BOXABL Secures Key License in California as a "Commercial Modular Manufacturer" - A Major Milestone for Expansion

Rhea-AI Summary

BOXABL (NASDAQ:FGMC) obtained a California Commercial Modular Manufacturer license on December 24, 2025, allowing the company to manufacture and deploy modular units that meet California's commercial building standards.

The license supports BOXABL's recent move into commercial applications following a significant contract with an industry leader and is positioned to enable delivery in California. The company also reiterated its proposed merger with FG Merger II Corp, which remains subject to customary approvals and is expected to provide additional resources to scale production.

Positive

• California license enables compliant commercial manufacturing
• License supports delivery against a recently signed commercial contract
• Proposed merger with FG Merger II Corp expected to add scaling resources

Negative

• Merger subject to customary approvals, not finalized yet
• No financial terms or timelines disclosed for the referenced commercial contract

Market Reality Check

$10.02 Last Close

Volume Volume 17,932 is 0.24x the 20-day average volume of 75,252 shares before this news. low

Technical Shares traded above the 200-day MA, at $10.02 versus a $9.86 200-day moving average pre-announcement.

Peers on Argus 1 Up

Within Blank Checks/Shell Companies, peers showed mixed moves pre-news: one notable mover from the broader group was RDAC, up about 14.5% without news, while key listed peers like RFAIU, FSHP, and others were flat or modestly changed. No clear sector-wide move aligned with FGMC’s flat price.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 15	Board appointment	Positive	+0.0%	Added noted housing economist Morris A. Davis to Board of Directors.
Dec 15	Correction notice	Neutral	+0.0%	Corrected effective date and background details on new board member.
Nov 04	Merger extension	Neutral	-0.1%	Extended Boxabl–FGMC merger outside date to March 31, 2026.
Oct 14	New contracts	Positive	+0.6%	Announced multiple California faith-based contracts totaling 122 units.
Oct 08	Stock donation	Neutral	+0.1%	Co‑founder donated 6,250,000 BOXABL shares to Catholic Charities USA.

Pattern Detected

Recent BOXABL-related headlines around the FGMC SPAC combination have generally seen modest or flat price reactions, even on seemingly positive corporate developments.

Recent Company History

Over the last several months, FGMC’s trajectory has been dominated by progress on its business combination with Boxabl. Events include board strengthening with Morris A. Davis and corrections to that announcement on Dec 15, 2025, extension of the merger outside date to Mar 31, 2026, and multiple California faith-based housing contracts totaling 122 units (~$7 million). A large charitable stock donation and repeated confirmations of the planned de‑SPAC to ticker BXBL round out the story. Today’s California commercial manufacturing license fits into this broader execution and scaling narrative.

Market Pulse Summary

This announcement highlights BOXABL obtaining a California “Commercial Modular Manufacturer” license, expanding its ability to deploy modular units under that state’s standards. In context with earlier faith-based housing contracts, board strengthening, and ongoing merger work with FGMC, it reinforces an execution-focused story. Investors may watch for updates on production ramp, the status of the proposed de‑SPAC to BXBL, and how new regulatory permissions convert into signed commercial projects.

Key Terms

commercial modular manufacturer regulatory

"obtained a critical license from the State of California as a "Commercial Modular Manufacturer""

A commercial modular manufacturer builds factory-made, ready-to-assemble units or components for businesses—think of shipping-container style rooms, prebuilt hotel modules, or plug-in factory systems—designed to be combined on-site into finished commercial facilities or products. For investors it matters because modular production can cut construction time and costs, enable faster revenue recognition and repeatable sales, but also concentrates risk in factory capacity, supply chains and standardization choices.

special purpose acquisition company financial

"merger with FG Merger II Corp. (NASDAQ: FGMC), a publicly traded special purpose acquisition company"

A special purpose acquisition company (SPAC) is a company formed with the sole purpose of raising money through a public offering to buy or merge with an existing private business. It acts like a vehicle that allows private companies to go public more quickly and with less complexity. For investors, it offers an opportunity to invest early in a potential acquisition, though it also carries risks if the intended deal doesn’t materialize.

AI-generated analysis. Not financial advice.

LAS VEGAS, Dec. 24, 2025 /PRNewswire/ -- BOXABL Inc., a leader in innovative, factory-built modular solutions, today announced that it has obtained a critical license from the State of California as a "Commercial Modular Manufacturer". This achievement marks an important step forward in the company's mission to deliver scalable, high-quality modular products for a variety of applications.

The license enables BOXABL to manufacture and deploy its advanced modular units in compliance with California's stringent building standards for commercial use, paving the way for broader market access and accelerated growth in one of the nation's most dynamic markets.

"This license represents a significant milestone for BOXABL and reinforces our commitment to innovation and regulatory excellence," said Martin Costas, Chief Financial Officer of BOXABL. "Securing this approval in California demonstrates the strength of our manufacturing processes and positions us to meet the growing demand for efficient, high-quality modular solutions. We have recently entered into the commercial applications space following a significant contract signed with an industry leader, and this license is a key enabler for delivering on that opportunity."

This development follows the company's ongoing progress toward its proposed merger with FG Merger II Corp. (NASDAQ: FGMC), a publicly traded special purpose acquisition company. The merger, which remains subject to customary approvals, is expected to provide BOXABL with enhanced resources to scale production and expand its impact across diverse industries.

For more information about BOXABL and its innovative products, visit www.boxabl.com.

About BOXABL

BOXABL is transforming the housing market with its modular building systems designed to deliver affordable, high-quality homes at unprecedented speed. Founded in 2017, BOXABL's innovative approach has attracted worldwide attention as it aims to solve housing challenges for individuals and communities alike. BOXABL'S flagship product, the Casita, is a 361 square foot studio unit with a full kitchen, bathroom, and utilities. The Casita unfolds on-site in less than an hour and is manufactured inside BOXABL's facilities. BOXABL also has announced the Baby Box, a smaller 120 square foot unit built to RV code, intended for simpler, no foundation-setups. BOXABL is also developing stackable and connectable box models that can be combined to form townhomes, multifamily units, or larger single-family homes.

About FG Merger II Corp.

FG Merger II Corp. is a blank check company, also commonly referred to as a special purpose acquisition company, or SPAC, formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses or entities.

https://fgmerger.com/

Additional Information About the Proposed Transaction and Where to Find It

Additional information about the transaction, including a copy of the merger agreement has been filed by FGMC in a Current Report on Form 8-K with the U.S. Securities and Exchange Commission (the "SEC"). The proposed transaction will be submitted to shareholders of FGMC for their consideration. FGMC has filed a registration statement on Form S-4 (the "Registration Statement") with the SEC, which includes preliminary and definitive proxy statements to be distributed to FGMC's shareholders in connection with FGMC's solicitation of proxies for the vote by FGMC's shareholders in connection with the proposed transaction and other matters to be described in the Registration Statement, as well as the prospectus relating to the offer of the securities to be issued to BOXABL's shareholders in connection with the completion of the proposed transaction. After the Registration Statement has been filed and declared effective, a definitive proxy statement/prospectus and other relevant documents will be mailed to BOXABL stockholders and FGMC shareholders as of the record date established for voting on the proposed transaction. Before making any voting or investment decision, FGMC and BOXABL shareholders and other interested persons are advised to read, once available, the preliminary proxy statement/prospectus and any amendments thereto and, once available, the definitive proxy statement/prospectus, as well as other documents filed with the SEC by FGMC in connection with the proposed transaction, as these documents will contain important information about FGMC, BOXABL and the proposed transaction. Shareholders may obtain a copy of the preliminary or definitive proxy statement/prospectus, once available, as well as other documents filed by FGMC with the SEC, without charge, at the SEC's website located at www.sec.gov or by directing a written request to FG Merger II Corp., 104 S. Walnut Street, Unit 1A, Itasca, Illinois 60143 or to BOXABL 5345 E North Belt Rd Las Vegas NV 89115.

Forward-Looking Statements

This communication includes "forward-looking statements" within the meaning of the federal securities laws. Forward-looking statements may be identified by the use of words such as "plan," "project," "will," "estimate," "intend," "expect," "believe," "target," "continue," "could," "may," "might," "possible," "potential," "predict" or similar expressions that predict or indicate future events or trends or that are not statements of historical matters. We have based these forward-looking statements on current expectations and projections about future events. These statements include: projections of market opportunity and market share; estimates of customer adoption rates and usage patterns; projections regarding the value of autonomous driving solutions; projections of development and commercialization costs and timelines; expectations regarding BOXABL's ability to execute its business model and the expected financial benefits of such model; expectations regarding BOXABL's ability to attract, retain, and expand its customer base; BOXABL's deployment of Casita; BOXABL's expectations concerning relationships with strategic partners, suppliers, governments, regulatory bodies and other third parties; future ventures or investments in companies, products, services, or technologies; development of favorable regulations and government incentives affecting BOXABL's markets; the potential benefits of the proposed transaction and expectations related to its terms and timing; and the potential for BOXABL to increase in value.

These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions, many of which are beyond the control of BOXABL and FGMC. 

These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such statements. Such risks and uncertainties include: that BOXABL is pursuing an emerging technology, faces significant technical challenges and may not achieve commercialization or market acceptance; BOXABL's historical net losses and limited operating history; BOXABL's expectations regarding future financial performance, capital requirements and unit economics; BOXABL's use and reporting of business and operational metrics; BOXABL's competitive landscape; BOXABL's dependence on members of its senior management and its ability to attract and retain qualified personnel; the capital requirements of BOXABL's business plans and the potential need for additional future financing; BOXABL's ability to manage growth and expand its operations; potential future acquisitions or investments in companies, products, services or technologies; BOXABL's reliance on strategic partners and other third parties; BOXABL's ability to maintain, protect and defend its intellectual property rights; risks associated with privacy, data protection or cybersecurity incidents and related regulations; the use and regulation of artificial intelligence and machine learning; uncertainty or changes with respect to laws and regulations; uncertainty or changes with respect to taxes, trade conditions and the macroeconomic environment; the combined company's ability to maintain internal control over financial reporting and operate a public company; the possibility that required regulatory approvals for the proposed transaction are delayed or are not obtained, which could adversely affect the combined company or the expected benefits of the proposed transaction; the risk that shareholders of FGMC could elect to have their shares redeemed, leaving the combined company with insufficient cash to execute its business plans; the occurrence of any event, change, or other circumstance that could give rise to the termination of the merger agreement; the outcome of any legal proceedings or government investigations that may be commenced against BOXABL or FGMC; failure to realize the anticipated benefits of the proposed transaction; the ability of FGMC or the combined company to issue equity or equity-linked securities in connection with the proposed transaction or in the future; and other factors described in FGMC's filings with the SEC. Additional information concerning these and other factors that may impact such forward-looking statements can be found in filings and potential filings by BOXABL, FGMC or the combined company resulting from the proposed transaction with the SEC, including under the heading "Risk Factors." If any of these risks materialize or assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. In addition, these statements reflect the expectations, plans and forecasts of BOXABL's and FGMC's management as of the date of this communication; subsequent events and developments may cause their assessments to change. While BOXABL and FGMC may elect to update these forward-looking statements at some point in the future, they specifically disclaim any obligation to do so. Accordingly, undue reliance should not be placed upon these statements.

In addition, statements that "we believe" and similar statements reflect our beliefs and opinions on the relevant subject. These statements are based upon information available to us as of the date of this communication, and while we believe such information forms a reasonable basis for such statements, such information may be limited or incomplete, and our statements should not be read to indicate that we have conducted an exhaustive inquiry into, or review of, all potentially available relevant information. These statements are inherently uncertain and investors are cautioned not to unduly rely upon these statements.

An investment in FGMC is not an investment in any of our founders' or sponsors' past investments, companies or affiliated funds. The historical results of those investments are not indicative of future performance of FGMC, which may differ materially from the performance of our founders' or sponsors' past investments.

Participants in the Solicitation

FGMC, BOXABL and certain of their respective directors, executive officers and other members of management and employees may, under SEC rules, be deemed to be participants in the solicitation of proxies from FGMC's shareholders in connection with the proposed transaction. Information regarding the persons who may, under SEC rules, be deemed participants in the solicitation of FGMC's and BOXABL's shareholders in connection with the proposed transaction will be set forth in proxy statement/prospectus when it is filed by FGMC and BOXABL with the SEC. You can find more information about FGMC's directors and executive officers in FGMC's final prospectus related to its initial public offering filed with the SEC on January 29, 2025 and in periodic reports filed by FGMC with the SEC. You can find more information about BOXABL's directors and executive officers in its Annual Report on Form 10-K, filed with the SEC on April 14, 2025. Additional information regarding the participants in the proxy solicitation and a description of their direct and indirect interests will be included in the proxy statement/prospectus when it becomes available. Shareholders, potential investors and other interested persons should read the proxy statement/prospectus carefully when it becomes available before making any voting or investment decisions. You may obtain free copies of these documents from the sources described above.

No Offer or Solicitation

This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. This communication is not, and under no circumstances is to be construed as, a prospectus, an advertisement or a public offering of the securities described herein in the United States or any other jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended, or exemptions therefrom. INVESTMENT IN ANY SECURITIES DESCRIBED HEREIN HAS NOT BEEN APPROVED BY THE SEC OR ANY OTHER REGULATORY AUTHORITY NOR HAS ANY AUTHORITY PASSED UPON OR ENDORSED THE MERITS OF THE OFFERING OR THE ACCURACY OR ADEQUACY OF THE INFORMATION CONTAINED HEREIN. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.

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SOURCE Boxabl

FAQ

What does BOXABL's December 24, 2025 California license mean for FGMC shareholders?

The license allows BOXABL to manufacture and deploy commercial modular units in California, potentially enabling revenue opportunities in a large market.

Will the BOXABL license allow immediate deliveries in California for FGMC?

The license authorizes compliant commercial manufacturing and is described as a key enabler for delivering on the company's recent commercial contract.

How does the proposed FG Merger II Corp merger affect BOXABL's ability to scale production?

The company says the proposed merger is expected to provide enhanced resources to scale production, though the transaction remains subject to customary approvals.

Did BOXABL disclose the value or timing of the significant commercial contract mentioned on December 24, 2025?

No financial value or specific delivery timeline for the commercial contract was disclosed in the announcement.

Is BOXABL's California license limited to residential or commercial projects as of December 24, 2025?

The license is specifically as a Commercial Modular Manufacturer, enabling commercial use under California building standards.

Where can investors find more information about BOXABL products and corporate updates?

Company information and product details are available at www.boxabl.com.