Cover
Cover | 12 Months Ended |
Oct. 31, 2022 shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Document Registration Statement | false |
Document Annual Report | true |
Document period end date | Oct. 31, 2022 |
Current fiscal year end date | --10-31 |
Document Transition Report | false |
Document Shell Company Report | false |
Entity File Number | 001-40733 |
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 | false |
Entity common stock shares outstanding | 175,956,545 |
Entity Well-known Seasoned Issuer | No |
Current reporting status | Yes |
Entity interactive data current | Yes |
Entity Voluntary Filers | No |
Entity Filer Category | Large Accelerated Filer |
Document Accounting Standard | International Financial Reporting Standards |
Entity Shell Company | false |
Amendment flag | false |
Central index key | 0001828811 |
Document fiscal year focus | 2022 |
Document fiscal period focus | FY |
Registrant name | Li-Cycle Holdings Corp |
Entity Incorporation, State or Country Code | A6 |
ICFR Auditor Attestation Flag | true |
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 |
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 |
Audit Information
Audit Information | 12 Months Ended | |
Oct. 31, 2022 | Oct. 31, 2021 | |
Audit Information [Abstract] | ||
Auditor Name | KPMG LLP | Deloitte LLP |
Auditor Location | Vaughan, Canada | Toronto, Canada |
Auditor Firm ID | 85 | 1208 |
Audit Information_2
Audit Information | 12 Months Ended |
Oct. 31, 2022 | |
Auditor [Table] | |
ICFR Auditor Attestation Flag | true |
Consolidated statements of fina
Consolidated statements of financial position - USD ($) $ in Millions | Oct. 31, 2022 | Oct. 31, 2021 |
Current assets | ||
Cash and cash equivalents | $ 578.3 | $ 596.9 |
Accounts receivable | 1.5 | 4.1 |
Other receivables | 7.8 | 1 |
Prepayment and deposits | 85.8 | 8.5 |
Inventories | 7.5 | 1.3 |
Current assets | 680.9 | 611.8 |
Non-current assets | ||
Plant and equipment | 147.7 | 26.4 |
Right-of-use assets | 50.1 | 27 |
Other assets | 3.6 | 0 |
Non-current assets | 201.4 | 53.4 |
Total assets | 882.3 | 665.2 |
Current liabilities | ||
Accounts payable and accrued liabilities | 47.5 | 18.7 |
Current lease liabilities | 5.2 | 2.9 |
Current liabilities | 52.7 | 21.6 |
Non-current liabilities | ||
Lease liabilities | 46.6 | 26.5 |
Convertible debt | 288.5 | 100.9 |
Warrants | 0 | 82.1 |
Restoration provisions | 0.4 | 0.4 |
Non-current liabilities | 335.5 | 209.9 |
Total liabilities | 388.2 | 231.5 |
Equity | ||
Share capital | 771.8 | 672.1 |
Other reserves | 17.1 | 3 |
Accumulated deficit | (294.7) | (241.1) |
Accumulated other comprehensive loss | (0.3) | (0.3) |
Equity attributable to the Shareholders of Li-Cycle Holdings Corp. | 493.9 | 433.7 |
Non-controlling interest | 0.2 | 0 |
Total equity | 494.1 | 433.7 |
Total liabilities and equity | $ 882.3 | $ 665.2 |
Consolidated statements of loss
Consolidated statements of loss and comprehensive loss - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Revenue | |||
Product sales | $ 12.1 | $ 6.9 | $ 0.6 |
Recycling services | 1.3 | 0.4 | 0.2 |
Revenue | 13.4 | 7.3 | 0.8 |
Expenses | |||
Employee salaries and benefits | 37.2 | 12.7 | 2.8 |
Share-based compensation | 17.5 | 4 | 0.3 |
General and administrative expense | 16.9 | 3.1 | 0.5 |
Professional fees expense | 16.5 | 7.7 | 3 |
Raw materials and supplies | 15.6 | 3.4 | 0.6 |
Depreciation | 10.1 | 2.9 | 1.1 |
Plant facilities | 3.7 | 1 | 0.4 |
Sales and marketing expense | 2.4 | 1 | 0.4 |
Freight and shipping | 2 | 1 | 0.1 |
Research and development | 1.7 | 2.7 | 0.8 |
Change in finished goods inventory | 1 | (0.3) | 0 |
Operating expenses | 124.6 | 39.2 | 10 |
Loss from operations | (111.2) | (31.9) | (9.2) |
Other income (expense) | |||
Interest income | 7 | 0.1 | 0 |
Interest expense and other costs | (17) | (3.8) | (0.1) |
Gains (losses) on financial instruments | 67.5 | (38.3) | (0.1) |
Excess of fair value over consideration transferred | 0 | (152.7) | 0 |
Other income (expense) | 57.5 | (194.7) | (0.2) |
Net loss before taxes | (53.7) | (226.6) | (9.4) |
Income tax | 0 | 0 | 0 |
Interest income on short-term investments | (53.7) | (226.6) | (9.4) |
Non-controlling interest | (53.6) | (226.6) | (9.4) |
Non-controlling interest | (0.1) | 0 | 0 |
Foreign currency translation | 0 | 0 | (0.2) |
Net loss and comprehensive loss | $ (53.7) | $ (226.6) | $ (9.6) |
Loss per common share - basic (in dollars per share) | $ (0.31) | $ (2.06) | $ (0.11) |
Loss per common share - diluted (in dollars per share) | $ (0.31) | $ (2.06) | $ (0.11) |
Consolidated statements of chan
Consolidated statements of changes in equity $ in Millions | USD ($) shares | Stock options USD ($) shares | Restricted share units USD ($) shares | Series C Shares USD ($) | Public Shares USD ($) | Equity attributable to owners of parent [member] USD ($) | Issued capital USD ($) shares | Issued capital Restricted share units USD ($) shares | Issued capital Series C Shares USD ($) shares | Issued capital Public Shares USD ($) shares | Additional paid-in capital [member] USD ($) | Additional paid-in capital [member] Stock options USD ($) | Additional paid-in capital [member] Restricted share units USD ($) | Retained earnings [member] USD ($) | Accumulated other comprehensive income [member] USD ($) | Equity attributable to owners of parent [member] USD ($) | Equity attributable to owners of parent [member] Stock options USD ($) | Equity attributable to owners of parent [member] Restricted share units USD ($) | Non-controlling interests [member] USD ($) |
Shareholders' equity, beginning balance (in shares) at Oct. 31, 2019 | shares | 76,500,000 | ||||||||||||||||||
Shareholders' equity, beginning balance at Oct. 31, 2019 | $ 3.4 | $ 8.5 | $ 0.1 | $ (5.1) | $ (0.1) | $ 3.4 | $ 0 | ||||||||||||
Changes in equity [abstract] | |||||||||||||||||||
Stock option expense | 0.2 | $ 0.2 | 0.2 | ||||||||||||||||
Share issuance (in shares) | shares | 6,400,000 | ||||||||||||||||||
Share issuance | 6.5 | $ 6.5 | 6.5 | ||||||||||||||||
Shares issued for non-cash costs (in shares) | shares | 0 | ||||||||||||||||||
Issuance of shares for non-cash costs | 0.5 | $ 0 | 0.5 | 0.5 | |||||||||||||||
Conversion of convertible debt (in shares) | shares | 500,000 | ||||||||||||||||||
Conversion of convertible debt | 0.5 | $ 0.5 | 0.5 | ||||||||||||||||
Net loss and comprehensive loss | (9.6) | (9.4) | (0.2) | (9.6) | |||||||||||||||
Shareholders' equity, ending balance (in shares) at Oct. 31, 2020 | shares | 83,400,000 | ||||||||||||||||||
Shareholders' equity, ending balance at Oct. 31, 2020 | 1.5 | $ 15.5 | 0.8 | (14.5) | (0.3) | 1.5 | 0 | ||||||||||||
Changes in equity [abstract] | |||||||||||||||||||
Stock option expense | $ 2.7 | $ 2.7 | $ 2.7 | ||||||||||||||||
Share issuance (in shares) | shares | 11,200,000 | 65,700,000 | |||||||||||||||||
Share issuance | $ 21.6 | $ 629.7 | $ 629.7 | $ 21.6 | $ 629.7 | 21.6 | |||||||||||||
Shares issued for non-cash costs (in shares) | shares | 500,000 | ||||||||||||||||||
Issuance of shares for non-cash costs | $ 0 | $ 0.5 | (0.5) | ||||||||||||||||
Exercise of stock options (in shares) | shares | 2,172,820 | 1,148,570 | 2,100,000 | ||||||||||||||||
Exercise of stock options | $ 0.2 | $ 0.9 | (0.7) | 0.2 | |||||||||||||||
Settlement of RSUs (in shares) | shares | 392,276 | 400,000 | |||||||||||||||||
Settlement of RSUs | $ 3.9 | $ 3.9 | |||||||||||||||||
Restricted share units settled | $ 3.9 | ||||||||||||||||||
RSUs expense (in shares) | shares | 0 | ||||||||||||||||||
RSUs expense | $ 0.7 | $ 0 | $ 0.7 | 0.7 | |||||||||||||||
Net loss and comprehensive loss | (226.6) | (226.6) | (226.6) | ||||||||||||||||
Shareholders' equity, ending balance (in shares) at Oct. 31, 2021 | shares | 163,300,000 | ||||||||||||||||||
Shareholders' equity, ending balance at Oct. 31, 2021 | 433.7 | $ 672.1 | 3 | (241.1) | (0.3) | 433.7 | 0 | ||||||||||||
Changes in equity [abstract] | |||||||||||||||||||
Stock option expense | 6.6 | 6.6 | 6.6 | ||||||||||||||||
Share issuance (in shares) | shares | 5,300,000 | ||||||||||||||||||
Share issuance | $ 49.7 | $ 49.7 | 49.7 | ||||||||||||||||
Exercise of stock options (in shares) | shares | 1,547,113 | 1,547,113 | 1,400,000 | ||||||||||||||||
Exercise of stock options | $ 0 | $ 0.4 | (0.4) | ||||||||||||||||
Exercise of warrants (in shares) | shares | 5,700,000 | ||||||||||||||||||
Exercise of warrants | 46 | $ 46 | 0 | 46 | |||||||||||||||
Settlement of RSUs (in shares) | shares | 317,619 | 300,000 | |||||||||||||||||
Settlement of RSUs | $ 3.6 | (3.6) | |||||||||||||||||
Restricted share units settled | 0 | ||||||||||||||||||
RSUs expense (in shares) | shares | 0 | ||||||||||||||||||
RSUs expense | $ 11.5 | $ 0 | $ 11.5 | $ 11.5 | |||||||||||||||
Non-controlling interest in subsidiary | 0.3 | 0.3 | |||||||||||||||||
Net loss and comprehensive loss | (53.7) | (53.6) | 0 | (53.6) | (0.1) | ||||||||||||||
Shareholders' equity, ending balance (in shares) at Oct. 31, 2022 | shares | 176,000,000 | ||||||||||||||||||
Shareholders' equity, ending balance at Oct. 31, 2022 | $ 494.1 | $ 771.8 | $ 17.1 | $ (294.7) | $ (0.3) | $ 493.9 | $ 0.2 |
Consolidated statements of cash
Consolidated statements of cash flows - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Operating activities | |||
Net loss for the period | $ (53.7) | $ (226.6) | $ (9.4) |
Items not affecting cash: | |||
Share-based compensation | 17.5 | 4 | 0.3 |
Excess of fair value over consideration transferred | 0 | 152.7 | 0 |
Depreciation | 10.1 | 2.9 | 1.1 |
Amortization of government grants | 0 | 0 | (2.2) |
Loss on disposal of assets | (0.2) | 0 | 0.1 |
Foreign exchange (gain) loss on translation | (1.4) | 0.7 | (0.3) |
Fair value (gain) loss on financial instruments | (67.5) | 38.3 | 0.1 |
Share-based professional fees | 0 | 0 | 0.5 |
Interest expense | 17.4 | 3 | 0.5 |
Interest income | (7) | (0.1) | 0 |
Interest paid | (2.4) | (1.9) | (0.5) |
Interest received | 5.4 | 0.1 | 0 |
Cash flows from (used in) operations before changes in working capital | (81.8) | (26.9) | (9.8) |
Changes in non-cash working capital items | |||
Accounts receivable | 2.6 | (3.5) | (0.5) |
Other receivables | (5.2) | (0.7) | 0.4 |
Prepayments and deposits | (3.6) | (4.8) | (0.6) |
Inventories | (6.2) | (1) | (0.1) |
Accounts payable and accrued liabilities | 21.6 | 12.3 | 3.2 |
Cash used by operating activities | (72.6) | (24.6) | (7.4) |
Investing activity | |||
Purchases of plant and equipment | (112.3) | (18.2) | (5.1) |
Prepaid equipment deposits | (76.4) | (3.2) | 0 |
Prepaid construction charges | (1.4) | 0 | 0 |
Cash used by investing activities | (190.1) | (21.4) | (5.1) |
Financing activities | |||
Proceeds from exercise of stock options | 0 | 0.2 | 0 |
Proceeds from exercise of warrants | 0.1 | 0 | 0 |
Proceeds from convertible debt | 198.7 | 98.4 | 0 |
Proceeds from loan payable | 0 | 10.1 | 2.1 |
Proceeds from government grants | 0 | 0 | 1.2 |
Capital contribution from the holders of non-controlling interest | 0.3 | 0 | 0 |
Repayment of lease principal | (4.7) | (0.9) | (0.4) |
Repayment of loan payable | 0 | (12.5) | 0 |
Cash provided by financing activities | 244.1 | 642.2 | 9.4 |
Net change in cash and cash equivalents | (18.6) | 596.2 | (3.1) |
Cash and cash equivalents, beginning of year | 596.9 | 0.7 | 3.8 |
Cash and cash equivalents, end of year | 578.3 | 596.9 | 0.7 |
Non-cash investing activities | |||
Purchase of plant and equipment in payables and accruals | 7.2 | 2.1 | 0 |
Non cash purchase of plant and equipment | 0 | 2.1 | 0 |
Non-cash financing activities | |||
Equity issued for non-cash costs | 0 | 0 | 0.9 |
Private Shares | |||
Financing activities | |||
Proceeds from private and public shares, net of share issuance costs | 0 | 21.6 | 6.5 |
Public Shares | |||
Financing activities | |||
Proceeds from private and public shares, net of share issuance costs | $ 49.7 | $ 525.3 | $ 0 |
Nature of operations and busine
Nature of operations and business combination | 12 Months Ended |
Oct. 31, 2022 | |
Nature Of Operations [Abstract] | |
Nature of operations and business combination | i. Company overview 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. 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. The Company's registered address is 207 Queens Quay West - Suite 590, Toronto, Ontario. On March 28, 2019, Li-Cycle Corp. incorporated a wholly-owned subsidiary, Li-Cycle Inc., under the General Corporation Law of the State of Delaware. This subsidiary operates the Company’s U.S. Spoke facilities. On September 2, 2020, Li-Cycle Corp. incorporated a wholly-owned subsidiary, Li-Cycle North America Hub, Inc., under the General Corporation Law of the State of Delaware. This subsidiary is developing the Company’s first commercial Hub, in Rochester, New York. On August 10, 2021, in accordance with the plan of arrangement to reorganize Li-Cycle Corp., the Company finalized a business combination (the "Business Combination") with Peridot Acquisition Corp., and the combined company was renamed Li-Cycle Holdings Corp. On closing, the common shares of Li-Cycle Holdings Corp. were listed on the New York Stock Exchange and commenced trading under the symbol “NYSE:LICY”. 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 new investors (the "PIPE Investors") at US$10 per share for a total of US$315.5 million under a 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 traded under the symbols “LICY” and “LICY.WS”, respectively. Li-Cycle Corp. was identified as the acquirer for accounting purposes. As Peridot Acquisition Corp. did not meet the definition of a business as defined in IFRS 3 - Business Combinations (“IFRS 3”), the acquisition was not within the scope of IFRS 3 and was accounted for as a share-based payment transaction in accordance with IFRS 2 – Share-based Payment. 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 an excess of fair value over consideration transferred. 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, an excess of fair value over consideration transferred of $152.7 million was 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, were 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 as follows: Fair value of consideration transferred: Common shares $ 656.7 Total fair value of consideration transferred 656.7 Fair value of assets acquired and liabilities assumed: Cash and cash equivalents 581.9 Warrants (48.3) Other payables (29.6) Total fair value of assets acquired and liabilities assumed 504.0 Excess of fair value of consideration transferred over fair value of assets acquired and liabilities assumed 152.7 Gross proceeds 581.9 Transaction-related costs (27.0) Other payables acquired (29.6) Net proceeds $ 525.3 The fair value of the consideration transferred to acquire Peridot Acquisition Corp. and to issue shares to the PIPE Investors was $656.7 million 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. |
Basis of preparation
Basis of preparation | 12 Months Ended |
Oct. 31, 2022 | |
List Of Accounting Policies [Abstract] | |
Basis of preparation | Basis of preparation 2.1 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”). These consolidated financial statements were approved and authorized for issue by the Board of Directors on February 6, 2023. 2.2 Basis of measurement The consolidated financial statements have been prepared on a going concern basis, using historical cost basis, except for financial assets and liabilities that have been measured at amortized cost or fair value through profit and loss. 2.3 Basis of consolidation These consolidated financial statements include the financial information of the Company and its subsidiaries. The Company’s 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. In assessing control, potential voting rights that are presently exercisable or convertible is taken into account. The accounting policies of subsidiaries are aligned with policies adopted by the Company. The Company’s principal subsidiaries and their geographic location as at October 31, 2022 are set forth in the table below: Company Location Ownership interest Li-Cycle Corp. Ontario, Canada 100% Li-Cycle Americas Corp. Ontario, Canada 100% 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 Europe AG Switzerland 100% Li-Cycle APAC PTE. LTD. Singapore 100% Li-Cycle Germany GmbH Germany 100% Li-Cycle Norway AS Norway 67% Intercompany transactions, balances and unrealized gains/losses on transactions between the Company and its subsidiaries have been eliminated. 2.4 Presentation currency These consolidated financial statements are presented in U.S. dollars, which is the Company's functional currency. All figures are presented in millions of U.S. dollars unless otherwise specified. 2.5 Significant accounting estimates and critical judgments The preparation of the financial statements in conformity with IFRS requires management to make judgments, 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 accounting estimates include: i. the determination of net realizable value of inventory; ii. the determination of the useful life of plant and equipment; iii. the valuation and measurement of the convertible debt and the related conversion features; and iv. the valuation and measurement of right-of-use assets and lease liabilities. Critical judgments in applying accounting policies that have the most significant effect on the amounts recognized in the financial statements include the following: i. the determination of transaction price used for revenue recognition; ii. the valuation of the fair value of consideration transferred in the Business Combination in prior year; iii. the assessment of impairment of non-financial assets; iv. judgment in determining cash-generating units ("CGU") or CGU group for the purpose of impairment testing; and v. the determination of reportable segments. 2.6 Newly adopted IFRS Standards The IASB has published Interest Rate Benchmark Reform - Phase 2 (Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16) with amendments that address issues that might affect financial reporting after the reform of an interest rate benchmark, including its replacement with alternative benchmark rates. The amendments are effective for annual reporting periods beginning on or after January 1, 2021. The Company has assessed the revised impact of the amendments and concluded that they have no impact on the consolidated financial statements. 2.7 Comparative figures Certain of the comparative figures have been reclassified to conform to the financial statement presentation adopted in the current year. 2.8 Non-controlling interest Non-controlling interest is defined as equity in a subsidiary not attributable, directly or indirectly, to a parent where a parent controls one or more entities. Changes in the Company’s ownership interest in a subsidiary that do not result in the loss of control of the subsidiary are accounted for as equity transactions. Non-controlling interest will be subsequently measured through profit/loss and will be attributed based on ownership interest and distributions/dividends to the non-controlling interest. 2.9 Capitalization of borrowing costs Borrowing costs on funds from general borrowings used to finance the construction, production, or acquisition of a qualifying asset are capitalized until substantially all the activities necessary to prepare the qualifying asset for its intended use or sale have been completed. A qualifying asset is one that takes a substantial period of time to prepare the asset for its intended use. When money borrowed specifically to finance a project is invested to earn interest income, the income generated is also capitalized to reduce the total capitalized borrowing costs. Interest is capitalized based on the weighted average interest rate applicable to the general borrowings outstanding during the period of construction. 2.10 Capitalization of internal costs Employee salaries and share-based compensation costs for employees that are directly attributable to bringing the Hub and Spoke assets to a condition and location necessary for the assets to be capable of operating in the manner intended by management are capitalized to assets under construction. 2.11 Segmented information The Company has determined that there is one operating and reportable segment based on qualitative and quantitative considerations. The accounting policies of the segments are measured in a manner consistent with that of the consolidated financial statements. 2.12 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: i. Sale of products which includes black mass and black mass equivalents (collectively, "Black Mass & Equivalents") and shredded metal ii. Services for recycling lithium-ion batteries which includes coordination of logistics and destruction of batteries Revenue is measured based on the consideration to which the Company expects to be entitled under 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. For sale of products, revenue is recognized when control of the goods has transferred, typically when the goods have been transferred to the customer. A receivable is recognized by the Company when the goods are transferred 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, which is based on the initial assay results and market prices of certain constituent metals on the date control is transferred to the customer. The final consideration for Black Mass & Equivalents and shredded metal sales is based on the mathematical product of: (i) market prices of certain constituent metals at the date of settlement, (ii) product weight, and (iii) final 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 receivable are measured using provisional prices for the constituent metals on initial recognition and any unsettled sales are remeasured at the end of each reporting period using the market prices of the constituent metals at the respective measurement dates. Changes in fair value are recognized as an adjustment to product revenue and the related accounts receivable. Recycling service revenue is recognized at a point in time upon completion of the services. The price 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. The Company has elected to use the practical expedient for financing components related to its sales contracts. The Company does not recognize interest expense on contracts for which the period between receipt of customer payments and sale to the customer is one year or less. 2.13 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 settlement of any RSUs, the grant date fair value of the instrument is transferred to share capital. 2.14 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 recognized if, and only if, all of the following conditions have been demonstrated: i. the technical feasibility of completing the intangible asset so that it will be available for use or sale; ii. the intention to complete the intangible asset and use or sell it; iii. the ability to use or sell the intangible asset; iv. how the intangible asset will generate probable future economic benefits; v. the availability of adequate technical, financial and other resources to complete the development and to use or sell the intangible asset; and vi. the ability to measure reliably the expenditure attributable to the intangible asset during its development. The amount initially recognized 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 recognized, development expenditure is recognized 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. 2.15 Cash and cash equivalents Cash consists of cash deposits with financial institutions, while cash equivalents consists of short term guaranteed investment certificates with financial institutions. 2.16 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. Write-downs to net realizable value may be reversed, up to the amount previously written down, when circumstances support an increased inventory value. 2.17 Convertible debt The components of convertible debt instruments issued by the Company are recorded as financial liabilities, in accordance with the substance of the contractual arrangements and the definitions of a financial liability. 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 a liability and requires bifurcation, it is bifurcated as an embedded derivative unless the Company 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 statement of loss and comprehensive loss. 2.18 Plant and equipment Plant and equipment are stated at cost less accumulated depreciation and accumulated impairment losses net of any reversals of impairment. Where significant 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, residual values and method of depreciation 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 Furniture 7 years Storage containers 10 years Processing equipment 10 years Leasehold improvements Shorter of term of lease or estimated useful life Repairs and maintenance costs are expensed as incurred. 2.19 Impairment of long-lived 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. 2.20 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”) 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; or (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). The classification and measurement basis of the Company’s financial instruments are as follows: Financial Instrument Measurement Cash equivalents Amortized cost Trade accounts receivable FVTPL Other accounts receivable Amortized cost Accounts payable and accrued liabilities Amortized cost Warrants FVTPL 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. 2.21 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. 2.22 Government assistance 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. 2.23 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 regard 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. 2.24 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. 2.25 Leases The Company assesses whether a contract is or contains a lease, at inception of the contract. The Company recognizes 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 recognizes 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: i. Fixed lease payments (including in-substance fixed payments), less any lease incentives receivable; ii. Variable lease payments that depend on an index or rate, initially measured using the index or rate at the commencement date; iii. The amount expected to be payable by the lessee under residual value guarantees; iv. The exercise price of purchase options, if the lessee is reasonably certain to exercise the options; and v. Payments of penalties for terminating the lease, if the lease term reflects the exercise of an option to terminate the lease. 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 recognized 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. 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. 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 'Impairment of long-lived assets’ policy. 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. 2.26 New and revised IFRS Standards issued but not yet effective At the date of authorization of these financial statements, the Company has not applied the following new and revised IFRS Standards that have been issued but are not yet effective. New/Revised Standard Description Amendments to IFRS 3 Reference to the Conceptual Framework IFRS 17 (including the December 2021 amendments to IFRS 17) Insurance Contracts Amendments to IAS 1 Disclosure of Accounting Policies Amendments to IAS 1 Classifying liabilities as current or non-current Amendments to IAS 8 Definition of Accounting Estimates Amendments to IAS 12 Deferred Tax related to Assets and Liabilities arising from a Single Transaction Amendments to IFRS 16 Lease liability in a sale & leaseback Amendments to IAS 37 Onerous Contracts - Cost of Fulfilling a Contract The adoption of the IFRS Standards listed above are not expected to have a material impact on the financial statements of the Company in future periods, except as noted below. Amendments to IAS 1 Presentation of Financial Statements and IFRS Practice Statement 2 Making Materiality Judgments - Disclosure of Accounting Policies The amendments change the requirements in IAS 1 with regard to disclosure of accounting policies. The amendments replace all instances of the term ‘significant accounting policies’ with ‘material accounting policy information’. Accounting policy information is material if, when considered together with other information included in an entity’s financial statements, it can reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements. The supporting paragraphs in IAS 1 are also amended to clarify that accounting policy information that relates to immaterial transactions, other events or conditions is immaterial and need not be disclosed. Accounting policy information may be material because of the nature of the related transactions, other events or conditions, even if the amounts are immaterial. However, not all accounting policy information relating to material transactions, other events or conditions is itself material. The amendments to IAS 1 and IFRS practice statements 2 are effective for annual periods beginning on or after 1 January 2023, with earlier application permitted and are applied prospectively. The Company is assessing the potential impact of these amendments. |
Revenue - product sales and rec
Revenue - product sales and recycling services | 12 Months Ended |
Oct. 31, 2022 | |
Product sales revenue [Abstract] | |
Revenue - product sales and recycling services | Revenue – product sales and recycling services For the years ended October 31, 2022 2021 2020 Product revenue recognized in the period $ 14.3 $ 6.1 $ 0.5 Fair value pricing adjustments (2.2) 0.8 0.1 Product sales revenue 12.1 6.9 0.6 Recycling service revenue recognized in the period 1.3 0.4 0.2 Revenue $ 13.4 $ 7.3 $ 0.8 For the years ended October 31, 2022 2021 2020 Product revenue recognized in the period $ 14.3 $ 6.1 $ 0.5 Recycling service revenue recognized in the period 1.3 0.4 0.2 Total revenue before FV pricing adjustment $ 15.6 $ 6.5 $ 0.7 Product revenue from Black Mass & Equivalents and shredded metal, and the related trade accounts receivables, are measured at initial recognition using provisional prices for the constituent metals on initial recognition and any unsettled sales remeasured at the end of each reporting period using the market prices of the constituent metals. Changes in fair value are recognized as an adjustment to product revenue, and the related accounts receivable, and can result in gains and losses when the applicable metal prices increase or decrease from the date of initial recognition. Refer to Note 17 for the impact of movements in the Cobalt and Nickel prices. |
Other income (expense)
Other income (expense) | 12 Months Ended |
Oct. 31, 2022 | |
Financial Instruments [Abstract] | |
Other income (expense) | Other income (expense) The following table summarizes the Company's other income (expense): For the years ended October 31, 2022 2021 2020 Interest income on short-term investments $ 7.0 $ 0.1 $ — Interest income 7.0 0.1 — Interest expense and accretion on convertible debt (15.0) (1.2) — Interest expense and accretion on promissory notes — (0.1) — Interest expense and accretion on loans — (1.3) — Interest expense on leases (2.2) (0.4) (0.2) Other finance costs (0.2) — (0.3) Foreign exchange gains (losses) 0.4 (0.8) 0.4 Interest expense and other costs (17.0) (3.8) (0.1) Fair value gain (loss) on embedded derivatives 31.3 (1.3) — Fair value gain (loss) on warrants 36.2 (33.8) — Fair value gain (loss) on restricted share units — (3.2) (0.1) Gains (losses) on financial instruments 67.5 (38.3) (0.1) Excess of fair value over consideration transferred related to business combination — (152.7) — Excess of fair value over consideration transferred — (152.7) — Total $ 57.5 $ (194.7) $ (0.2) |
Accounts receivable
Accounts receivable | 12 Months Ended |
Oct. 31, 2022 | |
Trade and other current receivables [abstract] | |
Accounts receivable | Accounts receivable As at October 31, 2022 2021 Trade receivables $ 1.5 $ 4.1 Total accounts receivable 1.5 4.1 Sales taxes receivable $ 3.7 $ 0.4 Other 4.1 0.6 Total other receivables $ 7.8 $ 1.0 Other receivables consist principally of interest receivable and receivables from non-trade vendors. Aging Summary As at October 31, 2022 2021 Current $ 0.3 $ 3.2 1-30 days 0.6 0.3 31-60 days 0.3 0.1 61-90 days 0.1 — 91 days and over 0.2 0.5 Total accounts receivable $ 1.5 $ 4.1 For product revenue, the Company estimates the amount of consideration to which it expects to be entitled under provisional pricing arrangements, which is based on the initial assay results and market prices of certain constituent metals on the date control is transferred to the customer. For the twelve months ended October 31, 2022, the fair value loss arising from changes in estimates was $2.2 million (2021: fair value gain of $0.8 million), which is included in the respective accounts receivable balance. Refer to Note 3 for additional details on product revenue and fair value adjustments recognized in the period. The Company assesses the need for allowances related to credit loss for service related receivables based on its past experience, the credit ratings of its existing customer and economic trends. For the year ended October 31, 2022, the Company recorded a nominal credit allowance (2021: $nil). The Company's revenue primarily comes from two key customers, as shown in the table below. The Company's remaining customers do not make up significant percentages of these balances. For additional details on product sales and fair value adjustments recognized in the period, refer to Note 3. Revenue For the years ended October 31, 2022 2021 2020 Customer A 16.3 % 42.0 % 67.0 % Customer B 69.6 % 52.0 % 0.0 % Trade Accounts Receivable As at October 31, 2022 2021 2020 Customer A 18.3 % 53.0 % 90.0 % Customer B 42.8 % 45.0 % 0.0 % |
Prepayments and deposits
Prepayments and deposits | 12 Months Ended |
Oct. 31, 2022 | |
Prepayments And Deposits [Abstract] | |
Prepayments and deposits | Prepayment and deposits As at October 31, 2022 2021 Prepaid lease deposits $ 2.8 $ 0.9 Prepaid transaction costs 0.3 — Prepaid construction charges 1.4 — Prepaid equipment deposits 76.4 3.2 Prepaid insurance 5.7 3.8 Other prepaids 2.8 0.6 Total prepaids and deposits 89.4 8.5 Non-current portion of prepaid lease deposits (3.6) — Current prepaids and deposits $ 85.8 $ 8.5 Other prepaids consist principally of other deposits and subscriptions. |
Inventory
Inventory | 12 Months Ended |
Oct. 31, 2022 | |
Inventories [Abstract] | |
Inventory | Inventories As at October 31, 2022 2021 Raw materials $ 4.7 $ 0.9 Finished goods 1.7 0.3 Parts and tools 1.1 0.1 Total inventories $ 7.5 $ 1.3 The cost of inventories recognized as an expense during the twelve months ended October 31, 2022 was $28.8 million (2021: $8.6 million). |
Plant and equipment
Plant and equipment | 12 Months Ended |
Oct. 31, 2022 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Plant and equipment | Plant and equipment For the year ended October 31, 2022 Assets under construction Plant equipment and other Computer equipment Vehicles Leasehold improvements Total Cost Balance, beginning of the year $ 15.6 $ 6.4 $ 0.2 $ 0.2 $ 6.2 $ 28.6 Additions 119.5 0.2 1.6 0.1 3.6 125.0 Transfers (27.7) 27.7 — — — — Balance, end of the year 107.4 34.3 1.8 0.3 9.8 153.6 Accumulated depreciation Balance, beginning of the year — (1.6) — (0.1) (0.5) (2.2) Depreciation — (2.7) (0.2) — (0.8) (3.7) Balance, end of the year — (4.3) (0.2) (0.1) (1.3) (5.9) Net book value $ 107.4 $ 30.0 $ 1.6 $ 0.2 $ 8.5 $ 147.7 For the year ended October 31, 2021 Assets under construction Plant equipment and other Computer equipment Vehicles Leasehold improvements Total Cost Balance, beginning of the year $ 1.9 $ 2.6 $ — $ 0.2 $ 1.6 $ 6.3 Additions 17.5 — 0.2 — 4.6 22.3 Transfers (3.8) 3.8 — — — — Balance, end of the year 15.6 6.4 0.2 0.2 6.2 28.6 Accumulated depreciation Balance, beginning of the year — (0.5) — — (0.1) (0.6) Depreciation — (1.1) — (0.1) (0.4) (1.6) Balance, end of the year — (1.6) — (0.1) (0.5) (2.2) Net book value $ 15.6 $ 4.8 $ 0.2 $ 0.1 $ 5.7 $ 26.4 For the twelve months ended October 31, 2022, $6.2 million in employee salaries and $0.6 million in share-based compensation costs (2021: $nil) were capitalized to assets under construction. For the twelve months ended October 31, 2022, $5.2 million in borrowing costs (2021: $nil) were capitalized to assets under construction. The capitalization rate used to determine the amount of borrowing costs eligible for capitalization in the period was a weighted average effective interest rate of 12.3%. Refer to Note 18 for details of contractual commitments to purchase fixed assets. |
Right-of-use assets
Right-of-use assets | 12 Months Ended |
Oct. 31, 2022 | |
Disclosure Of Leases [Abstract] | |
Right-of-use assets | Right - of-use assets For the year ended October 31, 2022 Premises Equipment Total Cost Balance, beginning of the year $ 28.8 $ 0.1 $ 28.9 Additions 29.3 0.4 29.7 Termination/derecognition (1.2) — (1.2) Balance, end of the year 56.9 0.5 57.4 Accumulated depreciation Balance, beginning of the year (1.9) — (1.9) Depreciation (6.3) (0.1) (6.4) Termination/derecognition 1.0 — 1.0 Balance, end of the year (7.2) (0.1) (7.3) Carrying amounts $ 49.7 $ 0.4 $ 50.1 For the year ended October 31, 2021 Premises Equipment Total Cost Balance, beginning of the year $ 4.4 $ 0.1 $ 4.5 Additions 24.2 — 24.2 Modifications 0.2 — 0.2 Balance, end of the year 28.8 0.1 28.9 Accumulated depreciation Balance, beginning of the year (0.6) — (0.6) Depreciation (1.3) — (1.3) Balance, end of the year (1.9) — (1.9) Carrying amounts $ 26.9 $ 0.1 $ 27.0 The weighted average lease term of the Company's premises and equipment leases is 4.6 years. |
Related party transactions
Related party transactions | 12 Months Ended |
Oct. 31, 2022 | |
Disclosure of transactions between related parties [abstract] | |
Related party transactions | Related party transactions The remuneration of the executive officers and directors, who are the key management personnel of the Company, is set out below: For the years ended October 31, 2022 2021 2020 Salaries $ 3.5 $ 1.5 $ 0.2 Share-based compensation 13.5 1.9 0.1 Fees and benefits 2.9 1.5 0.4 Post employment benefits 0.1 — — Total remuneration of key management personnel $ 20.0 $ 4.9 $ 0.7 During the twelve months ended October 31, 2022, the Company paid directors for providing director and consulting services. Total amounts paid to directors in respect of these activities in the period was $0.4 million (2021: $0.3 million, 2020: $0.2 million). Outstanding balances of remunerations of the executive officers and directors are summarized as follows: As at October 31, 2022 2021 2020 Accounts payable and accrued liabilities $ 2.3 $ 0.8 $ 0.3 Restricted share units liability — — 0.2 Outstanding balances $ 2.3 $ 0.8 $ 0.5 The following table summarizes the other expenses¹ incurred with related parties: For the years ended October 31, 2022 2021 2020 Related party lease and expense - Ashlin BPG Marketing $ 0.1 $ 0.1 $ — Related party expense - Fade In Production Pty. Ltd 0.2 0.1 — Related party expense - Consulero Inc. 0.1 0.1 — Consulting agreement - Atria Ltd — — 0.5 Director Consulting Agreement - Anthony Tse — 0.1 — Total expenses incurred with related parties $ 0.4 $ 0.4 $ 0.5 ¹Related party expenses are recorded at exchange amount Related Party Lease From January 1, 2019 to December 31, 2021, the Company leased certain office space from Ashlin BPG Marketing, which is controlled by certain members of the immediate family of the Company’s President and Chief Executive Officer. Under the terms of the lease, the Company was required to pay Cdn. $4,500 per month plus applicable taxes, subject to 60 days’ notice of termination. Li-Cycle terminated the lease, effective December 31, 2021. Related-Party Expenses The Company has engaged Fade In Production Pty. Ltd., which is controlled by certain members of the immediate family of the Executive Chair of Li-Cycle, to provide it with corporate video production services since 2017. From April 1, 2020 to June 30, 2022, the Company engaged Ashlin BPG Marketing, a related party as described above, to provide it with Li-Cycle branded promotional products for both customers and employees. The Company terminated its relationship with the vendor, effective June 30, 2022. From September 1, 2020 to July 31, 2022, the Company engaged Consulero Inc., which is controlled by certain members of the immediate family of the Company's President and Chief Executive Officer, to provide it with technology services in relation to the Company's inventory management system. The Company terminated its relationship with the vendor, effective July 31, 2022. Consulting Agreement On May 1, 2020, Li-Cycle entered into a consulting agreement with Atria Limited (“ Atria ”), an entity which beneficially owned more than 5% of the outstanding Li-Cycle Corp. common shares at that time, to agree upon and finalize the consideration for certain business development and marketing consulting services that had been previously performed for and on behalf of Li-Cycle from 2018 through April 2020. The fees for the services were agreed at 12,000 common shares of Li-Cycle Corp., payable in installments of 1,000 shares per month. On January 25, 2021, Li-Cycle issued all of the 12,000 shares to Atria as full and final satisfaction of all obligations of Li-Cycle to Atria under the consulting agreement. Atria also directed the issuance of shares as follows: 8,000 Shares to Atria; 2,000 Shares to Pella Ventures (an affiliated company of Atria); and 2,000 Shares to a director of Li-Cycle Corp. at the time, who is not related to Atria . Director Consulting Agreement Under the terms of an agreement dated July 19, 2019 between Li-Cycle and Anthony Tse, Mr. Tse provided consulting services to Li-Cycle in relation to the proposed expansion of its operations in Asia and was entitled to a fee of $4,700 per month for his services. The consulting agreement was terminated on January 19, 2022. |
Accounts payable and accrued li
Accounts payable and accrued liabilities | 12 Months Ended |
Oct. 31, 2022 | |
Subclassifications of assets, liabilities and equities [abstract] | |
Accounts payable and accrued liabilities | Accounts payable and accrued liabilities As at October 31, 2022 2021 Trade payables $ 16.3 $ 9.4 Accrued fixed assets 7.2 2.1 Accrued expenses 16.3 4.4 Accrued compensation 7.7 2.8 Total accounts payable and accrued liabilities $ 47.5 $ 18.7 |
Lease liabilities
Lease liabilities | 12 Months Ended |
Oct. 31, 2022 | |
Disclosure Of Leases [Abstract] | |
Lease liabilities | Lease liabilities For the year ended October 31, 2022 Premises Equipment Total Lease liabilities Balance, beginning of the year $ 29.2 $ 0.2 $ 29.4 Additions 28.4 0.4 28.8 Lease repayments (6.8) (0.1) (6.9) Lease interest 2.2 — 2.2 Termination (0.2) — (0.2) Foreign exchange gains (losses) (1.5) — (1.5) Balance, end of the year $ 51.3 $ 0.5 $ 51.8 Non-current portion of lease liabilities $ 46.2 $ 0.4 $ 46.6 Current lease liabilities $ 5.1 $ 0.1 $ 5.2 For the year ended October 31, 2021 Premises Equipment Total Lease liabilities Balance, beginning of the year $ 3.5 $ 0.1 $ 3.6 Additions 25.9 0.4 26.3 Modifications 0.3 (0.2) 0.1 Lease repayments (1.3) (0.1) (1.4) Lease interest 0.4 — 0.4 Foreign exchange gains (losses) and other 0.4 — 0.4 Balance, end of the year $ 29.2 $ 0.2 $ 29.4 Non-current portion of lease liabilities $ 26.4 $ 0.1 $ 26.5 Current lease liabilities $ 2.8 $ 0.1 $ 2.9 In the twelve months ended October 31, 2022, the Company recognized interest expense of $2.2 million related to lease liabilities (2021: $0.4 million, 2020: $0.2 million). The Company’s lease obligations include leases for plant operations, storage facilities, and office space for employees. The following table summarizes the Company's undiscounted lease obligations: Maturity analysis (undiscounted) As at October 31, 2022 Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter Total Premises $ 7.9 $ 7.2 $ 6.9 $ 6.7 $ 6.1 $ 41.3 $ 76.1 Equipment 0.1 0.1 0.1 0.1 0.1 — 0.5 Total $ 8.0 $ 7.3 $ 7.0 $ 6.8 $ 6.2 $ 41.3 $ 76.6 Maturity analysis (undiscounted) As at October 31, 2021 Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter Total Premises $ 4.5 $ 4.6 $ 3.7 $ 3.3 $ 3.3 $ 16.3 $ 35.7 Equipment 0.1 0.1 — — — — 0.2 Total $ 4.6 $ 4.7 $ 3.7 $ 3.3 $ 3.3 $ 16.3 $ 35.9 |
Convertible Debt
Convertible Debt | 12 Months Ended |
Oct. 31, 2022 | |
Financial Instruments [Abstract] | |
Convertible Debt | Convertible Debt As at October 31, 2022 2021 KSP Note (a) $ 92.4 $ 100.9 Glencore Note (b) 196.1 — Total convertible debt at end of period $ 288.5 $ 100.9 (a) KSP Note As at October 31, 2022 2021 Principal of convertible note at beginning of period $ 100.0 $ — Issuance of convertible notes 5.9 100.0 Principal of convertible notes at end of period 105.9 100.0 Conversion feature at beginning of period 29.0 — Conversion feature issued — 27.7 Fair value (gain) loss on embedded derivative (19.9) 1.3 Conversion feature at end of period 9.1 29.0 Debt component at beginning of period 71.9 — Debt component issued 5.9 72.3 Transaction costs — (1.6) Accrued interest paid in kind (5.9) — Accrued interest expense 11.4 1.2 Debt component at end of period 83.3 71.9 Total convertible debt at end of period $ 92.4 $ 100.9 On September 29, 2021, the Company entered into a Note Purchase Agreement (the “KSP Note Purchase Agreement”) with Spring Creek Capital, LLC (an affiliate of Koch Strategic Platforms, LLC, being a subsidiary of Koch Investments Group) and issued an unsecured convertible note (the “Initial KSP Note”) for a principal amount of $100 million to Spring Creek Capital, LLC. The KSP Note will mature on September 29, 2026 unless earlier repurchased, redeemed or converted. Interest on the Initial KSP Note is payable semi-annually, and Li-Cycle is permitted to pay interest on the Initial KSP Note in cash or by payment in-kind (“PIK”), at its election. Interest payments made in cash are based on an interest rate of LIBOR plus 5.0% per year, and PIK interest payments are based on an interest rate of LIBOR plus 6.0% per year. Under the terms of the Initial KSP Note, LIBOR has a floor of 1% and a cap of 2%. Once LIBOR interest rate is no longer published, the interest rate 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 ending on the date on which LIBOR ceases to be published. The PIK election results in the issuance of a new note under the same terms as the Initial KSP Note, issued in lieu of interest payments with an issuance date on the applicable interest date. On May 1, 2022, Spring Creek Capital, LLC assigned the KSP Note and the PIK note outstanding at that time to an affiliate, Wood River Capital, LLC. The Company has elected to pay interest on the Initial KSP Convertible note by PIK since the first interest payment date of December 31, 2021. The Initial KSP Note and the PIK notes issued thereunder are referred to collectively as the "KSP Convertible Notes”, and as at October 31, 2022, comprised the following: Note Date Issued Amount Issued KSP Note September 29, 2021 $ 100.0 PIK Note December 31, 2021 1.8 PIK Note June 30, 2022 4.1 Total $ 105.9 Subsequent to year end, on December 31, 2022, the Company elected to pay the accrued interest in kind by issuing a new Note for the amount of $4.3 million under the same terms as the original Note, in lieu of cash payments. The conversion feature under the KSP Convertible Notes 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 KSP Note had an initial conversion price of approximately $13.43 per Li-Cycle common share, subject to customary anti-dilution adjustments, for 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 KSP 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 KSP Convertible Notes. Li-Cycle will settle its conversion obligations through the delivery of its own common shares. As at October 31, 2022, no conversions had taken place. The fair value of the embedded derivatives upon issuance of the original KSP Note was determined to be a liability of $27.7 million whereas the remaining $72.3 million, net of transaction costs of $1.6 million, was allocated to the principal portion of the debt. During the twelve months ended October 31, 2022, the Company recognized a fair value gain of $19.9 million on the embedded derivatives. The embedded derivatives were valued using the Binomial Option Pricing Model. The assumptions used in the model were as follows: (Issuance date) October 31, 2021 October 31, 2022 Risk free interest rate 1.1% 1.2% 4.4% Expected life of options 5 years 4.9 years 3.9 years Expected dividend yield 0.0% 0.0% 0.0% Expected stock price volatility 66% 62% 63% Share Price $12.56 $12.94 $5.96 Expected volatility was determined by calculating the average implied volatility of a group of listed entities that are considered similar in nature to the Company. (b) Glencore Note As at October 31, 2022 2021 Principal of convertible note at beginning of period $ — $ — Issuance of convertible note 200.0 — Principal of convertible note at end of period 200.0 — Conversion feature at beginning of period — — Conversion feature issued 46.2 — Fair value (gain) loss on embedded derivative (11.4) — Conversion into common shares — — Conversion feature at end of period 34.8 — Debt component at beginning of period — — Debt component issued 153.8 — Transaction costs (1.3) — Accrued interest expense 8.8 — Debt component at end of period 161.3 — Total convertible debt at end of period $ 196.1 $ — On May 31, 2022, the Company issued an unsecured convertible note (the “Glencore Note”) for a principal amount of $200 million to Glencore Ltd. (“Glencore”), a subsidiary of Glencore plc (LON: GLEN). The Glencore Note will mature on May 31, 2027 unless there is an earlier repurchase, redemption or conversion. Interest on the Glencore Note is payable semi-annually, with Li-Cycle permitted to pay interest on the Glencore Note in cash or by payment in-kind (“PIK”), at its election. Interest payments made in cash are based on an interest rate of the Secured Overnight Financing Rate ("SOFR") for a tenor comparable to the relevant interest payment period plus 0.42826% (the “Floating Rate”) plus 5% per annum if interest is paid in cash and plus 6% per annum if interest is paid in PIK. The Floating Rate has a floor of 1% and a cap of 2%. The PIK election results in the issuance of a new note under the same terms as the original Glencore Note, issued in lieu of interest payments with an issuance date on the applicable interest date. In connection with any optional redemption and provided that Glencore has not elected to convert the Glencore Note into common shares, the Company must issue warrants (the “Glencore Warrants”) to Glencore on the optional redemption date that entitle the holder to acquire, until the maturity date of the Glencore Note, a number of common shares equal to the principal amount of the Glencore Note being redeemed divided by the then applicable conversion price. The initial exercise price of the Glencore Warrants will be equal to the conversion price as of the optional redemption date. Subsequent to year end, on November 30, 2022, the Company elected to pay the accrued interest in kind by issuing a new Note for the amount of $8.1 million under the same terms as the original Note, in lieu of cash payments. The conversion feature under the Glencore Note has been recorded as an embedded derivative liability as the conversion ratio does not always result in a conversion of a fixed dollar amount of liability for a fixed number of shares. The Glencore Note has a conversion price of approximately $9.95 per Li-Cycle common share, subject to customary anti-dilution adjustments. As at October 31, 2022, no election had been made as to whether interest payments would be made in cash or PIK. The fair value of the embedded derivative liability upon issuance of the Glencore Note was determined to be $46.2 million with the remaining $153.8 million, net of transaction costs of $1.3 million, allocated to the initial amortized cost of the host debt instrument. During the twelve months ended October 31, 2022, the Company recognized a fair value gain of $11.4 million on the embedded derivatives. The embedded derivatives were valued using the Black-Scholes Option Pricing Model. The assumptions used in the model were as follows: (Issuance date) October 31, 2022 Risk free interest rate 2.9% 4.4% Expected life of options 5 years 4.6 years Expected dividend yield 0.0% 0.0% Expected stock price volatility 68% 63% Share Price $8.15 $5.96 Expected volatility was determined by calculating the average implied volatility of a group of listed entities that are considered similar in nature to the Company. |
Warrants
Warrants | 12 Months Ended |
Oct. 31, 2022 | |
Subclassifications of assets, liabilities and equities [abstract] | |
Warrants | Warrants In connection with the completion of the Business Combination on August 10, 2021, the Company assumed obligation for Peridot Acquisition Corp.’s warrants to purchase up to 23,000,000 common shares at their fair market value of $2.10 per share for a total acquired liability of $48.3 million. The total number of warrants was made up of 15,000,000 Public Placement Warrants ("Public Warrants") and 8,000,000 Private Placement Warrants ("Private Warrants"). All of the warrants had a 5-year term, expiring on September 24, 2025. The Public Warrants had an exercise price of $11.50 per share, with a redemption price of $0.10 per warrant if the Company's share price exceeded $10.00, on a cashless basis. If the Company's share price exceeded $18.00 for any 20 trading days within the 30 trading day period ending three trading days before the Company elected to deliver a notice of redemption, the redemption price was $0.01 on a cash basis. The Private Warrants had an exercise price of $11.50 per share, redeemable only at such time that the share price of the Company was between $10.00 and $18.00, at $0.10 per warrant. The Private Warrants were not transferable until 30 days after the close of the Business Combination, which was September 9, 2021. On December 27, 2021, the Company announced that it would redeem all of its warrants to purchase common shares of the Company that remained 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 of the Company per warrant. As of January 31, 2022, (i) 9,678 warrants were exercised at the exercise price of $11.50 per common share, and (ii) 22,540,651 warrants were surrendered by holders in the Make-Whole Exercise. The remaining 449,665 unexercised warrants were redeemed at $0.10 per warrant. For the year ended October 31, 2022 2021 Number of warrants Number of warrants Balance, beginning of the year 22,999,894 $ 82.1 — $ — Assumption of warrants - Business Combination (refer to Note 1) — — 22,999,994 48.3 Cash exercises (9,578) — (100) — Cashless exercises (22,540,651) (45.9) — — Redemptions (449,665) — — — Fair value (gain) loss on warrants — (36.2) — 33.8 Balance, end of the year — $ — 22,999,894 $ 82.1 Warrants were re-measured through profit or loss at each period end, using first level inputs. As of October 31, 2022, there are no warrants outstanding. |
Share capital and share-based c
Share capital and share-based compensation | 12 Months Ended |
Oct. 31, 2022 | |
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. common shares and Class A preferred shares on the consolidated statements of changes in equity have been scaled by the Business Combination exchange ratio of 1:39.91 for periods prior to the completion of the Business Combination on August 10, 2021. The changes in the Company’s outstanding common shares were as follows: For the years ended October 31, 2022 2021 Note Number of shares (in millions) Capital Stock Number of shares (in millions) Capital Stock Balance, beginning of period 163.3 $ 672.1 83.4 $ 15.5 Issuance of shares - Series C private placement — — 11.2 21.6 Issuance of shares for non-cash costs — — 0.5 0.5 Issuance of shares - Public placement through Business Combination — — 65.7 629.7 Exercise of RSUs 0.3 3.6 0.4 3.9 Exercise of stock options 1.4 0.4 2.1 0.9 Exercise of warrants 14 5.7 46.0 — — Issuance of shares to LG Energy Solution, Ltd. and LG Chem, Ltd. 5.3 49.7 — — Balance, end of period 176.0 $ 771.8 163.3 $ 672.1 On May 12, 2022, the Company announced the successful completion of the $50 million aggregate investment in common shares of the Company by LG Energy Solution, Ltd. (“LGES”) and LG Chem, Ltd. (“LGC”). The Company issued 5,300,352 shares at an average price of $9.43 per common shares to LGES and LGC (being 2,650,176 common shares each). The investment was split into two tranches: (i) an initial tranche of 4,416,960 common shares, in the aggregate, at a price of $10.00 per share (for an aggregate initial tranche subscription price of approximately $44.2 million), and (ii) a second tranche of 883,392 common shares, in the aggregate, at a price of $6.60 per share (for an aggregate second tranche subscription price of approximately $5.8 million). The total cash inflow, net of transaction costs, was $49.7 million. Long-term incentive plans Stock options For stock options issued under the Company's 2021 Long Term-Incentive Plan ("LTIP plan"), each of the Company's stock options 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. The vesting period is one-third on the first-year anniversary of the grant of the option, and one-third every consecutive year thereafter. If an option remains unexercised after a period of 10 years from the date of grant, the option expires. Options are forfeited if the recipient terminates their employment or contract with the Company before the options vest. A summary of stock option activities is as follows: For the years ended October 31, 2022 2021 $ millions, except number of options Number of Weighted average Number of Weighted average Balance, beginning of the year 5,296,554 2.81 5,327,980 0.38 Granted 763,829 7.81 2,320,989 6.13 Exercised (1,547,113) 0.46 (2,172,820) 0.62 Forfeited (2,619) 10.93 (179,595) 1.06 Balance, end of the year 4,510,651 4.46 5,296,554 2.81 Exercisable stock options 3,253,287 2.70 4,242,707 0.79 During the twelve months ended October 31, 2022, 1,547,113 stock options were exercised on a cashless basis (2021: 1,148,570), resulting in the issuance of 1,446,697 common shares (2021: 1,031,226) of Li-Cycle Holdings Corp., net of stock option issuance costs. A summary of the outstanding stock options is as follows: 2022 Range of exercise prices Number of stock options Weighted-average remaining contractual life (years) Expiration year 0.02 - 0.37 1,268,220 1.24 2023-2024 1.07 - 2.15 1,033,029 7.72 2029-2030 2.15 - 13.20 2,209,402 8.87 2031-2032 Total 4,510,651 The Company recognized total expenses of $6.6 million related to stock options during the twelve months ended October 31, 2022 (2021: $2.7 million, 2020: $0.2 million). The fair value of the stock options granted during the twelve months ended October 31, 2022 was determined to be $3.7 million (2021: $8.3 million, 2020: $0.9 million), using the Black-Scholes Merton option pricing model. The assumptions used in the stock option pricing model for the grants during the year ended October 31, 2022 were as follows: Risk free interest rate 1.4% - 3.6% Expected life of options 6 years Expected dividend yield 0.0% Expected stock price volatility 63% - 70% 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. Restricted share units Under the terms of the Company's LTIP plan, restricted share units ("RSUs") of Li-Cycle Holdings Corp. have been issued to executives, directors, employees and advisors. The RSU vesting periods ranged from several months to 3 years. The RSUs represent the right to receive common shares from the Company in an amount equal to the fair market value of a common share of Li-Cycle Holdings Corp. at the time of distribution. RSUs issued under the LTIP plan are expected to be settled in common shares. RSUs issued under the LTIP plan are classified as equity on the consolidated statements of financial position. The Company recognized share-based compensation expense relating to RSUs totaling $11.5 million in the twelve months ended October 31, 2022 (2021: $1.3 million, 2020:$0.1 million). A summary of RSU activities is as follows: 2022 2021 $ millions, except number of RSUs Number of Weighted average share price on grant date Number of Weighted average share price on grant date Balance, beginning of the year 716,763 10.93 87,084 1.07 Granted¹ 1,703,966 8.38 1,021,955 8.29 Exercised (317,619) 11.22 (392,276) 1.87 Forfeited (55,073) 9.98 — — Balance, end of the year 2,048,037 8.79 716,763 10.93 ¹Grants prior to August 10, 2021 were issued prior to the Company becoming public. RSUs granted in the twelve months ended October 31, 2022 vest over 1 to 3 years. For the twelve months ended October 31, 2022, the Company capitalized $0.6 million in RSU and stock option costs to assets under construction (2021: $nil). |
Non-Controlling Interest
Non-Controlling Interest | 12 Months Ended |
Oct. 31, 2022 | |
Non-Controlling Interest [Abstract] | |
Non-Controlling Interest | Non-controlling interest On January 26, 2022, the Company entered into an agreement with ECO STOR AS (“ECO STOR”) and Morrow Batteries AS (“Morrow”) to form Li-Cycle Norway AS which will construct a new commercial lithium-ion battery recycling facility in southern Norway. Li-Cycle is the majority owner of Li-Cycle Norway AS with 67% ownership with ECO STOR and Morrow being minority owners and Nordic-headquartered strategic partners with 31% and 2% ownership, respectively. These holdings allow the shareholders to nominate 2 Directors, 1 Director, and 1 observer, respectively, with their ownership holdings. Summarized financial information for Li-Cycle Norway AS is as follows: For the year ended October 31, 2022 Balance, beginning of year $ — Investment to non-controlling interest 0.3 Loss attributable to non-controlling interest during the year (0.1) Balance, end of year $ 0.2 As at October 31, 2022 Revenue $ — Expenses (0.4) Net loss (0.4) Net loss attributable to non-controlling interest $ (0.1) |
Financial instruments and finan
Financial instruments and financial risk factors | 12 Months Ended |
Oct. 31, 2022 | |
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 equivalents, accounts receivable, other receivables, accounts payable and accrued liabilities, and convertible debt. The carrying amounts of other receivables, accounts payable and accrued liabilities approximate fair value due to the short-term maturity of these instruments. 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 are measured under level 2 of the hierarchy and were calculated as follows: As at October 31, 2022 Balance Level 2 Accounts receivable $ 1.5 $ 1.5 $ 1.5 $ 1.5 As at October 31, 2021 Accounts receivable 4.1 4.1 $ 4.1 $ 4.1 Refer to Note 5 above for additional details related to measurement of accounts receivable. The Company’s financial liabilities measured at fair value on a recurring basis are measured under level 1 and 2 of the hierarchy and were calculated as follows: As at October 31, 2022 Balance Level 1 Level 2 Conversion feature of convertible debt (refer to Note 13) $ 43.9 $ — $ 43.9 $ 43.9 $ — $ 43.9 As at October 31, 2021 Conversion feature of convertible debt (refer to Note 13) 29.0 — 29.0 Warrants (refer to Note 14) 82.1 53.5 28.6 $ 111.1 $ 53.5 $ 57.6 Currency risk The Company is exposed to currency risk as its cash is mainly denominated in U.S. dollars, while its operations also require Canadian dollars, Euros, Swiss Francs and certain other currencies. As at October 31, 2022, the impact of a 5% change in these respective currencies versus the U.S. dollar, would result in an immaterial impact. 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 that includes an interest rate floor and cap. Refer to Note 13. Credit risk Credit risks associated with cash are minimal as the Company deposits the majority of its cash with large Canadian and U.S. financial institutions. The Company’s credit risks associated with receivables are managed and exposure to potential loss is also assessed as minimal. The Company's revenue and accounts receivable primarily come from two key customers under long-term contracts. The Company manages this risk by engaging with reputable multi-national corporations in stable jurisdictions and performing a review of a potential customer’s financial health prior to engaging in business. Liquidity risk Management 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. The Corporation’s significant contractual obligations and interest and principal repayments in respect of its financial liabilities and provisions are presented in the following table: At October 31, 2022 Total Less than 1 year 1 - 3 years 3 - 5 years More than 5 years Accounts payable and accrued liabilities $ 47.5 $ 47.5 $ — $ — $ — Lease liabilities 76.6 8.0 14.3 13.0 41.3 Restoration 0.4 — 0.2 — 0.2 Convertible debt principal 300.0 — — 300.0 — Convertible debt interest 146.1 — — 146.1 — Total $ 570.6 $ 55.5 $ 14.5 $ 459.1 $ 41.5 At October 31, 2021 Total Less than 1 year 1 - 3 years 3 - 5 years More than 5 years Accounts payable and accrued liabilities $ 18.7 $ 18.7 $ — $ — $ — Lease liabilities 35.9 4.5 8.4 6.7 16.3 Restoration 0.4 — 0.1 0.1 0.2 Convertible debt principal 100.0 — — 100.0 — Convertible debt interest 42.7 — — 42.7 — Total $ 197.7 $ 23.2 $ 8.5 $ 149.5 $ 16.5 Market risk The Company is exposed to commodity price movements for the inventory it holds and the products it produces. Commodity price risk management activities are currently limited to monitoring market prices. The Company’s revenues are sensitive to the market prices of the constituent payable metals contained in its products, notably cobalt and nickel. The following table sets out the Company's exposure, as at October 31, 2022 and 2021, in relation to the impact of movements in the Cobalt and Nickel price for the provisionally invoiced sales volume: Cobalt Nickel As at October 31, 2022 2021 2022 2021 Metric tonnes subject to fair value pricing adjustments 4,202 1,728 4,202 1,728 10% increase in prices $ 1.1 $ 0.3 $ 1.0 $ 0.4 10% decrease in prices $ (1.1) $ (0.3) $ (1.0) $ (0.4) The following table sets out the period end commodity prices for Cobalt and Nickel as at October 31, 2022 and 2021: Market price per tonne As at October 31, 2022 2021 Cobalt $ 53,462 $ 60,407 Nickel 21,710 19,300 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. |
Commitments
Commitments | 12 Months Ended |
Oct. 31, 2022 | |
Commitments [Abstract] | |
Commitments | Commitments and contingencies As of October 31, 2022, there were $9.2 million in committed purchase orders or agreements for equipment and services (October 31, 2021: $6.9 million). Legal Proceedings The Company is and may be subject to various claims and legal proceedings in the ordinary course of its business. Due to the inherent risks and uncertainties of the litigation process, we cannot predict the final outcome or timing of claims or legal proceedings. The Company records provisions for such claims when an outflow of resources is considered probable and a reliable estimate can be made. No such provisions have been recorded by the Company. U.S. Shareholder Class Action On April 19, 2022, a putative securities class action lawsuit was filed in the U.S. District Court for the Eastern District of New York against the Company, its CEO, and its former CFO, on behalf of a proposed class of purchasers of the Company’s publicly traded securities during the period from February 16, 2021 through March 23, 2022. The complaint, which is captioned as Barnish v. Li-Cycle Holdings Corp., et al., 1:22-cv-02222 (E.D.N.Y.), alleges that the defendants issued false and misleading statements concerning Li-Cycle’s business, which were revealed when Blue Orca Capital published a short seller report on March 24, 2022. The complaint seeks compensatory damages and an award of costs. The original complaint asserted claims under Sections 10(b) and 20(a) of the U.S. Securities Exchange Act of 1934 (the “Exchange Act”). On July 22, 2022, the court appointed The Lanigan Group, Inc. as lead plaintiff. On October 11, 2022, the lead plaintiff filed an amended complaint asserting claims pursuant to Section 14(a) of the Exchange Act and Sections 11 and 15 of the U.S. Securities Act of 1933 on behalf of a proposed class comprising: (a) all persons who were eligible to vote at Peridot Acquisition Corp.’s extraordinary general meeting held during August 2021, and (b) all persons who acquired Li-Cycle publicly traded securities pursuant to Li-Cycle’s March 2021 Registration Statement. Unlike the original complaint, the amended complaint does not assert any claims under either Section 10(b) or Section 20(a) of the Exchange Act. The claims in the amended complaint are asserted against both the Company and certain individual defendants, including Li-Cycle’s two Co-Founders, Li-Cycle’s former CFO, two current directors of Li-Cycle (who were also directors and/or officers of Peridot Acquisition Corp. at the time of the Business Combination), and certain other directors or officers of Peridot Acquisition Corp. at the time of the Business Combination. On December 19, 2022, the Company and each of the individual defendants moved to dismiss the amended complaint in its entirety. The motion to dismiss is not yet fully briefed. The Company believes that the allegations in the amended complaint are without merit and intends to vigorously defend against this matter. No amounts have been recorded for any potential liability arising from this matter. |
Loss per share
Loss per share | 12 Months Ended |
Oct. 31, 2022 | |
Earnings per share [abstract] | |
Loss per share | Loss per share For the years ended October 31, 2022 2021 2020 Total net loss $ (53.7) $ (226.6) $ (9.4) Weighted average number of common shares (in millions) 170.7 110.1 82.6 Basic and diluted loss per share $ (0.31) $ (2.06) $ (0.11) For comparability, the stated weighted average number of common shares and the number of potential common shares have been scaled by the Business Combination exchange ratio of 1:39.91 for periods prior to the completion of the Business Combination on August 10, 2021. Adjustments for diluted loss per share were not made for the twelve months ended October 31, 2022, 2021, and 2020 as they would be anti-dilutive in nature. The following table presents shares from instruments that could dilute basic loss per share in the future, but were not included in the calculation of diluted loss per share because they are antidilutive for the periods presented: For the years ended October 31, 2022 2021 2020 Stock options 4.5 5.3 5.3 Warrants — 23.0 — Convertible debt 29.4 7.5 — Restricted share units 2.0 0.7 — 35.9 36.5 5.3 |
Segment reporting
Segment reporting | 12 Months Ended |
Oct. 31, 2022 | |
Disclosure of operating segments [abstract] | |
Segment reporting | Segment reporting The consolidated financial information 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. The information review by CODM for decision making purposes aligns with the information provided above in the statements of loss and comprehensive loss, financial position, and cash flows. The Corporation’s CODM is its Chief Executive Officer. During the twelve months ended October 31, 2022, the Company operated in Canada and the United States. The Company also began investing in future operations in Europe. 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 Germany Other Total Revenues Year ended October 31, 2022 $ 4.1 $ 9.3 $ — $ — $ 13.4 Year ended October 31, 2021 3.0 4.3 — — 7.3 Year ended October 31, 2020 0.8 — — — 0.8 Non-current assets As at October 31, 2022 26.8 161.4 10.7 2.5 201.4 As at October 31, 2021 15.5 37.9 — — 53.4 As at October 31, 2020 $ 3.4 $ 6.1 $ — $ — $ 9.5 Revenue is attributed to each geographical location based on location of sale. The Company does not currently have active operations in any other geographical regions. |
Government funding
Government funding | 12 Months Ended |
Oct. 31, 2022 | |
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: For the years ended October 31, 2022 2021 2020 Research and development expenses, gross $ 1.7 $ 2.7 $ 2.8 Less: Government grants — — (2.0) Research and development expenses, net $ 1.7 $ 2.7 $ 0.8 |
Income taxes
Income taxes | 12 Months Ended |
Oct. 31, 2022 | |
Income Tax Table [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: For the years ended October 31, 2022 2021 2020 Net loss for the year before tax $ (53.7) $ (226.6) $ (9.4) Statutory tax rates 26.5% 26.5% 26.5% (14.2) (60.0) (2.5) Change in unrecognized deferred tax amounts 18.4 8.8 2.4 Rate differential 0.5 — — Other 0.1 — — Non-deductible item and others (4.8) 51.2 0.1 Income tax expense — — — As of October 31, 2022, the Company has net operating losses of approximately $184.1 million (2021: $53.4 million) available to reduce net income for tax purposes in future years. Management believes the realization of the income tax benefits related to these losses and other potential deferred income tax assets is uncertain at this time. Accordingly, the Company has not recognized the deferred income tax assets in the consolidated financial statements. As of October 31, 2022, the Company has aggregate non-capital losses for Canadian income tax purposes of approximately $153.2 million (2021: $48.7 million), that expire in the period 2037 to 2042. In addition, the Company has net operating losses for US income tax purposes of approximately $25.0 million (2021:$4.7 million) that carryforward indefinitely. The net operating losses for rest of the world income tax purposes consists of approximately $2.2 million which can be carried forward indefinitely and $3.6 million which will expire beginning 2029 to 2037. 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: For the years ended October 31, 2022 2021 2020 Tax losses and credits carryforwards $ 48.6 $ 14.3 $ 3.8 Share issuance costs 10.1 12.6 — Convertible debt — 0.3 — Reserves and provisions 0.1 0.2 0.1 Other 2.5 0.1 — Plant and equipment, due to differences in amortization (10.4) (2.7) (0.2) Convertible debt, due to differences in amortization (7.6) — — Right of use assets, net of lease liabilities 0.5 0.6 (0.1) Total $ 43.8 $ 25.4 $ 3.6 Deferred tax assets not recognized $ (43.8) $ (25.4) $ (3.6) Deferred tax assets, net — — — |
Statement of cash flows, additi
Statement of cash flows, additional disclosures | 12 Months Ended |
Oct. 31, 2022 | |
Statement of cash flows [abstract] | |
Notes to the Consolidated Statement of Cash Flows | Notes to the Consolidated Statement of Cash Flows As of October 31, 2022, the Company had cash on hand of $269.3 million (2021: $6.9 million) and cash equivalents in the form of short term guaranteed investment certificates of $309.0 million (2021: $590.0 million). Changes in liabilities arising from financing activities comprise the following: For the year ended October 31, 2022 Lease liabilities Restoration provisions Convertible debt Conversion feature of convertible debt Balance, beginning of the year $ 29.4 $ 0.3 $ 71.9 $ 29.0 Cash changes: Repayments of lease liabilities (4.7) — — — Repayment of loans payable — — — — Proceeds from convertible debt — — 152.5 46.2 Total changes from financing cash flows (4.7) — 152.5 46.2 Non-cash changes: New leases 28.8 — — — Disposal (0.2) — — — Additions to restoration provision — 0.1 — — Accrued interest and accretion — — 14.3 — Foreign exchange gain or (loss) (1.5) — — — Fair value gain/loss on conversion feature of convertible debt — — — (31.3) Accrued interest paid in kind — — 5.9 — Total non-cash changes $ 27.1 $ 0.1 $ 20.2 $ (31.3) Balance, end of the year $ 51.8 $ 0.4 $ 244.6 $ 43.9 |
Basis of preparation (Policies)
Basis of preparation (Policies) | 12 Months Ended |
Oct. 31, 2022 | |
List Of Accounting Policies [Abstract] | |
Statement of compliance | 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”). These consolidated financial statements were approved and authorized for issue by the Board of Directors on February 6, 2023. |
Basis of consolidation | Basis of consolidation These consolidated financial statements include the financial information of the Company and its subsidiaries. The Company’s 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. In assessing control, potential voting rights that are presently exercisable or convertible is taken into account. The accounting policies of subsidiaries are aligned with policies adopted by the Company. The Company’s principal subsidiaries and their geographic location as at October 31, 2022 are set forth in the table below: Company Location Ownership interest Li-Cycle Corp. Ontario, Canada 100% Li-Cycle Americas Corp. Ontario, Canada 100% 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 Europe AG Switzerland 100% Li-Cycle APAC PTE. LTD. Singapore 100% Li-Cycle Germany GmbH Germany 100% Li-Cycle Norway AS Norway 67% Intercompany transactions, balances and unrealized gains/losses on transactions between the Company and its subsidiaries have been eliminated. |
Basis of preparation | 2.4 Presentation currency These consolidated financial statements are presented in U.S. dollars, which is the Company's functional currency. All figures are presented in millions of U.S. dollars unless otherwise specified. 2.5 Significant accounting estimates and critical judgments The preparation of the financial statements in conformity with IFRS requires management to make judgments, 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 accounting estimates include: i. the determination of net realizable value of inventory; ii. the determination of the useful life of plant and equipment; iii. the valuation and measurement of the convertible debt and the related conversion features; and iv. the valuation and measurement of right-of-use assets and lease liabilities. Critical judgments in applying accounting policies that have the most significant effect on the amounts recognized in the financial statements include the following: i. the determination of transaction price used for revenue recognition; ii. the valuation of the fair value of consideration transferred in the Business Combination in prior year; iii. the assessment of impairment of non-financial assets; iv. judgment in determining cash-generating units ("CGU") or CGU group for the purpose of impairment testing; and v. the determination of reportable segments. |
Non-controlling interest | Non-controlling interest Non-controlling interest is defined as equity in a subsidiary not attributable, directly or indirectly, to a parent where a parent controls one or more entities. Changes in the Company’s ownership interest in a subsidiary that do not result in the loss of control of the subsidiary are accounted for as equity transactions. Non-controlling interest will be subsequently measured through profit/loss and will be attributed based on ownership interest and distributions/dividends to the non-controlling interest. |
Revenue recognition | Revenue recognitionThe 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: i. Sale of products which includes black mass and black mass equivalents (collectively, "Black Mass & Equivalents") and shredded metal ii. Services for recycling lithium-ion batteries which includes coordination of logistics and destruction of batteries Revenue is measured based on the consideration to which the Company expects to be entitled under 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. For sale of products, revenue is recognized when control of the goods has transferred, typically when the goods have been transferred to the customer. A receivable is recognized by the Company when the goods are transferred 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, which is based on the initial assay results and market prices of certain constituent metals on the date control is transferred to the customer. The final consideration for Black Mass & Equivalents and shredded metal sales is based on the mathematical product of: (i) market prices of certain constituent metals at the date of settlement, (ii) product weight, and (iii) final 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 receivable are measured using provisional prices for the constituent metals on initial recognition and any unsettled sales are remeasured at the end of each reporting period using the market prices of the constituent metals at the respective measurement dates. Changes in fair value are recognized as an adjustment to product revenue and the related accounts receivable. Recycling service revenue is recognized at a point in time upon completion of the services. The price 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. The Company has elected to use the practical expedient for financing components related to its sales contracts. The Company does not recognize interest expense on contracts for which the period between receipt of customer payments and sale to the customer is one year or less. |
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 settlement of any RSUs, the grant date fair value of the instrument is transferred to share capital. |
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 recognized if, and only if, all of the following conditions have been demonstrated: i. the technical feasibility of completing the intangible asset so that it will be available for use or sale; ii. the intention to complete the intangible asset and use or sell it; iii. the ability to use or sell the intangible asset; iv. how the intangible asset will generate probable future economic benefits; v. the availability of adequate technical, financial and other resources to complete the development and to use or sell the intangible asset; and vi. the ability to measure reliably the expenditure attributable to the intangible asset during its development. The amount initially recognized 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 recognized, development expenditure is recognized 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. |
Cash and cash equivalents | Cash and cash equivalentsCash consists of cash deposits with financial institutions, while cash equivalents consists of short term guaranteed investment certificates with financial institutions. |
Inventories | 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. Write-downs to net realizable value may be reversed, up to the amount previously written down, when circumstances support an increased inventory value. |
Convertible debt | Convertible debtThe components of convertible debt instruments issued by the Company are recorded as financial liabilities, in accordance with the substance of the contractual arrangements and the definitions of a financial liability. 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 a liability and requires bifurcation, it is bifurcated as an embedded derivative unless the Company 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 statement of loss and comprehensive loss. |
Plant and equipment | Plant and equipmentPlant and equipment are stated at cost less accumulated depreciation and accumulated impairment losses net of any reversals of impairment. Where significant parts of an item of plant and equipment have different useful lives, they are accounted for as separate items of plant and equipment. |
Impairment of long-lived assets | Impairment of long-lived 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. |
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”) 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; or (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). The classification and measurement basis of the Company’s financial instruments are as follows: Financial Instrument Measurement Cash equivalents Amortized cost Trade accounts receivable FVTPL Other accounts receivable Amortized cost Accounts payable and accrued liabilities Amortized cost Warrants FVTPL 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 | Government assistanceAmounts 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. |
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 regard 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 | 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. |
Leases | Leases The Company assesses whether a contract is or contains a lease, at inception of the contract. The Company recognizes 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 recognizes 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: i. Fixed lease payments (including in-substance fixed payments), less any lease incentives receivable; ii. Variable lease payments that depend on an index or rate, initially measured using the index or rate at the commencement date; iii. The amount expected to be payable by the lessee under residual value guarantees; iv. The exercise price of purchase options, if the lessee is reasonably certain to exercise the options; and v. Payments of penalties for terminating the lease, if the lease term reflects the exercise of an option to terminate the lease. 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 recognized 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. 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. 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 'Impairment of long-lived assets’ policy. |
Basis of preparation (Tables)
Basis of preparation (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
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, 2022 are set forth in the table below: Company Location Ownership interest Li-Cycle Corp. Ontario, Canada 100% Li-Cycle Americas Corp. Ontario, Canada 100% 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 Europe AG Switzerland 100% Li-Cycle APAC PTE. LTD. Singapore 100% Li-Cycle Germany GmbH Germany 100% Li-Cycle Norway AS Norway 67% |
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 equivalents Amortized cost Trade accounts receivable FVTPL Other accounts receivable Amortized cost Accounts payable and accrued liabilities Amortized cost Warrants FVTPL Convertible debt Amortized cost Conversion feature of convertible debt FVTPL |
Schedule of Estimated Useful Lives | The estimated useful lives, residual values and method of depreciation 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 Furniture 7 years Storage containers 10 years Processing equipment 10 years Leasehold improvements Shorter of term of lease or estimated useful life |
Revenue - product sales and r_2
Revenue - product sales and recycling services (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Product sales revenue [Abstract] | |
Schedule of product sales revenue | For the years ended October 31, 2022 2021 2020 Product revenue recognized in the period $ 14.3 $ 6.1 $ 0.5 Fair value pricing adjustments (2.2) 0.8 0.1 Product sales revenue 12.1 6.9 0.6 Recycling service revenue recognized in the period 1.3 0.4 0.2 Revenue $ 13.4 $ 7.3 $ 0.8 For the years ended October 31, 2022 2021 2020 Product revenue recognized in the period $ 14.3 $ 6.1 $ 0.5 Recycling service revenue recognized in the period 1.3 0.4 0.2 Total revenue before FV pricing adjustment $ 15.6 $ 6.5 $ 0.7 |
Other income (expense) (Tables)
Other income (expense) (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Financial Instruments [Abstract] | |
Disclosure of other operating income (expense) | The following table summarizes the Company's other income (expense): For the years ended October 31, 2022 2021 2020 Interest income on short-term investments $ 7.0 $ 0.1 $ — Interest income 7.0 0.1 — Interest expense and accretion on convertible debt (15.0) (1.2) — Interest expense and accretion on promissory notes — (0.1) — Interest expense and accretion on loans — (1.3) — Interest expense on leases (2.2) (0.4) (0.2) Other finance costs (0.2) — (0.3) Foreign exchange gains (losses) 0.4 (0.8) 0.4 Interest expense and other costs (17.0) (3.8) (0.1) Fair value gain (loss) on embedded derivatives 31.3 (1.3) — Fair value gain (loss) on warrants 36.2 (33.8) — Fair value gain (loss) on restricted share units — (3.2) (0.1) Gains (losses) on financial instruments 67.5 (38.3) (0.1) Excess of fair value over consideration transferred related to business combination — (152.7) — Excess of fair value over consideration transferred — (152.7) — Total $ 57.5 $ (194.7) $ (0.2) |
Accounts receivable (Tables)
Accounts receivable (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Trade and other current receivables [abstract] | |
Schedule of other receivables | Other receivables consist principally of interest receivable and receivables from non-trade vendors. Aging Summary As at October 31, 2022 2021 Current $ 0.3 $ 3.2 1-30 days 0.6 0.3 31-60 days 0.3 0.1 61-90 days 0.1 — 91 days and over 0.2 0.5 Total accounts receivable $ 1.5 $ 4.1 |
Schedule of revenue by customers | The Company's revenue primarily comes from two key customers, as shown in the table below. The Company's remaining customers do not make up significant percentages of these balances. For additional details on product sales and fair value adjustments recognized in the period, refer to Note 3. Revenue For the years ended October 31, 2022 2021 2020 Customer A 16.3 % 42.0 % 67.0 % Customer B 69.6 % 52.0 % 0.0 % Trade Accounts Receivable As at October 31, 2022 2021 2020 Customer A 18.3 % 53.0 % 90.0 % Customer B 42.8 % 45.0 % 0.0 % |
Prepayments and deposits (Table
Prepayments and deposits (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Prepayments And Deposits [Abstract] | |
Schedule of prepayments and deposits | As at October 31, 2022 2021 Prepaid lease deposits $ 2.8 $ 0.9 Prepaid transaction costs 0.3 — Prepaid construction charges 1.4 — Prepaid equipment deposits 76.4 3.2 Prepaid insurance 5.7 3.8 Other prepaids 2.8 0.6 Total prepaids and deposits 89.4 8.5 Non-current portion of prepaid lease deposits (3.6) — Current prepaids and deposits $ 85.8 $ 8.5 |
Inventory (Tables)
Inventory (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Inventories [Abstract] | |
Schedule of inventory | As at October 31, 2022 2021 Raw materials $ 4.7 $ 0.9 Finished goods 1.7 0.3 Parts and tools 1.1 0.1 Total inventories $ 7.5 $ 1.3 |
Plant and equipment (Tables)
Plant and equipment (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Summary of plant and equipment | For the year ended October 31, 2022 Assets under construction Plant equipment and other Computer equipment Vehicles Leasehold improvements Total Cost Balance, beginning of the year $ 15.6 $ 6.4 $ 0.2 $ 0.2 $ 6.2 $ 28.6 Additions 119.5 0.2 1.6 0.1 3.6 125.0 Transfers (27.7) 27.7 — — — — Balance, end of the year 107.4 34.3 1.8 0.3 9.8 153.6 Accumulated depreciation Balance, beginning of the year — (1.6) — (0.1) (0.5) (2.2) Depreciation — (2.7) (0.2) — (0.8) (3.7) Balance, end of the year — (4.3) (0.2) (0.1) (1.3) (5.9) Net book value $ 107.4 $ 30.0 $ 1.6 $ 0.2 $ 8.5 $ 147.7 For the year ended October 31, 2021 Assets under construction Plant equipment and other Computer equipment Vehicles Leasehold improvements Total Cost Balance, beginning of the year $ 1.9 $ 2.6 $ — $ 0.2 $ 1.6 $ 6.3 Additions 17.5 — 0.2 — 4.6 22.3 Transfers (3.8) 3.8 — — — — Balance, end of the year 15.6 6.4 0.2 0.2 6.2 28.6 Accumulated depreciation Balance, beginning of the year — (0.5) — — (0.1) (0.6) Depreciation — (1.1) — (0.1) (0.4) (1.6) Balance, end of the year — (1.6) — (0.1) (0.5) (2.2) Net book value $ 15.6 $ 4.8 $ 0.2 $ 0.1 $ 5.7 $ 26.4 |
Right-of-use assets (Tables)
Right-of-use assets (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Disclosure Of Leases [Abstract] | |
Schedule of right-of-use assets | For the year ended October 31, 2022 Premises Equipment Total Cost Balance, beginning of the year $ 28.8 $ 0.1 $ 28.9 Additions 29.3 0.4 29.7 Termination/derecognition (1.2) — (1.2) Balance, end of the year 56.9 0.5 57.4 Accumulated depreciation Balance, beginning of the year (1.9) — (1.9) Depreciation (6.3) (0.1) (6.4) Termination/derecognition 1.0 — 1.0 Balance, end of the year (7.2) (0.1) (7.3) Carrying amounts $ 49.7 $ 0.4 $ 50.1 For the year ended October 31, 2021 Premises Equipment Total Cost Balance, beginning of the year $ 4.4 $ 0.1 $ 4.5 Additions 24.2 — 24.2 Modifications 0.2 — 0.2 Balance, end of the year 28.8 0.1 28.9 Accumulated depreciation Balance, beginning of the year (0.6) — (0.6) Depreciation (1.3) — (1.3) Balance, end of the year (1.9) — (1.9) Carrying amounts $ 26.9 $ 0.1 $ 27.0 |
Related party transactions (Tab
Related party transactions (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Disclosure of transactions between related parties [abstract] | |
Related party transactions | The remuneration of the executive officers and directors, who are the key management personnel of the Company, is set out below: For the years ended October 31, 2022 2021 2020 Salaries $ 3.5 $ 1.5 $ 0.2 Share-based compensation 13.5 1.9 0.1 Fees and benefits 2.9 1.5 0.4 Post employment benefits 0.1 — — Total remuneration of key management personnel $ 20.0 $ 4.9 $ 0.7 Outstanding balances of remunerations of the executive officers and directors are summarized as follows: As at October 31, 2022 2021 2020 Accounts payable and accrued liabilities $ 2.3 $ 0.8 $ 0.3 Restricted share units liability — — 0.2 Outstanding balances $ 2.3 $ 0.8 $ 0.5 For the years ended October 31, 2022 2021 2020 Related party lease and expense - Ashlin BPG Marketing $ 0.1 $ 0.1 $ — Related party expense - Fade In Production Pty. Ltd 0.2 0.1 — Related party expense - Consulero Inc. 0.1 0.1 — Consulting agreement - Atria Ltd — — 0.5 Director Consulting Agreement - Anthony Tse — 0.1 — Total expenses incurred with related parties $ 0.4 $ 0.4 $ 0.5 ¹Related party expenses are recorded at exchange amount |
Accounts payable and accrued _2
Accounts payable and accrued liabilities (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Subclassifications of assets, liabilities and equities [abstract] | |
Schedule of accounts payable and accrued liabilities | As at October 31, 2022 2021 Trade payables $ 16.3 $ 9.4 Accrued fixed assets 7.2 2.1 Accrued expenses 16.3 4.4 Accrued compensation 7.7 2.8 Total accounts payable and accrued liabilities $ 47.5 $ 18.7 |
Lease liabilities (Tables)
Lease liabilities (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Disclosure Of Leases [Abstract] | |
Schedule of Lease Liabilities | For the year ended October 31, 2022 Premises Equipment Total Lease liabilities Balance, beginning of the year $ 29.2 $ 0.2 $ 29.4 Additions 28.4 0.4 28.8 Lease repayments (6.8) (0.1) (6.9) Lease interest 2.2 — 2.2 Termination (0.2) — (0.2) Foreign exchange gains (losses) (1.5) — (1.5) Balance, end of the year $ 51.3 $ 0.5 $ 51.8 Non-current portion of lease liabilities $ 46.2 $ 0.4 $ 46.6 Current lease liabilities $ 5.1 $ 0.1 $ 5.2 For the year ended October 31, 2021 Premises Equipment Total Lease liabilities Balance, beginning of the year $ 3.5 $ 0.1 $ 3.6 Additions 25.9 0.4 26.3 Modifications 0.3 (0.2) 0.1 Lease repayments (1.3) (0.1) (1.4) Lease interest 0.4 — 0.4 Foreign exchange gains (losses) and other 0.4 — 0.4 Balance, end of the year $ 29.2 $ 0.2 $ 29.4 Non-current portion of lease liabilities $ 26.4 $ 0.1 $ 26.5 Current lease liabilities $ 2.8 $ 0.1 $ 2.9 |
Lease liabilities | The following table summarizes the Company's undiscounted lease obligations: Maturity analysis (undiscounted) As at October 31, 2022 Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter Total Premises $ 7.9 $ 7.2 $ 6.9 $ 6.7 $ 6.1 $ 41.3 $ 76.1 Equipment 0.1 0.1 0.1 0.1 0.1 — 0.5 Total $ 8.0 $ 7.3 $ 7.0 $ 6.8 $ 6.2 $ 41.3 $ 76.6 Maturity analysis (undiscounted) As at October 31, 2021 Year 1 Year 2 Year 3 Year 4 Year 5 Thereafter Total Premises $ 4.5 $ 4.6 $ 3.7 $ 3.3 $ 3.3 $ 16.3 $ 35.7 Equipment 0.1 0.1 — — — — 0.2 Total $ 4.6 $ 4.7 $ 3.7 $ 3.3 $ 3.3 $ 16.3 $ 35.9 |
Convertible Debt (Tables)
Convertible Debt (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Financial Instruments [Abstract] | |
Summary of Convertible Debt | As at October 31, 2022 2021 KSP Note (a) $ 92.4 $ 100.9 Glencore Note (b) 196.1 — Total convertible debt at end of period $ 288.5 $ 100.9 (a) KSP Note As at October 31, 2022 2021 Principal of convertible note at beginning of period $ 100.0 $ — Issuance of convertible notes 5.9 100.0 Principal of convertible notes at end of period 105.9 100.0 Conversion feature at beginning of period 29.0 — Conversion feature issued — 27.7 Fair value (gain) loss on embedded derivative (19.9) 1.3 Conversion feature at end of period 9.1 29.0 Debt component at beginning of period 71.9 — Debt component issued 5.9 72.3 Transaction costs — (1.6) Accrued interest paid in kind (5.9) — Accrued interest expense 11.4 1.2 Debt component at end of period 83.3 71.9 Total convertible debt at end of period $ 92.4 $ 100.9 Note Date Issued Amount Issued KSP Note September 29, 2021 $ 100.0 PIK Note December 31, 2021 1.8 PIK Note June 30, 2022 4.1 Total $ 105.9 (b) Glencore Note As at October 31, 2022 2021 Principal of convertible note at beginning of period $ — $ — Issuance of convertible note 200.0 — Principal of convertible note at end of period 200.0 — Conversion feature at beginning of period — — Conversion feature issued 46.2 — Fair value (gain) loss on embedded derivative (11.4) — Conversion into common shares — — Conversion feature at end of period 34.8 — Debt component at beginning of period — — Debt component issued 153.8 — Transaction costs (1.3) — Accrued interest expense 8.8 — Debt component at end of period 161.3 — Total convertible debt at end of period $ 196.1 $ — |
Summary of assumptions used in stock option pricing | The assumptions used in the model were as follows: (Issuance date) October 31, 2021 October 31, 2022 Risk free interest rate 1.1% 1.2% 4.4% Expected life of options 5 years 4.9 years 3.9 years Expected dividend yield 0.0% 0.0% 0.0% Expected stock price volatility 66% 62% 63% Share Price $12.56 $12.94 $5.96 |
Warrants (Tables)
Warrants (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Subclassifications of assets, liabilities and equities [abstract] | |
Warrant Rollforward | For the year ended October 31, 2022 2021 Number of warrants Number of warrants Balance, beginning of the year 22,999,894 $ 82.1 — $ — Assumption of warrants - Business Combination (refer to Note 1) — — 22,999,994 48.3 Cash exercises (9,578) — (100) — Cashless exercises (22,540,651) (45.9) — — Redemptions (449,665) — — — Fair value (gain) loss on warrants — (36.2) — 33.8 Balance, end of the year — $ — 22,999,894 $ 82.1 |
Share capital and share-based_2
Share capital and share-based compensation (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Share Capital, Reserves And Other Equity Interest [Abstract] | |
Schedule of Outstanding Shares | The changes in the Company’s outstanding common shares were as follows: For the years ended October 31, 2022 2021 Note Number of shares (in millions) Capital Stock Number of shares (in millions) Capital Stock Balance, beginning of period 163.3 $ 672.1 83.4 $ 15.5 Issuance of shares - Series C private placement — — 11.2 21.6 Issuance of shares for non-cash costs — — 0.5 0.5 Issuance of shares - Public placement through Business Combination — — 65.7 629.7 Exercise of RSUs 0.3 3.6 0.4 3.9 Exercise of stock options 1.4 0.4 2.1 0.9 Exercise of warrants 14 5.7 46.0 — — Issuance of shares to LG Energy Solution, Ltd. and LG Chem, Ltd. 5.3 49.7 — — Balance, end of period 176.0 $ 771.8 163.3 $ 672.1 |
Summary of number and weighted average exercise prices of stock options | A summary of stock option activities is as follows: For the years ended October 31, 2022 2021 $ millions, except number of options Number of Weighted average Number of Weighted average Balance, beginning of the year 5,296,554 2.81 5,327,980 0.38 Granted 763,829 7.81 2,320,989 6.13 Exercised (1,547,113) 0.46 (2,172,820) 0.62 Forfeited (2,619) 10.93 (179,595) 1.06 Balance, end of the year 4,510,651 4.46 5,296,554 2.81 Exercisable stock options 3,253,287 2.70 4,242,707 0.79 A summary of the outstanding stock options is as follows: 2022 Range of exercise prices Number of stock options Weighted-average remaining contractual life (years) Expiration year 0.02 - 0.37 1,268,220 1.24 2023-2024 1.07 - 2.15 1,033,029 7.72 2029-2030 2.15 - 13.20 2,209,402 8.87 2031-2032 Total 4,510,651 |
Summary of assumptions used in stock option pricing | The assumptions used in the stock option pricing model for the grants during the year ended October 31, 2022 were as follows: Risk free interest rate 1.4% - 3.6% Expected life of options 6 years Expected dividend yield 0.0% Expected stock price volatility 63% - 70% Expected forfeiture rate 0.0% |
Summary of restricted stock unit activity | A summary of RSU activities is as follows: 2022 2021 $ millions, except number of RSUs Number of Weighted average share price on grant date Number of Weighted average share price on grant date Balance, beginning of the year 716,763 10.93 87,084 1.07 Granted¹ 1,703,966 8.38 1,021,955 8.29 Exercised (317,619) 11.22 (392,276) 1.87 Forfeited (55,073) 9.98 — — Balance, end of the year 2,048,037 8.79 716,763 10.93 |
Non-Controlling Interest (Table
Non-Controlling Interest (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Non-Controlling Interest [Abstract] | |
Schedule of non-controlling interest | Summarized financial information for Li-Cycle Norway AS is as follows: For the year ended October 31, 2022 Balance, beginning of year $ — Investment to non-controlling interest 0.3 Loss attributable to non-controlling interest during the year (0.1) Balance, end of year $ 0.2 As at October 31, 2022 Revenue $ — Expenses (0.4) Net loss (0.4) Net loss attributable to non-controlling interest $ (0.1) |
Financial instruments and fin_2
Financial instruments and financial risk factors (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Financial Instruments [Abstract] | |
Schedule of fair value measurement of assets | The Company’s financial assets measured at fair value on a recurring basis are measured under level 2 of the hierarchy and were calculated as follows: As at October 31, 2022 Balance Level 2 Accounts receivable $ 1.5 $ 1.5 $ 1.5 $ 1.5 As at October 31, 2021 Accounts receivable 4.1 4.1 $ 4.1 $ 4.1 |
Schedule of fair value measurement of liabilities | The Company’s financial liabilities measured at fair value on a recurring basis are measured under level 1 and 2 of the hierarchy and were calculated as follows: As at October 31, 2022 Balance Level 1 Level 2 Conversion feature of convertible debt (refer to Note 13) $ 43.9 $ — $ 43.9 $ 43.9 $ — $ 43.9 As at October 31, 2021 Conversion feature of convertible debt (refer to Note 13) 29.0 — 29.0 Warrants (refer to Note 14) 82.1 53.5 28.6 $ 111.1 $ 53.5 $ 57.6 |
Schedule of fair value measurement of price | The following table sets out the Company's exposure, as at October 31, 2022 and 2021, in relation to the impact of movements in the Cobalt and Nickel price for the provisionally invoiced sales volume: Cobalt Nickel As at October 31, 2022 2021 2022 2021 Metric tonnes subject to fair value pricing adjustments 4,202 1,728 4,202 1,728 10% increase in prices $ 1.1 $ 0.3 $ 1.0 $ 0.4 10% decrease in prices $ (1.1) $ (0.3) $ (1.0) $ (0.4) The following table sets out the period end commodity prices for Cobalt and Nickel as at October 31, 2022 and 2021: Market price per tonne As at October 31, 2022 2021 Cobalt $ 53,462 $ 60,407 Nickel 21,710 19,300 |
Loss per share (Tables)
Loss per share (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Earnings per share [abstract] | |
Summary of earnings per share | For the years ended October 31, 2022 2021 2020 Total net loss $ (53.7) $ (226.6) $ (9.4) Weighted average number of common shares (in millions) 170.7 110.1 82.6 Basic and diluted loss per share $ (0.31) $ (2.06) $ (0.11) included in the calculation of diluted loss per share because they are antidilutive for the periods presented: For the years ended October 31, 2022 2021 2020 Stock options 4.5 5.3 5.3 Warrants — 23.0 — Convertible debt 29.4 7.5 — Restricted share units 2.0 0.7 — 35.9 36.5 5.3 |
Segment reporting (Tables)
Segment reporting (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Disclosure of operating segments [abstract] | |
Schedule of geographical areas | The following is a summary of the Company’s geographical information: Canada United States Germany Other Total Revenues Year ended October 31, 2022 $ 4.1 $ 9.3 $ — $ — $ 13.4 Year ended October 31, 2021 3.0 4.3 — — 7.3 Year ended October 31, 2020 0.8 — — — 0.8 Non-current assets As at October 31, 2022 26.8 161.4 10.7 2.5 201.4 As at October 31, 2021 15.5 37.9 — — 53.4 As at October 31, 2020 $ 3.4 $ 6.1 $ — $ — $ 9.5 |
Government funding (Tables)
Government funding (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Government Grants [Abstract] | |
Summary of government grants | 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: For the years ended October 31, 2022 2021 2020 Research and development expenses, gross $ 1.7 $ 2.7 $ 2.8 Less: Government grants — — (2.0) Research and development expenses, net $ 1.7 $ 2.7 $ 0.8 |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Income Tax Table [Abstract] | |
Schedule of 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: For the years ended October 31, 2022 2021 2020 Net loss for the year before tax $ (53.7) $ (226.6) $ (9.4) Statutory tax rates 26.5% 26.5% 26.5% (14.2) (60.0) (2.5) Change in unrecognized deferred tax amounts 18.4 8.8 2.4 Rate differential 0.5 — — Other 0.1 — — Non-deductible item and others (4.8) 51.2 0.1 Income tax expense — — — |
Disclosure of deferred taxes | Accordingly, the Company has not recognized the following deferred income tax assets in the consolidated financial statements: For the years ended October 31, 2022 2021 2020 Tax losses and credits carryforwards $ 48.6 $ 14.3 $ 3.8 Share issuance costs 10.1 12.6 — Convertible debt — 0.3 — Reserves and provisions 0.1 0.2 0.1 Other 2.5 0.1 — Plant and equipment, due to differences in amortization (10.4) (2.7) (0.2) Convertible debt, due to differences in amortization (7.6) — — Right of use assets, net of lease liabilities 0.5 0.6 (0.1) Total $ 43.8 $ 25.4 $ 3.6 Deferred tax assets not recognized $ (43.8) $ (25.4) $ (3.6) Deferred tax assets, net — — — |
Statement of cash flows, addi_2
Statement of cash flows, additional disclosures (Tables) | 12 Months Ended |
Oct. 31, 2022 | |
Statement of cash flows [abstract] | |
Changes in Liabilities Arising from Financing Activities | Changes in liabilities arising from financing activities comprise the following: For the year ended October 31, 2022 Lease liabilities Restoration provisions Convertible debt Conversion feature of convertible debt Balance, beginning of the year $ 29.4 $ 0.3 $ 71.9 $ 29.0 Cash changes: Repayments of lease liabilities (4.7) — — — Repayment of loans payable — — — — Proceeds from convertible debt — — 152.5 46.2 Total changes from financing cash flows (4.7) — 152.5 46.2 Non-cash changes: New leases 28.8 — — — Disposal (0.2) — — — Additions to restoration provision — 0.1 — — Accrued interest and accretion — — 14.3 — Foreign exchange gain or (loss) (1.5) — — — Fair value gain/loss on conversion feature of convertible debt — — — (31.3) Accrued interest paid in kind — — 5.9 — Total non-cash changes $ 27.1 $ 0.1 $ 20.2 $ (31.3) Balance, end of the year $ 51.8 $ 0.4 $ 244.6 $ 43.9 |
Nature of operations and busi_2
Nature of operations and business combination - Narrative (Details) | 12 Months Ended | |||||
Jan. 26, 2022 | Aug. 10, 2021 USD ($) shares $ / shares | Oct. 31, 2022 USD ($) shares | Oct. 31, 2021 USD ($) shares | Oct. 31, 2020 USD ($) shares | Oct. 31, 2019 shares | |
Disclosure of classes of share capital [line items] | ||||||
Proportion of ownership interest in subsidiary | 67% | |||||
Business combination, share exchange ratio | 39.91 | |||||
Excess of fair value over consideration transferred | $ | $ 0 | $ 152,700,000 | $ 0 | |||
Number of shares outstanding (in shares) | 163,179,555 | |||||
Number of stock options (in shares) | 4,242,707 | 4,510,651 | 5,296,554 | 5,327,980 | ||
Issued capital | ||||||
Disclosure of classes of share capital [line items] | ||||||
Public shares issued in exchange for Li-Cycle Corp shares (in shares) | 97,508,181 | |||||
Number of shares outstanding (in shares) | 176,000,000 | 163,300,000 | 83,400,000 | 76,500,000 | ||
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 issuance 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 | |||||
Li-Cycle Corp. | ||||||
Disclosure of classes of share capital [line items] | ||||||
Number of shares exchanged (in shares) | 2,552,450 | |||||
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 issuance costs | $ | $ 525,300,000 | |||||
Percentage of voting equity interests acquired | 100% | |||||
Fair market value of warrants (in dollars per share) | $ / shares | $ 2.1 | |||||
Warrant liability | $ | $ 48,300,000 | $ 0 | $ 82,100,000 | $ 0 | ||
Excess of fair value over consideration transferred | $ | 152,700,000 | |||||
Transaction-related costs | $ | 27,000,000 | |||||
Total fair value of consideration transferred | $ | $ 656,700,000 | |||||
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% | |||||
Li-Cycle North America Hub, Inc. | ||||||
Disclosure of classes of share capital [line items] | ||||||
Proportion of ownership interest in subsidiary | 100% | |||||
Li-Cycle Corp. | ||||||
Disclosure of classes of share capital [line items] | ||||||
Proportion of ownership interest in subsidiary | 100% |
Nature of operations and busi_3
Nature of operations and business combination - Summary of Purchase Price Allocation (Details) - Peridot Acquisition Corp. $ in Millions | Aug. 10, 2021 USD ($) |
Disclosure of detailed information about business combination [line items] | |
Common shares | $ 656.7 |
Total fair value of consideration transferred | 656.7 |
Cash and cash equivalents | 581.9 |
Warrants | (48.3) |
Other payables | (29.6) |
Total fair value of assets acquired and liabilities assumed | 504 |
Excess of fair value of consideration transferred over fair value of assets acquired and liabilities assumed | 152.7 |
Gross proceeds | 581.9 |
Transaction-related costs | (27) |
Other payables acquired | (29.6) |
Proceeds from public share issuance, net of share issuance costs | 525.3 |
Peridot Acquisition Corp. | |
Disclosure of detailed information about business combination [line items] | |
Transaction-related costs | (29.6) |
Li-Cycle Corp. | |
Disclosure of detailed information about business combination [line items] | |
Transaction-related costs | $ (27) |
Basis of preparation - Summary
Basis of preparation - Summary of Subsidiary Ownership (Details) | 12 Months Ended | |
Jan. 26, 2022 | Oct. 31, 2022 | |
Disclosure of subsidiaries [line items] | ||
Proportion of ownership interest in subsidiary | 67% | |
Li-Cycle Corp. | ||
Disclosure of subsidiaries [line items] | ||
Proportion of ownership interest in subsidiary | 100% | |
Li-Cycle Americas Corp. | ||
Disclosure of subsidiaries [line items] | ||
Proportion of ownership interest in subsidiary | 100% | |
Li-Cycle U.S. Holdings Inc. | ||
Disclosure of subsidiaries [line items] | ||
Proportion of ownership interest in subsidiary | 100% | |
Li-Cycle Inc. | ||
Disclosure of subsidiaries [line items] | ||
Proportion of ownership interest in subsidiary | 100% | |
Li-Cycle North America Hub, Inc. | ||
Disclosure of subsidiaries [line items] | ||
Proportion of ownership interest in subsidiary | 100% | |
Li-Cycle Europe AG | ||
Disclosure of subsidiaries [line items] | ||
Proportion of ownership interest in subsidiary | 100% | |
Li-Cycle APAC PTE. LTD. | ||
Disclosure of subsidiaries [line items] | ||
Proportion of ownership interest in subsidiary | 100% | |
Li-Cycle Germany GmbH | ||
Disclosure of subsidiaries [line items] | ||
Proportion of ownership interest in subsidiary | 100% | |
Li-Cycle Norway AS | ||
Disclosure of subsidiaries [line items] | ||
Proportion of ownership interest in subsidiary | 67% |
Basis of preparation - Summar_2
Basis of preparation - Summary of Useful Lives of Plant and Equipment (Details) | 12 Months Ended |
Oct. 31, 2022 | |
Computers | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life of plant and equipment (in years) | 3 years |
Vehicles | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life of plant and equipment (in years) | 5 years |
Plant equipment | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life of plant and equipment (in years) | 5 years |
Furniture | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life of plant and equipment (in years) | 7 years |
Storage containers | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life of plant and equipment (in years) | 10 years |
Processing equipment | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life of plant and equipment (in years) | 10 years |
Revenue - product sales and r_3
Revenue - product sales and recycling services - Schedule of product sales revenue (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Product sales revenue [Abstract] | |||
Product revenue recognized in the period | $ 14.3 | $ 6.1 | $ 0.5 |
Fair value pricing adjustments | (2.2) | 0.8 | 0.1 |
Product sales revenue | 12.1 | 6.9 | 0.6 |
Recycling service revenue recognized in the period | 1.3 | 0.4 | 0.2 |
Revenue before Fair Value Pricing Adjustment | 15.6 | 6.5 | 0.7 |
Revenue | $ 13.4 | $ 7.3 | $ 0.8 |
Other income (expense) (Details
Other income (expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Financial Instruments [Abstract] | |||
Interest income | $ 7 | $ 0.1 | $ 0 |
Interest expense and accretion on convertible debt | (15) | (1.2) | 0 |
Interest expense and accretion on promissory notes | 0 | (0.1) | 0 |
Interest expense and accretion on loans | 0 | (1.3) | 0 |
Interest expense on leases | 2.2 | 0.4 | 0.2 |
Other finance costs | (0.2) | 0 | (0.3) |
Foreign exchange gains (losses) | 0.4 | (0.8) | 0.4 |
Interest expense and other costs | (17) | (3.8) | (0.1) |
Fair value (gain) loss on embedded derivative | 31.3 | (1.3) | 0 |
Fair value gain (loss) on warrants | 36.2 | (33.8) | 0 |
Fair value gain (loss) on restricted share units | 0 | (3.2) | (0.1) |
Gains (losses) on financial instruments | 67.5 | (38.3) | (0.1) |
Excess of fair value over consideration transferred | 0 | 152.7 | 0 |
Other income (expense) | $ (57.5) | $ 194.7 | $ 0.2 |
Accounts receivable - Schedule
Accounts receivable - Schedule of other receivables (Details) - USD ($) $ in Millions | Oct. 31, 2022 | Oct. 31, 2021 |
Disclosure of provision matrix [line items] | ||
Accounts receivable | $ 1.5 | $ 4.1 |
Current receivables from taxes other than income tax | 3.7 | 0.4 |
Other Current Accrued Receivables | 4.1 | 0.6 |
Other receivables | 7.8 | 1 |
Current | ||
Disclosure of provision matrix [line items] | ||
Accounts receivable | 0.3 | 3.2 |
1-30 days | ||
Disclosure of provision matrix [line items] | ||
Accounts receivable | 0.6 | 0.3 |
31-60 days | ||
Disclosure of provision matrix [line items] | ||
Accounts receivable | 0.3 | 0.1 |
61-90 days | ||
Disclosure of provision matrix [line items] | ||
Accounts receivable | 0.1 | 0 |
91 days and over | ||
Disclosure of provision matrix [line items] | ||
Accounts receivable | $ 0.2 | $ 0.5 |
Accounts receivable - Narrative
Accounts receivable - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Trade and other current receivables [abstract] | |||
Fair value pricing adjustments | $ (2.2) | $ 0.8 | $ 0.1 |
Accounts receivable - Schedul_2
Accounts receivable - Schedule of revenue by customers (Details) | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Customer A | |||
Disclosure of provision matrix [line items] | |||
Main customers as a percentage of revenue | 16.30% | 42% | 67% |
Main customers as a percentage of accounts receivable | 18.30% | 53% | 90% |
Customer B | |||
Disclosure of provision matrix [line items] | |||
Main customers as a percentage of revenue | 69.60% | 52% | 0% |
Main customers as a percentage of accounts receivable | 42.80% | 45% | 0% |
Prepayments and deposits (Detai
Prepayments and deposits (Details) - USD ($) $ in Millions | Oct. 31, 2022 | Oct. 31, 2021 |
Prepayments And Deposits [Abstract] | ||
Prepaid lease deposits | $ 2.8 | $ 0.9 |
Prepaid transaction costs | 0.3 | 0 |
Prepaid construction charges | 1.4 | 0 |
Prepaid equipment deposits | 76.4 | 3.2 |
Prepaid insurance | 5.7 | 3.8 |
Other prepaids | 2.8 | 0.6 |
Total prepaids and deposits | 89.4 | 8.5 |
Other assets | (3.6) | 0 |
Prepayment and deposits | $ 85.8 | $ 8.5 |
Inventory (Details)
Inventory (Details) - USD ($) $ in Millions | 12 Months Ended | |
Oct. 31, 2022 | Oct. 31, 2021 | |
Inventories [Abstract] | ||
Raw materials | $ 4.7 | $ 0.9 |
Finished goods | 1.7 | 0.3 |
Current spare parts | 1.1 | 0.1 |
Inventories | 7.5 | 1.3 |
Cost of inventories recognised as expense | 28.8 | 8.6 |
Write-down of finished goods | 1.3 | 2.3 |
Write-down of raw materials | 4.8 | 0.6 |
Borrowing costs capitalised | $ 5.2 | $ 0 |
Plant and equipment (Details)
Plant and equipment (Details) - USD ($) | 12 Months Ended | |
Oct. 31, 2022 | Oct. 31, 2021 | |
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | $ 26,400,000 | |
Property, plant and equipment at end of period | 147,700,000 | $ 26,400,000 |
Employee salaries capitalized to assets under construction | 6,200,000 | 0 |
Share-based compensation cost capitalized to assets under construction | 600,000 | |
Borrowing costs capitalised | $ 5,200,000 | 0 |
Capitalisation rate of borrowing costs eligible for capitalisation | 12.30% | |
Assets under construction | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | $ 15,600,000 | |
Property, plant and equipment at end of period | 107,400,000 | 15,600,000 |
Plant equipment | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 4,800,000 | |
Property, plant and equipment at end of period | 30,000,000 | 4,800,000 |
Computers | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 200,000 | |
Property, plant and equipment at end of period | 1,600,000 | 200,000 |
Vehicles | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 100,000 | |
Property, plant and equipment at end of period | 200,000 | 100,000 |
Leasehold improvements | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 5,700,000 | |
Property, plant and equipment at end of period | 8,500,000 | 5,700,000 |
Cost | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 28,600,000 | 6,300,000 |
Additions | 125,000,000 | 22,300,000 |
Transfers | 0 | 0 |
Property, plant and equipment at end of period | 153,600,000 | 28,600,000 |
Cost | Assets under construction | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 15,600,000 | 1,900,000 |
Additions | 119,500,000 | 17,500,000 |
Transfers | (27,700,000) | (3,800,000) |
Property, plant and equipment at end of period | 107,400,000 | 15,600,000 |
Cost | Plant equipment | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 6,400,000 | 2,600,000 |
Additions | 200,000 | 0 |
Transfers | 27,700,000 | 3,800,000 |
Property, plant and equipment at end of period | 34,300,000 | 6,400,000 |
Cost | Computers | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 200,000 | 0 |
Additions | 1,600,000 | 200,000 |
Transfers | 0 | 0 |
Property, plant and equipment at end of period | 1,800,000 | 200,000 |
Cost | Vehicles | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 200,000 | 200,000 |
Additions | 100,000 | 0 |
Property, plant and equipment at end of period | 300,000 | 200,000 |
Cost | Leasehold improvements | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 6,200,000 | 1,600,000 |
Additions | 3,600,000 | 4,600,000 |
Property, plant and equipment at end of period | 9,800,000 | 6,200,000 |
Accumulated depreciation | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | (2,200,000) | (600,000) |
Depreciation | (3,700,000) | (1,600,000) |
Property, plant and equipment at end of period | (5,900,000) | (2,200,000) |
Accumulated depreciation | Assets under construction | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 0 | 0 |
Depreciation | 0 | 0 |
Property, plant and equipment at end of period | 0 | 0 |
Accumulated depreciation | Plant equipment | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | (1,600,000) | (500,000) |
Depreciation | (2,700,000) | (1,100,000) |
Property, plant and equipment at end of period | (4,300,000) | (1,600,000) |
Accumulated depreciation | Computers | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | 0 | 0 |
Depreciation | (200,000) | 0 |
Property, plant and equipment at end of period | (200,000) | 0 |
Accumulated depreciation | Vehicles | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | (100,000) | 0 |
Depreciation | 0 | (100,000) |
Property, plant and equipment at end of period | (100,000) | (100,000) |
Accumulated depreciation | Leasehold improvements | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Property, plant and equipment at beginning of period | (500,000) | (100,000) |
Depreciation | (800,000) | (400,000) |
Property, plant and equipment at end of period | $ (1,300,000) | $ (500,000) |
Right-of-use assets (Details)
Right-of-use assets (Details) - USD ($) $ in Millions | 12 Months Ended | |
Oct. 31, 2022 | Oct. 31, 2021 | |
Reconciliation Of Changes In Right-Of-Use Assets | ||
Right-of-use assets, beginning balance | $ 27 | |
Right-of-use assets, ending balance | $ 50.1 | $ 27 |
Lease term | 4 years 7 months 6 days | |
Cost | ||
Reconciliation Of Changes In Right-Of-Use Assets | ||
Right-of-use assets, beginning balance | $ 28.9 | 4.5 |
Additions | 29.7 | 24.2 |
Termination/derecognition | (1.2) | 0.2 |
Right-of-use assets, ending balance | 57.4 | 28.9 |
Accumulated depreciation | ||
Reconciliation Of Changes In Right-Of-Use Assets | ||
Right-of-use assets, beginning balance | (1.9) | (0.6) |
Depreciation | (6.4) | (1.3) |
Termination/derecognition | 1 | |
Right-of-use assets, ending balance | (7.3) | (1.9) |
Premises | ||
Reconciliation Of Changes In Right-Of-Use Assets | ||
Right-of-use assets, beginning balance | 26.9 | |
Right-of-use assets, ending balance | 49.7 | 26.9 |
Premises | Cost | ||
Reconciliation Of Changes In Right-Of-Use Assets | ||
Right-of-use assets, beginning balance | 28.8 | 4.4 |
Additions | 29.3 | 24.2 |
Termination/derecognition | (1.2) | 0.2 |
Right-of-use assets, ending balance | 56.9 | 28.8 |
Premises | Accumulated depreciation | ||
Reconciliation Of Changes In Right-Of-Use Assets | ||
Right-of-use assets, beginning balance | (1.9) | (0.6) |
Depreciation | (6.3) | (1.3) |
Termination/derecognition | 1 | |
Right-of-use assets, ending balance | (7.2) | (1.9) |
Equipment | ||
Reconciliation Of Changes In Right-Of-Use Assets | ||
Right-of-use assets, beginning balance | 0.1 | |
Right-of-use assets, ending balance | 0.4 | 0.1 |
Equipment | Cost | ||
Reconciliation Of Changes In Right-Of-Use Assets | ||
Right-of-use assets, beginning balance | 0.1 | 0.1 |
Additions | 0.4 | 0 |
Termination/derecognition | 0 | 0 |
Right-of-use assets, ending balance | 0.5 | 0.1 |
Equipment | Accumulated depreciation | ||
Reconciliation Of Changes In Right-Of-Use Assets | ||
Right-of-use assets, beginning balance | 0 | 0 |
Depreciation | (0.1) | 0 |
Termination/derecognition | 0 | |
Right-of-use assets, ending balance | $ (0.1) | $ 0 |
Related party transactions - Su
Related party transactions - Summary of Remuneration of Directors (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Disclosure of transactions between related parties [abstract] | |||
Salaries | $ 3.5 | $ 1.5 | $ 0.2 |
Share-based compensation | 13.5 | 1.9 | 0.1 |
Fees and benefits | 2.9 | 1.5 | 0.4 |
Post employment benefits | 0.1 | 0 | 0 |
Total remuneration of key management personnel | $ 20 | $ 4.9 | $ 0.7 |
Related party transactions - Na
Related party transactions - Narrative (Details) | 12 Months Ended | ||||||
May 01, 2021 shares | Jul. 19, 2019 USD ($) | Oct. 31, 2022 USD ($) | Oct. 31, 2021 USD ($) | Oct. 31, 2020 USD ($) | Jan. 25, 2021 shares | Jan. 01, 2019 CAD ($) | |
Disclosure of transactions between related parties [line items] | |||||||
Key management personnel compensation, directors fees | $ | $ 400,000 | $ 300,000 | $ 200,000 | ||||
Immediate Family Member Of Chief Executive Officer | |||||||
Disclosure of transactions between related parties [line items] | |||||||
Monthly lease payment to related party | $ | $ 4,500 | ||||||
Beneficial Owner | |||||||
Disclosure of transactions between related parties [line items] | |||||||
Fees payable to related party, maximum (in shares) | 12,000 | ||||||
Fees payable to related party, (in shares) | 1,000 | ||||||
Director Of Li-Cycle | |||||||
Disclosure of transactions between related parties [line items] | |||||||
Number of shares issued in settlement of liabilities to related party (in shares) | 2,000 | ||||||
Atria Limited | |||||||
Disclosure of transactions between related parties [line items] | |||||||
Number of shares issued in settlement of liabilities to related party (in shares) | 8,000 | ||||||
Pella Ventures | |||||||
Disclosure of transactions between related parties [line items] | |||||||
Number of shares issued in settlement of liabilities to related party (in shares) | 2,000 | ||||||
Anthony Tse | Director | |||||||
Disclosure of transactions between related parties [line items] | |||||||
Professional fees, monthly payment | $ | $ 4,700 | ||||||
Atria Limited | Beneficial Owner | |||||||
Disclosure of transactions between related parties [line items] | |||||||
Proportion of ownership interest in entity by related party | 5% |
Related party transactions - Ou
Related party transactions - Outstanding Balances Of Remunerations Of Directors (Details) - USD ($) $ in Millions | Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 |
Disclosure of transactions between related parties [line items] | |||
Amounts payable, related party transactions | $ 2.3 | $ 0.8 | $ 0.5 |
Accounts Payable And Accrued Liabilities | |||
Disclosure of transactions between related parties [line items] | |||
Amounts payable, related party transactions | 2.3 | 0.8 | 0.3 |
Restricted share units | |||
Disclosure of transactions between related parties [line items] | |||
Amounts payable, related party transactions | $ 0 | $ 0 | $ 0.2 |
Related party transactions - Ex
Related party transactions - Expenses Incurred with Related Parties (Details) - USD ($) | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Disclosure of transactions between related parties [line items] | |||
Professional fees expense | $ 16,500,000 | $ 7,700,000 | $ 3,000,000 |
Services received, related party transactions | 400,000 | 400,000 | 500,000 |
Ashlin BPG Marketing | |||
Disclosure of transactions between related parties [line items] | |||
Related party expenses | 100,000 | 100,000 | 0 |
Fade In Production Pty, LTD. | |||
Disclosure of transactions between related parties [line items] | |||
Related party expenses | 200,000 | 100,000 | 0 |
Consulero Inc. | |||
Disclosure of transactions between related parties [line items] | |||
Related party expenses | 100,000 | 100,000 | 0 |
Atria Ltd. | |||
Disclosure of transactions between related parties [line items] | |||
Related party expenses | 0 | 0 | 500,000 |
Anthony Tse | Director | |||
Disclosure of transactions between related parties [line items] | |||
Related party expenses | $ 0 | $ 100,000 | $ 0 |
Accounts payable and accrued _3
Accounts payable and accrued liabilities - Schedule of accounts payable and accrued liabilities (Details) - USD ($) $ in Millions | Oct. 31, 2022 | Oct. 31, 2021 |
Subclassifications of assets, liabilities and equities [abstract] | ||
Trade payables | $ 16.3 | $ 9.4 |
Accrued fixed assets | 7.2 | 2.1 |
Accrued expenses | 16.3 | 4.4 |
Accrued compensation | 7.7 | 2.8 |
Accounts payable and accrued liabilities | $ 47.5 | $ 18.7 |
Lease liabilities (Details)
Lease liabilities (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Disclosure of maturity analysis of operating lease payments [line items] | |||
Balance, beginning of the year | $ 29.4 | $ 3.6 | |
Additions | 28.8 | 26.3 | |
Modifications | (0.1) | ||
Lease repayments | (6.9) | 1.4 | |
Lease interest | 2.2 | 0.4 | |
Termination | (0.2) | ||
Foreign exchange gains (losses) | (1.5) | 0.4 | |
Balance, end of the year | 51.8 | 29.4 | $ 3.6 |
Non-current portion of lease liabilities | 46.6 | 26.5 | |
Current lease liabilities | 5.2 | 2.9 | |
Undiscounted lease liabilities | 76.6 | 35.9 | |
Interest expense on leases | 2.2 | 0.4 | 0.2 |
Year 1 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 8 | 4.6 | |
Year 2 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 7.3 | 4.7 | |
Year 3 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 7 | 3.7 | |
Year 4 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 6.8 | 3.3 | |
Year 5 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 6.2 | 3.3 | |
Thereafter | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 41.3 | 16.3 | |
Premises | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Balance, beginning of the year | 29.2 | 3.5 | |
Additions | 28.4 | 25.9 | |
Modifications | (0.3) | ||
Lease repayments | (6.8) | 1.3 | |
Lease interest | 2.2 | ||
Termination | (0.2) | ||
Foreign exchange gains (losses) | (1.5) | 0.4 | |
Balance, end of the year | 51.3 | 29.2 | 3.5 |
Non-current portion of lease liabilities | 46.2 | 26.4 | |
Current lease liabilities | 5.1 | 2.8 | |
Undiscounted lease liabilities | 76.1 | 35.7 | |
Premises | Year 1 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 7.9 | 4.5 | |
Premises | Year 2 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 7.2 | 4.6 | |
Premises | Year 3 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 6.9 | 3.7 | |
Premises | Year 4 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 6.7 | 3.3 | |
Premises | Year 5 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 6.1 | 3.3 | |
Premises | Thereafter | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 41.3 | 16.3 | |
Equipment | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Balance, beginning of the year | 0.2 | 0.1 | |
Additions | 0.4 | 0.4 | |
Modifications | 0.2 | ||
Lease repayments | (0.1) | 0.1 | |
Lease interest | 0 | 0 | |
Termination | 0 | ||
Foreign exchange gains (losses) | 0 | 0 | |
Balance, end of the year | 0.5 | 0.2 | $ 0.1 |
Non-current portion of lease liabilities | 0.4 | 0.1 | |
Current lease liabilities | 0.1 | 0.1 | |
Undiscounted lease liabilities | 0.5 | 0.2 | |
Equipment | Year 1 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 0.1 | 0.1 | |
Equipment | Year 2 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 0.1 | 0.1 | |
Equipment | Year 3 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 0.1 | 0 | |
Equipment | Year 4 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 0.1 | 0 | |
Equipment | Year 5 | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | 0.1 | 0 | |
Equipment | Thereafter | |||
Disclosure of maturity analysis of operating lease payments [line items] | |||
Undiscounted lease liabilities | $ 0 | $ 0 |
Convertible Debt - Summary of C
Convertible Debt - Summary of Convertible Debt (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||
Jan. 31, 2022 | Jan. 31, 2021 | Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Disclosure of detailed information about borrowings [line items] | |||||
Issuance of convertible notes | $ 5,900,000 | $ 100,000,000 | |||
Fair value (gain) loss on embedded derivative | 31,300,000 | (1,300,000) | $ 0 | ||
Convertible debt | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Fair value (gain) loss on embedded derivative | (19,900,000) | ||||
Koch Strategic Platforms Convertible Note | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Principal of convertible note at beginning of period | $ 100,000,000 | $ 0 | 100,000,000 | 0 | |
Principal of convertible notes at end of period | 105,900,000 | 100,000,000 | 0 | ||
Conversion feature at beginning of period | 29,000,000 | 0 | 29,000,000 | 0 | |
Conversion feature issued | 0 | 27,700,000 | |||
Fair value (gain) loss on embedded derivative | (19,900,000) | 1,300,000 | |||
Conversion feature at end of period | 9,100,000 | 29,000,000 | 0 | ||
Debt component at beginning of period | 71,900,000 | 0 | 71,900,000 | 0 | |
Debt component issued | 72,300,000 | 5,900,000 | 72,300,000 | ||
Transaction costs | 0 | (1,600,000) | |||
Accrued interest paid in kind | (5,900,000) | 0 | |||
Accrued interest expense | 11,400,000 | 1,200,000 | |||
Debt component at end of period | 83,300,000 | 71,900,000 | 0 | ||
Total convertible debt at end of period | 92,400,000 | 100,900,000 | |||
Glencore Convertible Note | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Principal of convertible note at beginning of period | 0 | 0 | 0 | 0 | |
Issuance of convertible notes | 200,000,000 | 0 | |||
Principal of convertible notes at end of period | 200,000,000 | 0 | 0 | ||
Conversion feature at beginning of period | 0 | 0 | 0 | 0 | |
Conversion feature issued | 46,200,000 | 0 | |||
Fair value (gain) loss on embedded derivative | 0 | (11,400,000) | |||
Conversion feature at end of period | 34,800,000 | 0 | 0 | ||
Debt component at beginning of period | $ 0 | $ 0 | 0 | 0 | |
Debt component issued | 153,800,000 | 0 | |||
Transaction costs | (1,300,000) | 0 | |||
Accrued interest expense | 8,800,000 | 0 | |||
Debt component at end of period | $ 161,300,000 | $ 0 | $ 0 |
Convertible Debt - Narrative (D
Convertible Debt - Narrative (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||||||
May 31, 2022 | Sep. 29, 2021 | Jan. 31, 2021 | Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | Dec. 31, 2022 | Nov. 30, 2022 | |
Disclosure of detailed information about borrowings [line items] | ||||||||
Fair value (gain) loss on embedded derivative | $ 31,300,000 | $ (1,300,000) | $ 0 | |||||
Koch Strategic Platforms Convertible Note | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Issuance of convertible notes | $ 100,000,000 | $ 4,300,000 | ||||||
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% | |||||||
Borrowings, conversion price triggering conversion feature (in dollars per share) | $ 17.46 | |||||||
Fair value (gain) loss on embedded derivative | (19,900,000) | $ 1,300,000 | ||||||
Koch Strategic Platforms Convertible Note | Embedded Derivative | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Borrowings | $ 27,700,000 | |||||||
Koch Strategic Platforms Convertible Note | LIBOR | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Borrowings, adjustment to interest rate basis | 5% | |||||||
Adjustment to paid in kind interest rate | 6% | |||||||
Koch Strategic Platforms Convertible Note | LIBOR | Minimum | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Borrowings, variable rate, fixed | 1% | |||||||
Koch Strategic Platforms Convertible Note | LIBOR | Maximum | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Borrowings, variable rate, fixed | 2% | |||||||
Convertible debt | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Fair value (gain) loss on embedded derivative | (19,900,000) | |||||||
Glencore Convertible Note | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Issuance of convertible notes | $ 200,000,000 | $ 8,100,000 | ||||||
Borrowings, conversion price (in dollars per share) | $ 9.95 | |||||||
Borrowing costs recognised as expense | $ (1,300,000) | |||||||
Fair value (gain) loss on embedded derivative | $ 0 | $ (11,400,000) | ||||||
Glencore Convertible Note | Embedded Derivative | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Borrowings | 46,200,000 | |||||||
Glencore Convertible Note | Debt Principal | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Borrowings | $ 153,800,000 | |||||||
Glencore Convertible Note | LIBOR | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Borrowings, adjustment to interest rate basis | 5% | |||||||
Adjustment to paid in kind interest rate | 6% | |||||||
Glencore Convertible Note | LIBOR | Floating interest rate | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Borrowings, adjustment to interest rate basis | 0.42826% | |||||||
Glencore Convertible Note | LIBOR | Minimum | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Borrowings, variable rate, fixed | 1% | |||||||
Glencore Convertible Note | LIBOR | Maximum | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Borrowings, variable rate, fixed | 2% |
Convertible Debt - Assumptions
Convertible Debt - Assumptions (Details) $ in Millions | Oct. 31, 2022 USD ($) $ / shares yr | Jun. 30, 2022 USD ($) | May 31, 2022 yr $ / shares | Dec. 31, 2021 USD ($) | Oct. 31, 2021 USD ($) $ / shares yr | Sep. 29, 2021 USD ($) $ / shares yr | Oct. 31, 2020 USD ($) |
Koch Strategic Platforms Convertible Note | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Amount Issued | $ 105.9 | $ 100 | $ 100 | $ 0 | |||
Koch Strategic Platforms Convertible Note | Risk free interest rate | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Significant unobservable input, liabilities | 4.4 | 1.2 | 1.1 | ||||
Koch Strategic Platforms Convertible Note | Expected life of options | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Significant unobservable input, liabilities | yr | 3.9 | 4.9 | 5 | ||||
Koch Strategic Platforms Convertible Note | Expected dividend yield | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Significant unobservable input, liabilities | 0 | 0 | 0 | ||||
Koch Strategic Platforms Convertible Note | Expected stock price volatility | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Significant unobservable input, liabilities | 0.63 | 0.62 | 0.66 | ||||
Koch Strategic Platforms Convertible Note | Share Price | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Significant unobservable input, liabilities | $ / shares | 5.96 | 12.94 | 12.56 | ||||
Payment in Kind Note | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Amount Issued | $ 4.1 | $ 1.8 | |||||
Glencore Convertible Note | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Amount Issued | $ 200 | $ 0 | $ 0 | ||||
Glencore Convertible Note | Risk free interest rate | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Significant unobservable input, liabilities | 4.4 | 2.9 | |||||
Glencore Convertible Note | Expected life of options | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Significant unobservable input, liabilities | yr | 4.6 | 5 | |||||
Glencore Convertible Note | Expected dividend yield | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Significant unobservable input, liabilities | 0 | 0 | |||||
Glencore Convertible Note | Expected stock price volatility | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Significant unobservable input, liabilities | 0.63 | 0.68 | |||||
Glencore Convertible Note | Share Price | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Significant unobservable input, liabilities | $ / shares | 5.96 | 8.15 |
Warrants (Details)
Warrants (Details) | 3 Months Ended | 12 Months Ended | ||||||||
Oct. 31, 2022 USD ($) d shares | Jan. 30, 2022 $ / shares shares | Oct. 31, 2021 USD ($) shares | Aug. 10, 2021 USD ($) $ / shares shares | Oct. 31, 2020 USD ($) shares | Oct. 31, 2022 USD ($) d shares | Oct. 31, 2022 USD ($) d | Oct. 31, 2021 USD ($) shares | Oct. 31, 2020 USD ($) | Dec. 27, 2021 $ / shares | |
Disclosure of classes of share capital [line items] | ||||||||||
Warrants, term | 5 years | 5 years | 5 years | |||||||
Exercise price of warrants (in dollars per share) | $ 11.5 | |||||||||
Redemption price of warrants (in dollars per share) | $ 0.1 | $ 0.1 | ||||||||
Shares issued per warrant | 0.253 | |||||||||
Number of warrants exercised (in shares) | shares | (9,678) | (9,578) | (100) | |||||||
Exercise of warrants (in shares) | shares | 22,540,651 | |||||||||
Number of warrants unexercised (in shares) | shares | 449,665 | |||||||||
Proceeds from exercise of warrants | $ | $ 0 | $ 0 | ||||||||
Cashless exercises (in shares) | shares | (22,540,651) | 0 | ||||||||
Cashless exercises | $ | (45,900,000) | $ 0 | ||||||||
Redemptions (in shares) | shares | (449,665) | 0 | ||||||||
Redemptions | $ | 0 | $ 0 | ||||||||
Fair value gain (loss) on warrants | $ | $ (36,200,000) | 33,800,000 | $ 0 | |||||||
Public Warrant | ||||||||||
Disclosure of classes of share capital [line items] | ||||||||||
Exercise price of warrants (in dollars per share) | $ 11.5 | |||||||||
Redemption price of warrants after maximum stock price trigger (in dollars per share) | 0.1 | |||||||||
Warrants outstanding, threshold trading days | d | 20 | 20 | 20 | |||||||
Warrants outstanding, threshold consecutive trading days | d | 30 | 30 | 30 | |||||||
Redemption price of warrants (in dollars per share) | 0.01 | |||||||||
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 | 0 | 22,999,894 | 22,999,994 | 0 | ||||||
Fair market value of warrants (in dollars per share) | $ 2.1 | |||||||||
Warrant liability | $ | $ 0 | $ 82,100,000 | $ 48,300,000 | $ 0 | $ 0 | $ 0 | $ 82,100,000 | $ 0 | ||
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) | 3 Months Ended | 12 Months Ended | ||||
May 12, 2022 USD ($) $ / shares shares | Oct. 31, 2022 shares | Oct. 31, 2022 USD ($) shares | Oct. 31, 2021 USD ($) shares | Oct. 31, 2020 USD ($) | Aug. 10, 2021 | |
Disclosure of classes of share capital [line items] | ||||||
Business combination, share exchange ratio | 39.91 | |||||
Proceeds from sale of stock, net of transaction costs | $ 49,700,000 | |||||
Exercise of stock options (in shares) | shares | 1,547,113 | 2,172,820 | ||||
Share-based compensation | $ 17,500,000 | $ 4,000,000 | $ 300,000 | |||
Fair value of stock options granted | $ 3,700,000 | 8,300,000 | 900,000 | |||
Vesting period | 1 year | 3 years | ||||
RSU And Stock Option Costs To Assets Under Construction | $ 0 | |||||
Common shares, without par value | ||||||
Disclosure of classes of share capital [line items] | ||||||
Common stock, share subscriptions receivable | $ 50,000,000 | |||||
Exercise price of outstanding stock options (in shares) | $ / shares | $ 9.43 | |||||
Number of shares issued (in shares) | shares | 5,300,352 | |||||
Common shares, without par value | LG Chem, Ltd. | ||||||
Disclosure of classes of share capital [line items] | ||||||
Number of shares issued (in shares) | shares | 2,650,176 | |||||
Common shares, without par value | LG Energy Solution, Ltd. | ||||||
Disclosure of classes of share capital [line items] | ||||||
Number of shares issued (in shares) | shares | 2,650,176 | |||||
Tranche One | Common shares, without par value | ||||||
Disclosure of classes of share capital [line items] | ||||||
Exercise price of outstanding stock options (in shares) | $ / shares | $ 10 | |||||
Number of shares issued (in shares) | shares | 4,416,960 | |||||
Common stock, aggregate share subscription price | $ 44,200,000 | |||||
Tranche Two | Common shares, without par value | ||||||
Disclosure of classes of share capital [line items] | ||||||
Exercise price of outstanding stock options (in shares) | $ / shares | $ 6.6 | |||||
Number of shares issued (in shares) | shares | 883,392 | |||||
Common stock, aggregate share subscription price | $ 5,800,000 | |||||
LTIP | ||||||
Disclosure of classes of share capital [line items] | ||||||
Expiration period, share based payment arrangements | 10 years | |||||
Stock options | ||||||
Disclosure of classes of share capital [line items] | ||||||
Exercise of stock options (in shares) | shares | 1,547,113 | 1,148,570 | ||||
Share-based compensation | $ 6,600,000 | $ 2,700,000 | (200,000) | |||
Stock options | Li-Cycle Holdings Corp. | ||||||
Disclosure of classes of share capital [line items] | ||||||
Number of shares issued (in shares) | shares | 1,446,697 | 1,446,697 | 1,031,226 | |||
Restricted share units | ||||||
Disclosure of classes of share capital [line items] | ||||||
Share-based compensation | $ 11,500,000 | $ 1,300,000 | $ 100,000 | |||
Restricted share units | Maximum | ||||||
Disclosure of classes of share capital [line items] | ||||||
Vesting period | 3 years |
Share capital and share-based_4
Share capital and share-based compensation - Outstanding Shares (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Jan. 31, 2021 USD ($) shares | Oct. 31, 2022 USD ($) shares | Oct. 31, 2021 USD ($) shares | Oct. 31, 2020 USD ($) shares | Aug. 10, 2021 shares | Oct. 31, 2019 USD ($) shares | |
Disclosure of classes of share capital [line items] | ||||||
Number of shares outstanding (in shares) | shares | 163,179,555 | |||||
Equity | $ 494.1 | $ 433.7 | $ 1.5 | $ 3.4 | ||
Share issuance | $ 49.7 | 6.5 | ||||
Issuance of shares for non-cash costs | $ 0 | $ 0.5 | ||||
Exercise of stock options (in shares) | shares | 1,547,113 | 2,172,820 | ||||
Exercise of stock options | $ 0 | $ 0.2 | ||||
Restricted share units | ||||||
Disclosure of classes of share capital [line items] | ||||||
Settlement of RSUs (in shares) | shares | 317,619 | 392,276 | ||||
Series C Shares | ||||||
Disclosure of classes of share capital [line items] | ||||||
Share issuance | $ 21.6 | |||||
Public Shares | ||||||
Disclosure of classes of share capital [line items] | ||||||
Share issuance | $ 629.7 | |||||
Issued capital | ||||||
Disclosure of classes of share capital [line items] | ||||||
Number of shares outstanding (in shares) | shares | 176,000,000 | 163,300,000 | 83,400,000 | 76,500,000 | ||
Equity | $ 771.8 | $ 672.1 | $ 15.5 | $ 8.5 | ||
Share issuance (in shares) | shares | 5,300,000 | 6,400,000 | ||||
Share issuance | $ 49.7 | $ 6.5 | ||||
Shares issued for non-cash costs (in shares) | shares | 500,000 | 0 | ||||
Issuance of shares for non-cash costs | $ 0.5 | $ 0 | ||||
Exercise of stock options (in shares) | shares | 1,400,000 | 2,100,000 | ||||
Exercise of stock options | $ 0.4 | $ 0.9 | ||||
Issued capital | Restricted share units | ||||||
Disclosure of classes of share capital [line items] | ||||||
Settlement of RSUs (in shares) | shares | 300,000 | 400,000 | ||||
Issued capital | Series C Shares | ||||||
Disclosure of classes of share capital [line items] | ||||||
Share issuance (in shares) | shares | 11,200,000 | |||||
Share issuance | $ 21.6 | |||||
Issued capital | Public Shares | ||||||
Disclosure of classes of share capital [line items] | ||||||
Share issuance (in shares) | shares | 65,700,000 | |||||
Share issuance | $ 629.7 | |||||
Outstanding Capital | ||||||
Disclosure of classes of share capital [line items] | ||||||
Number of shares outstanding (in shares) | shares | 176,000,000 | 163,300,000 | 83,400,000 | |||
Equity | $ 771.8 | $ 672.1 | $ 15.5 | |||
Share issuance (in shares) | shares | 5,300,000 | |||||
Share issuance | $ 49.7 | |||||
Shares issued for non-cash costs (in shares) | shares | 500,000 | |||||
Issuance of shares for non-cash costs | $ 0.5 | |||||
Exercise of stock options (in shares) | shares | 2,100,000 | 1,400,000 | ||||
Exercise of stock options | $ 0.9 | $ 0.4 | ||||
Exercise of warrants (in shares) | shares | 5,700,000 | |||||
Exercise of warrants | $ 46 | |||||
Outstanding Capital | Restricted share units | ||||||
Disclosure of classes of share capital [line items] | ||||||
Settlement of RSUs (in shares) | shares | 400,000 | 300,000 | ||||
Exercise of RSUs | $ 3.9 | $ 3.6 | ||||
Outstanding Capital | Series C Shares | ||||||
Disclosure of classes of share capital [line items] | ||||||
Share issuance (in shares) | shares | 11,200,000 | |||||
Share issuance | $ 21.6 | |||||
Outstanding Capital | Public Shares | ||||||
Disclosure of classes of share capital [line items] | ||||||
Share issuance (in shares) | shares | 65,700,000 | |||||
Share issuance | $ 629.7 |
Share capital and share-based_5
Share capital and share-based compensation - Summary of Stock Option Activity (Details) | 12 Months Ended | |
Oct. 31, 2022 shares $ / shares | Oct. 31, 2021 shares $ / shares | |
Share Capital, Reserves And Other Equity Interest [Abstract] | ||
Number of stock options, beginning balance (in shares) | shares | 5,296,554 | 5,327,980 |
Granted (in shares) | shares | 763,829 | 2,320,989 |
Exercised (in shares) | shares | (1,547,113) | (2,172,820) |
Forfeited (in shares) | shares | (2,619) | (179,595) |
Number of stock options, ending balance (in shares) | shares | 4,510,651 | 5,296,554 |
Number of share options exercisable (in shares) | shares | 3,253,287 | 4,242,707 |
Weighted average exercise price per stock option, beginning of period (in dollars per share) | $ / shares | $ 2.81 | $ 0.38 |
Granted (in dollars per share) | $ / shares | 7.81 | 6.13 |
Exercised (in dollars per share) | $ / shares | 0.46 | 0.62 |
Forfeited (in dollars per share) | $ / shares | 10.93 | 1.06 |
Weighted average exercise price per stock option, end of period (in dollars per share) | $ / shares | 4.46 | 2.81 |
Weighted average exercise price of share options exercisable in share-based payment arrangement | $ / shares | $ 2.70 | $ 0.79 |
Share capital and share-based_6
Share capital and share-based compensation - Schedule of Stock Option Expirations (Details) | Oct. 31, 2022 shares $ / shares | Oct. 31, 2021 shares | Aug. 10, 2021 shares | Oct. 31, 2020 shares |
Disclosure of classes of share capital [line items] | ||||
Number of stock options (in shares) | shares | 4,510,651 | 5,296,554 | 4,242,707 | 5,327,980 |
Tranche One | ||||
Disclosure of classes of share capital [line items] | ||||
Number of stock options (in shares) | shares | 1,268,220 | |||
Tranche One | Minimum | ||||
Disclosure of classes of share capital [line items] | ||||
Exercise price of outstanding stock options (in shares) | $ 0.02 | |||
Tranche One | Maximum | ||||
Disclosure of classes of share capital [line items] | ||||
Exercise price of outstanding stock options (in shares) | $ 0.37 | |||
Tranche Two | ||||
Disclosure of classes of share capital [line items] | ||||
Number of stock options (in shares) | shares | 1,033,029 | |||
Tranche Two | Minimum | ||||
Disclosure of classes of share capital [line items] | ||||
Exercise price of outstanding stock options (in shares) | $ 1.07 | |||
Tranche Two | Maximum | ||||
Disclosure of classes of share capital [line items] | ||||
Exercise price of outstanding stock options (in shares) | $ 2.15 | |||
Tranche Three | ||||
Disclosure of classes of share capital [line items] | ||||
Number of stock options (in shares) | shares | 2,209,402 | |||
Tranche Three | Minimum | ||||
Disclosure of classes of share capital [line items] | ||||
Exercise price of outstanding stock options (in shares) | $ 2.15 | |||
Tranche Three | Maximum | ||||
Disclosure of classes of share capital [line items] | ||||
Exercise price of outstanding stock options (in shares) | $ 13.2 |
Share capital and share-based_7
Share capital and share-based compensation - Schedule of Assumptions (Details) | 12 Months Ended |
Oct. 31, 2022 yr | |
Disclosure of classes of share capital [line items] | |
Expected life of options | 6 |
Expected dividend yield | 0% |
Expected forfeiture rate | 0% |
Minimum | |
Disclosure of classes of share capital [line items] | |
Risk free interest rate | 1.40% |
Expected stock price volatility | 63% |
Maximum | |
Disclosure of classes of share capital [line items] | |
Risk free interest rate | 3.60% |
Expected stock price volatility | 70% |
Share capital and share-based_8
Share capital and share-based compensation - Summary of RSU Activities (Details) - Restricted share units | 12 Months Ended | |
Oct. 31, 2022 shares $ / shares | Oct. 31, 2021 shares $ / shares | |
Disclosure of classes of share capital [line items] | ||
Beginning balance (in shares) | shares | 716,763 | 87,084 |
Granted (in shares) | shares | 1,703,966 | 1,021,955 |
Number of other equity instruments exercised (in shares) | shares | (317,619) | (392,276) |
Forfeited (in shares) | shares | (55,073) | 0 |
Ending balance (in shares) | shares | 2,048,037 | 716,763 |
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | ||
Weighted average share price, beginning balance (in dollars per share) | $ / shares | $ 10.93 | $ 1.07 |
Granted (in dollars per share) | $ / shares | 8.38 | 8.29 |
Exercised (in dollars per share) | $ / shares | 11.22 | 1.87 |
Forfeited (in dollars per share) | $ / shares | 9.98 | 0 |
Weighted average share price, ending balance (in dollars per share) | $ / shares | $ 8.79 | $ 10.93 |
Non-Controlling Interest - Narr
Non-Controlling Interest - Narrative (Details) | Jan. 26, 2022 |
Disclosure of classes of share capital [line items] | |
Proportion of ownership interest in subsidiary | 67% |
ECO STOR | |
Disclosure of classes of share capital [line items] | |
Non-Controlling Interest | 31% |
Morrow | |
Disclosure of classes of share capital [line items] | |
Non-Controlling Interest | 2% |
Non-Controlling Interest - Sche
Non-Controlling Interest - Schedule of non-controlling interest (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Non-Controlling Interest [Abstract] | |||
Shareholders' equity, beginning balance | $ 433.7 | $ 1.5 | $ 3.4 |
Investment to non-controlling interest | 0.3 | ||
Loss attributable to non-controlling interest during the year | (0.1) | 0 | 0 |
Shareholders' equity, ending balance | 494.1 | $ 433.7 | $ 1.5 |
Revenue | 0 | ||
Expenses | (0.4) | ||
Net loss | $ (0.4) |
Financial instruments and fin_3
Financial instruments and financial risk factors - Assets measured at fair value (Details) - Recurring fair value measurement - USD ($) $ in Millions | Oct. 31, 2022 | Oct. 31, 2021 |
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | $ 1.5 | $ 4.1 |
Accounts receivable | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | 1.5 | 4.1 |
Level 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | 1.5 | 4.1 |
Level 2 | Accounts receivable | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets | $ 1.5 | $ 4.1 |
Financial instruments and fin_4
Financial instruments and financial risk factors - Liabilities measured at fair value (Details) - Recurring fair value measurement - USD ($) $ in Millions | Oct. 31, 2022 | Oct. 31, 2021 |
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | $ 43.9 | $ 111.1 |
Convertible debt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 43.9 | 29 |
Warrants | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 82.1 | |
Quoted prices in active markets for identical assets (Level 1) | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 0 | 53.5 |
Quoted prices in active markets for identical assets (Level 1) | Convertible debt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Warrants | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 53.5 | |
Level 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | 43.9 | 57.6 |
Level 2 | Convertible debt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | $ 43.9 | 29 |
Level 2 | Warrants | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities | $ 28.6 |
Financial instruments and fin_5
Financial instruments and financial risk factors - Narrative (Details) | 12 Months Ended |
Oct. 31, 2022 | |
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% |
Financial instruments and fin_6
Financial instruments and financial risk factors - Schedule of fair value measurement of price (Details) - USD ($) | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2022 | |
Cobalt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Metric tonnes subject to fair value pricing adjustments | $ 1,728 | $ 4,202 |
10% increase in prices | 300,000 | 1,100,000 |
10% decrease in prices | (300,000) | (1,100,000) |
Nickel | ||
Disclosure of detailed information about financial instruments [line items] | ||
Metric tonnes subject to fair value pricing adjustments | 1,728 | 4,202 |
10% increase in prices | 400,000 | 1,000,000 |
10% decrease in prices | $ (400,000) | $ (1,000,000) |
Financial instruments and fin_7
Financial instruments and financial risk factors - Schedule of maturity of financial liabilities (Details) - USD ($) | Oct. 31, 2022 | Oct. 31, 2021 |
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | $ 570,600,000 | $ 197,700,000 |
Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 55,500,000 | 23,200,000 |
Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 14,500,000 | 8,500,000 |
Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 459,100,000 | 149,500,000 |
Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 41,500,000 | 16,500,000 |
Accounts Payable And Accrued Liabilities | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 47,500,000 | 18,700,000 |
Accounts Payable And Accrued Liabilities | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 47,500,000 | 18,700,000 |
Accounts Payable And Accrued Liabilities | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 0 | 0 |
Accounts Payable And Accrued Liabilities | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 0 | 0 |
Accounts Payable And Accrued Liabilities | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 0 | 0 |
Lease liabilities | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 76,600,000 | 35,900,000 |
Lease liabilities | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 8,000,000 | 4,500,000 |
Lease liabilities | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 14,300,000 | 8,400,000 |
Lease liabilities | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 13,000,000 | 6,700,000 |
Lease liabilities | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 41,300,000 | 16,300,000 |
Convertible debt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 100,000,000 | |
Convertible debt | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 0 | |
Convertible debt | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 0 | |
Convertible debt | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 100,000,000 | |
Convertible debt | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 0 | |
Provision for decommissioning, restoration and rehabilitation costs [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 400,000 | 400,000 |
Provision for decommissioning, restoration and rehabilitation costs [member] | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 0 | 0 |
Provision for decommissioning, restoration and rehabilitation costs [member] | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 200,000 | 100,000 |
Provision for decommissioning, restoration and rehabilitation costs [member] | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 0 | 100,000 |
Provision for decommissioning, restoration and rehabilitation costs [member] | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 200,000 | 200,000 |
Convertible Debt interest | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 146,100,000 | 42,700,000 |
Convertible Debt interest | Year 1 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 0 | 0 |
Convertible Debt interest | Year 2 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 0 | 0 |
Convertible Debt interest | Year 3 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 146,100,000 | 42,700,000 |
Convertible Debt interest | Year 4 | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at amortised cost | 0 | 0 |
Cobalt | ||
Disclosure of detailed information about financial instruments [line items] | ||
Market Price Per Tonne of Metals | 53,462 | 60,407 |
Nickel | ||
Disclosure of detailed information about financial instruments [line items] | ||
Market Price Per Tonne of Metals | $ 21,710 | $ 19,300 |
Commitments (Details)
Commitments (Details) - USD ($) $ in Millions | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2022 | |
Commitments [Abstract] | ||
Purchase orders | $ 6.9 | $ 9.2 |
Loss per share - Calculation of
Loss per share - Calculation of Loss per Share (Details) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | |||
Oct. 31, 2022 USD ($) $ / shares shares | Oct. 31, 2021 USD ($) $ / shares shares | Oct. 31, 2020 USD ($) $ / shares shares | Aug. 10, 2021 | |
Earnings per share [abstract] | ||||
Interest income on short-term investments | $ | $ (53.7) | $ (226.6) | $ (9.4) | |
Weighted average number of ordinary shares, basic (in shares) | shares | 170.7 | 110.1 | 82.6 | |
Basic loss per share (in dollars per share) | $ (0.31) | $ (2.06) | $ (0.11) | |
Diluted loss per share (in dollars per share) | $ (0.31) | $ (2.06) | $ (0.11) | |
Business combination, share exchange ratio | 39.91 |
Loss per share - Schedule of An
Loss per share - Schedule of Anti-dilutive Shares (Details) - shares shares in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Earnings per share [line items] | |||
Anti-dilutive shares (in shares) | 35.9 | 36.5 | 5.3 |
Stock options | |||
Earnings per share [line items] | |||
Anti-dilutive shares (in shares) | 4.5 | 5.3 | 5.3 |
Warrants | |||
Earnings per share [line items] | |||
Anti-dilutive shares (in shares) | 23 | 0 | |
Convertible debt | |||
Earnings per share [line items] | |||
Anti-dilutive shares (in shares) | 29.4 | 7.5 | 0 |
Restricted share units | |||
Earnings per share [line items] | |||
Anti-dilutive shares (in shares) | 2 | 0.7 | 0 |
Segment reporting (Details)
Segment reporting (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Disclosure of geographical areas [line items] | |||
Revenues | $ 13.4 | $ 7.3 | $ 0.8 |
Non-current assets | 201.4 | 53.4 | 9.5 |
Canada | |||
Disclosure of geographical areas [line items] | |||
Revenues | 4.1 | 3 | 0.8 |
Non-current assets | 26.8 | 15.5 | 3.4 |
United States | |||
Disclosure of geographical areas [line items] | |||
Revenues | 9.3 | 4.3 | 0 |
Non-current assets | 161.4 | 37.9 | 6.1 |
Germany | |||
Disclosure of geographical areas [line items] | |||
Revenues | 0 | 0 | 0 |
Non-current assets | 10.7 | 0 | 0 |
Other | |||
Disclosure of geographical areas [line items] | |||
Revenues | 0 | 0 | 0 |
Non-current assets | $ 2.5 | $ 0 | $ 0 |
Government funding (Details)
Government funding (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Government Grants [Abstract] | |||
Research and development expenses, gross | $ 1.7 | $ 2.7 | $ 2.8 |
Less: Government grants | 0 | 0 | (2) |
Research and development expenses, net | $ 1.7 | 2.7 | 0.8 |
Government grants recognized as an offset to employee salaries and benefits expense | $ 0.1 | $ 0.2 |
Income taxes (Details)
Income taxes (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2022 | Oct. 31, 2021 | Oct. 31, 2020 | |
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Interest income on short-term investments | $ (53.7) | $ (226.6) | $ (9.4) |
Applicable tax rate | 26.50% | 26.50% | 26.50% |
Tax expense (income) at applicable tax rate | $ (14.2) | $ (60) | $ (2.5) |
Change in unrecognized deferred tax amounts | 18.4 | 8.8 | 2.4 |
Rate differential | 0.5 | 0 | 0 |
Other tax effects for reconciliation between accounting profit and tax expense (income) | 0.1 | 0 | 0 |
Non-deductible item and others | (4.8) | 51.2 | 0.1 |
Income tax | 0 | 0 | 0 |
Net operating losses | 53.4 | ||
Deferred tax assets, net | 0 | 0 | 0 |
Canada Revenue Agency | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Tax credit carryforward, amount | 153.2 | 48.7 | |
Internal Revenue Service | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Operating loss carryforwards | 25 | ||
Other | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Tax credit carryforward, amount | 2.2 | 3.6 | |
Before Offset Amount | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets, net | 43.8 | 25.4 | 3.6 |
Offset Amount | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets, net | (43.8) | (25.4) | (3.6) |
Tax losses and credits carryforwards | Before Offset Amount | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | (48.6) | (14.3) | (3.8) |
Share issuance costs | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | (10.1) | (12.6) | 0 |
Convertible debt | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | 0 | (0.3) | 0 |
Reserves and provisions | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | (0.1) | (0.2) | (0.1) |
Other | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | (2.5) | (0.1) | 0 |
Plant and equipment, due to differences in amortization | Before Offset Amount | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | (10.4) | (2.7) | (0.2) |
Convertible debt, due to differences in amortization | Before Offset Amount | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | (7.6) | 0 | 0 |
Right of use assets, net of lease liabilities | Before Offset Amount | |||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | |||
Deferred tax assets | $ (0.5) | $ (0.6) | $ (0.1) |
Statement of cash flows, addi_3
Statement of cash flows, additional disclosures (Details) | 12 Months Ended |
Oct. 31, 2022 USD ($) | |
Lease liabilities | |
Notes to the consolidated cash flow [Line Items] | |
Beginning balance | $ 29,400,000 |
Repayment of lease principal | (4,700,000) |
Total changes from financing cash flows | (4,700,000) |
New leases | 28,800,000 |
Disposal | (200,000) |
Foreign exchange gain or (loss) | (1,500,000) |
Total non-cash changes | 27,100,000 |
Ending balance | 51,800,000 |
Provision for decommissioning, restoration and rehabilitation costs [member] | |
Notes to the consolidated cash flow [Line Items] | |
Beginning balance | 300,000 |
Additions to restoration provision | 100,000 |
Total non-cash changes | 100,000 |
Ending balance | 400,000 |
Convertible debt | |
Notes to the consolidated cash flow [Line Items] | |
Beginning balance | 71,900,000 |
Proceeds from convertible debt | 152,500,000 |
Total changes from financing cash flows | 152,500,000 |
Accrued interest and accretion | 14,300,000 |
Accrued interest paid in kind | 5,900,000 |
Total non-cash changes | 20,200,000 |
Ending balance | 244,600,000 |
Conversion feature of convertible debt | |
Notes to the consolidated cash flow [Line Items] | |
Beginning balance | 29,000,000 |
Proceeds from convertible debt | 46,200,000 |
Total changes from financing cash flows | 46,200,000 |
Fair value gain/loss on conversion feature of convertible debt | (31,300,000) |
Total non-cash changes | (31,300,000) |
Ending balance | $ 43,900,000 |
Subsequent events (Details)
Subsequent events (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 12, 2023 | Oct. 31, 2022 | Oct. 31, 2021 | |
Disclosure of non-adjusting events after reporting period [line items] | |||
Sublease agreement signed but not commenced | $ 58.6 | ||
Sublease agreement commenced | 27 | ||
Plant and equipment | $ 147.7 | $ 26.4 | |
Lease term | 4 years 7 months 6 days | ||
Leasehold improvements | |||
Disclosure of non-adjusting events after reporting period [line items] | |||
Plant and equipment | $ 8.5 | $ 5.7 | |
Announcement of Sublease Agreement | |||
Disclosure of non-adjusting events after reporting period [line items] | |||
Sublease agreement signed but not commenced | $ 58.6 | ||
Lease term | 48 years | ||
Announcement of Sublease Agreement | Leasehold improvements | |||
Disclosure of non-adjusting events after reporting period [line items] | |||
Plant and equipment | $ 14.5 |
Uncategorized Items - _IXDS
Label | Element | Value |
Glencore Convertible Note [Member] | ||
Non-Current Convertible Debt | licy_NonCurrentConvertibleDebt | $ 0 |
Non-Current Convertible Debt | licy_NonCurrentConvertibleDebt | 196,100,000 |
Convertible Debt [Member] | ||
Non-Current Convertible Debt | licy_NonCurrentConvertibleDebt | 288,500,000 |
Non-Current Convertible Debt | licy_NonCurrentConvertibleDebt | 100,900,000 |
Koch Strategic Platforms Convertible Note [Member] | ||
Non-Current Convertible Debt | licy_NonCurrentConvertibleDebt | 100,900,000 |
Non-Current Convertible Debt | licy_NonCurrentConvertibleDebt | $ 92,400,000 |