Aduro Secures $20M to Build Crucial Waste-to-Resource Plant

LONDON, Ontario – December 19, 2025 – Aduro Clean Technologies Inc. (Nasdaq: ADUR) today announced the pricing of a significant US$20 million underwritten public offering, a strategic capital injection aimed squarely at accelerating the commercialization of its innovative chemical recycling technology. The funds are primarily earmarked for the construction of a pivotal Demonstration-Scale Plant, a facility designed to prove the company’s patented technology at scale.

The offering consists of 1,739,130 common shares sold in combination with accompanying warrants to purchase an additional 869,565 shares. While news of the offering contributed to a 4.1% dip in Aduro’s stock price to $12.17 on the preceding day, a common reaction to potential shareholder dilution, the offering’s structure signals underlying investor confidence. Each whole warrant carries an exercise price of US$16.00—a notable premium over the current trading price—and a three-year term, suggesting a long-term bet on the company’s future growth.

This financing move, led by underwriter D. Boral Capital LLC with Roth Capital Partners as financial advisor, provides Aduro with the critical runway to transition its promising technology from the lab to a commercial-ready reality.

A Strategic Step Towards Commercialization

The centerpiece of Aduro's strategy is the Demonstration-Scale Plant, and the newly secured US$20 million is the fuel to build it. This facility is not merely a larger pilot project; it represents the essential bridge between successful small-scale trials and full-scale commercial deployment. Its primary objective is to validate the company's Hydrochemolytic™ Technology (HCT) in a continuous operational environment, generating the robust data needed for customer evaluation, environmental assessments, and the design of future commercial installations.

In October 2025, Aduro launched a global search for a suitable location, and by November had signed a non-binding Letter of Intent for a brownfield industrial site in the Netherlands. A final decision on the site is anticipated by January 2026. The company is targeting an operational readiness date of early 2027 for the plant, which is planned to have an initial processing capacity of 8,000 tonnes per year (tpy). The design allows for future expansion, with the potential to scale up to between 16,000 and 20,000 tpy.

The plant will be engineered to handle a wide variety of difficult-to-recycle materials, solidifying Aduro's value proposition as a versatile solution for the circular economy. Securing this funding is the most critical step to date in de-risking the path to commercial revenue and proving the technology’s economic and environmental viability.

The Technology Setting Aduro Apart

Aduro’s competitive edge lies in its patented Hydrochemolytic™ Technology. Unlike many energy-intensive recycling processes, HCT utilizes water as a critical agent to break down complex materials at relatively low temperatures and costs. This game-changing approach allows the company to transform low-value feedstocks—such as mixed waste plastics, heavy bitumen, and used renewable oils—into valuable resources for the 21st century.

Recent pilot-scale trials have underscored the technology's potential. Aduro successfully converted a mix of common post-consumer plastics, including polyethylene, polypropylene, and polystyrene, into high-purity hydrocarbon liquids. Crucially, the output is suitable for direct use as a feedstock in existing steam crackers, the foundational infrastructure of the petrochemical industry. This direct integration capability is a significant advantage, as it bypasses the need for the costly pre-treatment and upgrading steps required by many competing chemical recycling methods.

Further demonstrating its flexibility, the company has also successfully processed synthetic turf waste, a notoriously difficult material to recycle, converting its polyolefin components into valuable hydrocarbons. This ability to handle diverse and challenging feedstocks positions Aduro to tackle some of the most persistent waste streams that currently end up in landfills or incinerators.

Investor Confidence and Market Dynamics

While the stock market’s immediate reaction reflected short-term dilution concerns, a deeper look reveals strong signals of investor confidence. The $16.00 warrant exercise price, set nearly 32% above the stock's pre-announcement close, indicates that participants in the offering see significant long-term upside. This sentiment is echoed by market analysts, who hold a consensus price target of $32.50 for ADUR, suggesting a potential 167% increase from its current levels.

The credibility of the firms managing the offering further bolsters this view. Lead underwriter D. Boral Capital LLC has a proven track record of bullishness on Aduro, having fully exercised an over-allotment option in a previous offering in June 2025—a move widely seen as a strong vote of confidence. Financial advisor Roth Capital Partners brings deep expertise in the cleantech sector, specializing in financing high-growth, innovative companies.

This US$20 million offering builds on a solid financial foundation. Aduro, though still in a pre-revenue stage with increasing R&D expenditures, had already bolstered its treasury with a US$9.2 million raise in mid-2025. This latest infusion provides a substantial financial runway specifically to overcome the final, capital-intensive hurdle before commercialization.

Riding the Green Wave of Investment

Aduro's successful capital raise is indicative of a broader market trend: a growing appetite for tangible investments in the circular economy. As industries and governments grapple with the immense challenges of plastic waste and carbon emissions, significant capital is flowing toward companies that offer scalable, economically viable solutions. The offering’s success demonstrates that investors are willing to fund promising, pre-revenue technologies, provided they have a clear and credible path to market.

By securing this funding, Aduro is not just financing a plant; it is validating a business model that turns environmental liabilities into economic assets. The focus for the company now shifts decisively from fundraising to execution. With capital secured, the coming months will be critical as Aduro finalizes its site selection, begins construction, and prepares to demonstrate its technology to the world. The industry will be watching closely as the company works to deliver on its promise of a cleaner, more resourceful future.