MONTREAL, (QC), May 6th, 2020 – Xebec Adsorption Inc. (TSXV: XBC) (“Xebec”), a global provider of clean energy solutions is pleased to announce that it has entered into a loan agreement (the “Agreement”) with the Fonds de solidarité FTQ (the “Fonds”), for an unsecured loan facility of $10 million.

The loan facility has a term of 5 years and will be used for working capital, investments, acquisitions and general corporate purposes. It will allow Xebec to continue its rapid scale-up through organic and inorganic growth and allow investments in renewable gas infrastructure projects.

As part of the Agreement, the Fonds has been granted 3,000,000 warrants exercisable for a period of two years from the date of closing. Each warrant will allow the Fonds to purchase one common share of Xebec at an exercise price of $4.58, representing a 40% premium to the 20-day volume weighted average price (“VWAP”) as at closing of markets on May 4, 2020.

“We are pleased to offer Xebec this loan after following the company’s developments closely for more than a year. I am impressed with the results they have achieved. This loan will help them continue their mission of decarbonizing the gas grid. I believe that we are in the early stages of the renewable gas transition and Xebec will be a key player in the industry. This is a positive first step in building our relationship with the company and we look forward to the years ahead.”
 Dany Pelletier, Vice President – Structuring Capital, Energy and Environment, Fonds de solidarité FTQ

“We’re excited to have been able to arrange this loan facility with the Fonds de solidarité FTQ which significantly strengthens our financial position during these uncertain economic times. This unsecured facility will contribute to the execution of our growth strategies even while allowing us to pursue additional opportunities as they arise. The support from the Fonds is very important to Xebec, and I personally take it as a vote of confidence in Xebec’s potential as a global clean energy solutions provider.”
 Kurt Sorschak, President and CEO, Xebec Adsorption Inc.

The loan remains subject to the final approval of the TSX Venture Exchange.

Desjardins Capital Markets acted as financial advisors to Xebec.

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For more information:

Xebec Adsorption Inc.
Brandon Chow, Investor Relations Manager
[email protected]
+1 450.979.8700 ex. 5762

Fonds de solidarité FTQ
Patrick McQuilken, Media Relations
[email protected]
+1 514.703.5587

About the Fonds de solidarité FTQ

The Fonds de solidarité FTQ is a capital development fund that channels the savings of Quebecers into investments. With $16.7 billion in net assets as at November 30, 2019, the Fonds has helped create and protect more than 215,000 jobs. The Fonds has over 3,100 partner companies and upwards of 700,000 shareholders-savers. For more information,

About Xebec Adsorption Inc.

Xebec is a global provider of gas generation, purification and filtration solutions for the industrial, energy and renewables marketplace. Well-positioned in the energy transition space with proprietary technologies that transform raw gases into clean sources of renewable energy, Xebec’s 1500+ customers range from small to multi-national corporations, governments and municipalities looking to reduce their carbon footprints. Headquartered in Montréal, Quebec, Canada, Xebec has several Sales and Support offices in North America and Europe, as well as two manufacturing facilities in Montréal and Shanghai. Xebec trades on the TSX Venture Exchange under the symbol XBC. For more information,

Cautionary Statement

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release contains forward-looking statements and forward-looking information (together, “forward-looking statements”) within the meaning of applicable securities laws. All statements, other than statements of historical facts, are forward-looking statements, and subject to risks and uncertainties. Generally, forward-looking statements can be identified by the use of terminology such as “plans”, “seeks”, “expects”, “estimates”, “intends”, “anticipates”, “believes”, “could”, “might”, “likely” or variations of such words, or statements that certain actions, events or results “may”, “will”, “could”, “would”, “might”, “will be taken”, “occur”, “be achieved” or other similar expressions. Forward-looking statements, including statements concerning future capital expenditures, revenues, expenses, earnings, economic performance, indebtedness, financial condition, losses and future prospects as well as the expectations of management of Xebec with respect to information regarding the business and the expansion and growth of Xebec operations, involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements are subject to business and economic factors and uncertainties, and other factors that could cause actual results to differ materially from these forward-looking statements, including the relevant assumptions and risks factors set out in Xebec’s public documents, including in the most recent annual management discussion and analysis and annual information form, filed on SEDAR at Furthermore, should one or more of the risks, uncertainties or other factors materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements or information. These risks, uncertainties and other factors include, among others, the uncertain and unpredictable condition of global economy, notably as a consequence of the Covid-19 pandemic, Xebec’s capacity to generate revenue growth, Xebec’s capacity to repay the loan in accordance with the terms of the Agreement, the availability to Xebec of financing and credit alternatives and access to capital, Xebec’s capacity to meet all its other commitments and business plans, Xebec’s limited number of customers, the potential loss of key employees, changes in the use of proceeds relating to the loan, share price volatility, and other factors. Although Xebec believes that the assumptions and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed times frames or at all. Except where required by applicable law, Xebec disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.