Safe & Green Holdings Announces Final Resolution of Litigation Between SG Blocks and EDI International/PVE

Rhea-AI Summary

Safe & Green Holdings (NASDAQ: SGBX) announced that its subsidiary, SG Blocks, has reached a definitive settlement agreement with EDI International, PC and PVE, LLC, resolving all outstanding litigation and appeals between the parties.

The settlement agreement, executed on September 11, 2025, requires EDI/PVE to pay SG Blocks an undisclosed amount to settle matters related to the Los Angeles Superior Court Case No. 19STCV21725. Upon payment, SG Blocks will file an acknowledgment of satisfaction of judgment, and both parties will dismiss pending appeals with prejudice.

The agreement includes mutual releases of all claims, providing closure to the long-running litigation while strengthening the company's balance sheet.

Positive

• Settlement agreement resolves all outstanding litigation and eliminates legal uncertainty
• Company will receive monetary compensation from EDI/PVE
• Elimination of ongoing legal costs
• Settlement strengthens company's balance sheet

Negative

• None.

Insights

Legal and Financial Analyst

Settlement with EDI/PVE eliminates litigation costs, adds immediate cash, and removes balance sheet uncertainty for SGBX.

The settlement between SG Blocks and EDI/PVE represents a significant positive development for Safe & Green Holdings. While the settlement amount remains undisclosed, the resolution delivers multiple tangible benefits. First, the company will receive an immediate cash infusion that directly strengthens its balance sheet. Second, by terminating this "long-running litigation," SGBX eliminates ongoing legal expenses that were likely creating a steady drain on resources.

The settlement structure appears particularly favorable - EDI/PVE makes payment to SG Blocks (not the reverse), indicating SG Blocks held the stronger position in this dispute. The mutual release of claims provides complete closure with no lingering liabilities or contingencies that might resurface later.

For a smaller NASDAQ company like Safe & Green, removing litigation uncertainty carries outsized importance. Legal proceedings create unpredictable outcomes, potential liabilities, and management distraction. With this resolution, management can redirect focus entirely to operational execution in their core modular construction and sustainable development businesses.

From a corporate governance perspective, the company's communication pattern around this litigation shows commitment to transparency, with regular updates since December 2024. This settlement transforms a potential liability into an immediate asset, creating a cleaner financial picture that better positions the company for potential partnerships, financing, or growth initiatives going forward.

Miami, Florida--(Newsfile Corp. - September 25, 2025) - Safe & Green Holdings Corp. (NASDAQ: SGBX) ("Safe & Green," or the "Company"), today announced that its subsidiary, SG Blocks, Inc., has reached a definitive settlement agreement with EDI International, PC and PVE, LLC (collectively, "EDI/PVE"), providing a final resolution to all outstanding litigation and appeals between the parties.

Under the terms of the Settlement and Release Agreement, fully executed on September 11, 2025, EDI/PVE has agreed to pay SG Blocks an undisclosed amount in full settlement of the matters related to SG Blocks, Inc. v. EDI International PC, et al., Los Angeles Superior Court Case No. 19STCV21725. Upon receipt of full payment, SG Blocks will file an acknowledgment of satisfaction of judgment and both parties will dismiss all pending appeals with prejudice.

The agreement provides for mutual releases of all claims, bringing full and final closure to the long-running litigation and eliminating uncertainty around the case.

"We are pleased to bring this matter to a successful conclusion, delivering a significant recovery for SG Blocks while allowing us to fully focus on advancing our core operations," said Mike Mclaren, CEO of Safe & Green Holdings. "This settlement delivers a final resolution, strengthens our balance sheet, and positions us to continue executing on growth initiatives across our modular construction and sustainable development businesses."

This announcement follows prior public updates provided since December 2024 regarding the progress of the case. With this settlement, Safe & Green Holdings has demonstrated a consistent commitment to keeping shareholders informed and has now secured a favorable and final resolution that eliminates ongoing legal costs and provides immediate financial benefit.

About Safe & Green Holdings Corp.

Safe & Green Holdings Corp. (NASDAQ: SGBX) is a modular solutions company that specializes in the design, manufacture, and delivery of environmentally sustainable projects. Through its subsidiaries, the Company delivers innovative solutions in modular construction, real estate development, and sustainable operations. For more information, please visit: www.safeandgreenholdings.com.

Forward-Looking Statements

Certain statements in this press release constitute "forward-looking statements" within the meaning of the federal securities laws. Words such as "may," "might," "will," "should," "believe," "expect," "anticipate," "estimate," "continue," "predict," "forecast," "project," "plan," "intend" or similar expressions, or statements regarding intent, belief, or current expectations, are forward-looking statements. While the Company believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to us on the date of this release. These forward-looking statements are subject to various risks and uncertainties, many of which are difficult to predict that could cause actual results to differ materially from current expectations and assumptions from those set forth or implied by any forward-looking statements. Important factors that could cause actual results to differ materially from current expectations include, among others, the Company's ability to maintain compliance with the NASDAQ listing requirements, and the other factors discussed in the Company's Annual Report on Form 10-K for the year ended December 31, 2024 and its subsequent filings with the SEC, including subsequent periodic reports on Forms 10-Q and 8-K. The information in this release is provided only as of the date of this release, and we undertake no obligation to update any forward-looking statements contained in this release on account of new information, future events, or otherwise, except as required by law.

Investor Contact:

investors@safeandgreenholdings.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/267857

FAQ

What is the settlement agreement between Safe & Green Holdings (SGBX) and EDI/PVE?

The settlement agreement, executed on September 11, 2025, resolves all outstanding litigation between SG Blocks and EDI/PVE, with EDI/PVE agreeing to pay an undisclosed amount to settle the Los Angeles Superior Court Case.

How will the SGBX settlement affect the company's financial position?

The settlement will strengthen the company's balance sheet through monetary compensation and elimination of ongoing legal costs.

When will the SGBX litigation settlement be completed?

Upon receipt of full payment from EDI/PVE, SG Blocks will file an acknowledgment of satisfaction of judgment and both parties will dismiss all pending appeals with prejudice.

What are the key terms of the SGBX and EDI/PVE settlement agreement?

The agreement includes an undisclosed payment to SG Blocks, mutual releases of all claims, dismissal of pending appeals with prejudice, and provides final closure to the long-running litigation.