Xebec Seeks Creditor Protection Under the Companies’ Creditors Arrangement Act

Xebec Adsorption Inc. (TSX: XBC) (“Xebec” or the “Corporation”), a global provider of sustainable gas solutions, announces that it will file today an application with the Superior Court of Québec (the “Court”) for an initial order (the “Initial Order”) under the Companies’ Creditors Arrangement Act (the “CCAA”) and seek recognition of the Initial Order in the United States under Chapter 15 of the Bankruptcy Code.

The Initial Order is expected to provide a stay of proceedings and creditor claims in favour of Xebec and its Canadian and U.S. wholly owned subsidiaries in order to allow the Xebec group to implement further restructuring initiatives and initiate a Court-approved sale and investment solicitation process to solicit interest in a sale of, or investment in, all or part of the assets and business segments of the Corporation and its subsidiaries, with the goal of maximizing value for the Corporation and its stakeholders.

Decision Process

After careful consideration of all available alternatives, the boards of directors of each filing entity of the Xebec group determined that it was in the best interests of each filing entity, and of their respective stakeholders generally, to seek creditor protection under the CCAA.

Trading in the Common Shares of the Corporation

As a result of the CCAA filing, trading in the common shares of the Corporation on the Toronto Stock Exchange (“TSX”) is expected to be halted and it is anticipated that the trading thereof will continue to be halted until a review is undertaken by the TSX regarding the suitability of the Corporation to remain listed on the TSX.

The Corporation will provide a further update on these matters once more information is available.

Advisors

Xebec’s legal advisors in connection with the CCAA and Chapter 15 proceedings are Osler, Hoskin & Harcourt LLP and McDonald Hopkins LLC. The Corporation’s financial advisor is National Bank Financial Inc.

Related link:

https://www.xebecinc.com

About Xebec Adsorption Inc.

Xebec is a global provider of clean energy solutions for renewable and low carbon gases used in energy, mobility and industrial applications. The company specializes in deploying a portfolio of proprietary technologies for the distributed production of hydrogen, renewable natural gas, oxygen and nitrogen. By focusing on environmentally responsible gas generation, Xebec has helped thousands of customers around the world reduce their carbon footprints and operating costs. Headquartered in Québec, Canada, Xebec has a worldwide presence with nine manufacturing facilities, seventeen Cleantech Service Centers and four sales offices spanning over four continents. For more information, see www.xebecinc.com.