries and benefits, net | 12,709,823 | 2,819,195 | 607,820 |
Professional fees | 7,688,520 | 2,962,261 | 546,647 |
Share-based compensation | 3,982,943 | 332,634 | 97,258 |
Raw materials and supplies | 3,410,014 | 591,881 | 0 |
Office, administrative and travel | 3,148,871 | 476,733 | 493,304 |
Depreciation | 2,899,345 | 1,095,250 | 183,862 |
Research and development, net | 2,662,572 | 776,668 | 2,111,658 |
Freight and shipping | 1,033,149 | 137,010 | 5,785 |
Plant facilities | 1,030,947 | 390,687 | 0 |
Marketing | 973,695 | 365,820 | 65,840 |
Change in Finished Goods Inventory | (307,817) | (14,022) | 0 |
Expenses by nature | 39,232,062 | 9,934,117 | 4,112,174 |
Loss from operations | (31,857,186) | (9,141,863) | (4,064,014) |
Other (income) expense | |||
Listing fee | 152,719,009 | 0 | 0 |
Fair value loss on financial instruments | 38,254,469 | 84,454 | 0 |
Interest expense | 3,052,882 | 529,700 | 60,329 |
Foreign exchange (gain) loss | 758,223 | (445,652) | 0 |
Interest income | (82,481) | (34,403) | (23,561) |
Other (income) expense | 194,702,102 | 134,099 | 36,768 |
Net loss | (226,559,288) | (9,275,962) | (4,100,782) |
Other comprehensive income (loss) | |||
Foreign currency translation | 0 | (218,726) | (37,182) |
Comprehensive loss | $ (226,559,288) | $ (9,494,688) | $ (4,137,964) |
Loss per common share - basic (in dollars per share) | $ (2.06) | $ (0.11) | $ (0.06) |
Loss per common share - diluted (in dollars per share) | $ (2.06) | $ (0.11) | $ (0.06) |
Consolidated statements of chan
Consolidated statements of changes in equity | USD ($)shares | Stock optionsUSD ($) | Restricted share unitsUSD ($) | Series C SharesUSD ($) | Public SharesUSD ($) | Share capitalUSD ($)shares | Share capitalRestricted share unitsUSD ($)shares | Share capitalSeries C SharesUSD ($)shares | Share capitalPublic SharesUSD ($)shares | Contributed surplusUSD ($) | Contributed surplusStock optionsUSD ($) | Contributed surplusRestricted share unitsUSD ($) | Accumulated deficitUSD ($) | Accumulated other comprehensive income (loss)USD ($) |
Shareholders' equity, beginning balance (in shares) at Oct. 31, 2018 | shares | 70,825,919 | |||||||||||||
Shareholders' equity, beginning balance at Oct. 31, 2018 | $ 1,802,813 | $ 2,969,191 | $ 26,523 | $ (1,152,197) | $ (40,704) | |||||||||
Changes in equity [abstract] | ||||||||||||||
Stock option expense | 97,258 | 97,258 | ||||||||||||
Share issuance (in shares) | shares | 5,303,760 | |||||||||||||
Share issuance | 5,379,860 | $ 5,379,860 | ||||||||||||
Shares issued for non-cash costs (in shares) | shares | 337,958 | |||||||||||||
Equity issued for non-cash costs | 118,759 | $ 118,759 | ||||||||||||
Comprehensive loss | (4,137,964) | (4,100,782) | (37,182) | |||||||||||
Shareholders' equity, ending balance (in shares) at Oct. 31, 2019 | shares | 76,467,637 | |||||||||||||
Shareholders' equity, ending balance at Oct. 31, 2019 | $ 3,260,726 | $ 8,467,810 | 123,781 | (5,252,979) | (77,886) | |||||||||
Changes in equity [abstract] | ||||||||||||||
Exercise of stock options (in shares) | shares | 0 | |||||||||||||
Stock option expense | $ 245,847 | 245,847 | ||||||||||||
Share issuance (in shares) | shares | 6,357,423 | |||||||||||||
Share issuance | 6,481,381 | $ 6,481,381 | ||||||||||||
Equity issued for non-cash costs | 455,055 | 455,055 | ||||||||||||
Conversion of convertible debt (in shares) | shares | 536,231 | |||||||||||||
Conversion of convertible debt | 492,409 | $ 492,409 | ||||||||||||
Comprehensive loss | (9,494,688) | (9,275,962) | (218,726) | |||||||||||
Shareholders' equity, ending balance (in shares) at Oct. 31, 2020 | shares | 83,361,291 | |||||||||||||
Shareholders' equity, ending balance at Oct. 31, 2020 | $ 1,440,730 | $ 15,441,600 | 824,683 | (14,528,941) | (296,612) | |||||||||
Shareholders' equity, ending balance (in shares) at Aug. 10, 2021 | shares | 163,179,555 | |||||||||||||
Shareholders' equity, beginning balance (in shares) at Oct. 31, 2020 | shares | 83,361,291 | |||||||||||||
Shareholders' equity, beginning balance at Oct. 31, 2020 | $ 1,440,730 | $ 15,441,600 | 824,683 | (14,528,941) | (296,612) | |||||||||
Changes in equity [abstract] | ||||||||||||||
Exercise of stock options (in shares) | shares | 2,172,820 | 2,055,476 | ||||||||||||
Exercise of stock options | $ 169,105 | $ 891,162 | (722,057) | |||||||||||
Exercise of warrants (in shares) | shares | 100 | |||||||||||||
Exercise of warrants | 1,438 | $ 288 | 1,150 | |||||||||||
Stock option expense | $ 2,689,913 | $ 688,087 | $ 2,689,913 | $ 688,087 | ||||||||||
Share issuance (in shares) | shares | 11,220,218 | 65,671,374 | ||||||||||||
Share issuance | $ 21,620,000 | $ 629,748,295 | $ 21,620,000 | $ 629,748,295 | ||||||||||
Restricted Share Units settled in shares (in shares) | shares | 392,276 | |||||||||||||
Restricted Share Units settled in shares | $ 3,922,754 | $ 3,922,754 | ||||||||||||
Shares issued for non-cash costs (in shares) | shares | 478,920 | |||||||||||||
Equity issued for non-cash costs | 0 | $ 455,055 | (455,055) | |||||||||||
Comprehensive loss | $ (226,559,288) | (226,559,288) | ||||||||||||
Shareholders' equity, ending balance (in shares) at Oct. 31, 2021 | shares | 163,179,655 | 163,179,655 | ||||||||||||
Shareholders' equity, ending balance at Oct. 31, 2021 | $ 433,721,034 | $ 672,079,154 | $ 3,026,721 | $ (241,088,229) | $ (296,612) |
Consolidated statements of cash
Consolidated statements of cash flows - USD ($) | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Operating activities | |||
Net loss for the year | $ (226,559,288) | $ (9,275,962) | $ (4,100,782) |
Items not affecting cash | |||
Share-based compensation | 3,982,943 | 332,634 | 97,258 |
Listing fee | 152,719,009 | 0 | 0 |
Depreciation | 2,899,350 | 1,095,250 | 183,862 |
Amortization of government grants | (92,926) | (2,226,910) | (640,350) |
Loss on disposal of assets | 13,399 | 106,946 | 0 |
Foreign exchange (gain) loss on translation | 677,479 | (390,901) | (33,845) |
Fair value loss on financial instruments | 38,254,469 | 84,454 | 0 |
Share-based professional fees | 0 | 455,055 | 0 |
Interest and accretion on convertible debt | 1,129,680 | 9,931 | 60,337 |
Cash flows from (used in) operations before changes in working capital | (26,975,885) | (9,809,503) | (4,433,520) |
Changes in non-cash working capital items | |||
Accounts receivable | (3,501,401) | (538,854) | (29,630) |
Other receivables | (654,216) | 471,304 | (466,915) |
Prepayments and deposits | (7,990,108) | (633,824) | (215,537) |
Inventory | (1,017,813) | (133,438) | (46,556) |
Accounts payable and accrued liabilities | 12,262,063 | 3,215,386 | 624,090 |
Net cash provided by operating activities | (27,877,360) | (7,428,929) | (4,568,068) |
Investing activity | |||
Purchases of plant and equipment | (18,220,339) | (5,107,663) | (998,069) |
Proceeds from disposal of plant and equipment | 16,866 | 0 | 0 |
Net cash used in investing activities | (18,203,473) | (5,107,663) | (998,069) |
Financing activities | |||
Proceeds from exercise of stock options | 169,105 | 0 | 0 |
Proceeds from exercise of warrants | 1,150 | ||
Proceeds from convertible debt | 98,400,263 | 0 | 0 |
Proceeds from loans payable | 10,091,220 | 2,153,110 | 86,572 |
Proceeds from government grants | 92,926 | 1,182,599 | 1,697,794 |
Repayment of lease liabilities | (884,024) | (387,508) | 0 |
Repayment of loans payable | (12,544,339) | (12,881) | 0 |
Net cash used in financing activities | 642,275,574 | 9,416,701 | 7,164,226 |
Net change in cash and cash equivalents | 596,194,741 | (3,119,891) | 1,598,089 |
Cash and cash equivalents, beginning of period | 663,557 | 3,783,449 | 2,185,360 |
Cash and cash equivalents, end of period | 596,858,298 | 663,557 | 3,783,449 |
Non-cash investing activities | |||
Accrual for purchase of plant and equipment | 2,074,681 | 0 | 0 |
Non cash purchase of plant and equipment | 2,084,235 | 0 | 0 |
Non-cash financing activities | |||
Equity issued for non-cash costs | 0 | 947,464 | 118,759 |
Private Shares | |||
Financing activities | |||
Proceeds from share issuance, net of share issuance costs | 21,620,000 | 6,481,381 | 5,379,860 |
Public Shares | |||
Financing activities | |||
Proceeds from share issuance, net of share issuance costs | $ 525,329,273 | $ 0 | $ 0 |
Nature of operations and busine
Nature of operations and business combination | 12 Months Ended |
Oct. 31, 2021 | |
Nature Of Operations [Abstract] | |
Nature of operations and business combination | Nature of operations and business combination (i) Nature of Operations Li-Cycle Holdings Corp. and its subsidiaries, collectively ("Li-Cycle" or the "Company") started their business as Li-Cycle Corp. Li-Cycle Corp was incorporated in Ontario, Canada under the Business Corporations Act (Ontario) on November 18, 2016. Li-Cycle’s core business model is to build, own and operate recycling plants tailored to regional needs. Li-Cycle’s Spoke & Hub Technologies™ provide an environmentally friendly resource recovery solution that addresses the growing global lithium-ion battery recycling challenges, supporting the global transition toward electrification. On March 28, 2019, Li-Cycle Corp. incorporated a owned subsidiary in Delaware, U.S., Li-Cycle Inc., under the General Corporation Law of the State of Delaware. On September 2, 2020, Li-Cycle Corp. incorporated a owned subsidiary in Delaware, U.S., Li-Cycle North America Hub, Inc., under the General Corporation Law of the State of Delaware. (ii) Business Combination On February 12, 2021, Li-Cycle Corp. incorporated a 100% owned subsidiary in Ontario, Canada, Li-Cycle Holdings Corp., under the Business Corporations Act (Ontario). On February 16, 2021, Li-Cycle Corp. entered into a definitive business combination agreement with Peridot Acquisition Corp. (NYSE: PDAC) and Li-Cycle Holdings Corp. On August 10, 2021, in accordance with the plan of arrangement to reorganize Li-Cycle Corp., the Company finalized the business combination with Peridot Acquisition Corp. (NYSE: PDAC), and the combined company was renamed Li-Cycle Holdings Corp. As part of this transaction, a total of 3,377,626 Class A shares of Peridot Acquisition Corp. were redeemed by Peridot shareholders, resulting in a total redemption payment of approximately $33.8 million, while the remaining 26,622,374 of Class A shares were converted into common shares of the combined entity, Li-Cycle Holdings Corp. In addition, 7,500,000 Class B shares of Peridot Acquisition Corp were converted into 7,500,000 common shares of the combined entity, Li-Cycle Holdings Corp. upon closing. Li-Cycle Corp.'s existing shareholders exchanged 2,552,450 fully diluted shares of Li-Cycle Corp. for the shares of the combined entity, Li-Cycle Holdings Corp., at an Exchange Ratio of approximately 1:39.91, as determined per the Plan of Arrangement, resulting in 97,508,181 shares of Li-Cycle Holdings Corp. and 4,242,707 stock options of Li-Cycle Holdings Corp. for the existing shareholders of Li-Cycle Corp. 31,549,000 shares of the combined entity, Li-Cycle Holdings Corp., were issued to the new investors at US$10 per share for a total of US$315.5 million of Private Investment in Public Equity. On closing, the common shares and warrants of Li-Cycle Holdings Corp. were listed on the New York Stock Exchange and are traded under the symbols “LICY” and “LICY.WS”, respectively. Li-Cycle Corp. has been identified as the acquirer for accounting purposes. As Peridot Acquisition Corp. does not meet the definition of a business as defined in IFRS 3 - Business Combinations (“IFRS 3”), the acquisition is not within the scope of IFRS 3 and is accounted for as a share-based payment transaction in accordance with IFRS 2 – Share-based Payment (“IFRS 2”). These consolidated financial statements represent the continuance of Li-Cycle Corp. and reflect the identifiable assets acquired and the liabilities assumed of Peridot Acquisition Corp. at fair value. Under IFRS 2, the transaction was measured at the fair value of the common shares, escrowed shares and warrants deemed to have been issued by Li-Cycle Corp., in order for the ownership interest in the combined entity to be the same as if the transaction had taken the legal form of Li-Cycle Corp. acquiring 100% of Peridot Acquisition Corp. Any difference between the fair value of the common shares, escrowed shares and warrants deemed to have been issued by Li-Cycle Corp. and the fair value of Peridot Acquisition Corp.’s identifiable net assets acquired and liabilities assumed represents a Listing Fee. The fair value of the warrants assumed in the transaction was determined based on the market closing price of $2.10 per warrant resulting in total fair value of $48.3 million. As a result of this reverse asset acquisition, a Listing Fee of $152.7 million has been recorded to reflect the difference between the estimated fair value of the common shares, escrowed shares and warrants deemed issued to the shareholders of Peridot Acquisition Corp. and the net fair value of the assets of Peridot Acquisition Corp. acquired. Li-Cycle and Peridot incurred transaction-related costs of $27.0 million and $29.6 million, respectively. Li-Cycle's transaction-related costs, such as commissions, professional fees and regulatory fees are directly attributable to common shares issuances and were deducted from the proceeds of the offering. The details of the purchase price allocation of the identifiable assets acquired and liabilities assumed are as follows: 2021 $ Fair value of consideration transferred: Common shares 656,713,740 Total fair value of consideration transferred 656,713,740 Fair value of assets acquired and liabilities assumed: Cash and cash equivalents 581,862,621 Warrants (48,299,987) Other payables (29,567,903) Total fair value of assets acquired and liabilities assumed 503,994,731 Excess of fair value of consideration transferred over fair value of assets acquired and liabilities assumed, recognized as Listing Fee 152,719,009 Gross proceeds 581,862,621 Transaction-related costs (26,965,445) Other payables acquired (29,567,903) Net proceeds 525,329,273 The fair value of the consideration transferred to acquire Peridot Acquisition Corp. and to issue shares to the PIPE investors was $656,713,740 calculated as 65,671,374 common shares at $10.00 per common share. The fair value per common share was based on the fair value of Li-Cycle Corp. common shares. As a result of the closing of this transaction, 163,179,555 common shares of the Company were issued and outstanding immediately after the closing. At October 31, 2021, 163,179,655 common shares were outstanding. |
Significant accounting policies
Significant accounting policies | 12 Months Ended |
Oct. 31, 2021 | |
List Of Accounting Policies [Abstract] | |
Significant accounting policies | Significant accounting policies (a) Statement of compliance These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”) incorporating interpretations issued by the IFRS Interpretations Committee (“IFRICs”). These consolidated financial statements were approved and authorized for issue by the Board of Directors on January 31, 2022. (b) Basis of consolidation These consolidated financial statements include the accounts of the Company and its subsidiaries. The Company’s seven subsidiaries are entities controlled by the Company. Control exists when the Company has power over an investee, when the Company is exposed, or has rights, to variable returns from the investee and when the Company has the ability to affect those returns through its power over the investee. The subsidiaries are included in the consolidated financial results of the Company from the effective date of incorporation up to the effective date of disposition or loss of control. The Company’s principal subsidiaries and their geographic location as at October 31, 2021 was as follows: Company Location Ownership interest Li-Cycle U.S. Holdings Inc. Delaware, U.S. 100% Li-Cycle Inc. Delaware, U.S. 100% Li-Cycle North America Hub, Inc. Delaware, U.S. 100% Li-Cycle Americas Corp. Ontario, Canada 100% Li-Cycle Corp. Ontario, Canada 100% Li-Cycle Europe AG Switzerland 100% Li-Cycle APAC PTE LTD. Singapore 100% Intercompany transactions, balances and unrealized gains/losses on transactions between the Company and its subsidiary are eliminated. (c) Basis of preparation Change in Functional Currency: Prior to November 1, 2020, the Company had determined its functional currency was the Canadian dollar on the basis that its operating expenditures, capital expenditures and financing were primarily denominated in Canadian dollars. With increasing volume of operations, new contracts with US based suppliers, commencement of operations at its US Spoke and increasing capital expenditures in its US facilities, the Company’s operating expenditures are becoming predominantly denominated in US dollars. Additionally, due to the increase in US dollar expenses and its expansion plans in the US, the Company has obtained, and plans to continue to seek, financing in US dollars. As a result of the increasing activities in US dollars, the Company changed its functional currency to the U.S. dollar, effective November 1, 2020. Accordingly, the Company transitioned its functional and presentation currency to U.S. dollars. Transactions in currencies other than the U.S. dollar are recorded at the exchange rates on the dates of transactions. At the end of each reporting period, monetary assets and liabilities that are denominated in foreign currencies are translated at the closing rate on that date. Comparative financial information was translated from Canadian dollars into U.S. dollars in accordance with IAS 21 The Effects of Changes in Foreign Exchange Rates: (i) Assets and liabilities were translated at the closing rate at end of each reporting period; (ii) Items recognized in the statement of loss and comprehensive loss were translated at the exchange rate at the time of transaction; (iii) Equity items have been translated using the historical rate at the time of transaction; (iv) All resulting exchange differences were recognized in other comprehensive loss. (d) Cash and cash equivalents Cash consists of cash deposits with financial institutions. Cash equivalents consists of overnight guaranteed investment certificates with financial institutions. (e) Inventories Raw materials and finished goods are valued at the lower of cost and net realizable value. Cost is determined on a weighted average basis. The cost of finished goods includes the cost of raw materials and the applicable share of the cost of labour and fixed and variable production overheads. Net realizable value is the estimated selling price less the estimated cost of completion and the estimated costs necessary to make the sale. Costs of idle plant operations are expensed. At each reporting period, the Company assesses the net realizable value of inventory taking into account current market prices, current economic trends, sales trends and past experiences. (f) Convertible debt instruments The components of convertible debt instruments issued by the Company are classified separately as financial liabilities and equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument. The debt element of the instruments is classified as a liability and recorded as the present value of the Company’s obligation to make future interest payments in cash and settle the redemption value of the instrument in cash. The carrying value of the debt element is accreted to the original face value of the instruments, over their life, using the effective interest method. If the conversion option is classified as equity, its value is determined by deducting the amount of the liability component from the fair value of the compound instrument as a whole. If the conversion option is classified as a liability and requires bifurcation, it is bifurcated as an embedded derivative unless the issuer elects to apply the fair value option to the convertible debt. The embedded derivative liability is initially recognized at fair value and classified as derivatives in the statement of financial position. Changes in the fair value of the embedded derivative liability are subsequently accounted for directly through the income statement. (g) Loss per share The Company calculated basic and diluted loss per share data for its common shares, calculated by dividing the loss attributable to common shareholders of the Company by the weighted average number of common shares outstanding during the period. Diluted loss per share is based on the weighted average number of common shares, stock options and restricted share units (“RSUs”) outstanding at the beginning of or granted during the period, and shares to be issued upon conversion of a convertible instrument, calculated using the treasury stock method. Under this method, the proceeds from the exercise of the options are assumed to be used to repurchase the Company’s shares. The difference between the number of shares assumed purchased and the number of options assumed exercised is added to the actual number of shares outstanding to determine diluted shares outstanding for purposes of calculating diluted earnings per share. Diluted loss per share does not adjust the loss attributable to common shareholders or the weighted average number of common shares outstanding when the effect is anti-dilutive. (h) Plant and equipment Plant and equipment are stated at cost less accumulated depreciation and accumulated impairment losses net of any reversals of impairment. Where parts of an item of plant and equipment have different useful lives, they are accounted for as separate items of plant and equipment. Depreciation is charged to the consolidated statement of loss and comprehensive loss on a straight-line basis over the estimated useful lives of each part of an item of plant and equipment. The estimated useful lives are reviewed each reporting period and any changes are accounted for on a prospective basis. The estimated useful lives are as follows: Computers 3 years Vehicles 5 years Plant equipment 5 years Storage containers 10 years Leasehold improvements Shorter of term of lease or estimated useful life Repairs and maintenance costs are expensed as incurred. (i) Financial instruments Recognition The Company recognizes financial assets or financial liabilities on the consolidated statement of financial position when it becomes party to the contractual provisions of the financial instrument. Financial assets are initially measured at fair value and derecognized either when the Company has transferred substantially all the risks and rewards of ownership of the financial asset, or when cash flows expire. Financial liabilities are initially measured at fair value and are derecognized when the obligations specified in the contract is discharged, cancelled or expired. A write-off of a financial asset (or a portion thereof) constitutes a derecognition event. Write-off occurs when the Company has no reasonable expectations of recovering the contractual cash flows on a financial asset. Classification and measurement The Company determines the classification of its financial instruments at initial recognition. Financial assets and financial liabilities are classified according to the following measurement categories: (i) those to be measured subsequently at fair value, either through profit or loss (“FVTPL”) or through other comprehensive income (“FVTOCI”); and (ii) those to be measured subsequently at amortized cost. The classification and measurement of financial assets after initial recognition at fair value depends on the business model for managing the financial asset and the contractual terms of the cash flows. Financial assets that are held within a business model whose objective is to collect the contractual cash flows, and that have contractual cash flows that are solely payments of principal and interest on the principal outstanding, are generally measured at amortized cost at each subsequent reporting period. Derivative financial instruments are comprised of the embedded derivative liability representing the conversion option of the convertible debt. The embedded derivative liability is measured at fair value at each reporting date. The embedded derivative liability has been classified as held-for-trading. It is classified as non-current based on the contractual terms specific to the instrument. Gains and losses on re-measurement of the embedded derivative liability are recognized in the consolidated statements of loss and comprehensive loss. All other financial assets are measured at their fair values at each subsequent reporting period, with any changes recorded through profit and loss or through other comprehensive income (which designation is made as an irrevocable election at the time of recognition). After initial recognition at fair value, financial liabilities are classified and measured at either: (i) amortized cost; (ii) FVTPL, if the Company has made an irrevocable election at the time of recognition, or when required (for items such as instruments held for trading or derivatives); or, (iii) FVTOCI, when the change in fair market value is attributable to changes in the Company’s credit risk. The classification and measurement basis of the Company’s financial instruments are as follows: Financial Instrument Measurement Cash and cash equivalents Amortized cost Trade accounts receivables FVTPL Other accounts receivables Amortized cost Accounts payable and accrued liabilities Amortized cost Restricted share units FVTPL Warrants FVTPL Loans payable Amortized cost Lease liabilities Amortized cost Convertible debt Amortized cost Conversion feature of convertible debt FVTPL The Company reclassifies financial assets when and only when its business model for managing those assets changes. Financial liabilities are not reclassified. Transaction costs that are directly attributable to the acquisition or issuance of a financial asset or financial liability classified as subsequently measured at amortized cost are included in the fair value of the instrument on initial recognition. Transaction costs for financial assets and financial liabilities classified at fair value through profit or loss are expensed in profit or loss. Impairment The Company assesses all information available, including on a forward-looking basis the expected credit loss associated with any financial assets carried at amortized cost. The impairment methodology applied depends on whether there has been a significant increase in credit risk. To assess whether there has been a significant increase in credit risk, the Company compares the risk of default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition based on all information available, and reasonable supportive forward-looking information. (j) Foreign currencies The reporting and functional currency of the Company is the U.S. dollar. Transactions in currencies other than the U.S. dollar are recorded at the rates of exchange prevailing on the dates of transactions. At the end of each reporting period, monetary assets and liabilities that are denominated in foreign currencies are translated at the rates prevailing at that date. (k) Government assistance and investment tax credits Government grants Amounts received or receivable resulting from government assistance programs are recognized when there is reasonable assurance that the amount of government assistance will be received, and all attached conditions will be complied with. When the amount relates to an expense item, it is recognized as a reduction to the related expense. When the amount relates to an asset, it reduces the carrying amount of the asset and is then recognized as income over the useful life of the depreciable asset by way of a reduced depreciation charge. Grants received in advance are recorded as deferred liability and amortized as a reduction to the related expense/carrying amount of asset as and when the related qualifying costs are incurred. Investment Tax Credits (“ITCs”) receivable are amounts refundable from the Canadian federal and provincial governments under the Scientific Research & Experimental Development incentive program. The amounts claimed under the program represent the amounts submitted by management based on research and development costs paid during the period and include estimates and assumptions made by management in determining the eligible expenditures. ITCs are netted against the related research and development expense when there is reasonable assurance that the Company will realize the ITCs. ITCs are subject to review and approval by tax authorities and, therefore, could be different from the amounts recorded. (l) Impairment of long-term non-financial assets At the end of each reporting period the carrying amounts of the Company’s assets are reviewed to determine whether there is any indication that those assets are impaired. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment, if any. The recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount and the impairment loss is recognized in period. For an asset that does not generate largely independent cash inflows, the recoverable amount is determined for the cash generating unit to which the asset belongs. (m) Income taxes Income tax expense is comprised of current and deferred tax components. Income tax is recognized in profit or loss except to the extent that it relates to items recognized directly in equity or other comprehensive income, in which case the related tax is recognized in equity or other comprehensive income. Current tax expense is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted at year end, adjusted for amendments to tax payable with regards to previous years. Deferred tax is recorded using the asset and liability method. Under this method, the Company calculates all temporary differences between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes at the period end date. Deferred tax is calculated based on the expected manner of realization or settlement of the carrying amount of assets and liabilities, using tax rates that are expected to apply to the year of realization or settlement based on tax rates and laws enacted or substantively enacted at the period end date. Deferred tax assets are recognized to the extent that it is probable that taxable profits will be available against which the deductible temporary differences and unused tax losses and tax credits can be utilized. The carrying amount of deferred tax assets is reviewed at each statement of the financial position date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities and when they relate to income taxes levied by the same taxation authority and the Company intends to settle its current tax assets and liabilities on a net basis. (n) Provisions Provisions represent liabilities of the Company for which the amount or timing is uncertain. A provision is recognized when, as a result of a past event, the Company has a present obligation (legal or constructive) that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Where appropriate, the future cash flow estimates are adjusted to reflect risks specific to the liability. The amount recognized as a provision is the best estimate of the consideration required to settle the present obligation at the statement of financial position date, considering the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows. When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, the receivable is recognized as an asset if it is virtually certain that reimbursement will be received, and the amount receivable can be measured reliably. (o) Related party transactions Parties are considered to be related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also considered to be related if they are subject to common control or common significant influence. Related parties may be individuals or corporate entities. A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. (p) Research and development expense Research costs are expensed as incurred. An internally-generated intangible asset arising from development (or from the development phase of an internal project) is recognised if, and only if, all of the following conditions have been demonstrated: • the technical feasibility of completing the intangible asset so that it will be available for use or sale; • the intention to complete the intangible asset and use or sell it; • the ability to use or sell the intangible asset; • how the intangible asset will generate probable future economic benefits; • the availability of adequate technical, financial and other resources to complete the development and to use or sell the intangible asset; and • the ability to measure reliably the expenditure attributable to the intangible asset during its development. The amount initially recognised for internally-generated intangible assets is the sum of the expenditure incurred from the date when the intangible asset first meets the recognition criteria listed above. Where no internally generated intangible asset can be recognised, development expenditure is recognised in profit or loss in the period in which it is incurred. Subsequent to initial recognition, internally-generated intangible assets are reported at cost less accumulated amortisation and accumulated impairment losses, on the same basis as intangible assets that are acquired separately. No development costs have been capitalized to date. (q) Revenue recognition The Company’s principal activities generate revenues from the operation of lithium-ion battery recycling plants. The Company uses the following five step approach to revenue recognition: Step 1: Identify the contract(s) with a customer Step 2: Identify the performance obligations in the contract Step 3: Determine the transaction price Step 4: Allocate the transaction price to the performance obligations in the contract Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation The Company recognizes revenue from the following major sources: • Services of recycling lithium-ion batteries which includes coordination of logistics and destruction of batteries • Sales of products which includes black mass, shredded metal and plastic Revenue is measured based on the consideration to which the Company expects to be entitled to in a contract with a customer. The Company recognizes revenue when it transfers control of a product or service to a customer. There are no significant financing components associated with the Company’s payment terms. Recycling Services revenue is recognized at a point in time upon completion of the services. Prices for services are separately identifiable within each contract. A receivable is recognized by the Company when the services are completed as this represents the point in time at which the right to consideration becomes unconditional, as only the passage of time is required before payment is due. For sale of products, revenue is recognized when control of the goods has transferred, being when the goods have been shipped to the customer’s location (delivery). A receivable is recognised by the Company when the goods are delivered to the customer as this represents the point in time at which the right to consideration becomes unconditional, as only the passage of time is required before payment is due. The Company estimates the amount of consideration to which it expects to be entitled under provisional pricing arrangements. The amount of consideration for black mass and mixed copper/aluminum sales is based on the mathematical product of: (i) market prices of the constituent metals at the date of settlement, (ii) product weight, and (iii) assay results (ratio of the constituent metals initially estimated by management and subsequently trued up to customer confirmation). Certain adjustments like handling and refining charges are also made per contractual terms with customers. Depending on the contractual terms with customers, the payment of receivables may take up to 12 months from date of shipment. Product sales and the related trade accounts receivables are measured at fair value at initial recognition and are re-estimated at each reporting period end using the market prices of the constituent metals at the respective measurement dates. Changes in fair value are recognized as an adjustment to profit and loss and the related accounts receivable. (r) Share capital The Company records proceeds from the issuance of its common shares as equity. Incremental costs directly attributable to the issue of new common shares are shown in equity as a deduction, net of tax, from the proceeds. (s) Financing costs Professional, consulting, regulatory and other costs directly attributable to financing transactions are recorded as deferred financing costs until the financing transactions are completed, if the completion of the transaction is considered likely; otherwise they are expensed as incurred. Share issue costs are charged to share capital when the related shares are issued. Deferred financing costs related to financing transactions that are not completed are charged to earnings. (t) Share-based compensation The Company accounts for stock options using the fair value-based method of accounting for share-based compensation. Fair values are determined using the Black-Scholes-Merton option pricing model (“BSM”). Management exercises judgment in determining the underlying share price volatility, expected life of the option, expected forfeitures and other parameters of the calculations. Compensation costs are recognized over the vesting period as an increase to share-based compensation expense and contributed surplus. If, and when, stock options are ultimately exercised, the applicable amounts of contributed surplus are transferred to share capital. The Company accounts for RSUs under the current plan as equity settled share-based payments which are measured at fair value on the grant date. The expense for RSUs is recognized over the vesting period. Upon exercise of any RSUs, the grant date fair value of the instrument is transferred to share capital. The Company accounts for outstanding RSUs by recognizing a liability for the goods or services acquired, measured initially at the fair value of the liability. At each reporting date until the liability is settled, and at the date of settlement, the fair value of the liability is remeasured, with any changes in fair value recognised in profit or loss for the year. (u) Significant accounting estimates and judgments The preparation of the financial statements in conformity with IFRS requires management to make judgements, estimates and assumptions that are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which affect the application of accounting policies and the reported amounts of assets, liabilities and expenses. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised and in any future periods affected. Significant estimates include: (a) the determination and valuation of deferred income tax assets and liabilities; (b) the determination of the useful life and impairment of the plant and equipment; (c) the valuation and measurement of the convertible debt and the related conversion features; (d) the valuation and recognition of ITCs; and (e) the valuation of share-based compensation. Critical judgements in applying accounting policies that have the most significant effect on the amounts recognized in the financial statements include the following: (a) the determination of the functional currency of the Company and its subsidiaries; (b) the determination of the revenue recognition policy with regards to transaction price; (c) the evaluation of the Company’s ability to continue as a going concern; and (d) the valuation of inventory with regards to incremental cost to completion for raw materials and determination of net realizable value. (e) the valuation of the fair value of consideration transferred in the business combination (v) Leases The Company assesses whether a contract is or contains a lease, at inception of the contract. The Company recognises a right-of-use asset and a corresponding lease liability with respect to all lease arrangements in which it is the lessee, except for short-term leases (defined as leases with a lease term of 12 months or less) and leases of low value assets (such as tablets and personal computers, small items of office furniture and telephones). For these leases, the Company recognises the lease payments as an operating expense on a straight-line basis over the term of the lease unless another systematic basis is more representative of the time pattern in which economic benefits from the leased assets are consumed. The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted by using the rate implicit in the lease. If this rate cannot be readily determined, the Company uses its incremental borrowing rate. Lease payments included in the measurement of the lease liability comprise: • Fixed lease payments (including in-substance fixed payments), less any lease incentives receivable; • Variable lease payments that depend on an index or rate, initially measured using the index or rate at the commencement date; • The amount expected to be payable by the lessee under residual value guarantees; • The exercise price of purchase options, if the lessee is reasonably certain to exercise the options; and • Payments of penalties for terminating the lease, if the lease term reflects the exercise of an option to terminate the lease. The lease liability is presented as a separate line in the consolidated statement of financial position. The lease liability is subsequently measured by increasing the carrying amount to reflect interest on the lease liability (using the effective interest method) and by reducing the carrying amount to reflect the lease payments made. The Company remeasures the lease liability (and makes a corresponding adjustment to the related right-of-use asset) whenever: • The lease term has changed or there is a significant event or change in circumstances resulting in a change in the assessment of exercise of a purchase option, in which case the lease liability is remeasured by discounting the revised lease payments using a revised discount rate. • The lease payments change due to changes in an index or rate or a change in expected payment under a guaranteed residual value, in which cases the lease liability is remeasured by discounting the revised lease payments using an unchanged discount rate (unless the lease payments change is due to a change in a floating interest rate, in which case a revised discount rate is used). • A lease contract is modified and the lease modification is not accounted for as a separate lease, in which case the lease liability is remeasured based on the lease term of the modified lease by discounting the revised lease payments using a revised discount rate at the effective date of the modification. The Company made several such adjustments during the periods presented, see Note 15. The right-of-use assets comprise the initial measurement of the corresponding lease liability, lease payments made at or before the commencement day, less any lease incentives received and any initial direct costs. They are subsequently measured at cost less accumulated depreciation and impairment losses. Whenever the Company incurs an obligation for costs to dismantle and remove a leased asset, restore the site on which it is located or restore the underlying asset to the condition required by the terms and conditions of the lease, a provision is recognised and measured under IAS 37. To the extent that the costs relate to a right-of-use asset, the costs are included in the related right-of-use asset, unless those costs are incurred to produce inventories. Right-of-use assets are depreciated over the shorter period of lease term and useful life of the right-of-use asset. If a lease transfers ownership of the underlying asset or the cost of the right-of-use asset reflects that the Company expects to exercise a purchase option, the related right-of-use asset is depreciated over the useful life of the underlying asset. The depreciation starts at the commencement date of the lease. The right-of-use assets are presented as a separate line in the consolidated statement of financial position. The Company applies IAS 36 to determine whether a right-of-use asset is impaired and accounts for any identified impairment loss as described in the ‘Property, Plant and Equipment’ policy. Variable rents that do not depend on an index or rate are not included in the measurement the lease liability and the right-of-use asset. The related payments are recognised as an expense in the period in which the event or condition that triggers those payments occurs. As a practical expedient, IFRS 16 Leases (“IFRS 16”) permits a lessee not to separate non-lease components, and instead account for any lease and associated non-lease components as a single arrangement. The Company has used this practical expedient. (w) Restoration provisions Provisions for the costs to restore leased plant assets to their original condition, as required by the terms and conditions of the lease, are recognised when the obligation is incurred, either at the commencement date or as a consequence of having used the underlying asset during a particular period of the lease, at the directors’ best estimate of the expenditure that |
Adoption of new and revised sta
Adoption of new and revised standards | 12 Months Ended |
Oct. 31, 2021 | |
Accounting Policies, Changes In Accounting Estimates And Errors [Abstract] | |
Adoption of new and revised standards | Adoption of new and revised standards Annual Improvements to IFRS Standards The Company has adopted the amendments included in the Annual Improvements to IFRS Standards 2016–2018 Cycle as at November 1, 2020. The Annual Improvements include amendments to IFRS 9 Financial Instruments, IFRS 3 Business Combinations, IFRS 16 Leases, IAS 1 Presentation of Financial Statements, and IAS 8 Accounting policies, changes in accounting estimates and errors. Management has assessed the impact of the adoption of the new standards and concluded it to be not material. |
Accounts receivable
Accounts receivable | 12 Months Ended |
Oct. 31, 2021 | |
Trade and other current receivables [abstract] | |
Accounts receivable | Accounts receivable Aging Summary October 31, 2021 October 31, 2020 $ $ Current 3,181,294 540,824 1-30 days 310,818 — 31-60 days 120,604 21,455 61-90 days 18,477 — 91 days and over 441,508 9,021 4,072,701 571,300 For product sales, the Company estimates the amount of consideration to which it expects to be entitled under provisional pricing arrangements. For the twelve months ended October 31, 2021, the fair value gain arising from changes in estimates was $805,789 (twelve months ended October 31, 2020: Nil). An insignificant portion of the receivables relate to services revenue which are initially measured at fair value and subsequently at amortized cost. For the period ended October 31, 2021 and 2020, the Company has assessed an allowance for credit loss of $nil for service-related receivables based on its past experience, the credit ratings of its existing customers and economic trends. October 31, 2021 October 31, 2020 $ $ Harmonized Sales Taxes receivable 379,814 274,998 Other receivables 593,331 43,931 973,145 318,929 |
Prepayments and deposits
Prepayments and deposits | 12 Months Ended |
Oct. 31, 2021 | |
Prepayments And Deposits [Abstract] | |
Prepayments and deposits | Prepayments and deposits October 31, 2021 October 31, 2020 $ $ Prepaid lease deposits 886,951 33,501 Prepaid equipment deposits 3,231,836 — Prepaid insurance 3,839,880 59,582 Other prepaids 688,331 870,868 8,646,998 963,951 |
Inventory
Inventory | 12 Months Ended |
Oct. 31, 2021 | |
Inventories [Abstract] | |
Inventory | Inventory October 31, 2021 October 31, 2020 $ $ Raw material 850,416 140,419 Finished goods 347,391 39,575 1,197,807 179,994 The cost of inventories recognized as an expense during the twelve months ended October 31, 2021 was $8.55 million (twelve months ended October 31, 2020: $0.82 million). |
Plant and equipment
Plant and equipment | 12 Months Ended |
Oct. 31, 2021 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Plant and equipment | Plant and equipment Plant Storage Vehicles Leasehold Total $ $ $ $ $ Cost At October 31, 2019 1,043,231 53,610 90,707 58,848 1,246,396 Additions 3,519,013 13,914 68,243 1,506,493 5,107,663 Disposals (150,690) — — — (150,690) Foreign Exchange on Translation 23,320 95 (1,346) 11,860 33,929 At October 31, 2020 4,434,874 67,619 157,604 1,577,201 6,237,298 Additions 17,674,983 62,017 4,642,255 22,379,255 Disposals — (40,323) (40,323) At October 31, 2021 22,109,857 67,619 179,298 6,219,456 28,576,230 Accumulated depreciation At October 31, 2019 (170,691) (1,397) (2,187) (11,329) (185,604) Depreciation (350,173) (5,977) (22,408) (115,958) (494,516) Disposals 43,744 — — — 43,744 Foreign Exchange on Translation 2,462 (36) (232) (536) 1,658 At October 31, 2020 (474,658) (7,410) (24,827) (127,823) (634,718) Depreciation (1,083,687) (6,762) (34,545) (437,113) (1,562,107) Disposals — — 10,058 — 10,058 At October 31, 2021 (1,558,345) (14,172) (49,314) (564,936) (2,186,767) Carrying amounts — At October 31, 2019 872,540 52,213 88,520 47,519 1,060,792 At October 31, 2020 3,960,216 60,209 132,777 1,449,378 5,602,580 At October 31, 2021 20,551,512 53,447 129,984 5,654,520 26,389,463 |
Loans Payable
Loans Payable | 12 Months Ended |
Oct. 31, 2021 | |
Borrowings [abstract] | |
Loans Payable | Loans Payable BDC Loan Other Loans Total $ $ $ Balance at October 31, 2019 — 87,381 87,381 Proceeds from loans payable 2,153,110 — 2,153,110 Repayment of loans payable — (12,881) (12,881) Foreign exchange loss 21,430 (1,162) 20,268 Balance at October 31, 2020 2,174,540 73,338 2,247,878 Proceeds from loans payable 3,091,220 7,000,000 10,091,220 Repayment of loans payable (5,507,298) (7,037,041) (12,544,339) Foreign exchange loss 241,538 3,451 244,989 Balance at October 31, 2021 — 39,748 39,748 (i) BDC Capital Loan On December 16, 2019, the Company entered into a binding agreement with BDC Capital Inc. for a secured loan of Canadian dollars (C$7 million) to help finance the expansion plans of the Company (the “BDC Capital Loan”), which was to be distributed in up to three tranches, with the second and third tranches to be distributed based on the achievement of certain milestones by the Company. Pursuant to the BDC Capital Loan, each of the Company and Li-Cycle Inc. entered into general security agreements with BDC Capital Inc. granting the lender a general security interest over all assets of the Company and Li-Cycle Inc., respectively. In addition, Li-Cycle Inc. guaranteed the Company’s obligations under BDC Capital Loan under a guarantee agreement. The maturity date of the BDC Capital Loan was December 14, 2023. The base rate of interest was 16% per annum, paid monthly, plus additional accrued interest of 3% that could be reduced to 0% based on the achievement of certain milestones by the Company. Principal payments began on the first anniversary date of the loan and were made at C$175,000 per month with a balloon payment of C$700,000 at maturity. On February 10, 2020, the Company received the first tranche of the BDC Capital Loan for C$3 million. Transaction costs associated with the loan amounted to C$121,861 and were deducted from the loan balance. On November 2, 2020, the Company received the second tranche of the BDC Capital Loan for C$2,000,000 upon the completion of the milestone for such additional funding. On April 7, 2021, the Company received the third tranche of the BDC Capital Loan for C$2,000,000 upon the completion of the milestone for such additional funding. On July 20, 2021, Li-Cycle signed an agreement with BDC Capital Inc to repay the BDC Capital Loan in full, conditional upon the closing of Li-Cycle’s business combination with Peridot Acquisition Corp. on August 10, 2021. On August 11, 2021, in accordance with the agreement to repay the BDC Capital Loan in full upon the closing of Li-Cycle’s business combination with Peridot Acquisition Corp., Li-Cycle paid BDC Capital Inc. $5.3 million (C$6.6 million) to settle the BDC Capital Loan, including additional interest expense of $0.7 million (C$0.9 million). (ii) Promissory Notes On June 16, 2021, Li-Cycle issued promissory notes (the “Promissory Notes”) for an aggregate principal amount of $7,000,000 as consideration for loans received from companies related to the Chief Executive Officer and the Executive Chair of Li-Cycle, respectively. The Promissory Notes bore interest at the rate of 10% per annum and had a maturity date of December 15, 2023. The Promissory Notes were unsecured and subordinate to indebtedness owing to Li-Cycle’s senior lender, BDC Capital Inc. Li-Cycle had the option of prepaying all or any portion of the principal and accrued interest of the Promissory Notes prior to the maturity date without penalty, subject to certain conditions. On August 17, 2021, Li-Cycle elected to repay the full balance of the promissory notes for a total of $7,113,151, including accrued interest. (iii) Other Loans The Company's remaining loans relate to company vehicles. |
Convertible Debt
Convertible Debt | 12 Months Ended |
Oct. 31, 2021 | |
Financial Instruments [Abstract] | |
Convertible Debt | Convertible Debt October 31, 2021 October 31, 2020 October 31, 2019 $ $ $ Proceeds of issue of convertible debt 100,000,000 386,190 386,190 Transaction costs (1,599,737) — — Net Proceeds from issue of convertible debt 98,400,263 386,190 386,190 Conversion feature at date of issue 27,681,043 96,548 96,548 Fair value (gain) loss on embedded derivative 1,347,895 — — Conversion into common shares — (96,548) — Conversion feature at end of period 29,028,938 — 96,548 Debt component at date of issue (net of transaction costs) 70,719,220 289,642 289,642 Prior year interest plus accretion — 99,549 39,212 Amortization of transaction costs 26,662 — — Accrued interest at 7% (2020 - 8%) 641,667 4,956 30,114 Accretion expense during the year 461,351 4,975 30,223 Conversion into common shares — (395,861) — Foreign exchange on translation — (3,261) (4,984) Debt component at end of period 71,848,900 — 384,207 On March 6, 2018, the Company obtained an investment from Sustainable Chemistry Alliance (“SCA”) for $386,190 with the issuance of a 3-year, 8% unsecured convertible debenture. Upon the completion of a qualified financing, and at either the Company’s or holder’s option, the debenture could be converted to common shares at a 20% discount to the effective share price of the qualifying transaction, or failing conversion, was to be repaid in full with full-term interest. Accrued interest was payable at the maturity date. The conversion feature has been recorded as an embedded derivative liability as the exercise price may be adjusted upon the issuance or deemed issuance of additional common shares at a price less than the conversion price contained in the convertible debenture. The fair value of the embedded derivative liability upon issuance was $96,548. The residual value of $289,643 was allocated to the convertible loan payable which has an effective interest rate of 9.62%. On December 27, 2019, the convertible debenture with SCA was converted to common shares as a result of the additional funding exceeding $10 million and thereby triggering the “qualifying transaction” clause of the debenture agreement. Per the terms of the agreement, the principal amount of $386,190 plus accrued interest of $55,788 was converted at a 20% discount to the Series B share price of $40.05 resulting in the issuance of 13,436 common shares. On September 29, 2021, the Company issued a convertible note (the “Note”) for a principal amount of $100,000,000 to Koch Strategic Platforms (“KSP”), a subsidiary of Koch Investments Group. The Note will mature on September 29, 2026 unless earlier repurchased, redeemed or converted. Interest on the Note will be payable semi-annually, and Li-Cycle is permitted to pay interest on the Note in cash or payment in-kind (“PIK”), at its election. Interest payments made in cash will be based on an interest rate of LIBOR plus 5.0% per year, and PIK interest payments will be based on an interest rate of LIBOR plus 6.0% per year. Under the terms of the Note, LIBOR has a floor of 1% and a cap of 2%. With the retirement of the LIBOR at the end of 2021, the interest rates will instead be based on the sum of the Secured Overnight Financing Rate ("SOFR") and the average spread between the SOFR and LIBOR during the three-month period of time ending on the date on which the LIBOR interest rate ceases to be published. The PIK election results in a new Note under the same terms as the original note, issued in lieu of interest payments with an issuance date on the applicable interest date. At October 31, 2021, the Company has elected to pay interest on the Note using the PIK election. The conversion feature has been recorded as an embedded derivative liability since the conversion ratio does not always result in a conversion of a fixed dollar amount of liability for a fixed number of shares. The Note will have an initial conversion price of approximately $13.43 per Li-Cycle common share, subject to customary anti-dilution adjustments, which price was established based on 125% of the 7-day volume-weighted average price of Li-Cycle’s common shares prior to the date of the Note Purchase Agreement. Should the company’s share price be equal to or greater than $17.46, for a period of twenty consecutive days, the Company can force conversion of the note Li-Cycle will settle its conversion obligations through the delivery of its own Common Shares. At October 31, 2021, no conversions had taken place. The fair value of the embedded derivatives upon issuance was determined to be a liability of $27,681,043 whereas the remaining $72,318,957, net of transaction costs of $1,599,737, was allocated to the principal of the debt. During the twelve months ended October 31, 2021, the Company recognized a fair value loss of 1,347,895 on the embedded derivatives. The embedded derivatives were valued using the Barrier option pricing model. The assumptions used in the model were as follows: September 29, 2021 October 31, 2021 Risk free interest rate 1.06% 1.23% Expected life of options 5 years 4.92 years Expected dividend yield 0.0% 0.0% Expected stock price volatility 66% 62% Share Price 12.56 12.94 |
Warrants
Warrants | 12 Months Ended |
Oct. 31, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
Warrants | Warrants On August 10, 2021, the Company began trading warrants related to its common shares. These warrants were assumed as part of the business combination described in Note 1. On acquisition date, the Company assumed 23,000,000 warrants at the publicly traded fair market value of $2.10 per share for a total acquired liability of $48,299,987. The total number of warrants is made up of 15,000,000 Public Placement Warrants ("Public Warrants") and 8,000,000 Private Placement Warrants ("Private warrants"). All warrants have a 5 year term, expiring on September 24, 2025. The Public Warrants have an exercise price of $11.50 per share, with a redemption price of $0.01 per warrant if the share price is above $10.00, on a cashless basis. If the share price is above $18.00 for any 20 trading days within the 30 trading day period ending three trading days before the notice of redemption, the redemption price will be $0.10 on a cash basis. The Private Warrants have an exercise price of $11.50 per shares, redeemable only at such time that the share price of the Company is between $10.00 and $18.00, at the above prices. The Private Warrants were not transferable until 30 days after the close of the business combination, which has passed as of writing. If the Private Placement Warrants are transferred to parties other than the Company’s sponsor or its permitted transferees, the Private Placement Warrants will cease to be Private Placement Warrants and will become Public Warrants. On October 15, 2021, 100 warrants were exercised for 100 shares for which the Company received $1,150. Warrants are remeasured through profit or loss at each period end, using first level inputs. At October 31, 2021, the publicly traded fair market value for each warrant was $3.57 with a total liability of $82,109,334, recognizing a total loss of $33,809,634 in the twelve months ended October 31, 2021. |
Share capital and share-based c
Share capital and share-based compensation | 12 Months Ended |
Oct. 31, 2021 | |
Share Capital, Reserves And Other Equity Interest [Abstract] | |
Share capital and share-based compensation | Share capital and share-based compensation Authorized share capital Li-Cycle Corp. is authorized to issue an unlimited number of voting common shares, Class A non-voting common shares, preference shares and Class A preferred shares, in each case without par value. All issued shares are fully paid. Li-Cycle Holdings Corp. is authorized to issue an unlimited number of voting common shares without par value. All issued shares are fully paid. For retrospective presentation, the number of Li-Cycle Corp.'s common shares and Class A preferred shares on the Consolidated Statements of Changes in Equity have been scaled by the exchange ratio of 1:39.91 for periods prior to the completion of the business combination on August 10, 2021. On March 23, 2018, Li-Cycle Corp. completed a non-brokered private placement and issued 188,604 common shares for proceeds of $2,645,136 at $14.02 per share. On February 28, 2019, Li-Cycle Corp. issued 8,468 common shares to two shareholders as a finder’s fee for the Series A fundraising. These shares were valued at $118,759 Between December 20 and December 27, 2019, Li-Cycle Corp. completed a non-brokered private placement and issued 159,294 common shares for proceeds of $6,481,381 at $40.05 per share. On December 27, 2019, a convertible debenture was converted to 13,436 common shares of Li-Cycle Corp., representing proceeds of $492,409. On November 13, 2020, Li-Cycle Corp. completed a Series C private placement with two entities to purchase 281,138 Class A preferred shares at a price of $81.81 per share, for total proceeds of $23,000,000 and incurred transaction fees of $1,380,000. On January 25, 2021, Li-Cycle Corp. issued 12,000 shares as full and final satisfaction of all obligations under a consulting agreement for services the Company received up to May 2020. Between June 11 and June 24, 2021, four employees exercised stock options for a total of 25,664 common shares of Li-Cycle Corp., at an aggregate exercise price of $169,105. On August 10, 2021, the Company finalized the business combination described in Note 1. All outstanding common shares and Class A preferred shares of Li-Cycle Corp., 2,407,535 in total, were exchanged for 96,084,679 common shares of Li-Cycle Holdings Corp. at the exchange ratio of 1:39.91. Li-Cycle Holdings Corp. issued an additional 65,671,374 common shares for net proceeds of $525,329,273. As part of this transaction, all outstanding 9,829 Restricted Share Units of Li-Cycle Corp. were settled by issuance of additional 392,276 common shares of Li-Cycle Holdings Corp. and a cashless exercise of 28,779 stock options of Li-Cycle Corp. resulted in an additional 1,031,226 common shares of Li-Cycle Holdings Corp. On October 15,2021, a warrant holder exercised 100 warrants for a total of 100 common shares of Li-Cycle Holdings Corp. at an aggregate exercise price of $1,150. Long-term incentive plans Stock options Li-Cycle Corp. had a stock option plan (the “2017 Plan”) approved by the Company’s shareholders that allows it to grant stock options, subject to regulatory terms and approval, to its officers, directors, employees and service providers. This Plan was effective from September 2017 through October 31, 2019. Each stock option converts into one common share of the Company on exercise. No amounts are paid or payable by the recipient on receipt of the option. The options carry neither rights to dividends nor voting rights. Options may be exercised at any time from the date of vesting to the date of their expiry. Options are exercisable at a price equal to the average market price of the Company’s common shares on the date of grant. The vesting period is one-third on the first-year anniversary of the grant, and one-third every consecutive year thereafter. If the options remain unexercised after a period of 5 years from the date of grant, the options expire. Options are forfeited if the recipient terminates their contract with the Company before the options vest. On November 1, 2019, Li-Cycle Corp. adopted a new Long Term Incentive Plan (the “2019 LTIP”) approved by the Company’s shareholders that allowed it to grant stock options, restricted share units, deferred share units, stock appreciation rights, and other forms of equity compensation, subject to regulatory terms and approval, to its officers, directors, employees and service providers. For stock options issued under the 2019 LTIP, each stock option converts into one common share of the Company on exercise. No amounts are paid or payable by the recipient on receipt of the option. The options carry neither rights to dividends nor voting rights. Options may be exercised at any time from the date of vesting to the date of their expiry. Options are exercisable at a price equal to the fair market value of the Company’s common shares on the date of grant. The vesting period is one-third on the first-year anniversary of the grant, and one-third every consecutive year thereafter. If the options remain unexercised after a period of 10 years from the date of grant, the options expire. Options are forfeited if the recipient terminates their contract with the Company before the options vest. On August 10, 2021, Li-Cycle Holdings Corp. adopted a new Long Term Incentive Plan (the “2021 LTIP”) approved by the Company’s shareholders that allows it to grant stock options, restricted share units, deferred share units, stock appreciation rights, and other forms of equity compensation, subject to regulatory terms and approval, to its officers, directors, employees and service providers. On August 10, 2021, all of the outstanding stock options of Li-Cycle Corp. under the 2017 Plan and the 2019 LTIP were vested and 19 employees exercised 28,779 stock options of Li-Cycle Corp. on a cashless basis. All remaining 106,307 stock options under the 2017 Plan and the 2019 LTIP were exchanged for 4,242,707 stock options under the 2021 LTIP plan at the exchange ratio of 1:39.91, while retaining original expiry dates. For stock options issued under the 2021 LTIP, each stock option converts into one common share of the Company on exercise. No amounts are paid or payable by the recipient on receipt of the option. The options carry neither rights to dividends nor voting rights. Options may be exercised at any time from the date of vesting to the date of their expiry. Options are exercisable at a price equal to the fair market value of the Company’s common shares on the date of grant. The vesting period is one-third on the first-year anniversary of the grant, and one-third every consecutive year thereafter. If the options remain unexercised after a period of 10 years from the date of grant, the options expire. Options are forfeited if the recipient terminates their contract with the Company before the options vest. A summary of stock option activities is as follows: Number of Weighted average Number of Weighted average $ $ Balance – October 31, 2018 58,320 2.49 Granted 41,680 13.57 Balance – October 31, 2019 100,000 7.14 Granted 33,500 39.66 Balance – October 31, 2020 133,500 15.35 Granted 31,750 85.30 Exercised (54,443) 24.58 Forfeited (4,500) 42.43 Exchanged on August 10, 2021 106,307 31.62 4,242,707 0.79 Granted 1,053,846 10.93 Balance – October 31, 2021 5,296,553 2.81 As at October 31, 2021, 4,242,707 of the stock options (2020: 106,307, 2019: 29,440) were exercisable. A summary of outstanding stock options is as follows: Number of Exercise price $ Expiration dates September 11, 2022 399,100 0.02 April 10, 2023 798,200 0.02 April 10, 2023 199,231 0.36 April 1, 2024 171,613 0.36 July 17, 2024 865,244 0.36 December 16, 2029 99,775 1.08 April 21, 2030 439,010 1.08 July 19, 2030 371,163 1.08 November 30, 2030 420,452 2.17 February 11, 2031 478,920 2.17 August 10, 2031 1,053,846 10.93 5,296,553 The Company recognized total expenses of $2.69 million related to stock options during the twelve months ended October 31, 2021 (2020: $0.33 million, 2019: $0.10 million). The fair value of the stock options granted during the twelve months ended October 31, 2021 was determined to be $8.28 million (2020: $0.94 million, 2019: $0.31 million) using the Black-Scholes Merton option pricing model. The assumptions used in the stock option pricing model were as follows: Risk free interest rate 0.46% - 0.97% Expected life of options 6 years Expected dividend yield 0.0% Expected stock price volatility 65% Expected forfeiture rate 0.0% Expected volatility was determined by calculating the average historical volatility of a group of listed entities that are considered similar in nature to the Company. During the twelve months ended October 31, 2021, 23 employees exercised 2,172,820 stock options to acquire a total of 2,055,474 common shares at an aggregate exercise price aggregate exercise of $0.17 million. During the years ended October 31, 2020 and 2019, no stock options were exercised. Restricted share units Under the terms of the 2019 LTIP, restricted share units were issued to executives and directors. The RSUs vested immediately and were exercisable upon issuance. The RSUs represented the right to receive a distribution from Li-Cycle Corp. in an amount equal to the fair market value of an ordinary share of Li-Cycle Corp. at the time of distribution. The RSUs under the 2019 LTIP could be settled in shares, cash, or any combination of shares and cash, at the option of the holder. RSUs under the 2019 LTIP were classified as a liability on the consolidated statement of financial position. On August 10, 2021, all existing 9,829 RSUs under the 2019 LTIP were settled at the exchange ratio of 1:39.91, resulting in issuance of 392,276 common shares of Li-Cycle Holdings Corp. The Company has recorded a liability of $0 as at October 31, 2021 (October 31, 2020: $171,849) that represents the fair value of the RSUs outstanding under the 2019 LTIP and has recorded fair value loss of $3,096,940 for the twelve months ended October 31, 2021 (twelve months ended October 31, 2020:$83,424). Under the terms of the 2021 LTIP, restricted share units of Li-Cycle Holdings Corp. have been issued to executives, directors, employees and advisors. The RSU vesting periods ranged from 1 year to 3 years. The RSUs represent the right to receive a distribution from the Company in an amount equal to the fair market value of an ordinary share of Li-Cycle Holdings Corp. at the time of distribution. The RSUs under the 2021 LTIP are expected to be settled in shares. The Company, at its sole discretion, may also settle in cash or a combination of cash and shares. The RSUs issued under the 2021 LTIP are classified as equity on the consolidated statement of financial position. The Company recognized share-based compensation expenses relating to RSUs totaling $1,293,030 in the twelve months ended October 31, 2021 (twelve months ended October 31, 2020: $88,425). A summary of RSU activities is as follows: Number of Number of Li-Cycle Corp RSU Li-Cycle Holdings Corp RSU Balance – October 31, 2018 — Balance – October 31, 2019 — Granted 2,182 Balance – October 31, 2020 2,182 Granted 7,647 Settled on August 10, 2021 (9,829) Subtotal — — Granted on or after August 10, 2021 716,763 Balance – October 31, 2021 — 716,763 |
Financial instruments and finan
Financial instruments and financial risk factors | 12 Months Ended |
Oct. 31, 2021 | |
Financial Instruments [Abstract] | |
Financial instruments and financial risk factors | Financial instruments and financial risk factors Fair values The Company’s financial instruments consist of cash, accounts receivables, accounts payable and accrued liabilities, loans payable. The fair values of the cash, trade receivables, accounts payable and accrued liabilities approximate their carrying amounts because of their current nature. Fair value hierarchy levels 1 to 3 are based on the degree to which the fair value is observable: • Level 1 fair value measurements are those derived from quoted prices (unadjusted) in active markets for identical assets or liabilities; • Level 2 fair value measurements are those derived from inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices); and • Level 3 fair value measurements are those derived from valuation techniques that include inputs for the asset or liability that are not based on observable market data (unobservable inputs). There were no transfers between the levels during the current or prior year. The Company’s financial assets measured at fair value on a recurring basis were calculated as follows: Balance Quoted prices in active markets for identical assets Significant other observable inputs Significant unobservable inputs $ $ $ $ As at October 31, 2021 Accounts receivable 4,072,701 — 4,072,701 — 4,072,701 — 4,072,701 — As at October 31, 2020 Accounts receivable 571,300 — 571,300 — 571,300 — 571,300 — See Note 4 above for additional details related to measurement of accounts receivable. The Company’s financial liabilities measured at fair value on a recurring basis were calculated as follows: Balance Quoted prices in active markets for identical assets Significant other observable inputs Significant unobservable inputs $ $ $ $ As at October 31, 2021 Restricted share units — — — — Conversion feature of convertible debt 29,028,938 — 29,028,938 — Warrants 82,109,334 53,549,989 28,559,344 — 111,138,272 53,549,989 57,588,282 — As at October 31, 2020 Restricted share units 171,849 — 171,849 — 171,849 — 171,849 — Currency risk It is management’s opinion that the Company is not exposed to significant currency risk as its cash is denominated in both Canadian and U.S. dollars and funds its operations accordingly. At October 31, 2021, the Company had Canadian dollar denominated cash of approximately Cdn. $1.3 million and Canadian dollar denominated net liabilities and loans payable of approximately Cdn. $23.9 million. The remaining amounts were denominated in U.S. dollars and immaterial amounts of other currencies. Gains and losses arising upon translation of these amounts into U.S. dollars for inclusion in the consolidated financial statements are recorded in other income and expenses as foreign exchange. A 5% strengthening of the Canadian dollar versus the U.S. dollar, at October 31, 2021, would have increased the foreign exchange loss for the year by approximately $0.9 million while a 5% weakening of the Canadian dollar would have had approximately the equal but opposite effect. This analysis assumes that all other variables remain constant. Interest rate risk Interest rate risk is the risk arising from the effect of changes in prevailing interest rates on the Company’s financial instruments. The Company is exposed to interest rate risk, as it has variable interest rate debt, see Note 10. Credit, liquidity, and market risks Credit risks associated with cash are minimal as the Company deposits majority of its cash with a large Canadian financial institution. The Company’s credit risks associated with receivables are managed and exposure to potential loss is assessed as minimal. Ultimate responsibility for liquidity risk management rests with the board of directors, which has established an appropriate liquidity risk management framework for the management of the Company’s short-term, medium and long-term funding and liquidity requirements. Market risks associated with short-term investments are assessed as minimal as they are considered short-term in nature. All of the Company’s financial liabilities have contractual cash flows as follows: Carrying amount Contractual cash flows Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter $ $ $ $ $ $ $ $ As at October 31, 2021 Accounts payable and accrued liabilities 18,701,116 18,701,116 18,701,116 — — — — — Lease liabilities 29,364,869 35,934,570 4,517,775 4,634,401 3,785,984 3,374,696 3,311,808 16,309,906 Loan payable 39,748 41,338 6,384 6,618 6,860 7,111 7,371 6,994 Convertible Debt 100,877,838 142,682,078 — — — — 142,682,078 — Warrants 82,109,334 — — — — — — — Restoration provisions 334,233 302,049 — 84,582 — — 54,842 162,625 231,427,138 197,661,151 23,225,275 4,725,601 3,792,844 3,381,807 146,056,099 16,479,525 Carrying amount Contractual cash flows Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter $ $ $ $ $ $ $ $ As at October 31, 2020 Accounts payable and accrued liabilities 4,364,370 4,364,372 4,364,372 — — — — — Restricted share units 171,849 171,849 171,849 — — — — — Lease liabilities 3,613,170 4,529,662 805,946 680,943 568,434 584,269 479,833 1,410,237 Loan payable 2,247,878 2,628,652 1,782,888 845,763 — — — — Restoration provisions 321,400 333,866 — 81,166 — — 52,627 200,074 10,718,667 12,028,401 7,125,055 1,607,872 568,434 584,269 532,460 1,610,311 Capital risk management The Company manages its capital to ensure that entities in the Company will be able to continue as a going concern while maximizing the return to shareholders through the optimization of the debt and equity balance. The capital structure of the Company consists of net debt (borrowings after deducting cash and bank balances) and equity of the Company (comprising issued share capital, contributed surplus and accumulated deficit as disclosed in Note 12). The Company is not subject to any externally imposed capital requirements. The Company’s Board of Directors reviews the capital structure on a semi-annual basis. As part of this review, the Board considers the cost of capital and the risks associated with each class of capital. |
Right-of-use assets
Right-of-use assets | 12 Months Ended |
Oct. 31, 2021 | |
Disclosure Of Leases [Abstract] | |
Right-of-use assets | Right - of-use assets Premises Equipment Total Cost $ $ $ At October 31, 2019 2,783,313 53,262 2,836,575 Additions & modifications 1,550,957 61,176 1,612,133 Foreign Exchange on Translation 19,731 (629) 19,102 At October 31, 2020 4,354,001 113,809 4,467,810 Additions & modifications 24,467,955 19,960 24,487,915 At October 31, 2021 28,821,956 133,769 28,955,725 Accumulated depreciation At October 31, 2019 — — — Depreciation (584,343) (16,391) (600,734) Foreign Exchange on Translation (7,810) (178) (7,988) At October 31, 2020 (592,153) (16,569) (608,722) Depreciation (1,302,026) (35,217) (1,337,243) At October 31, 2021 (1,894,179) (51,786) (1,945,965) Carrying amounts At October 31, 2019 2,783,313 53,262 2,836,575 At October 31, 2020 3,761,848 97,240 3,859,088 At October 31, 2021 26,927,777 81,983 27,009,760 The weighted average lease term is five years. |
Lease liabilities
Lease liabilities | 12 Months Ended |
Oct. 31, 2021 | |
Disclosure Of Leases [Abstract] | |
Lease liabilities | Lease liabilities The Company has the following lease liabilities as of October 31, 2021. Maturity analysis Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter Total Undiscounted $ $ $ $ $ $ $ Premises 4,468,877 4,590,357 3,741,940 3,332,312 3,290,786 16,302,071 35,726,343 Equipment 48,898 44,044 44,044 42,384 21,022 7,835 208,227 Total 4,517,775 4,634,401 3,785,984 3,374,696 3,311,808 16,309,906 35,934,570 Lease liabilities Current Non-Current Total Discounted $ $ $ Premises 2,836,348 26,366,448 29,202,796 Equipment 32,447 129,626 162,073 Total 2,868,795 26,496,074 29,364,869 The Company has the following lease liabilities as of At October 31, 2020. Maturity analysis Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter Total Undiscounted $ $ $ $ $ $ $ Premises 769,865 650,087 549,908 565,742 462,851 1,410,237 4,408,690 Equipment 36,081 30,856 18,526 18,526 16,982 — 120,972 Total 805,946 680,943 568,434 584,268 479,833 1,410,237 4,529,662 Lease liabilities Current Non-Current Total Discounted $ $ $ Premises 565,296 2,949,707 3,515,003 Equipment 26,059 72,108 98,167 Total 591,355 3,021,815 3,613,170 In the twelve months ended October 31, 2021, the Company recognized an interest expense of $449,571 related to lease liabilities. The Company’s lease obligations include leases for plant operations, storage facilities, and office space for employees. In the twelve months ended October 31, 2021, the Company has added 4 new premises leases, 1 new equipment lease and modified 6 leases. |
Restoration provisions
Restoration provisions | 12 Months Ended |
Oct. 31, 2021 | |
Provisions [abstract] | |
Restoration provisions | Restoration provisions The Company has a legal obligation to complete the site restoration and decommissioning of its leased plant properties in New York and Ontario. The provision for decommissioning and site restoration is determined using the estimated costs provided by the New York Department of Environmental Conservation and Ontario Ministry of the Environment, Conservation and Parks. The following table represents the continuity of the restoration provision associated with the Company’s leased plant properties: Restoration provisions at October 31, 2019 $ — Initial recognition $ 321,400 Interest Recognized $ — Restoration provisions at October 31, 2020 $ 321,400 Interest Recognized 3,194 Foreign exchange recognized 9,639 Restoration provisions at October 31, 2021 $ 334,233 |
Accounts payable and accrued li
Accounts payable and accrued liabilities | 12 Months Ended |
Oct. 31, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
Accounts payable and accrued liabilities | Accounts payable and accrued liabilities October 31, 2021 October 31, 2020 $ $ Accounts payable 9,447,394 2,454,421 Accrued expenses 6,452,754 1,177,377 Accrued compensation 2,800,968 732,574 18,701,116 4,364,372 |
Commitments
Commitments | 12 Months Ended |
Oct. 31, 2021 | |
Commitments [Abstract] | |
Commitments | Commitments As of October 31, 2021, there were $6.9 million in committed purchase orders or agreements for equipment and services (October 31, 2020: $4.2 million). |
Loss per share
Loss per share | 12 Months Ended |
Oct. 31, 2021 | |
Earnings per share [abstract] | |
Loss per share | Loss per share For comparability, the weighted average number of ordinary shares and the number of potential common shares have been scaled by the exchange ratio of 1:39.91 for periods prior to the completion of the business combination on August 10, 2021. Year Ended October 31, 2021 2020 2019 Net loss $ (226,559,288) $ (9,275,962) $ (4,100,782) Weighted average number of ordinary shares 110,119,135 82,571,828 71,891,372 Basic and diluted loss per share $ (2.06) $ (0.11) $ (0.06) Adjustments for diluted loss per share were not made for the twelve months ended October 31, 2021, 2020 and 2019 as they would be anti-dilutive in nature. The following potential common shares are anti-dilutive and are therefore excluded from the weighted average number of common shares for the purpose of diluted earnings per share: Year Ended October 31, 2021 2020 2019 Stock options 5,296,553 5,327,985 3,991,000 Warrants 22,999,894 — — Convertible debt 7,493,795 — 536,231 Restricted share units 716,763 87,084 — 36,507,005 5,415,069 4,527,231 |
Segment reporting
Segment reporting | 12 Months Ended |
Oct. 31, 2021 | |
Disclosure of operating segments [abstract] | |
Segment reporting | Segment reporting The consolidated financial data presented in these financial statements is reviewed regularly by the Company’s chief operating decision maker (“CODM”) for making strategic decisions, allocations resources and assessing performance, in consultation with the Board of Directors. The Corporation’s CODM is its Chief Executive Officer. During the twelve months ended October 31, 2021, the Company operated in Canada and began operations in the United States. Management has concluded that the customers, and the nature and method of distribution of goods and services delivered, if any, to these geographic regions are similar in nature. The risks and returns across the geographic regions are not dissimilar; therefore, the Company operates as a single operating segment. The following is a summary of the Company’s geographical information: Canada United States Total $ $ $ For the Year Ended October 31, 2021 Revenue 2,999,249 4,375,627 7,374,876 Non-current assets 15,476,877 37,922,346 53,399,223 For the Year Ended October 31, 2020 Revenue 792,254 — 792,254 Non-current assets 3,395,049 6,066,619 9,461,668 For the Year Ended October 31, 2019 Revenue 48,160 — 48,160 Non-current assets 1,060,792 — 1,060,792 The Company does not currently have active operations in other geographical regions. The following is a summary of the Company’s main customers: Year Ended October 31, 2021 2020 2019 % % % Revenue Customer A 42% 67% 0% Customer B 52% 0% 0% Accounts Receivable Customer A 53% 90% 0% Customer B 45% 0% 0% |
Government funding
Government funding | 12 Months Ended |
Oct. 31, 2021 | |
Government Grants [Abstract] | |
Government funding | Government funding The Company has received government grants and investment tax credits from the Government of Canada and the Government of Ontario for research and development activities, as set forth below: October 31, 2021 October 31, 2020 October 31, 2019 $ $ $ Research and development expenses, gross 2,694,999 2,809,537 3,134,468 Less: Government grants (32,427) (2,032,869) (629,346) Less: Investment tax credits — — (393,464) Research and development expenses, net 2,662,572 776,668 2,111,658 |
Income taxes
Income taxes | 12 Months Ended |
Oct. 31, 2021 | |
Income Taxes [Abstract] | |
Income taxes | Income taxes The recovery of income taxes differs from the amount obtained by applying the statutory Canadian Federal and Provincial income tax rates to the loss for the year as follows: October 31, 2021 October 31, 2020 October 31, 2019 $ $ $ Net loss and comprehensive loss for the period before tax (226,559,288) (9,275,962) (4,100,782) Statutory tax rates 26.5% 26.5% 26.5% (60,038,210) (2,458,130) (1,086,707) Change in unrecognized deferred tax amounts 8,799,310 2,365,715 993,703 Non-deductible item and others 51,238,900 92,415 93,004 Income tax expense — — — The Company incurred significant transaction costs in the course of becoming a listed entity that have been recorded as a reduction in the proceeds related to the issuance of shares. The deferred tax asset associated with these expenses in the amount of $13 million has not been recorded as a deferred tax asset. At October 31, 2021,2020 and 2019, the Company has aggregate non-capital losses for Canadian income tax purposes of approximately $49 million, $13 million, and $4 million respectively that expire in the period 2037 to 2040. In addition, the Company has net operating losses for US income tax purposes of approximately $5 million that carryforward indefinitely. Management cannot assert that the realization of the income tax benefits related to these losses and other potential deferred income tax assets is more likely than not to be realized. Accordingly, the Company has not recognized the following deferred income tax assets in the consolidated financial statements: October 31, 2021 October 31, 2020 October 31, 2019 $ $ $ Tax losses and credits carryforwards 14,341,855 3,799,216 1,163,353 Share issuance costs 12,647,471 — — Convertible debt 250,729 — — Reserves and provisions 233,840 84,464 24,164 Other 97,360 — — Plant and equipment, due to differences in amortization (2,732,757) (205,158) (184,536) Right of use assets, net of lease liabilities 615,993 (65,395) — 25,454,491 3,613,127 1,002,981 Deferred tax assets not recognized (25,454,491) (3,613,127) (1,002,981) — — — |
Notes to the Consolidated State
Notes to the Consolidated Statements of Cash Flows | 12 Months Ended |
Oct. 31, 2021 | |
Notes To The Statements Of Cash Flows [Abstract] | |
Notes to the Consolidated Statements of Cash Flows | Notes to the Consolidated Statements of Cash Flows Cash consists of cash deposits with financial institutions. Cash equivalents consists of overnight guaranteed investment certificates with financial institutions. As of October 31, 2021, the Company had cash on hand of $6,858,298 and cash equivalents in the form of overnight guaranteed investment certificates of $590,000,000. Interest paid during the year amounted to $1,923,202 (2020 – $519,769, 2019 – $nil). Changes in liabilities arising from financing activities comprise the following: Restricted share units Lease liabilities Loans payable Restoration provisions Convertible debt Conversion feature of convertible debt Deferred government funding Balance, October 31, 2019 — — 87,381 — 384,207 94,985 1,067,318 Cash changes: Repayments of lease liabilities (387,508) Proceeds from loans payable 2,153,110 Repayment of loans payable (12,881) Proceeds from government grants 1,182,599 Total changes from financing cash flows — (387,508) 2,227,610 — 384,207 94,985 2,249,917 Non-cash changes: New leases 4,141,153 Grant of restricted share units 88,425 Fair value loss on restricted share units 84,454 Accrued interest and accretion 9,931 New restoration provisions 321,400 Conversion of convertible debt (397,424) (94,985) Amortization of government grants (2,226,910) Foreign exchange (gain) or loss (1,030) (140,475) 20,268 3,286 (23,007) Balance, October 31, 2020 171,849 3,613,170 2,247,878 321,400 — — — Cash changes: Repayments of lease liabilities (884,024) Proceeds from loans payable 10,091,220 Repayment of loans payable (12,544,339) Proceeds from convertible debt 70,719,220 27,681,043 — Total changes from financing cash flows — (884,024) (2,453,119) — 70,719,220 27,681,043 — Non-cash changes: New leases 26,261,895 Additions to restoration provision Grant of restricted share units 604,943 Fair value loss on restricted share units 3,096,940 RSU FMV transfer to share capital on public transaction (3,922,754) Accrued interest and accretion 3,194 1,129,680 Foreign exchange loss 49,022 373,828 244,989 9,639 New restoration provisions — Fair value loss on conversion feature of convertible debt 1,347,895 Amortization of government grants — Balance, October 31, 2021 — 29,364,869 39,748 334,233 71,848,900 29,028,938 — |
Subsequent events
Subsequent events | 12 Months Ended |
Oct. 31, 2021 | |
Events After Reporting Period [Abstract] | |
Subsequent events | Subsequent events On December 14, 2021, the Company announced a non-binding letter of intent with LG Chem, Ltd. (“LGC”) and LG Energy Solution, Ltd. (“LGES”) for a manufacturing scrap supply and nickel sulphate off-take agreement. Upon execution of the definitive commercial agreement related to the proposed supply and off-take arrangements, LGC and LGES will together make a $50 million investment to purchase common shares of Li-Cycle (each making a $25 million investment). Under the terms of the proposed investment, LG Chem and LG Energy Solution will each subscribe for 2,208,480 Common Shares at a price of $11.32 per share, for an aggregate investment in the Company of $50 million (the “Investment”). The subscription price per Common Share is based on a 30-day volume-weighted average price of the Common Shares prior to LGES’ investment committee approval of LGES’ participation in the Investment on October 28th, 2021. The closing of the Investment is conditional on the parties entering into mutually acceptable definitive commercial agreements regarding the supply of nickel-bearing lithium-ion battery scrap from LGES to Li-Cycle and nickel sulphate off-take from Li-Cycle to LGES and LGC. On December 31, 2021, the Company exercised its election to pay interest on its $100,000,000 convertible note to Koch Strategic Platforms through a payment in-kind and issued a new note under the same terms as the original note, in lieu of interest payments, with an issuance date of December 31, 2021 for the amount of $1,827,778. On December 27, 2021, the Company announced that it will redeem all of its warrants to purchase common shares of the Company that remain outstanding at 5:00 p.m. New York City time on January 26, 2022 (the "Redemption Date") for a redemption price of $0.10 per Warrant. Based on the Redemption Fair Market Value that was announced on January 11, 2022, Warrant holders who surrendered their Warrants on a "Make-Whole Exercise" prior to the Redemption Date received 0.253 Common Shares per Warrant. As of January 30, 2022, (i) 9,678 warrants have been exercised at the exercise price of $11.50 per common share, and (ii) 22,540,651 warrants have been surrendered by holders in the Make-Whole Exercise. The remaining 449,665 unexercised warrants will be redeemed at $0.10 per warrant. |
Significant accounting polici_2
Significant accounting policies (Policies) | 12 Months Ended |
Oct. 31, 2021 | |
List Of Accounting Policies [Abstract] | |
Statement of compliance | Statement of complianceThese consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”) incorporating interpretations issued by the IFRS Interpretations Committee (“IFRICs”). These consolidated financial statements were approved and authorized for issue by the Board of Directors on January 31, 2022. |
Basis of consolidation | Basis of consolidation These consolidated financial statements include the accounts of the Company and its subsidiaries. The Company’s seven subsidiaries are entities controlled by the Company. Control exists when the Company has power over an investee, when the Company is exposed, or has rights, to variable returns from the investee and when the Company has the ability to affect those returns through its power over the investee. The subsidiaries are included in the consolidated financial results of the Company from the effective date of incorporation up to the effective date of disposition or loss of control. The Company’s principal subsidiaries and their geographic location as at October 31, 2021 was as follows: Company Location Ownership interest Li-Cycle U.S. Holdings Inc. Delaware, U.S. 100% Li-Cycle Inc. Delaware, U.S. 100% Li-Cycle North America Hub, Inc. Delaware, U.S. 100% Li-Cycle Americas Corp. Ontario, Canada 100% Li-Cycle Corp. Ontario, Canada 100% Li-Cycle Europe AG Switzerland 100% Li-Cycle APAC PTE LTD. Singapore 100% Intercompany transactions, balances and unrealized gains/losses on transactions between the Company and its subsidiary are eliminated. |
Basis of preparation | Basis of preparation Change in Functional Currency: Prior to November 1, 2020, the Company had determined its functional currency was the Canadian dollar on the basis that its operating expenditures, capital expenditures and financing were primarily denominated in Canadian dollars. With increasing volume of operations, new contracts with US based suppliers, commencement of operations at its US Spoke and increasing capital expenditures in its US facilities, the Company’s operating expenditures are becoming predominantly denominated in US dollars. Additionally, due to the increase in US dollar expenses and its expansion plans in the US, the Company has obtained, and plans to continue to seek, financing in US dollars. As a result of the increasing activities in US dollars, the Company changed its functional currency to the U.S. dollar, effective November 1, 2020. Accordingly, the Company transitioned its functional and presentation currency to U.S. dollars. Transactions in currencies other than the U.S. dollar are recorded at the exchange rates on the dates of transactions. At the end of each reporting period, monetary assets and liabilities that are denominated in foreign currencies are translated at the closing rate on that date. Comparative financial information was translated from Canadian dollars into U.S. dollars in accordance with IAS 21 The Effects of Changes in Foreign Exchange Rates: (i) Assets and liabilities were translated at the closing rate at end of each reporting period; (ii) Items recognized in the statement of loss and comprehensive loss were translated at the exchange rate at the time of transaction; (iii) Equity items have been translated using the historical rate at the time of transaction; (iv) All resulting exchange differences were recognized in other comprehensive loss. |
Cash and Cash Equivalents | Cash and cash equivalentsCash consists of cash deposits with financial institutions. Cash equivalents consists of overnight guaranteed investment certificates with financial institutions. |
Inventories | InventoriesRaw materials and finished goods are valued at the lower of cost and net realizable value. Cost is determined on a weighted average basis. The cost of finished goods includes the cost of raw materials and the applicable share of the cost of labour and fixed and variable production overheads. Net realizable value is the estimated selling price less the estimated cost of completion and the estimated costs necessary to make the sale. Costs of idle plant operations are expensed.At each reporting period, the Company assesses the net realizable value of inventory taking into account current market prices, current economic trends, sales trends and past experiences. |
Convertible debt instruments | Convertible debt instrumentsThe components of convertible debt instruments issued by the Company are classified separately as financial liabilities and equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument. The debt element of the instruments is classified as a liability and recorded as the present value of the Company’s obligation to make future interest payments in cash and settle the redemption value of the instrument in cash. The carrying value of the debt element is accreted to the original face value of the instruments, over their life, using the effective interest method. If the conversion option is classified as equity, its value is determined by deducting the amount of the liability component from the fair value of the compound instrument as a whole. If the conversion option is classified as a liability and requires bifurcation, it is bifurcated as an embedded derivative unless the issuer elects to apply the fair value option to the convertible debt. The embedded derivative liability is initially recognized at fair value and classified as derivatives in the statement of financial position. Changes in the fair value of the embedded derivative liability are subsequently accounted for directly through the income statement. |
Loss per share | Loss per shareThe Company calculated basic and diluted loss per share data for its common shares, calculated by dividing the loss attributable to common shareholders of the Company by the weighted average number of common shares outstanding during the period. Diluted loss per share is based on the weighted average number of common shares, stock options and restricted share units (“RSUs”) outstanding at the beginning of or granted during the period, and shares to be issued upon conversion of a convertible instrument, calculated using the treasury stock method. Under this method, the proceeds from the exercise of the options are assumed to be used to repurchase the Company’s shares. The difference between the number of shares assumed purchased and the number of options assumed exercised is added to the actual number of shares outstanding to determine diluted shares outstanding for purposes of calculating diluted earnings per share. Diluted loss per share does not adjust the loss attributable to common shareholders or the weighted average number of common shares outstanding when the effect is anti-dilutive. |
Plant and equipment | Plant and equipment Plant and equipment are stated at cost less accumulated depreciation and accumulated impairment losses net of any reversals of impairment. Where parts of an item of plant and equipment have different useful lives, they are accounted for as separate items of plant and equipment. Depreciation is charged to the consolidated statement of loss and comprehensive loss on a straight-line basis over the estimated useful lives of each part of an item of plant and equipment. The estimated useful lives are reviewed each reporting period and any changes are accounted for on a prospective basis. The estimated useful lives are as follows: Computers 3 years Vehicles 5 years Plant equipment 5 years Storage containers 10 years Leasehold improvements Shorter of term of lease or estimated useful life |
Financial instruments | Financial instruments Recognition The Company recognizes financial assets or financial liabilities on the consolidated statement of financial position when it becomes party to the contractual provisions of the financial instrument. Financial assets are initially measured at fair value and derecognized either when the Company has transferred substantially all the risks and rewards of ownership of the financial asset, or when cash flows expire. Financial liabilities are initially measured at fair value and are derecognized when the obligations specified in the contract is discharged, cancelled or expired. A write-off of a financial asset (or a portion thereof) constitutes a derecognition event. Write-off occurs when the Company has no reasonable expectations of recovering the contractual cash flows on a financial asset. Classification and measurement The Company determines the classification of its financial instruments at initial recognition. Financial assets and financial liabilities are classified according to the following measurement categories: (i) those to be measured subsequently at fair value, either through profit or loss (“FVTPL”) or through other comprehensive income (“FVTOCI”); and (ii) those to be measured subsequently at amortized cost. The classification and measurement of financial assets after initial recognition at fair value depends on the business model for managing the financial asset and the contractual terms of the cash flows. Financial assets that are held within a business model whose objective is to collect the contractual cash flows, and that have contractual cash flows that are solely payments of principal and interest on the principal outstanding, are generally measured at amortized cost at each subsequent reporting period. Derivative financial instruments are comprised of the embedded derivative liability representing the conversion option of the convertible debt. The embedded derivative liability is measured at fair value at each reporting date. The embedded derivative liability has been classified as held-for-trading. It is classified as non-current based on the contractual terms specific to the instrument. Gains and losses on re-measurement of the embedded derivative liability are recognized in the consolidated statements of loss and comprehensive loss. All other financial assets are measured at their fair values at each subsequent reporting period, with any changes recorded through profit and loss or through other comprehensive income (which designation is made as an irrevocable election at the time of recognition). After initial recognition at fair value, financial liabilities are classified and measured at either: (i) amortized cost; (ii) FVTPL, if the Company has made an irrevocable election at the time of recognition, or when required (for items such as instruments held for trading or derivatives); or, (iii) FVTOCI, when the change in fair market value is attributable to changes in the Company’s credit risk. The classification and measurement basis of the Company’s financial instruments are as follows: Financial Instrument Measurement Cash and cash equivalents Amortized cost Trade accounts receivables FVTPL Other accounts receivables Amortized cost Accounts payable and accrued liabilities Amortized cost Restricted share units FVTPL Warrants FVTPL Loans payable Amortized cost Lease liabilities Amortized cost Convertible debt Amortized cost Conversion feature of convertible debt FVTPL The Company reclassifies financial assets when and only when its business model for managing those assets changes. Financial liabilities are not reclassified. |
Impairment | Impairment The Company assesses all information available, including on a forward-looking basis the expected credit loss associated with any financial assets carried at amortized cost. The impairment methodology applied depends on whether there has been a significant increase in credit risk. To assess whether there has been a significant increase in credit risk, the Company compares the risk of default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition based on all information available, and reasonable supportive forward-looking information. |
Foreign currencies | Foreign currencies The reporting and functional currency of the Company is the U.S. dollar. Transactions in currencies other than the U.S. dollar are recorded at the rates of exchange prevailing on the dates of transactions. At the end of each reporting period, monetary assets and liabilities that are denominated in foreign currencies are translated at the rates prevailing at that date. |
Government assistance and investment tax credits | Government assistance and investment tax credits Government grants Amounts received or receivable resulting from government assistance programs are recognized when there is reasonable assurance that the amount of government assistance will be received, and all attached conditions will be complied with. When the amount relates to an expense item, it is recognized as a reduction to the related expense. When the amount relates to an asset, it reduces the carrying amount of the asset and is then recognized as income over the useful life of the depreciable asset by way of a reduced depreciation charge. Grants received in advance are recorded as deferred liability and amortized as a reduction to the related expense/carrying amount of asset as and when the related qualifying costs are incurred. Investment Tax Credits (“ITCs”) receivable are amounts refundable from the Canadian federal and provincial governments under the Scientific Research & Experimental Development incentive program. The amounts claimed under the program represent the amounts submitted by management based on research and development costs paid during the period and include estimates and assumptions made by management in determining the eligible expenditures. ITCs are netted against the related research and development expense when there is reasonable assurance that the Company will realize the ITCs. ITCs are subject to review and approval by tax authorities and, therefore, could be different from the amounts recorded. |
Impairment of long-term non-financial assets | Impairment of long-term non-financial assets At the end of each reporting period the carrying amounts of the Company’s assets are reviewed to determine whether there is any indication that those assets are impaired. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment, if any. The recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount and the impairment loss is recognized in period. For an asset that does not generate largely independent cash inflows, the recoverable amount is determined for the cash generating unit to which the asset belongs. |
Income taxes | Income taxes Income tax expense is comprised of current and deferred tax components. Income tax is recognized in profit or loss except to the extent that it relates to items recognized directly in equity or other comprehensive income, in which case the related tax is recognized in equity or other comprehensive income. Current tax expense is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted at year end, adjusted for amendments to tax payable with regards to previous years. Deferred tax is recorded using the asset and liability method. Under this method, the Company calculates all temporary differences between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes at the period end date. Deferred tax is calculated based on the expected manner of realization or settlement of the carrying amount of assets and liabilities, using tax rates that are expected to apply to the year of realization or settlement based on tax rates and laws enacted or substantively enacted at the period end date. Deferred tax assets are recognized to the extent that it is probable that taxable profits will be available against which the deductible temporary differences and unused tax losses and tax credits can be utilized. The carrying amount of deferred tax assets is reviewed at each statement of the financial position date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities and when they relate to income taxes levied by the same taxation authority and the Company intends to settle its current tax assets and liabilities on a net basis. |
Provisions | ProvisionsProvisions represent liabilities of the Company for which the amount or timing is uncertain. A provision is recognized when, as a result of a past event, the Company has a present obligation (legal or constructive) that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Where appropriate, the future cash flow estimates are adjusted to reflect risks specific to the liability. The amount recognized as a provision is the best estimate of the consideration required to settle the present obligation at the statement of financial position date, considering the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows. When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, the receivable is recognized as an asset if it is virtually certain that reimbursement will be received, and the amount receivable can be measured reliably. |
Related party transactions | Related party transactionsParties are considered to be related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also considered to be related if they are subject to common control or common significant influence. Related parties may be individuals or corporate entities. A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. |
Research and development expense | Research and development expense Research costs are expensed as incurred. An internally-generated intangible asset arising from development (or from the development phase of an internal project) is recognised if, and only if, all of the following conditions have been demonstrated: • the technical feasibility of completing the intangible asset so that it will be available for use or sale; • the intention to complete the intangible asset and use or sell it; • the ability to use or sell the intangible asset; • how the intangible asset will generate probable future economic benefits; • the availability of adequate technical, financial and other resources to complete the development and to use or sell the intangible asset; and • the ability to measure reliably the expenditure attributable to the intangible asset during its development. The amount initially recognised for internally-generated intangible assets is the sum of the expenditure incurred from the date when the intangible asset first meets the recognition criteria listed above. Where no internally generated intangible asset can be recognised, development expenditure is recognised in profit or loss in the period in which it is incurred. Subsequent to initial recognition, internally-generated intangible assets are reported at cost less accumulated amortisation and accumulated impairment losses, on the same basis as intangible assets that are acquired separately. No development costs have been capitalized to date. |
Revenue recognition | Revenue recognition The Company’s principal activities generate revenues from the operation of lithium-ion battery recycling plants. The Company uses the following five step approach to revenue recognition: Step 1: Identify the contract(s) with a customer Step 2: Identify the performance obligations in the contract Step 3: Determine the transaction price Step 4: Allocate the transaction price to the performance obligations in the contract Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation The Company recognizes revenue from the following major sources: • Services of recycling lithium-ion batteries which includes coordination of logistics and destruction of batteries • Sales of products which includes black mass, shredded metal and plastic Revenue is measured based on the consideration to which the Company expects to be entitled to in a contract with a customer. The Company recognizes revenue when it transfers control of a product or service to a customer. There are no significant financing components associated with the Company’s payment terms. Recycling Services revenue is recognized at a point in time upon completion of the services. Prices for services are separately identifiable within each contract. A receivable is recognized by the Company when the services are completed as this represents the point in time at which the right to consideration becomes unconditional, as only the passage of time is required before payment is due. For sale of products, revenue is recognized when control of the goods has transferred, being when the goods have been shipped to the customer’s location (delivery). A receivable is recognised by the Company when the goods are delivered to the customer as this represents the point in time at which the right to consideration becomes unconditional, as only the passage of time is required before payment is due. The Company estimates the amount of consideration to which it expects to be entitled under provisional pricing arrangements. The amount of consideration for black mass and mixed copper/aluminum sales is based on the mathematical product of: (i) market prices of the constituent metals at the date of settlement, (ii) product weight, and (iii) assay results (ratio of the constituent metals initially estimated by management and subsequently trued up to customer confirmation). Certain adjustments like handling and refining charges are also made per contractual terms with customers. Depending on the contractual terms with customers, the payment of receivables may take up to 12 months from date of shipment. Product sales and the related trade accounts receivables are measured at fair value at initial recognition and are re-estimated at each reporting period end using the market prices of the constituent metals at the respective measurement dates. Changes in fair value are recognized as an adjustment to profit and loss and the related accounts receivable. |
Share capital | Share capital The Company records proceeds from the issuance of its common shares as equity. Incremental costs directly attributable to the issue of new common shares are shown in equity as a deduction, net of tax, from the proceeds. |
Financing costs | Financing costsProfessional, consulting, regulatory and other costs directly attributable to financing transactions are recorded as deferred financing costs until the financing transactions are completed, if the completion of the transaction is considered likely; otherwise they are expensed as incurred. Share issue costs are charged to share capital when the related shares are issued. Deferred financing costs related to financing transactions that are not completed are charged to earnings. |
Share-based compensation | Share-based compensation The Company accounts for stock options using the fair value-based method of accounting for share-based compensation. Fair values are determined using the Black-Scholes-Merton option pricing model (“BSM”). Management exercises judgment in determining the underlying share price volatility, expected life of the option, expected forfeitures and other parameters of the calculations. Compensation costs are recognized over the vesting period as an increase to share-based compensation expense and contributed surplus. If, and when, stock options are ultimately exercised, the applicable amounts of contributed surplus are transferred to share capital. The Company accounts for RSUs under the current plan as equity settled share-based payments which are measured at fair value on the grant date. The expense for RSUs is recognized over the vesting period. Upon exercise of any RSUs, the grant date fair value of the instrument is transferred to share capital. |
Significant accounting estimates and judgments | Significant accounting estimates and judgmentsThe preparation of the financial statements in conformity with IFRS requires management to make judgements, estimates and assumptions that are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which affect the application of accounting policies and the reported amounts of assets, liabilities and expenses. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised and in any future periods affected. Significant estimates include: (a) the determination and valuation of deferred income tax assets and liabilities; (b) the determination of the useful life and impairment of the plant and equipment; (c) the valuation and measurement of the convertible debt and the related conversion features; (d) the valuation and recognition of ITCs; and (e) the valuation of share-based compensation. Critical judgements in applying accounting policies that have the most significant effect on the amounts recognized in the financial statements include the following: (a) the determination of the functional currency of the Company and its subsidiaries; (b) the determination of the revenue recognition policy with regards to transaction price; (c) the evaluation of the Company’s ability to continue as a going concern; and (d) the valuation of inventory with regards to incremental cost to completion for raw materials and determination of net realizable value. (e) the valuation of the fair value of consideration transferred in the business combination |
Leases | Leases The Company assesses whether a contract is or contains a lease, at inception of the contract. The Company recognises a right-of-use asset and a corresponding lease liability with respect to all lease arrangements in which it is the lessee, except for short-term leases (defined as leases with a lease term of 12 months or less) and leases of low value assets (such as tablets and personal computers, small items of office furniture and telephones). For these leases, the Company recognises the lease payments as an operating expense on a straight-line basis over the term of the lease unless another systematic basis is more representative of the time pattern in which economic benefits from the leased assets are consumed. The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted by using the rate implicit in the lease. If this rate cannot be readily determined, the Company uses its incremental borrowing rate. Lease payments included in the measurement of the lease liability comprise: • Fixed lease payments (including in-substance fixed payments), less any lease incentives receivable; • Variable lease payments that depend on an index or rate, initially measured using the index or rate at the commencement date; • The amount expected to be payable by the lessee under residual value guarantees; • The exercise price of purchase options, if the lessee is reasonably certain to exercise the options; and • Payments of penalties for terminating the lease, if the lease term reflects the exercise of an option to terminate the lease. The lease liability is presented as a separate line in the consolidated statement of financial position. The lease liability is subsequently measured by increasing the carrying amount to reflect interest on the lease liability (using the effective interest method) and by reducing the carrying amount to reflect the lease payments made. The Company remeasures the lease liability (and makes a corresponding adjustment to the related right-of-use asset) whenever: • The lease term has changed or there is a significant event or change in circumstances resulting in a change in the assessment of exercise of a purchase option, in which case the lease liability is remeasured by discounting the revised lease payments using a revised discount rate. • The lease payments change due to changes in an index or rate or a change in expected payment under a guaranteed residual value, in which cases the lease liability is remeasured by discounting the revised lease payments using an unchanged discount rate (unless the lease payments change is due to a change in a floating interest rate, in which case a revised discount rate is used). • A lease contract is modified and the lease modification is not accounted for as a separate lease, in which case the lease liability is remeasured based on the lease term of the modified lease by discounting the revised lease payments using a revised discount rate at the effective date of the modification. The Company made several such adjustments during the periods presented, see Note 15. The right-of-use assets comprise the initial measurement of the corresponding lease liability, lease payments made at or before the commencement day, less any lease incentives received and any initial direct costs. They are subsequently measured at cost less accumulated depreciation and impairment losses. Whenever the Company incurs an obligation for costs to dismantle and remove a leased asset, restore the site on which it is located or restore the underlying asset to the condition required by the terms and conditions of the lease, a provision is recognised and measured under IAS 37. To the extent that the costs relate to a right-of-use asset, the costs are included in the related right-of-use asset, unless those costs are incurred to produce inventories. Right-of-use assets are depreciated over the shorter period of lease term and useful life of the right-of-use asset. If a lease transfers ownership of the underlying asset or the cost of the right-of-use asset reflects that the Company expects to exercise a purchase option, the related right-of-use asset is depreciated over the useful life of the underlying asset. The depreciation starts at the commencement date of the lease. The right-of-use assets are presented as a separate line in the consolidated statement of financial position. The Company applies IAS 36 to determine whether a right-of-use asset is impaired and accounts for any identified impairment loss as described in the ‘Property, Plant and Equipment’ policy. Variable rents that do not depend on an index or rate are not included in the measurement the lease liability and the right-of-use asset. The related payments are recognised as an expense in the period in which the event or condition that triggers those payments occurs. |
Restoration provisions | Restoration provisions Provisions for the costs to restore leased plant assets to their original condition, as required by the terms and conditions of the lease, are recognised when the obligation is incurred, either at the commencement date or as a consequence of having used the underlying asset during a particular period of the lease, at the directors’ best estimate of the expenditure that would be required to restore the assets. Estimates are regularly reviewed and adjusted as appropriate for new circumstances. Whenever the Company incurs an obligation for costs to dismantle and remove a leased asset, restore the site on which it is located or restore the underlying asset to the condition required by the terms and conditions of the lease, a provision is recognised and measured under IAS 37. To the extent that the costs relate to a right-of-use asset, the costs are included in the related right-of-use asset, unless those costs are incurred to produce inventories. |
Intangible assets | Intangible assets No intangible assets have been recognized to date. |
Changes in presentation | Changes in presentation The company has made the following changes in presentation for the financial statements for the twelve months ended October 31, 2021: • The prior year results have been adjusted to conform with current year presentation on the Consolidated statements of loss and comprehensive loss. • Segregating trade accounts receivable from other receivables to provide more information regarding these balances. Please see Note 4. • Renaming of the profit and loss line item Fair value loss on restricted share units to Fair value loss on financial instruments to reflect new diverse financial instruments the Company is exposed to as at October 31, 2021. • Combining the previously separate profit and loss lines items of Office and administrative and Travel and entertainment in a single line to show similar items together |
Nature of operations and busi_2
Nature of operations and business combination (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Nature Of Operations [Abstract] | |
Summary of Purchase Price Allocation of Assets Acquired and Liabilities Assumed | The details of the purchase price allocation of the identifiable assets acquired and liabilities assumed are as follows: 2021 $ Fair value of consideration transferred: Common shares 656,713,740 Total fair value of consideration transferred 656,713,740 Fair value of assets acquired and liabilities assumed: Cash and cash equivalents 581,862,621 Warrants (48,299,987) Other payables (29,567,903) Total fair value of assets acquired and liabilities assumed 503,994,731 Excess of fair value of consideration transferred over fair value of assets acquired and liabilities assumed, recognized as Listing Fee 152,719,009 Gross proceeds 581,862,621 Transaction-related costs (26,965,445) Other payables acquired (29,567,903) Net proceeds 525,329,273 |
Significant accounting polici_3
Significant accounting policies (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
List Of Accounting Policies [Abstract] | |
Summary of Principal Subsidiaries and their Geographic Location | The Company’s principal subsidiaries and their geographic location as at October 31, 2021 was as follows: Company Location Ownership interest Li-Cycle U.S. Holdings Inc. Delaware, U.S. 100% Li-Cycle Inc. Delaware, U.S. 100% Li-Cycle North America Hub, Inc. Delaware, U.S. 100% Li-Cycle Americas Corp. Ontario, Canada 100% Li-Cycle Corp. Ontario, Canada 100% Li-Cycle Europe AG Switzerland 100% Li-Cycle APAC PTE LTD. Singapore 100% |
Summary of plant and equipment | The estimated useful lives are as follows: Computers 3 years Vehicles 5 years Plant equipment 5 years Storage containers 10 years Leasehold improvements Shorter of term of lease or estimated useful life Plant Storage Vehicles Leasehold Total $ $ $ $ $ Cost At October 31, 2019 1,043,231 53,610 90,707 58,848 1,246,396 Additions 3,519,013 13,914 68,243 1,506,493 5,107,663 Disposals (150,690) — — — (150,690) Foreign Exchange on Translation 23,320 95 (1,346) 11,860 33,929 At October 31, 2020 4,434,874 67,619 157,604 1,577,201 6,237,298 Additions 17,674,983 62,017 4,642,255 22,379,255 Disposals — (40,323) (40,323) At October 31, 2021 22,109,857 67,619 179,298 6,219,456 28,576,230 Accumulated depreciation At October 31, 2019 (170,691) (1,397) (2,187) (11,329) (185,604) Depreciation (350,173) (5,977) (22,408) (115,958) (494,516) Disposals 43,744 — — — 43,744 Foreign Exchange on Translation 2,462 (36) (232) (536) 1,658 At October 31, 2020 (474,658) (7,410) (24,827) (127,823) (634,718) Depreciation (1,083,687) (6,762) (34,545) (437,113) (1,562,107) Disposals — — 10,058 — 10,058 At October 31, 2021 (1,558,345) (14,172) (49,314) (564,936) (2,186,767) Carrying amounts — At October 31, 2019 872,540 52,213 88,520 47,519 1,060,792 At October 31, 2020 3,960,216 60,209 132,777 1,449,378 5,602,580 At October 31, 2021 20,551,512 53,447 129,984 5,654,520 26,389,463 |
Schedule of Classification and Measurement Basis of the Company’s Financial Instruments | The classification and measurement basis of the Company’s financial instruments are as follows: Financial Instrument Measurement Cash and cash equivalents Amortized cost Trade accounts receivables FVTPL Other accounts receivables Amortized cost Accounts payable and accrued liabilities Amortized cost Restricted share units FVTPL Warrants FVTPL Loans payable Amortized cost Lease liabilities Amortized cost Convertible debt Amortized cost Conversion feature of convertible debt FVTPL |
Summary of general and administrative expenses | 2020 2019 $ $ Office and administrative 316,401 355,361 Travel and entertainment 160,332 137,943 476,733 493,304 |
Accounts receivable (Tables)
Accounts receivable (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Trade and other current receivables [abstract] | |
Schedule of aging of receivables | Aging Summary October 31, 2021 October 31, 2020 $ $ Current 3,181,294 540,824 1-30 days 310,818 — 31-60 days 120,604 21,455 61-90 days 18,477 — 91 days and over 441,508 9,021 4,072,701 571,300 |
Schedule of other receivables | October 31, 2021 October 31, 2020 $ $ Harmonized Sales Taxes receivable 379,814 274,998 Other receivables 593,331 43,931 973,145 318,929 |
Prepayments and deposits (Table
Prepayments and deposits (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Prepayments And Deposits [Abstract] | |
Schedule of prepayments and deposits | October 31, 2021 October 31, 2020 $ $ Prepaid lease deposits 886,951 33,501 Prepaid equipment deposits 3,231,836 — Prepaid insurance 3,839,880 59,582 Other prepaids 688,331 870,868 8,646,998 963,951 |
Inventory (Tables)
Inventory (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Inventories [Abstract] | |
Schedule of inventory | October 31, 2021 October 31, 2020 $ $ Raw material 850,416 140,419 Finished goods 347,391 39,575 1,197,807 179,994 |
Plant and equipment (Tables)
Plant and equipment (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Summary of plant and equipment | The estimated useful lives are as follows: Computers 3 years Vehicles 5 years Plant equipment 5 years Storage containers 10 years Leasehold improvements Shorter of term of lease or estimated useful life Plant Storage Vehicles Leasehold Total $ $ $ $ $ Cost At October 31, 2019 1,043,231 53,610 90,707 58,848 1,246,396 Additions 3,519,013 13,914 68,243 1,506,493 5,107,663 Disposals (150,690) — — — (150,690) Foreign Exchange on Translation 23,320 95 (1,346) 11,860 33,929 At October 31, 2020 4,434,874 67,619 157,604 1,577,201 6,237,298 Additions 17,674,983 62,017 4,642,255 22,379,255 Disposals — (40,323) (40,323) At October 31, 2021 22,109,857 67,619 179,298 6,219,456 28,576,230 Accumulated depreciation At October 31, 2019 (170,691) (1,397) (2,187) (11,329) (185,604) Depreciation (350,173) (5,977) (22,408) (115,958) (494,516) Disposals 43,744 — — — 43,744 Foreign Exchange on Translation 2,462 (36) (232) (536) 1,658 At October 31, 2020 (474,658) (7,410) (24,827) (127,823) (634,718) Depreciation (1,083,687) (6,762) (34,545) (437,113) (1,562,107) Disposals — — 10,058 — 10,058 At October 31, 2021 (1,558,345) (14,172) (49,314) (564,936) (2,186,767) Carrying amounts — At October 31, 2019 872,540 52,213 88,520 47,519 1,060,792 At October 31, 2020 3,960,216 60,209 132,777 1,449,378 5,602,580 At October 31, 2021 20,551,512 53,447 129,984 5,654,520 26,389,463 |
Related party transactions (Tab
Related party transactions (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Disclosure of transactions between related parties [abstract] | |
Summary of transactions between related parties | The remuneration of the executive officers and directors, who are the key management personnel of the Company, is set out below: October 31, 2021 October 31, 2020 October 31, 2019 $ $ $ Salaries 1,501,800 231,034 104,310 Share-based compensation 1,863,260 74,320 149,993 Fees and benefits 1,517,791 411,184 159,881 4,882,851 716,538 414,184 Outstanding balances of remunerations of the executive officers and directors are summarized as follows: October 31, 2021 October 31, 2020 October 31, 2019 $ $ $ Accounts payable and accrued liabilities 771,255 316,465 85,386 Restricted share units — 153,296 — Outstanding balances 771,255 469,761 85,386 |
Loans Payable (Tables)
Loans Payable (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Borrowings [abstract] | |
Summary of borrowings | BDC Loan Other Loans Total $ $ $ Balance at October 31, 2019 — 87,381 87,381 Proceeds from loans payable 2,153,110 — 2,153,110 Repayment of loans payable — (12,881) (12,881) Foreign exchange loss 21,430 (1,162) 20,268 Balance at October 31, 2020 2,174,540 73,338 2,247,878 Proceeds from loans payable 3,091,220 7,000,000 10,091,220 Repayment of loans payable (5,507,298) (7,037,041) (12,544,339) Foreign exchange loss 241,538 3,451 244,989 Balance at October 31, 2021 — 39,748 39,748 |
Convertible Debt (Tables)
Convertible Debt (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Financial Instruments [Abstract] | |
Summary of Convertible Debt | October 31, 2021 October 31, 2020 October 31, 2019 $ $ $ Proceeds of issue of convertible debt 100,000,000 386,190 386,190 Transaction costs (1,599,737) — — Net Proceeds from issue of convertible debt 98,400,263 386,190 386,190 Conversion feature at date of issue 27,681,043 96,548 96,548 Fair value (gain) loss on embedded derivative 1,347,895 — — Conversion into common shares — (96,548) — Conversion feature at end of period 29,028,938 — 96,548 Debt component at date of issue (net of transaction costs) 70,719,220 289,642 289,642 Prior year interest plus accretion — 99,549 39,212 Amortization of transaction costs 26,662 — — Accrued interest at 7% (2020 - 8%) 641,667 4,956 30,114 Accretion expense during the year 461,351 4,975 30,223 Conversion into common shares — (395,861) — Foreign exchange on translation — (3,261) (4,984) Debt component at end of period 71,848,900 — 384,207 |
Summary of assumptions used in stock option pricing | The assumptions used in the model were as follows: September 29, 2021 October 31, 2021 Risk free interest rate 1.06% 1.23% Expected life of options 5 years 4.92 years Expected dividend yield 0.0% 0.0% Expected stock price volatility 66% 62% Share Price 12.56 12.94 |
Share capital and share-based_2
Share capital and share-based compensation (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Share Capital, Reserves And Other Equity Interest [Abstract] | |
Summary of number and weighted average exercise prices of stock options | A summary of stock option activities is as follows: Number of Weighted average Number of Weighted average $ $ Balance – October 31, 2018 58,320 2.49 Granted 41,680 13.57 Balance – October 31, 2019 100,000 7.14 Granted 33,500 39.66 Balance – October 31, 2020 133,500 15.35 Granted 31,750 85.30 Exercised (54,443) 24.58 Forfeited (4,500) 42.43 Exchanged on August 10, 2021 106,307 31.62 4,242,707 0.79 Granted 1,053,846 10.93 Balance – October 31, 2021 5,296,553 2.81 A summary of outstanding stock options is as follows: Number of Exercise price $ Expiration dates September 11, 2022 399,100 0.02 April 10, 2023 798,200 0.02 April 10, 2023 199,231 0.36 April 1, 2024 171,613 0.36 July 17, 2024 865,244 0.36 December 16, 2029 99,775 1.08 April 21, 2030 439,010 1.08 July 19, 2030 371,163 1.08 November 30, 2030 420,452 2.17 February 11, 2031 478,920 2.17 August 10, 2031 1,053,846 10.93 5,296,553 |
Summary of assumptions used in stock option pricing | The assumptions used in the stock option pricing model were as follows: Risk free interest rate 0.46% - 0.97% Expected life of options 6 years Expected dividend yield 0.0% Expected stock price volatility 65% Expected forfeiture rate 0.0% |
Summary of restricted stock unit activity | A summary of RSU activities is as follows: Number of Number of Li-Cycle Corp RSU Li-Cycle Holdings Corp RSU Balance – October 31, 2018 — Balance – October 31, 2019 — Granted 2,182 Balance – October 31, 2020 2,182 Granted 7,647 Settled on August 10, 2021 (9,829) Subtotal — — Granted on or after August 10, 2021 716,763 Balance – October 31, 2021 — 716,763 |
Financial instruments and fin_2
Financial instruments and financial risk factors (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Financial Instruments [Abstract] | |
Schedule of fair value measurement of assets | The Company’s financial assets measured at fair value on a recurring basis were calculated as follows: Balance Quoted prices in active markets for identical assets Significant other observable inputs Significant unobservable inputs $ $ $ $ As at October 31, 2021 Accounts receivable 4,072,701 — 4,072,701 — 4,072,701 — 4,072,701 — As at October 31, 2020 Accounts receivable 571,300 — 571,300 — 571,300 — 571,300 — |
Schedule of fair value measurement of liabilities | The Company’s financial liabilities measured at fair value on a recurring basis were calculated as follows: Balance Quoted prices in active markets for identical assets Significant other observable inputs Significant unobservable inputs $ $ $ $ As at October 31, 2021 Restricted share units — — — — Conversion feature of convertible debt 29,028,938 — 29,028,938 — Warrants 82,109,334 53,549,989 28,559,344 — 111,138,272 53,549,989 57,588,282 — As at October 31, 2020 Restricted share units 171,849 — 171,849 — 171,849 — 171,849 — Carrying amount Contractual cash flows Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter $ $ $ $ $ $ $ $ As at October 31, 2021 Accounts payable and accrued liabilities 18,701,116 18,701,116 18,701,116 — — — — — Lease liabilities 29,364,869 35,934,570 4,517,775 4,634,401 3,785,984 3,374,696 3,311,808 16,309,906 Loan payable 39,748 41,338 6,384 6,618 6,860 7,111 7,371 6,994 Convertible Debt 100,877,838 142,682,078 — — — — 142,682,078 — Warrants 82,109,334 — — — — — — — Restoration provisions 334,233 302,049 — 84,582 — — 54,842 162,625 231,427,138 197,661,151 23,225,275 4,725,601 3,792,844 3,381,807 146,056,099 16,479,525 Carrying amount Contractual cash flows Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter $ $ $ $ $ $ $ $ As at October 31, 2020 Accounts payable and accrued liabilities 4,364,370 4,364,372 4,364,372 — — — — — Restricted share units 171,849 171,849 171,849 — — — — — Lease liabilities 3,613,170 4,529,662 805,946 680,943 568,434 584,269 479,833 1,410,237 Loan payable 2,247,878 2,628,652 1,782,888 845,763 — — — — Restoration provisions 321,400 333,866 — 81,166 — — 52,627 200,074 10,718,667 12,028,401 7,125,055 1,607,872 568,434 584,269 532,460 1,610,311 |
Right-of-use assets (Tables)
Right-of-use assets (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Disclosure Of Leases [Abstract] | |
Schedule of right-of-use assets | Premises Equipment Total Cost $ $ $ At October 31, 2019 2,783,313 53,262 2,836,575 Additions & modifications 1,550,957 61,176 1,612,133 Foreign Exchange on Translation 19,731 (629) 19,102 At October 31, 2020 4,354,001 113,809 4,467,810 Additions & modifications 24,467,955 19,960 24,487,915 At October 31, 2021 28,821,956 133,769 28,955,725 Accumulated depreciation At October 31, 2019 — — — Depreciation (584,343) (16,391) (600,734) Foreign Exchange on Translation (7,810) (178) (7,988) At October 31, 2020 (592,153) (16,569) (608,722) Depreciation (1,302,026) (35,217) (1,337,243) At October 31, 2021 (1,894,179) (51,786) (1,945,965) Carrying amounts At October 31, 2019 2,783,313 53,262 2,836,575 At October 31, 2020 3,761,848 97,240 3,859,088 At October 31, 2021 26,927,777 81,983 27,009,760 |
Lease liabilities (Tables)
Lease liabilities (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Disclosure Of Leases [Abstract] | |
Lease liabilities | The Company has the following lease liabilities as of October 31, 2021. Maturity analysis Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter Total Undiscounted $ $ $ $ $ $ $ Premises 4,468,877 4,590,357 3,741,940 3,332,312 3,290,786 16,302,071 35,726,343 Equipment 48,898 44,044 44,044 42,384 21,022 7,835 208,227 Total 4,517,775 4,634,401 3,785,984 3,374,696 3,311,808 16,309,906 35,934,570 Lease liabilities Current Non-Current Total Discounted $ $ $ Premises 2,836,348 26,366,448 29,202,796 Equipment 32,447 129,626 162,073 Total 2,868,795 26,496,074 29,364,869 The Company has the following lease liabilities as of At October 31, 2020. Maturity analysis Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter Total Undiscounted $ $ $ $ $ $ $ Premises 769,865 650,087 549,908 565,742 462,851 1,410,237 4,408,690 Equipment 36,081 30,856 18,526 18,526 16,982 — 120,972 Total 805,946 680,943 568,434 584,268 479,833 1,410,237 4,529,662 Lease liabilities Current Non-Current Total Discounted $ $ $ Premises 565,296 2,949,707 3,515,003 Equipment 26,059 72,108 98,167 Total 591,355 3,021,815 3,613,170 |
Restoration provisions (Tables)
Restoration provisions (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Provisions [abstract] | |
Summary of provisions | The following table represents the continuity of the restoration provision associated with the Company’s leased plant properties: Restoration provisions at October 31, 2019 $ — Initial recognition $ 321,400 Interest Recognized $ — Restoration provisions at October 31, 2020 $ 321,400 Interest Recognized 3,194 Foreign exchange recognized 9,639 Restoration provisions at October 31, 2021 $ 334,233 |
Accounts payable and accrued _2
Accounts payable and accrued liabilities (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
Schedule of accounts payable and accrued liabilities | October 31, 2021 October 31, 2020 $ $ Accounts payable 9,447,394 2,454,421 Accrued expenses 6,452,754 1,177,377 Accrued compensation 2,800,968 732,574 18,701,116 4,364,372 |
Loss per share (Tables)
Loss per share (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Earnings per share [abstract] | |
Summary of earnings per share | Year Ended October 31, 2021 2020 2019 Net loss $ (226,559,288) $ (9,275,962) $ (4,100,782) Weighted average number of ordinary shares 110,119,135 82,571,828 71,891,372 Basic and diluted loss per share $ (2.06) $ (0.11) $ (0.06) Year Ended October 31, 2021 2020 2019 Stock options 5,296,553 5,327,985 3,991,000 Warrants 22,999,894 — — Convertible debt 7,493,795 — 536,231 Restricted share units 716,763 87,084 — 36,507,005 5,415,069 4,527,231 |
Segment reporting (Tables)
Segment reporting (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Disclosure of operating segments [abstract] | |
Schedule of geographical areas | The following is a summary of the Company’s geographical information: Canada United States Total $ $ $ For the Year Ended October 31, 2021 Revenue 2,999,249 4,375,627 7,374,876 Non-current assets 15,476,877 37,922,346 53,399,223 For the Year Ended October 31, 2020 Revenue 792,254 — 792,254 Non-current assets 3,395,049 6,066,619 9,461,668 For the Year Ended October 31, 2019 Revenue 48,160 — 48,160 Non-current assets 1,060,792 — 1,060,792 |
Summary of entity's exposure to risk | The following is a summary of the Company’s main customers: Year Ended October 31, 2021 2020 2019 % % % Revenue Customer A 42% 67% 0% Customer B 52% 0% 0% Accounts Receivable Customer A 53% 90% 0% Customer B 45% 0% 0% |
Government funding (Tables)
Government funding (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Government Grants [Abstract] | |
Summary of government grants | October 31, 2021 October 31, 2020 October 31, 2019 $ $ $ Research and development expenses, gross 2,694,999 2,809,537 3,134,468 Less: Government grants (32,427) (2,032,869) (629,346) Less: Investment tax credits — — (393,464) Research and development expenses, net 2,662,572 776,668 2,111,658 |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Income Taxes [Abstract] | |
Summary of reconciliation of earnings multiplied by applicable tax rates | The recovery of income taxes differs from the amount obtained by applying the statutory Canadian Federal and Provincial income tax rates to the loss for the year as follows: October 31, 2021 October 31, 2020 October 31, 2019 $ $ $ Net loss and comprehensive loss for the period before tax (226,559,288) (9,275,962) (4,100,782) Statutory tax rates 26.5% 26.5% 26.5% (60,038,210) (2,458,130) (1,086,707) Change in unrecognized deferred tax amounts 8,799,310 2,365,715 993,703 Non-deductible item and others 51,238,900 92,415 93,004 Income tax expense — — — |
Summary of deductible temporary differences for which no deferred tax asset is recognised | Accordingly, the Company has not recognized the following deferred income tax assets in the consolidated financial statements: October 31, 2021 October 31, 2020 October 31, 2019 $ $ $ Tax losses and credits carryforwards 14,341,855 3,799,216 1,163,353 Share issuance costs 12,647,471 — — Convertible debt 250,729 — — Reserves and provisions 233,840 84,464 24,164 Other 97,360 — — Plant and equipment, due to differences in amortization (2,732,757) (205,158) (184,536) Right of use assets, net of lease liabilities 615,993 (65,395) — 25,454,491 3,613,127 1,002,981 Deferred tax assets not recognized (25,454,491) (3,613,127) (1,002,981) — — — |
Notes to the Consolidated Sta_2
Notes to the Consolidated Statements of Cash Flows (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Notes To The Statements Of Cash Flows [Abstract] | |
Changes in liabilities arising from financing activities | Changes in liabilities arising from financing activities comprise the following: Restricted share units Lease liabilities Loans payable Restoration provisions Convertible debt Conversion feature of convertible debt Deferred government funding Balance, October 31, 2019 — — 87,381 — 384,207 94,985 1,067,318 Cash changes: Repayments of lease liabilities (387,508) Proceeds from loans payable 2,153,110 Repayment of loans payable (12,881) Proceeds from government grants 1,182,599 Total changes from financing cash flows — (387,508) 2,227,610 — 384,207 94,985 2,249,917 Non-cash changes: New leases 4,141,153 Grant of restricted share units 88,425 Fair value loss on restricted share units 84,454 Accrued interest and accretion 9,931 New restoration provisions 321,400 Conversion of convertible debt (397,424) (94,985) Amortization of government grants (2,226,910) Foreign exchange (gain) or loss (1,030) (140,475) 20,268 3,286 (23,007) Balance, October 31, 2020 171,849 3,613,170 2,247,878 321,400 — — — Cash changes: Repayments of lease liabilities (884,024) Proceeds from loans payable 10,091,220 Repayment of loans payable (12,544,339) Proceeds from convertible debt 70,719,220 27,681,043 — Total changes from financing cash flows — (884,024) (2,453,119) — 70,719,220 27,681,043 — Non-cash changes: New leases 26,261,895 Additions to restoration provision Grant of restricted share units 604,943 Fair value loss on restricted share units 3,096,940 RSU FMV transfer to share capital on public transaction (3,922,754) Accrued interest and accretion 3,194 1,129,680 Foreign exchange loss 49,022 373,828 244,989 9,639 New restoration provisions — Fair value loss on conversion feature of convertible debt 1,347,895 Amortization of government grants — Balance, October 31, 2021 — 29,364,869 39,748 334,233 71,848,900 29,028,938 — |
Nature of operations and busi_3
Nature of operations and business combination - Narrative (Details) | Aug. 10, 2021USD ($)shares$ / shares | Feb. 12, 2021 | Oct. 31, 2021USD ($)$ / sharesshares | Oct. 31, 2020USD ($)shares | Oct. 31, 2019USD ($)shares | Dec. 14, 2021$ / shares | Oct. 31, 2018shares |
Disclosure of classes of share capital [line items] | |||||||
Business combination, share exchange ratio | 39.91 | ||||||
Number of share options issued upon exchange of acquiree shares (in shares) | 4,242,707 | ||||||
Sale of stock, price per share (in dollars per share) | $ / shares | $ 11.32 | ||||||
Fair market value of warrants (in dollars per share) | $ / shares | $ 3.57 | ||||||
Listing fee | $ | $ 152,719,009 | $ 0 | $ 0 | ||||
Number of shares outstanding (in shares) | 163,179,555 | 163,179,655 | |||||
Share capital | |||||||
Disclosure of classes of share capital [line items] | |||||||
Number of shares outstanding (in shares) | 163,179,655 | 83,361,291 | 76,467,637 | 70,825,919 | |||
Public shares issued in exchange for Li-Cycle Corp shares (in shares) | 97,508,181 | ||||||
Peridot Acquisition Corp. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Shares redeemed (in shares) | 3,377,626 | ||||||
Payments to acquire or redeem entity's shares | $ | $ 33,800,000 | ||||||
Peridot Acquisition Corp. | Common Class A | |||||||
Disclosure of classes of share capital [line items] | |||||||
Number of shares to be converted into acquiring entity shares (in shares) | 26,622,374 | ||||||
Peridot Acquisition Corp. | Common Class B | |||||||
Disclosure of classes of share capital [line items] | |||||||
Shares converted (in shares) | 7,500,000 | ||||||
Li-Cycle Holdings Corp. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Number of shares reserved for issue under options and contracts for sale of shares (in shares) | 31,549,000 | ||||||
Sale of stock, price per share (in dollars per share) | $ / shares | $ 10 | ||||||
Proceeds from public share issuance, net of share issue costs | $ | $ 315,500,000 | ||||||
Li-Cycle Holdings Corp. | Common Class A | |||||||
Disclosure of classes of share capital [line items] | |||||||
Shares converted (in shares) | 7,500,000 | ||||||
Shares converted (in shares) | 96,084,679 | ||||||
Li-Cycle Corp. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Number of shares exchanged (in shares) | 2,552,450 | ||||||
Li-Cycle Corp. | Common Class A | |||||||
Disclosure of classes of share capital [line items] | |||||||
Number of shares exchanged (in shares) | 2,407,535 | ||||||
Peridot Acquisition Corp. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Sale of stock, price per share (in dollars per share) | $ / shares | $ 10 | ||||||
Proceeds from public share issuance, net of share issue costs | $ | $ 525,329,273 | ||||||
Percentage of voting equity interests acquired | 100.00% | ||||||
Fair market value of warrants (in dollars per share) | $ / shares | $ 2.1 | ||||||
Warrant liability | $ | $ 48,299,987 | ||||||
Listing fee | $ | $ 152,700,000 | ||||||
Transaction-related costs | $ | 26,965,445 | ||||||
Consideration transferred, acquisition-date fair value | $ | $ 656,713,740 | ||||||
Number of instruments or interests issued or issuable (in shares) | 65,671,374 | ||||||
Peridot Acquisition Corp. | Peridot Acquisition Corp. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Transaction-related costs | $ | 29,600,000 | ||||||
Peridot Acquisition Corp. | Li-Cycle Corp. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Transaction-related costs | $ | $ 27,000,000 | ||||||
Li-Cycle Inc. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Proportion of ownership interest in subsidiary | 100.00% | ||||||
Li-Cycle North America Hub, Inc. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Proportion of ownership interest in subsidiary | 100.00% | ||||||
Li-Cycle Holdings Corp. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Proportion of ownership interest in subsidiary | 100.00% | ||||||
Li-Cycle Corp. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Proportion of ownership interest in subsidiary | 100.00% |
Nature of operations and busi_4
Nature of operations and business combination - Summary of Purchase Price Allocation (Details) - Peridot Acquisition Corp. | Aug. 10, 2021USD ($) |
Disclosure of detailed information about business combination [line items] | |
Common shares | $ 656,713,740 |
Total fair value of consideration transferred | 656,713,740 |
Fair value of assets acquired and liabilities assumed: | |
Cash and cash equivalents | 581,862,621 |
Warrants | (48,299,987) |
Other payables | (29,567,903) |
Total fair value of assets acquired and liabilities assumed | 503,994,731 |
Excess of fair value of consideration transferred over fair value of assets acquired and liabilities assumed, recognized as Listing Fee | 152,719,009 |
Gross proceeds | 581,862,621 |
Transaction-related costs | (26,965,445) |
Other payables acquired | (29,567,903) |
Net proceeds | $ 525,329,273 |
Significant accounting polici_4
Significant accounting policies - Summary of Subsidiary Ownership (Details) | 12 Months Ended |
Oct. 31, 2021 | |
Li-Cycle U.S. Holdings Inc. | |
Disclosure of subsidiaries [line items] | |
Proportion of ownership interest in subsidiary | 100.00% |
Li-Cycle Inc. | |
Disclosure of subsidiaries [line items] | |
Proportion of ownership interest in subsidiary | 100.00% |
Li-Cycle North America Hub, Inc. | |
Disclosure of subsidiaries [line items] | |
Proportion of ownership interest in subsidiary | 100.00% |
Li-Cycle Americas Corp. | |
Disclosure of subsidiaries [line items] | |
Proportion of ownership interest in subsidiary | 100.00% |
Li-Cycle Corp. | |
Disclosure of subsidiaries [line items] | |
Proportion of ownership interest in subsidiary | 100.00% |
Li-Cycle Europe AG | |
Disclosure of subsidiaries [line items] | |
Proportion of ownership interest in subsidiary | 100.00% |
Li-Cycle APAC PTE LTD. | |
Disclosure of subsidiaries [line items] | |
Proportion of ownership interest in subsidiary | 100.00% |
Significant accounting polici_5
Significant accounting policies - Summary of Useful Lives of Plant and Equipment (Details) | 12 Months Ended |
Oct. 31, 2021 | |
Computers | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life of plant and equipment | 3 years |
Vehicles | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life of plant and equipment | 5 years |
Plant equipment | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life of plant and equipment | 5 years |
Storage containers | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life of plant and equipment | 10 years |
Significant accounting polici_6
Significant accounting policies - Summary of Office, Administrative, and Travel Expense (Details) - USD ($) | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
List Of Accounting Policies [Abstract] | |||
Office and administrative | $ 316,401 | $ 355,361 | |
Travel and entertainment | 160,332 | 137,943 | |
Research and development, net | $ 3,148,871 | $ 476,733 | $ 493,304 |
Accounts receivable (Details)
Accounts receivable (Details) - USD ($) | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Disclosure of provision matrix [line items] | ||
Accounts receivable | $ 4,072,701 | $ 571,300 |
Gains (losses) arising from changes in estimates | 805,789 | 0 |
Allowance account for credit loss | 0 | 0 |
Harmonized Sales Taxes receivable | 379,814 | 274,998 |
Other receivables | 593,331 | 43,931 |
Other receivables | 973,145 | 318,929 |
Current | ||
Disclosure of provision matrix [line items] | ||
Accounts receivable | 3,181,294 | 540,824 |
1-30 days | ||
Disclosure of provision matrix [line items] | ||
Accounts receivable | 310,818 | 0 |
31-60 days | ||
Disclosure of provision matrix [line items] | ||
Accounts receivable | 120,604 | 21,455 |
61-90 days | ||
Disclosure of provision matrix [line items] | ||
Accounts receivable | 18,477 | 0 |
91 days and over | ||
Disclosure of provision matrix [line items] | ||
Accounts receivable | $ 441,508 | $ 9,021 |
Prepayments and deposits (Detai
Prepayments and deposits (Details) - USD ($) | Oct. 31, 2021 | Oct. 31, 2020 |
Prepayments And Deposits [Abstract] | ||
Prepaid lease deposits | $ 886,951 | $ 33,501 |
Prepaid equipment deposits | 3,231,836 | 0 |
Prepaid insurance | 3,839,880 | 59,582 |
Other prepaids | 688,331 | 870,868 |
Prepayments and deposits | $ 8,646,998 | $ 963,951 |
Inventory (Details)
Inventory (Details) - USD ($) | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Inventories [Abstract] | ||
Raw material | $ 850,416 | $ 140,419 |
Finished goods | 347,391 | 39,575 |
Inventory | 1,197,807 | 179,994 |
Cost of inventories recognised as expense | 8,550,000 | 820,000 |
Write-down of finished goods | 2,316,936 | 4,360 |
Write-down of raw materials | $ 552,429 | $ 53,764 |
Plant and equipment (Details)
Plant and equipment (Details) - USD ($) | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | $ 5,602,580 | $ 1,060,792 |
Property, plant and equipment at end of period | 26,389,463 | 5,602,580 |
Plant equipment | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 3,960,216 | 872,540 |
Property, plant and equipment at end of period | 20,551,512 | 3,960,216 |
Storage containers | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 60,209 | 52,213 |
Property, plant and equipment at end of period | 53,447 | 60,209 |
Vehicles | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 132,777 | 88,520 |
Property, plant and equipment at end of period | 129,984 | 132,777 |
Leasehold improvements | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 1,449,378 | 47,519 |
Property, plant and equipment at end of period | 5,654,520 | 1,449,378 |
Construction in progress | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 1,920,000 | 0 |
Property, plant and equipment at end of period | 17,720,000 | 1,920,000 |
Cost | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 6,237,298 | 1,246,396 |
Additions | 22,379,255 | 5,107,663 |
Disposals | (40,323) | (150,690) |
Foreign Exchange on Translation | 33,929 | |
Property, plant and equipment at end of period | 28,576,230 | 6,237,298 |
Cost | Plant equipment | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 4,434,874 | 1,043,231 |
Additions | 17,674,983 | 3,519,013 |
Disposals | 0 | (150,690) |
Foreign Exchange on Translation | 23,320 | |
Property, plant and equipment at end of period | 22,109,857 | 4,434,874 |
Cost | Storage containers | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 67,619 | 53,610 |
Additions | 13,914 | |
Disposals | 0 | |
Foreign Exchange on Translation | 95 | |
Property, plant and equipment at end of period | 67,619 | 67,619 |
Cost | Vehicles | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 157,604 | 90,707 |
Additions | 62,017 | 68,243 |
Disposals | (40,323) | 0 |
Foreign Exchange on Translation | (1,346) | |
Property, plant and equipment at end of period | 179,298 | 157,604 |
Cost | Leasehold improvements | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 1,577,201 | 58,848 |
Additions | 4,642,255 | 1,506,493 |
Disposals | 0 | |
Foreign Exchange on Translation | 11,860 | |
Property, plant and equipment at end of period | 6,219,456 | 1,577,201 |
Accumulated depreciation | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | (634,718) | (185,604) |
Depreciation | (1,562,107) | (494,516) |
Disposals | 10,058 | 43,744 |
Foreign Exchange on Translation | 1,658 | |
Property, plant and equipment at end of period | (2,186,767) | (634,718) |
Accumulated depreciation | Plant equipment | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | (474,658) | (170,691) |
Depreciation | (1,083,687) | (350,173) |
Disposals | 0 | 43,744 |
Foreign Exchange on Translation | 2,462 | |
Property, plant and equipment at end of period | (1,558,345) | (474,658) |
Accumulated depreciation | Storage containers | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | (7,410) | (1,397) |
Depreciation | (6,762) | (5,977) |
Disposals | 0 | 0 |
Foreign Exchange on Translation | (36) | |
Property, plant and equipment at end of period | (14,172) | (7,410) |
Accumulated depreciation | Vehicles | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | (24,827) | (2,187) |
Depreciation | (34,545) | (22,408) |
Disposals | 10,058 | 0 |
Foreign Exchange on Translation | (232) | |
Property, plant and equipment at end of period | (49,314) | (24,827) |
Accumulated depreciation | Leasehold improvements | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | (127,823) | (11,329) |
Depreciation | (437,113) | (115,958) |
Disposals | 0 | 0 |
Foreign Exchange on Translation | (536) | |
Property, plant and equipment at end of period | $ (564,936) | $ (127,823) |
Related party transactions - Su
Related party transactions - Summary of Remuneration of Directors (Details) - USD ($) | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Disclosure of transactions between related parties [abstract] | |||
Salaries | $ 1,501,800 | $ 231,034 | $ 104,310 |
Share-based compensation | 1,863,260 | 74,320 | 149,993 |
Fees and benefits | 1,517,791 | 411,184 | 159,881 |
Key management personnel compensation | $ 4,882,851 | $ 716,538 | $ 414,184 |
Related party transactions - Na
Related party transactions - Narrative (Details) | Aug. 17, 2021USD ($) | May 01, 2021shares | Jul. 19, 2019USD ($) | Oct. 31, 2021USD ($) | Oct. 31, 2020USD ($) | Oct. 31, 2019USD ($) | Jan. 25, 2021shares | Jan. 16, 2021USD ($) | Jan. 01, 2019CAD ($) |
Disclosure of transactions between related parties [line items] | |||||||||
Key management personnel compensation, directors fees | $ 260,284 | $ 181,383 | $ 75,285 | ||||||
Marketing | 973,695 | 365,820 | 65,840 | ||||||
Office, administrative and travel | 3,148,871 | 476,733 | 493,304 | ||||||
Professional fees | 7,688,520 | 2,962,261 | 546,647 | ||||||
Repayment of loans payable | 12,544,339 | 12,881 | $ 0 | ||||||
Promissory Note | |||||||||
Disclosure of transactions between related parties [line items] | |||||||||
Repayment of loans payable | $ 7,113,151 | ||||||||
Immediate Family Member Of Chief Executive Officer | |||||||||
Disclosure of transactions between related parties [line items] | |||||||||
Monthly lease payment to related party | $ 4,500 | ||||||||
Rental expense | 39,866 | 35,505 | |||||||
Marketing | 46,640 | 5,405 | |||||||
Office, administrative and travel | 103,040 | 46,515 | |||||||
Immediate Family Member Of Chief Executive Chairman | |||||||||
Disclosure of transactions between related parties [line items] | |||||||||
Marketing | 145,851 | 42,739 | |||||||
Beneficial Owner | |||||||||
Disclosure of transactions between related parties [line items] | |||||||||
Fees payable to related party, (in shares) | shares | 1,000 | ||||||||
Fees payable to related party, maximum (in shares) | shares | 12,000 | ||||||||
Number of shares issued in settlement of liabilities to related party (in shares) | shares | 10,000 | ||||||||
Beneficial Owner | Atria Limited | |||||||||
Disclosure of transactions between related parties [line items] | |||||||||
Proportion of ownership interest in entity by related party | 5.00% | ||||||||
Chief Executive Officer | Promissory Note | |||||||||
Disclosure of transactions between related parties [line items] | |||||||||
Notional amount | $ 7,000,000 | ||||||||
Borrowings, interest rate | 10.00% | ||||||||
Repayment of loans payable | $ 7,113,151 | ||||||||
Director | Anthony Tse | |||||||||
Disclosure of transactions between related parties [line items] | |||||||||
Professional fees, monthly payment | $ 4,700 | ||||||||
Professional fees | 56,400 | ||||||||
Director | Rick Findlay | |||||||||
Disclosure of transactions between related parties [line items] | |||||||||
Professional fees | $ 0 | $ 1,332 |
Related party transactions - Ou
Related party transactions - Outstanding Balances Of Remunerations Of Directors (Details) - USD ($) | Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 |
Disclosure of transactions between related parties [line items] | |||
Amounts payable, related party transactions | $ 771,255 | $ 469,761 | $ 85,386 |
Accounts Payable And Accrued Liabilities | |||
Disclosure of transactions between related parties [line items] | |||
Amounts payable, related party transactions | 771,255 | 316,465 | 85,386 |
Restricted share units | |||
Disclosure of transactions between related parties [line items] | |||
Amounts payable, related party transactions | $ 0 | $ 153,296 | $ 0 |
Loans Payable - Schedule of Loa
Loans Payable - Schedule of Loans Payable (Details) - USD ($) | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Disclosure of detailed information about borrowings [line items] | |||
Proceeds from loans payable | $ 10,091,220 | $ 2,153,110 | $ 86,572 |
Repayment of loans payable | (12,544,339) | (12,881) | 0 |
Foreign exchange (gain) loss | 758,223 | (445,652) | 0 |
BDC Loan | |||
Disclosure of detailed information about borrowings [line items] | |||
Borrowings, beginning balance | 2,174,540 | 0 | |
Proceeds from loans payable | 3,091,220 | 2,153,110 | |
Repayment of loans payable | (5,507,298) | 0 | |
Foreign exchange (gain) loss | 241,538 | 21,430 | |
Borrowings, ending balance | 0 | 2,174,540 | 0 |
Other Loans | |||
Disclosure of detailed information about borrowings [line items] | |||
Borrowings, beginning balance | 73,338 | 87,381 | |
Proceeds from loans payable | 7,000,000 | 0 | |
Repayment of loans payable | (7,037,041) | (12,881) | |
Foreign exchange (gain) loss | 3,451 | (1,162) | |
Borrowings, ending balance | 39,748 | 73,338 | 87,381 |
Loans payable | |||
Disclosure of detailed information about borrowings [line items] | |||
Borrowings, beginning balance | 2,247,878 | 87,381 | |
Proceeds from loans payable | 10,091,220 | 2,153,110 | |
Repayment of loans payable | (12,544,339) | (12,881) | |
Foreign exchange (gain) loss | 244,989 | 20,268 | |
Borrowings, ending balance | $ 39,748 | $ 2,247,878 | $ 87,381 |
Loans Payable - Narrative (Deta
Loans Payable - Narrative (Details) | Aug. 17, 2021USD ($) | Aug. 11, 2021USD ($) | Aug. 11, 2021CAD ($) | Apr. 07, 2021CAD ($) | Nov. 02, 2020CAD ($) | Feb. 10, 2020CAD ($) | Oct. 31, 2021USD ($) | Oct. 31, 2021CAD ($) | Oct. 31, 2020USD ($) | Oct. 31, 2019USD ($) | Jan. 16, 2021USD ($) | Dec. 16, 2019CAD ($) |
Disclosure of detailed information about borrowings [line items] | ||||||||||||
Repayment of loans payable | $ 12,544,339 | $ 12,881 | $ 0 | |||||||||
BDC Loan | ||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||
Notional amount | $ 7,000,000 | |||||||||||
Borrowings, interest rate | 16.00% | |||||||||||
Borrowings, additional accrued interest rate | 3.00% | |||||||||||
Borrowings, additional accrued interest rate after achieving milestone | 0.00% | |||||||||||
Borrowings, periodic payment | $ 175,000 | |||||||||||
Borrowings, balloon payment due at maturity | $ 700,000 | |||||||||||
Proceeds from non-current borrowings | $ 2,000,000 | $ 2,000,000 | $ 3,000,000 | |||||||||
Borrowing costs incurred | $ 121,861 | |||||||||||
Repayment of loans payable | $ 5,507,298 | $ 0 | ||||||||||
BDC Loan | Peridot Acquisition Corp. | ||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||
Repayments of non-current borrowings | $ 5,300,000 | $ 6,600,000 | ||||||||||
Interest expense on borrowings | $ 700,000 | $ 900,000 | ||||||||||
Promissory Note | ||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||
Repayment of loans payable | $ 7,113,151 | |||||||||||
Promissory Note | Chief Executive Officer | ||||||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||||||
Notional amount | $ 7,000,000 | |||||||||||
Borrowings, interest rate | 10.00% | |||||||||||
Repayment of loans payable | $ 7,113,151 |
Convertible Debt - Summary of C
Convertible Debt - Summary of Convertible Debt (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||||
Oct. 31, 2021 | Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | Sep. 29, 2021 | Oct. 31, 2018 | |
Disclosure of detailed information about borrowings [line items] | ||||||
Foreign exchange (gain) loss | $ 758,223 | $ (445,652) | $ 0 | |||
Convertible debt | $ 100,877,838 | 100,877,838 | 0 | |||
Conversion feature of convertible debt | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Proceeds of issue of convertible debt | 100,000,000 | 100,000,000 | 386,190 | 386,190 | ||
Transaction costs | (1,599,737) | 0 | 0 | |||
Net Proceeds from issue of convertible debt | 98,400,263 | 98,400,263 | 386,190 | 386,190 | ||
Conversion feature at date of issue | 29,028,938 | 29,028,938 | 0 | 96,548 | $ 27,681,043 | $ 96,548 |
Fair value (gain) loss on embedded derivative | 1,347,895 | 0 | 0 | |||
Conversion into common shares | 0 | 0 | (96,548) | 0 | ||
Debt component at date of issue (net of transaction costs) | 70,719,220 | 70,719,220 | 289,642 | 289,642 | ||
Prior year interest plus accretion | 0 | 0 | 99,549 | 39,212 | ||
Amortization of transaction costs | 26,662 | 0 | 0 | |||
Accrued interest at 7% (2020 - 8%) | 641,667 | 641,667 | 4,956 | 30,114 | ||
Accretion expense during the year | 461,351 | 4,975 | 30,223 | |||
Conversion into common shares | 0 | (395,861) | 0 | |||
Foreign exchange (gain) loss | 0 | (3,261) | (4,984) | |||
Convertible debt | $ 71,848,900 | $ 71,848,900 | $ 0 | $ 384,207 | ||
Borrowings, interest rate | 7.00% | 7.00% | 8.00% |
Convertible Debt - Narrative (D
Convertible Debt - Narrative (Details) - USD ($) | Sep. 29, 2021 | Dec. 27, 2019 | Mar. 06, 2018 | Dec. 31, 2021 |
Sustainable Chemistry Alliance, Convertible Debenture | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Proceeds of issue of convertible debt | $ 386,190 | $ 386,190 | ||
Borrowings, maturity | 3-year | |||
Borrowings, interest rate | 8.00% | |||
Discount rate for conversion feature | 20.00% | 20.00% | ||
Financial liabilities, at fair value | $ 96,548 | |||
Debt component at date of issue (net of transaction costs) | $ 289,643 | |||
Effective interest rate | 9.62% | |||
Additional funding triggering conversion | $ 10,000,000 | |||
Accrued interest | $ 55,788 | |||
Borrowings, conversion price (in dollars per share) | $ 40.05 | |||
Number of shares issued upon conversion of borrowings (in shares) | 13,436 | |||
Koch Strategic Platforms Convertible Note | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Proceeds of issue of convertible debt | $ 100,000,000 | $ 1,827,778 | ||
Borrowings, conversion price (in dollars per share) | $ 13.43 | |||
Percentage of 7-day-volume weighted average price of common shares used to determine conversion price | 125.00% | |||
Borrowings, conversion price triggering conversion feature (in dollars per share) | $ 17.46 | |||
Koch Strategic Platforms Convertible Note | Embedded Derivative | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Borrowings | $ 27,681,043 | |||
Koch Strategic Platforms Convertible Note | Debt Principal | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Borrowings | $ 72,318,957 | |||
Koch Strategic Platforms Convertible Note | LIBOR | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Borrowings, adjustment to interest rate basis | 5.00% | |||
Adjustment to paid in kind interest rate | 6.00% | |||
Koch Strategic Platforms Convertible Note | LIBOR | Minimum | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Borrowings, variable rate, fixed | 1.00% | |||
Koch Strategic Platforms Convertible Note | LIBOR | Maximum | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Borrowings, variable rate, fixed | 2.00% |
Convertible Debt - Assumptions
Convertible Debt - Assumptions (Details) - Koch Strategic Platforms Convertible Note | Oct. 31, 2021$ / sharesyr | Sep. 29, 2021$ / sharesyr |
Risk free interest rate | ||
Disclosure of detailed information about borrowings [line items] | ||
Significant unobservable input, liabilities | 1.23 | 1.06 |
Expected life of options | ||
Disclosure of detailed information about borrowings [line items] | ||
Significant unobservable input, liabilities | yr | 4.92 | 5 |
Expected dividend yield | ||
Disclosure of detailed information about borrowings [line items] | ||
Significant unobservable input, liabilities | 0 | 0 |
Expected stock price volatility | ||
Disclosure of detailed information about borrowings [line items] | ||
Significant unobservable input, liabilities | 0.62 | 0.66 |
Share Price | ||
Disclosure of detailed information about borrowings [line items] | ||
Significant unobservable input, liabilities | $ / shares | 12.94 | 12.56 |
Warrants (Details)
Warrants (Details) | Jan. 30, 2022$ / sharesshares | Oct. 15, 2021USD ($)shares | Aug. 10, 2021USD ($)$ / sharesshares | Oct. 31, 2021USD ($)d$ / shares | Oct. 31, 2020USD ($) | Oct. 31, 2019USD ($) | Dec. 27, 2021$ / shares |
Disclosure of classes of share capital [line items] | |||||||
Fair market value of warrants (in dollars per share) | $ 3.57 | ||||||
Warrants, term | 5 years | ||||||
Exercise price of warrants (in dollars per share) | $ 11.5 | ||||||
Redemption price of warrants (in dollars per share) | $ 0.1 | $ 0.1 | |||||
Number of warrants exercised (in shares) | shares | 9,678 | 100 | |||||
Proceeds from exercise of warrants | $ | $ 1,150 | $ 1,150 | |||||
Exercise of warrants (in shares) | shares | 100 | ||||||
Warrants | $ | 82,109,334 | $ 0 | |||||
Fair value adjustment of warrants | $ | $ (33,809,634) | ||||||
Public Warrant | |||||||
Disclosure of classes of share capital [line items] | |||||||
Exercise price of warrants (in dollars per share) | $ 11.5 | ||||||
Redemption price of warrants (in dollars per share) | $ 0.01 | ||||||
Warrants outstanding, threshold trading days | d | 20 | ||||||
Warrants outstanding, threshold consecutive trading days | d | 30 | ||||||
Redemption price of warrants after maximum stock price trigger (in dollars per share) | $ 0.1 | ||||||
Public Warrant | Minimum | |||||||
Disclosure of classes of share capital [line items] | |||||||
Warrants, stock price trigger (in dollars per share) | 10 | ||||||
Public Warrant | Maximum | |||||||
Disclosure of classes of share capital [line items] | |||||||
Warrants, stock price trigger (in dollars per share) | 18 | ||||||
Private Warrant | |||||||
Disclosure of classes of share capital [line items] | |||||||
Exercise price of warrants (in dollars per share) | 11.5 | ||||||
Private Warrant | Minimum | |||||||
Disclosure of classes of share capital [line items] | |||||||
Warrants, stock price trigger (in dollars per share) | 10 | ||||||
Private Warrant | Maximum | |||||||
Disclosure of classes of share capital [line items] | |||||||
Warrants, stock price trigger (in dollars per share) | $ 18 | ||||||
Peridot Acquisition Corp. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Number of warrants assumed in acquisition (in shares) | shares | 23,000,000 | ||||||
Fair market value of warrants (in dollars per share) | $ 2.1 | ||||||
Warrant liability | $ | $ 48,299,987 | ||||||
Peridot Acquisition Corp. | Public Warrant | |||||||
Disclosure of classes of share capital [line items] | |||||||
Number of warrants assumed in acquisition (in shares) | shares | 15,000,000 | ||||||
Peridot Acquisition Corp. | Private Warrant | |||||||
Disclosure of classes of share capital [line items] | |||||||
Number of warrants assumed in acquisition (in shares) | shares | 8,000,000 |
Share capital and share-based_3
Share capital and share-based compensation - Narrative (Details) | Jan. 30, 2022shares | Oct. 15, 2021USD ($)shares | Aug. 10, 2021USD ($)sharesemployee$ / shares | Jun. 24, 2021USD ($)employeeshares | Nov. 13, 2020USD ($)$ / sharesshares | Dec. 27, 2019USD ($)$ / sharesshares | Dec. 27, 2019USD ($)$ / sharesshares | Mar. 23, 2018USD ($)$ / sharesshares | Aug. 10, 2021shares$ / shares | Oct. 31, 2021USD ($)employeeshares | Oct. 31, 2020USD ($)shares | Oct. 31, 2019USD ($)shares | Dec. 14, 2021$ / shares | Jan. 25, 2021shares | Feb. 28, 2019shares |
Disclosure of classes of share capital [line items] | |||||||||||||||
Number of shares issued (in shares) | 12,000 | 8,468 | |||||||||||||
Sale of stock, price per share (in dollars per share) | $ / shares | $ 11.32 | ||||||||||||||
Conversion of convertible debt (in shares) | 13,436 | ||||||||||||||
Conversion of convertible debt | $ | $ 492,409 | $ 492,409 | |||||||||||||
Number of employees who exercised shares in period | employee | 19 | 4 | 23 | ||||||||||||
Number of share options exercised (in shares) | 25,664 | 2,172,820 | 0 | ||||||||||||
Exercise of stock options | $ | $ 169,105 | $ 169,105 | |||||||||||||
Business combination, share exchange ratio | 39.91 | 39.91 | |||||||||||||
Exercise of stock options (in shares) | 2,055,474 | ||||||||||||||
Number of warrants exercised (in shares) | 9,678 | 100 | |||||||||||||
Exercise of warrants (in shares) | 100 | ||||||||||||||
Proceeds from exercise of warrants | $ | $ 1,150 | $ 1,150 | |||||||||||||
Number of share options issued upon exchange of acquiree shares (in shares) | 4,242,707 | 4,242,707 | |||||||||||||
Number of share options exercisable (in shares) | 4,242,707 | 106,307 | 29,440 | ||||||||||||
Fair value of stock options granted | $ | $ 8,280,000 | $ 940,000 | $ 310,000 | ||||||||||||
Share-based compensation | $ | 3,982,943 | 332,634 | 97,258 | ||||||||||||
Liabilities from share-based payment transactions | $ | 0 | 171,849 | |||||||||||||
Li-Cycle Corp. | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Number of share options exercised (in shares) | 28,779 | 54,443 | |||||||||||||
Number of shares exchanged (in shares) | 2,552,450 | 2,552,450 | |||||||||||||
Li-Cycle Corp. | Common Class A | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Number of shares exchanged (in shares) | 2,407,535 | 2,407,535 | |||||||||||||
Li-Cycle Holdings Corp. | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Proceeds from public share issuance, net of share issue costs | $ | $ 315,500,000 | ||||||||||||||
Sale of stock, price per share (in dollars per share) | $ / shares | $ 10 | $ 10 | |||||||||||||
Li-Cycle Holdings Corp. | Common Class A | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Shares converted (in shares) | 96,084,679 | ||||||||||||||
Peridot Acquisition Corp. | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Proceeds from public share issuance, net of share issue costs | $ | $ 525,329,273 | ||||||||||||||
Sale of stock, price per share (in dollars per share) | $ / shares | $ 10 | $ 10 | |||||||||||||
Number of share options assumed In business combination (in shares) | 65,671,374 | ||||||||||||||
Exercise of stock options (in shares) | 1,031,226 | ||||||||||||||
Restricted share units | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Share-based compensation | $ | 1,293,030 | 88,425 | |||||||||||||
Liabilities from share-based payment transactions | $ | 0 | 171,849 | |||||||||||||
Fair value loss on restricted share units | $ | $ (3,096,940) | (83,424) | |||||||||||||
Restricted share units | Li-Cycle Corp. | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Number of shares exchanged (in shares) | 9,829 | 9,829 | |||||||||||||
Number of other equity instruments exercised (in shares) | 9,829 | ||||||||||||||
Restricted share units | Minimum | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Vesting period | 1 year | ||||||||||||||
Restricted share units | Maximum | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Vesting period | 3 years | ||||||||||||||
Restricted share units | Peridot Acquisition Corp. | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Number of other equity instruments exercised (in shares) | 392,276 | ||||||||||||||
Stock options | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Expiration period, share based payment arrangements | 5 years | ||||||||||||||
Vesting period | 3 years | ||||||||||||||
Share-based compensation | $ | $ 2,690,000 | $ 330,000 | $ 100,000 | ||||||||||||
Stock options | Li-Cycle Corp. | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Shares converted (in shares) | 106,307 | ||||||||||||||
LTIP | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Expiration period, share based payment arrangements | 10 years | ||||||||||||||
Vesting period | 3 years | ||||||||||||||
Private Placement | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Number of shares issued (in shares) | 159,294 | 159,294 | 188,604 | ||||||||||||
Proceeds from public share issuance, net of share issue costs | $ | $ 6,481,381 | $ 2,645,136 | |||||||||||||
Sale of stock, price per share (in dollars per share) | $ / shares | $ 40.05 | $ 40.05 | $ 14.02 | ||||||||||||
Private Placement | Preference shares | |||||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||||
Number of shares issued (in shares) | 281,138 | ||||||||||||||
Proceeds from public share issuance, net of share issue costs | $ | $ 23,000,000 | ||||||||||||||
Sale of stock, price per share (in dollars per share) | $ / shares | $ 81.81 | ||||||||||||||
Share issue related cost | $ | $ 1,380,000 |
Share capital and share-based_4
Share capital and share-based compensation - Summary of Stock Option Activity (Details) | Aug. 10, 2021shares$ / shares | Jun. 24, 2021shares | Oct. 31, 2021shares$ / shares | Aug. 10, 2021shares$ / shares | Oct. 31, 2021shares$ / shares | Oct. 31, 2020shares$ / shares | Oct. 31, 2019shares$ / shares |
Disclosure of classes of share capital [line items] | |||||||
Number of stock options, beginning balance (in shares) | 4,242,707 | ||||||
Granted (in shares) | 1,053,846 | ||||||
Exercised (in shares) | (25,664) | (2,172,820) | 0 | ||||
Number of stock options, ending balance (in shares) | 4,242,707 | 5,296,553 | 4,242,707 | 5,296,553 | |||
Weighted average exercise price per stock option, beginning of period (in dollars per share) | $ / shares | $ 0.79 | ||||||
Granted (in dollars per share) | $ / shares | 10.93 | ||||||
Weighted average exercise price per stock option, end of period (in dollars per share) | $ / shares | $ 0.79 | $ 2.81 | $ 0.79 | $ 2.81 | |||
Li-Cycle Corp. | |||||||
Disclosure of classes of share capital [line items] | |||||||
Number of stock options, beginning balance (in shares) | 106,307 | 133,500 | 133,500 | 100,000 | 58,320 | ||
Granted (in shares) | 31,750 | 33,500 | 41,680 | ||||
Exercised (in shares) | (28,779) | (54,443) | |||||
Forfeited (in shares) | (4,500) | ||||||
Number of stock options, ending balance (in shares) | 106,307 | 106,307 | 133,500 | 100,000 | |||
Weighted average exercise price per stock option, beginning of period (in dollars per share) | $ / shares | $ 31.62 | $ 15.35 | $ 15.35 | $ 7.14 | $ 2.49 | ||
Granted (in dollars per share) | $ / shares | 85.30 | 39.66 | 13.57 | ||||
Exercised (in dollars per share) | $ / shares | 24.58 | ||||||
Forfeited (in dollars per share) | $ / shares | 42.43 | ||||||
Weighted average exercise price per stock option, end of period (in dollars per share) | $ / shares | $ 31.62 | $ 31.62 | $ 15.35 | $ 7.14 |
Share capital and share-based_5
Share capital and share-based compensation - Schedule of Stock Option Expirations (Details) | Oct. 31, 2021shares$ / shares | Aug. 10, 2021shares |
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 5,296,553 | 4,242,707 |
September 11, 2022 | ||
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 399,100 | |
Exercise price of outstanding stock options (in shares) | $ / shares | $ 0.02 | |
April 10, 2023 | ||
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 798,200 | |
Exercise price of outstanding stock options (in shares) | $ / shares | $ 0.02 | |
April 10, 2023 | ||
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 199,231 | |
Exercise price of outstanding stock options (in shares) | $ / shares | $ 0.36 | |
April 1, 2024 | ||
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 171,613 | |
Exercise price of outstanding stock options (in shares) | $ / shares | $ 0.36 | |
July 17, 2024 | ||
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 865,244 | |
Exercise price of outstanding stock options (in shares) | $ / shares | $ 0.36 | |
December 16, 2029 | ||
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 99,775 | |
Exercise price of outstanding stock options (in shares) | $ / shares | $ 1.08 | |
April 21, 2030 | ||
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 439,010 | |
Exercise price of outstanding stock options (in shares) | $ / shares | $ 1.08 | |
July 19, 2030 | ||
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 371,163 | |
Exercise price of outstanding stock options (in shares) | $ / shares | $ 1.08 | |
November 30, 2030 | ||
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 420,452 | |
Exercise price of outstanding stock options (in shares) | $ / shares | $ 2.17 | |
February 11, 2031 | ||
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 478,920 | |
Exercise price of outstanding stock options (in shares) | $ / shares | $ 2.17 | |
August 10, 2031 | ||
Disclosure of classes of share capital [line items] | ||
Number of stock options (in shares) | 1,053,846 | |
Exercise price of outstanding stock options (in shares) | $ / shares | $ 10.93 |
Share capital and share-based_6
Share capital and share-based compensation - Schedule of Assumptions (Details) | 12 Months Ended |
Oct. 31, 2021yr | |
Disclosure of classes of share capital [line items] | |
Expected life of options | 6 |
Expected dividend yield | 0.00% |
Expected stock price volatility | 65.00% |
Expected forfeiture rate | 0.00% |
Minimum | |
Disclosure of classes of share capital [line items] | |
Risk free interest rate | 0.46% |
Maximum | |
Disclosure of classes of share capital [line items] | |
Risk free interest rate | 0.97% |
Share capital and share-based_7
Share capital and share-based compensation - Summary of RSU Activities (Details) - Restricted share units - shares | Aug. 10, 2021 | Oct. 31, 2021 | Aug. 10, 2021 | Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2018 |
Disclosure of classes of share capital [line items] | ||||||
Number of other equity instruments outstanding in share-based payment arrangement | 0 | 716,763 | 0 | 716,763 | ||
Beginning balance (in shares) | 0 | |||||
Granted (in shares) | 716,763 | |||||
Ending balance (in shares) | 0 | 716,763 | 0 | 716,763 | ||
Li-Cycle Corp. | ||||||
Disclosure of classes of share capital [line items] | ||||||
Number of other equity instruments outstanding in share-based payment arrangement | 0 | 0 | 2,182 | 0 | ||
Beginning balance (in shares) | 0 | 2,182 | 2,182 | 0 | ||
Granted (in shares) | 7,647 | 2,182 | ||||
Settled (in shares) | (9,829) | |||||
Ending balance (in shares) | 0 | 0 | 2,182 |
Financial instruments and fin_3
Financial instruments and financial risk factors - Assets Measured at Fair Value (Details) - Recurring fair value measurement - USD ($) | Oct. 31, 2021 | Oct. 31, 2020 |
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | $ 4,072,701 | $ 571,300 |
Accounts receivable | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | 4,072,701 | 571,300 |
Quoted prices in active markets for identical assets (Level 1) | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Accounts receivable | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | 0 | 0 |
Significant other observable inputs (Level 2) | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | 4,072,701 | 571,300 |
Significant other observable inputs (Level 2) | Accounts receivable | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | 4,072,701 | 571,300 |
Significant unobservable inputs (Level 3) | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | 0 | 0 |
Significant unobservable inputs (Level 3) | Accounts receivable | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | $ 0 | $ 0 |
Financial instruments and fin_4
Financial instruments and financial risk factors - Liabilities Measured at Fair Value (Details) - USD ($) | Oct. 31, 2021 | Oct. 31, 2020 |
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | $ 231,427,138 | $ 10,718,667 |
Restricted share units | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 171,849 | |
Conversion feature of convertible debt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 100,877,838 | |
Warrants | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 82,109,334 | |
Recurring fair value measurement | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 111,138,272 | 171,849 |
Recurring fair value measurement | Restricted share units | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 0 | 171,849 |
Recurring fair value measurement | Conversion feature of convertible debt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 29,028,938 | |
Recurring fair value measurement | Warrants | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 82,109,334 | |
Recurring fair value measurement | Quoted prices in active markets for identical assets (Level 1) | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 53,549,989 | 0 |
Recurring fair value measurement | Quoted prices in active markets for identical assets (Level 1) | Restricted share units | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 0 | 0 |
Recurring fair value measurement | Quoted prices in active markets for identical assets (Level 1) | Conversion feature of convertible debt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 0 | |
Recurring fair value measurement | Quoted prices in active markets for identical assets (Level 1) | Warrants | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 53,549,989 | |
Recurring fair value measurement | Significant other observable inputs (Level 2) | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 57,588,282 | 171,849 |
Recurring fair value measurement | Significant other observable inputs (Level 2) | Restricted share units | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 0 | 171,849 |
Recurring fair value measurement | Significant other observable inputs (Level 2) | Conversion feature of convertible debt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 29,028,938 | |
Recurring fair value measurement | Significant other observable inputs (Level 2) | Warrants | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 28,559,344 | |
Recurring fair value measurement | Significant unobservable inputs (Level 3) | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 0 | 0 |
Recurring fair value measurement | Significant unobservable inputs (Level 3) | Restricted share units | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 0 | $ 0 |
Recurring fair value measurement | Significant unobservable inputs (Level 3) | Conversion feature of convertible debt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 0 | |
Recurring fair value measurement | Significant unobservable inputs (Level 3) | Warrants | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | $ 0 |
Financial instruments and fin_5
Financial instruments and financial risk factors - Narrative (Details) - 12 months ended Oct. 31, 2021 $ in Millions | USD ($) | CAD ($) | USD ($) |
Disclosure of detailed information about financial instruments [line items] | |||
Cash | $ 1.3 | $ 6,858,298 | |
Liabilities, net | $ 23.9 | ||
Currency risk | |||
Disclosure of detailed information about financial instruments [line items] | |||
Sensitivity analysis for types of market risk, reasonably possible change in risk variable, impact on foreign exchange gain (loss) | $ (900,000) | ||
Currency risk | Currency in which supplementary information is displayed | |||
Disclosure of detailed information about financial instruments [line items] | |||
Sensitivity analysis for types of market risk, reasonably possible change in risk variable, percent | 5.00% |
Financial instruments and fin_6
Financial instruments and financial risk factors - Schedule of Maturity of Financial Liabilities (Details) - USD ($) | Oct. 31, 2021 | Oct. 31, 2020 |
Disclosure of detailed information about financial instruments [line items] | ||
Carrying amount | $ 231,427,138 | $ 10,718,667 |
Contractual cash flows | 197,661,151 | 12,028,401 |
Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 23,225,275 | 7,125,055 |
Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 4,725,601 | 1,607,872 |
Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 3,792,844 | 568,434 |
Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 3,381,807 | 584,269 |
Year 5 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 146,056,099 | 532,460 |
Thereafter | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 16,479,525 | 1,610,311 |
Accounts Payable And Accrued Liabilities | ||
Disclosure of detailed information about financial instruments [line items] | ||
Carrying amount | 18,701,116 | 4,364,370 |
Contractual cash flows | 18,701,116 | 4,364,372 |
Accounts Payable And Accrued Liabilities | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 18,701,116 | 4,364,372 |
Accounts Payable And Accrued Liabilities | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | 0 |
Accounts Payable And Accrued Liabilities | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | 0 |
Accounts Payable And Accrued Liabilities | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | 0 |
Accounts Payable And Accrued Liabilities | Year 5 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | 0 |
Accounts Payable And Accrued Liabilities | Thereafter | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | 0 |
Restricted share units | ||
Disclosure of detailed information about financial instruments [line items] | ||
Carrying amount | 171,849 | |
Contractual cash flows | 171,849 | |
Restricted share units | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 171,849 | |
Restricted share units | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Restricted share units | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Restricted share units | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Restricted share units | Year 5 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Restricted share units | Thereafter | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Lease liabilities | ||
Disclosure of detailed information about financial instruments [line items] | ||
Carrying amount | 29,364,869 | 3,613,170 |
Contractual cash flows | 35,934,570 | 4,529,662 |
Lease liabilities | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 4,517,775 | 805,946 |
Lease liabilities | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 4,634,401 | 680,943 |
Lease liabilities | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 3,785,984 | 568,434 |
Lease liabilities | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 3,374,696 | 584,269 |
Lease liabilities | Year 5 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 3,311,808 | 479,833 |
Lease liabilities | Thereafter | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 16,309,906 | 1,410,237 |
Loan payable | ||
Disclosure of detailed information about financial instruments [line items] | ||
Carrying amount | 39,748 | 2,247,878 |
Contractual cash flows | 41,338 | 2,628,652 |
Loan payable | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 6,384 | 1,782,888 |
Loan payable | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 6,618 | 845,763 |
Loan payable | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 6,860 | 0 |
Loan payable | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 7,111 | 0 |
Loan payable | Year 5 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 7,371 | 0 |
Loan payable | Thereafter | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 6,994 | 0 |
Conversion feature of convertible debt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Carrying amount | 100,877,838 | |
Contractual cash flows | 142,682,078 | |
Conversion feature of convertible debt | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Conversion feature of convertible debt | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Conversion feature of convertible debt | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Conversion feature of convertible debt | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Conversion feature of convertible debt | Year 5 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 142,682,078 | |
Conversion feature of convertible debt | Thereafter | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Warrants | ||
Disclosure of detailed information about financial instruments [line items] | ||
Carrying amount | 82,109,334 | |
Contractual cash flows | 0 | |
Warrants | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Warrants | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Warrants | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Warrants | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Warrants | Year 5 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Warrants | Thereafter | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | |
Restoration provisions | ||
Disclosure of detailed information about financial instruments [line items] | ||
Carrying amount | 334,233 | 321,400 |
Contractual cash flows | 302,049 | 333,866 |
Restoration provisions | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | 0 |
Restoration provisions | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 84,582 | 81,166 |
Restoration provisions | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | 0 |
Restoration provisions | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 0 | 0 |
Restoration provisions | Year 5 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | 54,842 | 52,627 |
Restoration provisions | Thereafter | ||
Disclosure of detailed information about financial instruments [line items] | ||
Contractual cash flows | $ 162,625 | $ 200,074 |
Right-of-use assets (Details)
Right-of-use assets (Details) - USD ($) | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Reconciliation Of Changes In Right-Of-Use Assets | |||
Right-of-use assets, beginning balance | $ 3,859,088 | $ 2,836,575 | |
Right-of-use assets, ending balance | $ 27,009,760 | 3,859,088 | $ 2,836,575 |
Lease term | 5 years | ||
Cost | |||
Reconciliation Of Changes In Right-Of-Use Assets | |||
Right-of-use assets, beginning balance | $ 4,467,810 | 2,836,575 | |
Additions & modifications | 24,487,915 | 1,612,133 | |
Foreign Exchange on Translation | 19,102 | ||
Right-of-use assets, ending balance | 28,955,725 | 4,467,810 | 2,836,575 |
Accumulated depreciation | |||
Reconciliation Of Changes In Right-Of-Use Assets | |||
Right-of-use assets, beginning balance | (608,722) | 0 | |
Foreign Exchange on Translation | 7,988 | ||
Depreciation | (1,337,243) | (600,734) | |
Right-of-use assets, ending balance | (1,945,965) | (608,722) | 0 |
Premises | |||
Reconciliation Of Changes In Right-Of-Use Assets | |||
Right-of-use assets, beginning balance | 3,761,848 | 2,783,313 | |
Right-of-use assets, ending balance | 26,927,777 | 3,761,848 | 2,783,313 |
Premises | Cost | |||
Reconciliation Of Changes In Right-Of-Use Assets | |||
Right-of-use assets, beginning balance | 4,354,001 | 2,783,313 | |
Additions & modifications | 24,467,955 | 1,550,957 | |
Foreign Exchange on Translation | 19,731 | ||
Right-of-use assets, ending balance | 28,821,956 | 4,354,001 | 2,783,313 |
Premises | Accumulated depreciation | |||
Reconciliation Of Changes In Right-Of-Use Assets | |||
Right-of-use assets, beginning balance | (592,153) | 0 | |
Foreign Exchange on Translation | 7,810 | ||
Depreciation | (1,302,026) | (584,343) | |
Right-of-use assets, ending balance | (1,894,179) | (592,153) | 0 |
Equipment | |||
Reconciliation Of Changes In Right-Of-Use Assets | |||
Right-of-use assets, beginning balance | 97,240 | 53,262 | |
Right-of-use assets, ending balance | 81,983 | 97,240 | 53,262 |
Equipment | Cost | |||
Reconciliation Of Changes In Right-Of-Use Assets | |||
Right-of-use assets, beginning balance | 113,809 | 53,262 | |
Additions & modifications | 19,960 | 61,176 | |
Foreign Exchange on Translation | (629) | ||
Right-of-use assets, ending balance | 133,769 | 113,809 | 53,262 |
Equipment | Accumulated depreciation | |||
Reconciliation Of Changes In Right-Of-Use Assets | |||
Right-of-use assets, beginning balance | (16,569) | 0 | |
Foreign Exchange on Translation | 178 | ||
Depreciation | (35,217) | (16,391) | |
Right-of-use assets, ending balance | $ (51,786) | $ (16,569) | $ 0 |
Lease liabilities (Details)
Lease liabilities (Details) | 12 Months Ended | |
Oct. 31, 2021USD ($)lease | Oct. 31, 2020USD ($) | |
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | $ 35,934,570 | $ 4,529,662 |
Current | 2,868,795 | 591,355 |
Non-Current | 26,496,074 | 3,021,815 |
Total | 29,364,869 | 3,613,170 |
Interest expense on lease liabilities | $ 449,571 | |
Number of modified leases | lease | 6 | |
Year 1 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | $ 4,517,775 | 805,946 |
Year 2 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 4,634,401 | 680,943 |
Year 3 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 3,785,984 | 568,434 |
Year 4 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 3,374,696 | 584,268 |
Year 5 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 3,311,808 | 479,833 |
Thereafter | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 16,309,906 | 1,410,237 |
Premises | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 35,726,343 | 4,408,690 |
Current | 2,836,348 | 565,296 |
Non-Current | 26,366,448 | 2,949,707 |
Total | $ 29,202,796 | 3,515,003 |
Number of leases | lease | 4 | |
Premises | Year 1 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | $ 4,468,877 | 769,865 |
Premises | Year 2 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 4,590,357 | 650,087 |
Premises | Year 3 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 3,741,940 | 549,908 |
Premises | Year 4 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 3,332,312 | 565,742 |
Premises | Year 5 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 3,290,786 | 462,851 |
Premises | Thereafter | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 16,302,071 | 1,410,237 |
Equipment | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 208,227 | 120,972 |
Current | 32,447 | 26,059 |
Non-Current | 129,626 | 72,108 |
Total | $ 162,073 | 98,167 |
Number of leases | lease | 1 | |
Equipment | Year 1 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | $ 48,898 | 36,081 |
Equipment | Year 2 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 44,044 | 30,856 |
Equipment | Year 3 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 44,044 | 18,526 |
Equipment | Year 4 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 42,384 | 18,526 |
Equipment | Year 5 | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | 21,022 | 16,982 |
Equipment | Thereafter | ||
Disclosure of maturity analysis of operating lease payments [line items] | ||
Undiscounted lease liabilities | $ 7,835 | $ 0 |
Restoration provisions (Details
Restoration provisions (Details) - USD ($) | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Changes In Restoration Provisions [Roll Forward] | ||
Restoration provisions, beginning balance | $ 321,400 | |
Restoration provisions, ending balance | $ 334,233 | $ 321,400 |
Risk-free interest rate | 0.61% | |
Restoration provisions | ||
Changes In Restoration Provisions [Roll Forward] | ||
Restoration provisions, beginning balance | $ 321,400 | 0 |
Initial recognition | 321,400 | |
Interest Recognized | 3,194 | 0 |
Foreign exchange recognized | 9,639 | |
Restoration provisions, ending balance | $ 334,233 | $ 321,400 |
Accounts payable and accrued _3
Accounts payable and accrued liabilities (Details) - USD ($) | Oct. 31, 2021 | Oct. 31, 2020 |
Subclassifications of assets, liabilities and equities [abstract] | ||
Accounts payable | $ 9,447,394 | $ 2,454,421 |
Accrued expenses | 6,452,754 | 1,177,377 |
Accrued compensation | 2,800,968 | 732,574 |
Accounts payable and accrued liabilities | $ 18,701,116 | $ 4,364,372 |
Commitments (Details)
Commitments (Details) - USD ($) $ in Millions | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Commitments [Abstract] | ||
Purchase orders | $ 6.9 | $ 4.2 |
Loss per share - Calculation of
Loss per share - Calculation of Loss per Share (Details) | 12 Months Ended | |||
Oct. 31, 2021USD ($)$ / sharesshares | Oct. 31, 2020USD ($)$ / sharesshares | Oct. 31, 2019USD ($)$ / sharesshares | Aug. 10, 2021 | |
Earnings per share [abstract] | ||||
Business combination, share exchange ratio | 39.91 | |||
Net loss | $ | $ (226,559,288) | $ (9,275,962) | $ (4,100,782) | |
Weighted average number of ordinary shares, basic (in shares) | 110,119,135 | 82,571,828 | 71,891,372 | |
Weighted average number of ordinary shares, diluted (in shares) | 110,119,135 | 82,571,828 | 71,891,372 | |
Basic loss per share (in dollars per share) | $ / shares | $ (2.06) | $ (0.11) | $ (0.06) | |
Diluted loss per share (in dollars per share) | $ / shares | $ (2.06) | $ (0.11) | $ (0.06) | |
Anti-dilutive shares (in shares) | 36,507,005 | 5,415,069 | 4,527,231 |
Loss per share - Schedule of An
Loss per share - Schedule of Anti-dilutive Shares (Details) - shares | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Earnings per share [line items] | |||
Anti-dilutive shares (in shares) | 36,507,005 | 5,415,069 | 4,527,231 |
Stock options | |||
Earnings per share [line items] | |||
Anti-dilutive shares (in shares) | 5,296,553 | 5,327,985 | 3,991,000 |
Warrants | |||
Earnings per share [line items] | |||
Anti-dilutive shares (in shares) | 22,999,894 | 0 | 0 |
Conversion feature of convertible debt | |||
Earnings per share [line items] | |||
Anti-dilutive shares (in shares) | 7,493,795 | 0 | 536,231 |
Restricted share units | |||
Earnings per share [line items] | |||
Anti-dilutive shares (in shares) | 716,763 | 87,084 | 0 |
Segment reporting (Details)
Segment reporting (Details) | 12 Months Ended | ||
Oct. 31, 2021USD ($)segment | Oct. 31, 2020USD ($) | Oct. 31, 2019USD ($) | |
Disclosure of geographical areas [line items] | |||
Number of operating segments | segment | 1 | ||
Revenue | $ 7,374,876 | $ 792,254 | $ 48,160 |
Non-current assets | $ 53,399,223 | $ 9,461,668 | $ 1,060,792 |
Customer A | |||
Disclosure of geographical areas [line items] | |||
Main customers as a percentage of revenue | 42.00% | 67.00% | 0.00% |
Main customers as a percentage of accounts receivable | 53.00% | 90.00% | 0.00% |
Customer B | |||
Disclosure of geographical areas [line items] | |||
Main customers as a percentage of revenue | 52.00% | 0.00% | 0.00% |
Main customers as a percentage of accounts receivable | 45.00% | 0.00% | 0.00% |
Canada | |||
Disclosure of geographical areas [line items] | |||
Revenue | $ 2,999,249 | $ 792,254 | $ 48,160 |
Non-current assets | 15,476,877 | 3,395,049 | 1,060,792 |
United States | |||
Disclosure of geographical areas [line items] | |||
Revenue | 4,375,627 | 0 | 0 |
Non-current assets | $ 37,922,346 | $ 6,066,619 | $ 0 |
Government funding (Details)
Government funding (Details) - USD ($) | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Government Grants [Abstract] | |||
Research and development expenses, gross | $ 2,694,999 | $ 2,809,537 | $ 3,134,468 |
Less: Government grants | (32,427) | (2,032,869) | (629,346) |
Less: Investment tax credits | 0 | 0 | 393,464 |
Office, administrative and travel | 2,662,572 | 776,668 | 2,111,658 |
Government grants recognized as an offset to employee salaries and benefits expense | $ 60,499 | $ 168,027 | $ 10,916 |
Income taxes - Summary of Incom
Income taxes - Summary of Income Tax Expense (Details) - USD ($) | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Income Taxes [Abstract] | |||
Net loss | $ (226,559,288) | $ (9,275,962) | $ (4,100,782) |
Statutory tax rates | 26.50% | 26.50% | 26.50% |
Tax expense (income) at applicable tax rate | $ (60,038,210) | $ (2,458,130) | $ (1,086,707) |
Change in unrecognized deferred tax amounts | 8,799,310 | 2,365,715 | 993,703 |
Non-deductible item and others | 51,238,900 | 92,415 | 93,004 |
Income tax expense | $ 0 | $ 0 | $ 0 |
Income taxes - Unrecognized Def
Income taxes - Unrecognized Deferred Income Tax Assets (Details) - USD ($) | Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 |
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax liability (asset) | $ 0 | $ 0 | $ 0 |
Share issuance costs | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | 12,647,471 | 0 | 0 |
Convertible debt | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | 250,729 | 0 | 0 |
Reserves and provisions | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | 233,840 | 84,464 | 24,164 |
Other | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | 97,360 | 0 | 0 |
Transaction Costs | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | 13,000,000 | ||
Before Offset Amount | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax liability (asset) | 25,454,491 | 3,613,127 | 1,002,981 |
Before Offset Amount | Tax losses and credits carryforwards | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | 14,341,855 | 3,799,216 | 1,163,353 |
Before Offset Amount | Plant and equipment, due to differences in amortization | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax liabilities | (2,732,757) | (205,158) | (184,536) |
Before Offset Amount | Right of use assets, net of lease liabilities | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | 615,993 | 0 | |
Deferred tax liabilities | (65,395) | ||
Offset Amount | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax liability (asset) | (25,454,491) | (3,613,127) | (1,002,981) |
Canada Revenue Agency | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Tax credit carryforward, amount | 49,000,000 | $ 13,000,000 | $ 4,000,000 |
Internal Revenue Service | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Operating loss carryforwards | $ 5,000,000 |
Notes to the Consolidated Sta_3
Notes to the Consolidated Statements of Cash Flows (Details) $ in Millions | 12 Months Ended | |||
Oct. 31, 2021USD ($) | Oct. 31, 2020USD ($) | Oct. 31, 2019USD ($) | Oct. 31, 2021CAD ($) | |
Notes To The Statements Of Cash Flows [Abstract] | ||||
Cash | $ 6,858,298 | $ 1.3 | ||
Cash equivalents | 590,000,000 | |||
Interest paid | 1,923,202 | $ 519,769 | $ 0 | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||||
Repayment of lease liabilities | (884,024) | (387,508) | 0 | |
Proceeds from loans payable | 10,091,220 | 2,153,110 | 86,572 | |
Repayment of loans payable | 12,544,339 | 12,881 | 0 | |
Proceeds from government grants | 92,926 | 1,182,599 | 1,697,794 | |
Proceeds from convertible debt | 98,400,263 | 0 | 0 | |
Grant of restricted share units | 3,982,943 | 332,634 | 97,258 | |
Restricted share units | ||||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||||
Beginning balance | 171,849 | 0 | ||
Total changes from financing cash flows | 0 | 0 | ||
Grant of restricted share units | 604,943 | 88,425 | ||
Fair value gain (loss) on instruments | 3,096,940 | 84,454 | ||
RSU FMV transfer to share capital on public transaction | (3,922,754) | |||
Foreign exchange (gain) or loss | 49,022 | (1,030) | ||
Ending balance | 0 | 171,849 | 0 | |
Lease liabilities | ||||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||||
Beginning balance | 3,613,170 | 0 | ||
Repayment of lease liabilities | (884,024) | (387,508) | ||
Total changes from financing cash flows | (884,024) | (387,508) | ||
New leases | 26,261,895 | 4,141,153 | ||
Foreign exchange (gain) or loss | 373,828 | (140,475) | ||
Ending balance | 29,364,869 | 3,613,170 | 0 | |
Loans payable | ||||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||||
Beginning balance | 2,247,878 | 87,381 | ||
Proceeds from loans payable | 10,091,220 | 2,153,110 | ||
Repayment of loans payable | 12,544,339 | 12,881 | ||
Total changes from financing cash flows | (2,453,119) | 2,227,610 | ||
Foreign exchange (gain) or loss | 244,989 | 20,268 | ||
Ending balance | 39,748 | 2,247,878 | 87,381 | |
Restoration provisions | ||||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||||
Beginning balance | 321,400 | 0 | ||
Total changes from financing cash flows | 0 | 0 | ||
Accrued interest and accretion | 3,194 | |||
New restoration provisions | 321,400 | |||
Foreign exchange (gain) or loss | 9,639 | |||
Ending balance | 334,233 | 321,400 | 0 | |
Convertible debt | ||||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||||
Beginning balance | 0 | 384,207 | ||
Proceeds from convertible debt | 70,719,220 | |||
Total changes from financing cash flows | 70,719,220 | 384,207 | ||
Accrued interest and accretion | 1,129,680 | 9,931 | ||
Conversion of convertible debt | (397,424) | |||
Foreign exchange (gain) or loss | 3,286 | |||
Ending balance | 71,848,900 | 0 | 384,207 | |
Conversion feature of convertible debt | ||||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||||
Beginning balance | 0 | 94,985 | ||
Proceeds from convertible debt | 27,681,043 | |||
Total changes from financing cash flows | 27,681,043 | 94,985 | ||
Fair value gain (loss) on instruments | 1,347,895 | |||
Accrued interest and accretion | ||||
Conversion of convertible debt | (94,985) | |||
Ending balance | 29,028,938 | 0 | 94,985 | |
Deferred government funding | ||||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||||
Beginning balance | 0 | 1,067,318 | ||
Proceeds from government grants | 1,182,599 | |||
Total changes from financing cash flows | 0 | 2,249,917 | ||
Foreign exchange (gain) or loss | (23,007) | |||
Amortization of government grants | 0 | (2,226,910) | ||
Ending balance | $ 0 | $ 0 | $ 1,067,318 |
Subsequent events (Details)
Subsequent events (Details) | Jan. 30, 2022$ / sharesshares | Oct. 15, 2021shares | Dec. 31, 2021USD ($) | Dec. 27, 2021$ / shares | Dec. 14, 2021USD ($)$ / sharesshares | Sep. 29, 2021USD ($) |
Disclosure of non-adjusting events after reporting period [line items] | ||||||
Common stock, share subscriptions receivable | $ | $ 50,000,000 | |||||
Common stock, shares subscribed (in shares) | shares | 2,208,480 | |||||
Sale of stock, price per share (in dollars per share) | $ / shares | $ 11.32 | |||||
Redemption price of warrants (in dollars per share) | $ / shares | $ 0.1 | $ 0.1 | ||||
Shares issued per warrant | 0.253 | |||||
Number of warrants exercised (in shares) | shares | 9,678 | 100 | ||||
Exercise price of warrants (in dollars per share) | $ / shares | $ 11.5 | |||||
Numberof warrants surrendered (in shares) | shares | 22,540,651 | |||||
Number of warrants unexercised (in shares) | shares | 449,665 | |||||
Koch Strategic Platforms Convertible Note | ||||||
Disclosure of non-adjusting events after reporting period [line items] | ||||||
Proceeds of issue of convertible debt | $ | $ 1,827,778 | $ 100,000,000 | ||||
LG Chem, Ltd. | ||||||
Disclosure of non-adjusting events after reporting period [line items] | ||||||
Common stock, share subscriptions receivable | $ | $ 25,000,000 | |||||
LG Energy Solution, Ltd. | ||||||
Disclosure of non-adjusting events after reporting period [line items] | ||||||
Common stock, share subscriptions receivable | $ | $ 25,000,000 |