Here are 1-2 brief analogies to describe Verde Bioresins (VRDE):

• The 'Beyond Meat' for industrial chemicals and materials, creating plant-based alternatives to petroleum products.
• Like a 'green' Dow Chemical, developing sustainable, bio-based chemicals and materials instead of traditional fossil fuel-derived ones.

• Mineral and Royalty Interests: Verde Bio Holdings, Inc. acquires and manages non-operating ownership stakes in oil and gas properties to generate recurring royalty income from production.

Verde Bioresins, Inc. (symbol: VRDE) has publicly disclosed in its latest SEC filings (specifically its Form 10-K for the fiscal year ended December 31, 2022) that it ceased its resin development business activities in September 2022.

The company is currently operating as a shell company, seeking to acquire a new business that is in the development stage of providing innovative solutions in the bio-based and/or sustainable products, services, and technologies sector.

As such, Verde Bioresins, Inc. does not currently have any major customers for the sale of bioresins or any other products or services, as its primary business operations have been discontinued.

Joe Paolucci, Chief Executive Officer
Mr. Paolucci brings over 40 years of experience in the Petrochemical Industry, beginning his career with Gulf Oil/Chevron and later focusing on Business Development and Sustainability at Braskem SA North America. He specializes in joint ventures, market development, and technical sales, possessing extensive knowledge in commodity and engineering resins (including PP, PE, PS, SAN/ABS, PET, PMMA, PC) and in-depth value chain understanding. He previously worked at Braskem, a plastics manufacturing company, which Verde plans to leverage for a supply partnership.

Brian Gordon, President and Chief Operating Officer
Mr. Gordon, a co-founder of Verde Bioresins, has over 20 years of experience as a C-level executive, working with multi-national corporations as well as private equity and venture capital-controlled organizations. He has a track record of achieving significant value creation, successful mergers and acquisitions, turnarounds, joint ventures, licensing, and capital raising transactions. Mr. Gordon is an accomplished executive who has led operations, finance, legal, IT, HR, and other sales and administrative functions for various organizations, including startups, multi-national VC and private equity-backed companies, and large public corporations such as IBM and Merck & Co., Inc.

Yvonne Mehta, Director of Engineering
Ms. Mehta is a member of the leadership team at Verde Bioresins.

Christopher Rankin, Ph.D., Head of Research and Development
Dr. Rankin leads the research and development efforts at Verde Bioresins.

Gary Metzger, Sustainability Officer
Mr. Metzger serves as the Sustainability Officer for Verde Bioresins.

1. Unprofitability and Need for Scaled Production: Verde Bioresins has consistently operated at a loss since its founding, reporting a net loss of nearly $5.1 million for the first six months of 2023. While the company projects significant sales growth and positive EBITDA for fiscal year 2025, it still anticipates negative earnings before interest, depreciation, and amortization for the period of July 2023 through June 2024. Achieving profitability is contingent upon successfully scaling up production and increasing sales, which carries inherent operational and financial risks.
2. Market Acceptance and Competition in the Bioplastics Industry: Although the bioplastics market is growing due to demand for sustainable solutions, it is described as complex and financially risky. Verde Bioresins' success hinges on its ability to achieve cost parity with traditional plastics while maintaining comparable performance characteristics for its PolyEarthylene™ product. This presents a significant challenge in a competitive market where the adoption of new, sustainable materials is still evolving.
3. Merger Integration Risks: Verde Bioresins is in the process of merging with Nxu Inc., with the combined entity expected to be renamed Verde Bioresins, Corp. and listed on Nasdaq. While the merger aims to streamline operations and enhance value, such transactions inherently involve integration risks, including potential challenges in combining company cultures, operations, and technologies. Nxu shareholders are also experiencing substantial dilution as a result of this transaction.

The rapid development and scaling of advanced chemical recycling technologies for traditional petroleum-based plastics present a clear emerging threat. These technologies, which are receiving significant investment from major chemical companies, aim to depolymerize waste plastics into their constituent monomers or feedstocks, enabling the production of new, virgin-quality plastics. If these processes achieve widespread economic viability and scalability, they offer a competing pathway to circularity for plastics. This could potentially reduce the overall market demand for new plastic feedstocks, including the bio-based resins developed by Verde Bioresins, by offering an alternative solution to the plastic waste problem. This shift could lessen the urgency for industries to transition from traditional plastics to bio-based alternatives, especially if bio-based options remain at a higher cost or have performance trade-offs in certain applications.

Verde Bioresins (VRDE) operates in the bioplastics and compostable plastics markets, offering proprietary bio-based, recyclable, and landfill-biodegradable biopolymer resins known as PolyEarthylene™. These resins are designed as a sustainable alternative to conventional plastics for various applications, including packaging, consumer goods, injection molding, blow molding, extrusion, and thermoforming.

The addressable markets for Verde Bioresins' main products and services are:

• Global Bioplastics Market: The global bioplastics market size was estimated at USD 15.57 billion in 2024 and is projected to reach USD 44.77 billion by 2030. Other estimates indicate the market was valued at approximately USD 13.9 billion in 2024 and is expected to grow to USD 33.3 billion by 2033. Furthermore, the market size was over USD 16.96 billion in 2025 and is anticipated to cross USD 76.78 billion by 2035. The global bioplastics market is projected to grow significantly, with an estimated value of USD 16.8 billion in 2025 and an anticipated surge to USD 98 billion by 2035.

• North America Bioplastics Market: The North America bioplastics market generated a revenue of USD 3,295.8 million (approximately USD 3.3 billion) in 2022 and is expected to reach USD 12,942.8 million (approximately USD 12.94 billion) by 2030. The market is estimated to grow to US$20.952 billion in 2028 from US$7.133 billion in 2021. In 2024, North America's bioplastics market was valued at USD 4.1 billion and is projected to reach USD 9.0 billion by 2035.

• Global Compostable Plastics Market: The global compostable plastics market size was valued at USD 1.50 billion in 2022 and is projected to reach USD 5.51 billion by 2031. Another estimate placed the market size at USD 2,735.7 million (approximately USD 2.74 billion) in 2024, with a projection to reach USD 5.12 billion by 2030.

Here are 3-5 expected drivers of future revenue growth for Verde Bioresins (VRDE) over the next 2-3 years:

1. Growing Demand for Sustainable Bioplastics: The global plastics market is experiencing increasing regulatory and consumer pressure for eco-friendly solutions. Verde Bioresins' proprietary PolyEarthylene™ resin, a bio-based, recyclable, and landfill biodegradable alternative to traditional petroleum-based plastics, is well-positioned to capitalize on this growing demand in a market where bioplastics currently have less than 2% penetration. The company aims to address nearly half of the estimated $600 billion global plastics market.
2. Expansion of Production Capacity and Commercialization: Verde Bioresins has been actively expanding its production capabilities to meet increasing market demand for its flagship PolyEarthylene™ products. The company's manufacturing facility in Fullerton aims to produce 25 million pounds annually, with all three extrusion lines expected to be running at full capacity due to rising demand. This increased capacity will enable Verde to scale production and meet the growing interest in its bioresin solution.
3. Strategic Partnerships and Distribution Network Expansion: Verde Bioresins has formed key partnerships to broaden its reach and customer base. The company's collaboration with Vinmar Polymers America, a prominent global plastics distributor, is crucial for offering PolyEarthylene™ products to a wider range of prospective customers. Furthermore, the relationship with strategic supplier Braskem is expected to expand as Verde's business grows. Recent partnerships with companies like Mr. Chain for its EarthMade™ line, Brocal for medical packaging, USA Sign Frame and Stake for landscape stakes, and Happy Campers for food packaging illustrate a widening customer base and application of Verde's products.
4. New Product Development and Diversification of Applications: Verde is continuously innovating and expanding its PolyEarthylene™ product line. Recent developments include new film grades for extrusion coatings, shrink film, stretch film, and durable film, complementing its existing blown film and cast film products. PolyEarthylene™ is designed for versatility across various manufacturing processes, such as injection molding, blow molding, extrusion, and thermoforming, and is suitable for diverse applications including rigid packaging, agricultural containers, food and beverage bottles, and pallet wrap. This ongoing product development and application diversification are expected to open new revenue streams.
5. Access to Public Markets and Growth Capital through Merger with Nxu: The proposed merger with Nxu (NASDAQ: NXU), expected to close in Q1 2025, is a significant driver. This transaction is anticipated to provide Verde Bioresins with enhanced access to public markets and growth capital, which leadership believes will enable the company to accelerate its growth and rapidly expand its market share in the plastics industry. Upon closing, the combined entity will operate as Verde Bioresins, Corp. under the ticker symbol VRDE.

Share Issuance

• Verde Bioresins was expected to become publicly traded through a business combination with TLGY Acquisition Corporation in 2023, implying a pre-money enterprise value of $365 million for Verde.
• This business combination was anticipated to result in over $78 million in gross proceeds to Verde from cash held in TLGY's trust.
• A proposed all-stock merger with Nxu Inc. (NASDAQ: NXU), expected to close in Q1 2025, will result in pre-merger Verde stockholders owning approximately 95% of the combined company, valued at approximately $306.9 million for Verde.

Inbound Investments

• The business combination with TLGY Acquisition Corporation in 2023 was expected to provide over $78 million in gross proceeds to Verde.
• Verde's controlling shareholder committed to making a Private Investment in Public Equity (PIPE) investment in TLGY at the closing of the business combination.
• Verde has strategic partnerships with Vinmar, a global distributor of plastics for marketing its PolyEarthyleneTM, and Braskem, a strategic supplier to support feedstock capacity.

Capital Expenditures

• Verde Bioresins has focused on the expansion of its production capacity to meet growing market demand for its bioresin products.
• The company specializes in state-of-the-art manufacturing processes for its proprietary PolyEarthyleneTM resin.