Sustainable Solution to Plastic Pollution Crisis: TLGY Acquisition Corporation's Business Combination with Verde Bioresins

The global plastic market is a $600 billion industry, but the environmental impact of plastic waste is a growing concern. TLGY Acquisition Corporation, a special purpose acquisition company (SPAC), is aiming to address this issue through its proposed business combination with Verde Bioresins. TLGY recently announced the filing of a registration statement on Form S-4 with the U.S. Securities and Exchange Commission (SEC) as a significant step toward completing this business combination.

Verde Bioresins is a visionary company specializing in sustainable product innovation and the production of biopolymer resins. Its breakthrough proprietary technology, PolyEarthylene™, is a bioresin that offers a bio-based, recyclable, and landfill biodegradable alternative to traditional plastics. With a focus on addressing the global plastic pollution crisis, Verde's innovative solution has the potential to replace significant portions of conventional plastic resins.

The estimated $600 billion global plastics market is under increasing regulatory pressure to develop eco-friendly alternatives. Currently, green plastics penetration is estimated to be less than 2%. Verde's solution could address approximately 50% of the plastics sector, representing a potential total addressable market of up to $300 billion. Supported by a partnership with Vinmar and a potential sales pipeline of over $250 million, Verde has strong potential market traction.

Verde has also secured a strategic supplier relationship with Braskem, a major player in the plastic industry. This relationship is expected to secure sufficient feedstock supplies, enabling Verde to achieve its expansion plan in the first two years of operation. Additionally, Verde's strong unit economics and unique SPAC structure, coupled with low operating costs, are expected to deliver operational breakeven as early as the beginning of Year 2.

TLGY's board of directors has determined that Verde meets several criteria and guidelines established by TLGY, including leading-edge technology, breakthrough potential, strong value proposition, and alignment with environmental, social, and governance focused investment initiatives. TLGY, backed by a team of accomplished private equity investors, aims to create value over the long term and contribute to the global transition to a more sustainable, circular economy.

Upon the completion of the proposed business combination, Verde's existing management team is expected to transition into leadership roles at Verde as a public company. Jin-Goon Kim, a successful industry leader, will assume the position of Chairman to provide guidance and strategic support. The Verde PubCo board of directors, consisting of up to seven directors, will reinforce leadership continuity and harness collective experience to drive Verde's transformative journey.

TLGY has created a unique SPAC structure that provides investors with downside protection and appealing upside potential. The proposed business combination sets Verde's implied pre-money enterprise value at closing at $365 million ($433 million pro forma EV), excluding earnouts. The transaction is expected to be completed in the second half of 2023, subject to regulatory approvals and customary closing conditions.

TLGY has secured Cleary Gottlieb Steen & Hamilton LLP as its legal advisor and Marcum Bernstein & Pinchuk LLP as its auditor. Verde has enlisted Wilmer Cutler Pickering Hale and Dorr LLP as its legal advisor and EisnerAmper LLP as its auditor. IR Labs Inc. will handle investor relations and public relations for the proposed business combination.

In conclusion, TLGY Acquisition Corporation's proposed business combination with Verde Bioresins represents a significant step toward addressing the plastic pollution crisis. With its breakthrough technology, large addressable market, strong market traction, and strategic partnerships, Verde is poised to make a lasting impact in the global plastic industry. This business combination not only offers potential financial returns but also contributes to the transition to a more sustainable future.