Circa Group AS – Decision to file petition for bankruptcy

07 Oct 2024 01:01 CEST

OSLO, NORWAY – 7 October 2024 – The board of directors of Circa Group AS (stock
symbol: CIRCA) has decided to file for bankruptcy at Oslo Tingrett (Oslo
District Court) today, Monday, 7 October 2024. The board decision is unanimous
and is due to the fact that there is no longer a realistic opportunity to raise
sufficient capital for Circa Group AS.

Despite relentless efforts for over a year, enlisting the support of capital
market advisors as well as engaging in direct discussions with potential
investors, the company has not been successful in attracting equity or other
funding to continue the operations. Markets have changed and biomanufacturing is
much less in demand as an investment than at the time of listing. Loan
opportunities identified have required either third party guarantees, customer
offtake agreements and/or equity.

The subsidiaries represent the group’s main assets. However, it is not deemed
possible to realize these assets in order to get liquidity for the operations of
the group. Efforts will continue in the subsidiaries in France and Australia to
seek solutions for these entities.

Our French support remains positive, but it could not translate to the prospect
of a timely interim funding enabling further operations for the group even with
positive news on a direct customer to go along with existing and recently signed
merchant distribution arrangements, expanding the geographical reach into North
America and Asia.

Demand for biomanufacturing companies with strong technologies like our patented
FuraCell process should rebound, but Circa’s financials can no longer realize
this future. Sustainable chemicals like Cyrene and levoglucosenone derivatives
are increasingly important for the global materials industry. However,
conditions in the foreseeable future make the decision for Circa Group AS to
file for bankruptcy in Oslo inevitable.

Circa’s FC5 plant is the largest manufacturer globally of levoglucosenone. FC5
and the patented Furacell process, Cyrene’s trademark and the ReSolute
equipment, engineering, site and near permit may still have value for the right
entity or entities.


This information is considered to be inside information pursuant to the EU
Market Abuse Regulation (MAR) and subject to the disclosure requirements
pursuant to Section 5-12 the Norwegian Securities Trading Act. The stock
exchange announcement was published by Jens Even Højlund Pedersen, General
Counsel in Circa Group AS, at the time and date stated above in this
announcement.

Questions regarding the further bankruptcy proceedings should be addressed to
the bankruptcy trustee when appointed by the Oslo District Court.

More information:
Access the news on Oslo Bors NewsWeb site

629086_241006 Circa Group AS NewsPoint release File for bankruptcy - Final.pdf