XML 52 R11.htm IDEA: XBRL DOCUMENT
v3.19.1

Joint Venture | 12 Months Ended
--- | ---
Feb. 28, 2019
Equity Method Investments and Joint Ventures [Abstract] |
Note 5. Joint Venture | On September 15, 2018, the Company, through its wholly-owned subsidiary Loop Innovations, LLC, a Delaware limited liability company, entered into a Joint Venture Agreement (the “Agreement”) with Indorama Ventures Holdings LP, USA, an indirect subsidiary of Indorama Ventures Public Company Limited, to manufacture and commercialize sustainable polyester resin. Each company has a 50/50 equity interest in Loop Indorama Technologies, LLC (“ILT”), which was specifically formed to operate and execute the joint venture. Under the Agreement, Indorama Venture is required to contribute manufacturing knowledge and Loop is required to contribute its proprietary science and technology. Specifically, the Company will contribute an exclusive world-wide royalty-free license for ITL to use its proprietary technology to produce 100% sustainably produced PET resin and polyester fiber. ITL meets the accounting definition of a joint venture where neither party has control of the joint venture entity and both parties have joint control over the decision-making process in IVL. As such, the Company uses the equity method of accounting to account for its share of the investment in Loop Indorama Technologies, LLC. As there has been no activity in ILT from the date of inception of September 24, 2018 to February 28, 2019 and, as at February 28, 2019, no transactions have been recorded in the joint venture entity, the carrying value of the equity investment is nil. During the year ended February 28, 2019, the Company entered into multi-year supply agreements with PepsiCo, Coca-Cola’s Cross Entreprise Procurement Group and Danone SA that will enable them to purchase production capacity from the Company’s joint venture facility with IVL in the United States, and incorporate Loop™ PET resin into its product packaging starting in 2020.Also during the year ended February 28, 2019, the Company entered into a multi-year supply agreement with L’Occitane that will enable them to purchase production capacity from the Company’s first European production facility. On April 18, 2019, Loop Innovations, LLC, a wholly-owned subsidiary of Loop Industries, Inc. contributed $500,000 to Loop Indorama Technologies, LLC, the joint venture with Indorama Ventures Holdings LP, USA.

X
- References No definition available. + Details
Name: | us-gaap_EquityMethodInvestmentsAndJointVenturesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for equity method investments and joint ventures. Equity method investments are investments that give the investor the ability to exercise significant influence over the operating and financial policies of an investee. Joint ventures are entities owned and operated by a small group of businesses as a separate and specific business or project for the mutual benefit of the members of the group. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 810 -SubTopic 10 -Section S99 -Paragraph 4 -Subparagraph (SX 210.3A-04) -URI http://asc.fasb.org/extlink&oid=116822174&loc=d3e355119-122828 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 323 -URI http://asc.fasb.org/topic&trid=2196965 + Details
Name: | us-gaap_EquityMethodInvestmentsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration