Origin Materials to reduce workforce by 28%

Origin Materials announced an organizational realignment that reflects the reallocation of resources to its caps and closures business and reduces overall cash burn to accelerate Origin’s timeline to profitability. Origin expects the workforce changes to be largely completed by the end of this quarter. The company anticipates that it will incur approximately $0.6M in restructuring charges in connection with the roughly 28% workforce reduction, consisting of cash expenditures of approximately $0.5M and non-cash expenses of approximately $0.1M. Origin is maintaining its financial guidance for 2024 revenue and net cash burn, with revenue of $25 million to $35 million and net cash burn between $55M and $65M. In addition, Origin’s first commercial-scale PET cap mass production system is on track to start producing PET caps later this year, with caps revenue ramp-up to begin in the first quarter of 2025.