REG - EQTEC PLC - Company update, Board changes and Funding

EQTECAnnouncement

24/10/2025 07:00

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20251024:nRSX6532Ea&default-theme=true

RNS Number : 6532E  EQTEC PLC  24 October 2025

24 October 2025

EQTEC plc

("EQTEC" or the "Company")

 

Leadership Changes and Costs Optimisation

Suspension of Rebel Ion Option Agreement and new Funding Facility

 

EQTEC plc (AIM:EQT), a provider of proprietary syngas technology and
engineering services for clean conversion of waste into sustainable energy and
biofuels, announces a series of leadership and Board changes and cost
optimisation initiatives, together with the suspension of the Rebel Ion Option
Agreement and its replacement with a new funding facility.

Highlights

 

·    Board restructuring: Ian Pearson, Tom Quigley and Dr Yoel S. Alemán
Méndez step down from the Board. Dr Alemán remaining as CTO.

·    Executive realignment:

4 David Palumbo transitions to Executive Chairman, now based in the UAE to
lead strategic capital formation and partnerships.

4 James Parsons appointed to the board as CEO, bringing AIM-market,
operational experience and energy leadership credentials.

4 Gerry Madden appointed non-board CFO and Company Secretary, reinforcing
capital discipline.

·    Cost optimisation underway: Spanish, UK and French operations
streamlined in H2 2025, which will deliver up to €1.5 million annualised
savings versus 2024. Lean structure aligns with project-driven scalability.

·    Near-term priorities: Cost optimisation, stabilising operations at
reference plants in Greece, Italy and USA, and revenue expansion.

·    Funding update: Option Agreement with Rebel Ion suspended and
alternative funding secured via new up to £1.5 million facility to support
working capital. Initial drawdown of £300,000 being made immediately.

·    Rebel Ion is actively progressing the acquisition of the Company's
secured debt to further align long-term capital support with EQTEC's growth
strategy.

Strategic Context

 

EQTEC is implementing a company-wide reset toward capital efficiency and
execution maturity. The decision follows challenging sector-wide conditions
and extensive internal review. The new leadership structure streamlined
operations and realigned funding strategy mark the beginning of a disciplined
growth phase focused on delivering revenue and long-term shareholder value.

 

Leadership changes

 

As part of the reorganisation of the Group, Non-Executive Chairman Ian Pearson
and Non-Executive Director Tom Quigley have agreed with the Company to step
down from the Board with immediate effect.  The Board wishes to thank Mr
Pearson and Mr Quigley for their support and commitment to the Company and
wish them well for their future endeavours.

 

EQTEC's executive team is undergoing a strategic realignment. David Palumbo is
assuming the role of Executive Chairman, transitioning from his previous role
as CEO. As part of this change, David has relocated to the Middle East to
strengthen EQTEC's presence and deepen relationships with key strategic
partners and investors in the region. This move reflects the Company's belief
that it has unique access to significant pools of capital in the MENA region,
which will be critical to supporting its next phase of growth.

 

James Parsons joins EQTEC with immediate effect as Chief Executive Officer and
Executive Director. A seasoned energy sector executive, James brings a wealth
of experience in energy operations, corporate leadership, capital markets and
strategic transactions, particularly within the AIM environment. He has a
proven track record of managing and executing complex projects, securing
capital for high-growth ventures, and originating value-enhancing asset
acquisitions. His appointment marks a key step in strengthening EQTEC's
leadership team as the Company enters a new phase.

 

Gerry Madden will join EQTEC as Company Secretary and non-board Chief
Financial Officer. Gerry previously served as EQTEC's Finance Director from
December 2017 to July 2021, during which time he played a pivotal role in
shaping the Company's strategic financial framework. He brings over 30 years
of experience as a Director, Advisor, CEO, and senior Finance Professional,
with a strong track record of leadership at board level. His strategic insight
and financial leadership will be instrumental as EQTEC executes this next
chapter.

 

Dr. Yoel S. Alemán Méndez will step down from the Board with immediate
effect but continue as Chief Technical Officer focused on maintaining EQTEC's
technical leadership, ensuring the delivery of engineering services to
customers and advancing the Company's capabilities in synthetic fuel and
chemical applications.

 

The restructured Board now comprises Mr. Palumbo as Executive Chairman, Mr.
Parsons as CEO, and Brian Cole as Independent Non-Executive Director. The
Company is actively seeking 2 additional Non-Executive Directors.  In the
interim, Brian Cole is acting as senior Independent Non-Executive Director.

 

Immediate Strategic Priorities

 

EQTEC's leadership has established three immediate strategic imperatives:
structurally reducing its cost base, stabilising operations at reference
plants in Greece, Italy, and the USA, and expanding its revenue base. These
priorities are central to the Company's renewed focus on execution maturity,
capital efficiency, and IP-driven revenue growth.

 

Reduction in the cost base has been actioned leading to the downsizing of
operations in Spain, the UK and France resulting in a reduction in rent cost
and related establishment expenses. Rationalisation of the workforce in Spain
is completed resulting in a reduction in average full-time employees from 17
to 7.

 

Funding

 

On 1 June 2025, the Company entered into an option agreement (the "Option
Agreement") under which Rebel Ion Limited (formerly Compact WTL Tech Limited)
granted EQTEC the right, at the Company's sole discretion, to require Rebel
Ion to subscribe for new Ordinary Shares up to a maximum subscription of £1.5
million. To date, £0.25 million has been subscribed under the Option
Agreement. The Company was on 23 October 2025 formally notified that Rebel Ion
has decided to suspend further subscriptions under the Option Agreement,
should they be requested by the Company. The Company was informed that this
decision is the result of an ongoing review by Rebel Ion and its advisors into
any regulatory implications of the recent ownership changes of Rebel Ion. The
Company is considering its position in relation to the Option Agreement. To
preserve his independence as a Director of the Company, David Palumbo, prior
to notification, resigned from his role as a Director of Rebel Ion Limited on
23 October 2025.  As previously announced, Rebel Ion in the process of taking
full ownership of the Company's secured debt.

 

EQTEC has proactively sought alternative financing and therefore now announces
a new funding facility of up to £1.5 million (the "Facility) provided by the
Company's sole broker, Global Investment Strategy UK Limited ("GIS"), with an
immediate drawdown of £300,000.

 

Proceeds from the Facility will be directed toward supporting ongoing working
capital requirements with further drawdowns also advancing the development and
commercialisation of EQTEC's integrated intellectual property as a platform
for Waste-to-Liquids ("WtL") technologies, enabling the Company's entry into
the fast-growing synthetic fuels sector. While the Company is reliant on
further Facility drawdowns, it is confident these will be available or that it
will be able to access alternate sources of financing if required.

 

Facility

 

The Company has entered into a new unsecured convertible loan facility
agreement for up to £1.5 million (the "Facility") to be provided by GIS (the
"Lender") with an initial advance of £300,000 to be received by the Company
on or around 24 October 2025 (the "First Tranche").

 

The following are the principal terms of the Facility:

·    The Lender will advance a "First Tranche" of £300,000.

·    The Company and the Lender may mutually agree to draw down further
tranches of the New Funding Facility (the "Tranches") as follows:

o  in an amount of up to £200,000 at least one calendar month after the draw
down of the First Tranche;

o  in four further Tranches of up to £250,000 each, in each case at least
one calendar month after the last Tranche has been drawn down and following
the drawing down of the First Tranche;

·    The Company will repay the Facility and all interest, charges and
fees on it in cash in full on 23 October 2026 (the "Repayment Date") to the
extent it is not already deemed repaid or converted.

·    The Company will pay interest at a rate of 10% per annum which will
accrue from the date of draw down until the earlier of conversion or
repayment. Any interest due is rolled up and becomes payable on the earlier of
the Repayment Date or conversion.

·    Commencing from the date of the agreement the Lender may convert any
portion of a Tranche into Ordinary Shares at a conversion price which is equal
to 85% of the average closing bid price of an EQTEC ordinary share ("Ordinary
Share") for each of the five consecutive trading days immediately prior to the
date of each relevant conversion notice (the "Conversion Price").

·    A draw down fee of 10% of any Tranche is payable by the Company in
fully paid Ordinary Shares at the Conversion Price applicable as if the Lender
had issued a conversion notice in respect of such fees, at the date of the
relevant drawdown.  The drawdown fee in respect of the first tranche is being
settled through the issue of 7,639,419 new Ordinary Shares at the Conversion
Price ("First Tranche Fee Shares").

Admission and Total Voting Rights

 

Application will be made to the London Stock Exchange for admission of
the 7,639,419 First Tranche Fee Shares to be admitted to trading on AIM
("Admission"). It is expected that Admission will become effective and that
dealings in the new Ordinary Shares on AIM will commence at 8.00 a.m. on or
around 31 October 2025.

 

 The First Tranche Fee Shares will rank pari passu in all respects with the
Company's existing Ordinary Shares.

 

Following Admission, there will be 648,296,557 Ordinary Shares in issue. The
Company holds no Ordinary Shares in Treasury. This number may be used by
shareholders as the denominator for the calculation by which they will
determine if they are required to notify their interest in, or a change in
their interest in, the share capital of the Company under the FCA's Disclosure
Guidance and Transparency Rules.

 

This announcement contains inside information as defined in Article 7 of the
EU Market Abuse Regulation No 596/2014, as it forms part of United Kingdom
domestic law by virtue of the European Union (Withdrawal) Act 2018, as
amended, and has been announced in accordance with the Company's obligations
under Article 17 of that Regulation.

 

 

David Palumbo, Executive Chairman

"Today marks the start of a new chapter for EQTEC: more resilient, more
focused, and more intentionally structured for both current market conditions
and long-term value creation. We are transitioning into a leaner,
execution-focused organisation that is better aligned with the realities and
opportunities of our sector. I want to express my deep gratitude to Ian
Pearson and Tom Quigley, who have served with distinction through both great
highs and challenging lows. Their unwavering commitment, strategic insight,
and willingness to both support and challenge the executive team have been
invaluable. As we embark on this next phase, we carry forward the lessons and
strengths forged during their tenure."

 

Ian Pearson, departing Chairman, commented:

"It has been a privilege to serve as Chairman of EQTEC during a time of
profound transformation and innovation. The Company's mission to provide
sustainable energy solutions through world-class technology has never been
more relevant. I leave confident in the new leadership team and their
strategic vision. EQTEC's foundation of intellectual property, global
partnerships, and a renewed operational focus give me great hope for its
future. I will watch with interest and optimism as EQTEC continues to grow its
impact in the energy transition."

 

James Parsons, Incoming CEO, commented:

"I am delighted to join EQTEC at this critical inflection point, one that
calls for sharper execution, tighter discipline, and a renewed focus on
commercial outcomes. The team has built a strong platform of proprietary
technology and unique expertise alongside a global customer pipeline. My
immediate priority is to bring operational rigour, cost focus and capital
efficiency to everything we do, while positioning EQTEC to capture the growing
demand for sustainable, waste-to-value solutions particularly in synthetic
fuels.  There's real potential here, not just in the technology, but in the
talent and tenacity of the people behind it and the revenue it can generate
near term.  I'm excited about what we can achieve together in this next
chapter."

 

Further information on James Parsons

 

James Parsons, aged 53, is or has been a director of the following companies
in the last five years:

 

 

 

 Current Directorships/Partnerships       Past Directorships/Partnerships within last 5 years
 Coro Clean Energy Philippines Inc        Apennine Energy SRL
 Coro Clean Energy Vietnam Limited        Ascent Claim Entitlement SPV Ltd
 Coro Philippines Project 109 Inc         Ascent Hispanic Resources UK Limited
 Coro Philippines Project 121 Inc         Ascent Hispanic Ventures, S.L.
 Coro Philippines Project 128 Inc         Ascent Resources d.o.o.
 Coro Renewables VN1 Joint Stock Company  Ascent Resources plc
 EQTEC Iberia SL                          Ascent Slovenia Limited
                                          C4 Energy Ltd
                                          Corcel plc
                                          Coro Energy plc
                                          Nativo Resources plc
                                          Trameta d.o.o.

 

 

Save as set out in this announcement, there is no further information to be
disclosed pursuant to AIM Rule 17 and Schedule 2g of the AIM Rules with
respect to the appointment of James Parsons .

 

ENQUIRIES 

 

 EQTEC plc                                        +44 20 3883 7009 

 James Parsons

  
 Strand Hanson - Nomad & Financial Adviser        +44 20 7409 3494 

 James Harris / Richard Johnson 

  
 Global Investment Strategy UK Ltd - Broker       +44 20 7048 9045 

 Samantha Esqulant 

  

 

About EQTEC

 

EQTEC is one of only a few circular economy technology providers able to
address the dual challenges of growing quantities of global waste and the
growing demand for energy and biofuels. EQTEC cleanly converts waste into a
range of valuable commodities that support new energy and industrial
infrastructure. With one of the world's most experienced thermochemical
conversion technology and engineering teams, EQTEC provides bespoke waste
management and new energy solutions through best-in-class innovation,
infrastructure engineering and value-added services for developers,
owner-operators and industrials.

 

EQTEC's end-to-end process solutions are in demand from around the world with
highly efficient equipment that is modular and scalable from three tonnes of
waste per hour. Its versatile solutions process dozens of varieties of
feedstock, including plastics, mixed municipal waste, industrial waste and
other non-recyclables, all with no hazardous or toxic emissions, producing a
wide range of valuable commodities including synthesis gas ("syngas")
electricity, heat and steam, synthetic natural gas, hydrogen, liquid fuels or
other chemicals.

 

The Company is quoted on the London Stock Exchange's Alternative Investment
Market (AIM) (ticker: EQT) and the London Stock Exchange has awarded EQTEC the
Green Economy Mark, which recognises listed companies with 50% or more of
revenues from environmental/green solutions.

 

Further information on the Company can be found at www.eqtec.com
(https://eqtec.com/) .

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  UPDUOUBRVKURUAA



            Copyright 2019 Regulatory News Service, all rights reserved