Brandon Rogers

The analyst, speaking on behalf of Gerry Sweeney, inquired about the status of land sales, the timeline and potential milestones for the Corkscrew development project, and the company's strategy regarding development partnerships.

Answer

The company stated that an additional large land sale is in progress but the closing date is uncertain, potentially falling in fiscal 2025 or 2026. The Corkscrew project is on track, but the timeline is subject to external regulatory processes. Regarding partnerships, the company is handling the current entitlement phase solo but is keeping its options open for future stages, having had preliminary discussions with homebuilders but making no firm decisions yet.

Brandon Rogers, on behalf of Gerry Sweeney, inquired about the status and timing of an additional $25 million in potential land sales, upcoming milestones for the Corkscrew Grove development, and Alico's strategy regarding potential development partnerships.

Answer

President & CEO John Kiernan stated that a significant land transaction is in progress, but its closing in fiscal 2025 is uncertain and could move to fiscal 2026. He affirmed the Corkscrew project timeline is on track for a 2026 decision, though subject to external regulatory reviews. Kiernan also explained that Alico is currently managing the entitlement process alone but is keeping all options open for future development, including selling the land, partnering with builders, or building itself, with no final decision made.

Brandon B. Rogers, on behalf of Gerry Sweeney, inquired about the specifics of the Q2 land sale, the confidence behind the increased full-year land sale guidance, and the key development milestones for the Corkscrew Grove Villages project.

Answer

CFO Bradley Heine clarified the Q2 transaction involved the sale of 2,100 acres in Henry County. Executive John Kiernan explained the confidence in reaching the new $50 million land sale target stems from a significant negotiated agreement currently in due diligence, with other potential deals also in discussion. For the Corkscrew project, Kiernan stated that the primary milestones to watch are the sequential approvals at the local, state, and federal levels.

The analyst inquired about the execution timeline for the India joint venture, the status of binding offtake agreements, potential risks to the 2027 commercial operations target, and the company's cash burn, liquidity runway, and future capital requirements for the JV.

Answer

The company plans to break ground for the India JV in the second half of the year, with the primary gating item being the finalization of offtake agreements. The 2027 operational target is considered secure. Loop has approximately five to six quarters of liquidity and is working to close a financing gap for its equity commitment to the JV by engaging with strategic partners.