Safe & Green Holdings Receives Extension to Regain Compliance with Nasdaq’s Minimum Stockholders’ Equity Requirement

Safe & Green Holdings Corp. (NASDAQ: SGBX) has received an extension until November 12, 2024, to regain compliance with Nasdaq's minimum stockholders' equity requirement of $2,500,000.

Rhea-AI Summary

Safe & Green Holdings Corp. (NASDAQ: SGBX) has received an extension until November 12, 2024, to regain compliance with Nasdaq's minimum stockholders' equity requirement of $2,500,000. The company expects to meet this requirement through recent initiatives including a private placement, cost-cutting measures, debt reduction, and other strategic actions. CEO Paul Galvin emphasized the company's commitment to maintaining its Nasdaq listing and meeting the requirements within the given timeline.

Safe & Green Holdings is a modular solutions company specializing in developing, designing, and fabricating modular structures for various industries. The company is also a majority shareholder in Safe and Green Development , which focuses on real estate development using prefabricated modules.

Positive

• Extension granted until November 12, 2024, to regain Nasdaq compliance
• Recent private placement to improve stockholders' equity
• Cost-cutting initiatives aimed at achieving positive cash flow in 2024
• Ongoing debt reduction efforts

Negative

• Current non-compliance with Nasdaq's minimum stockholders' equity requirement
• Risk of potential delisting if compliance is not achieved by the extended deadline

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Miami, FL, July 25, 2024 (GLOBE NEWSWIRE) -- Safe & Green Holdings Corp. (NASDAQ: SGBX) (“Safe & Green Holdings” or the “Company”), a leading developer, designer, and fabricator of modular structures, is pleased to announce it has received an extension of time, through November 12, 2024, to regain compliance with Nasdaq’s Listing Rule 5550(b), which requires a minimum of $2,500,000 stockholders’ equity. The Company expects to regain full compliance with the stockholders’ equity requirement as a result of the recent private placement, cost-cutting initiatives aimed at achieving positive cash flow in 2024, ongoing debt reduction, and other strategic initiatives underway.

Paul Galvin, Chairperson and CEO of Safe & Green Holdings, commented, “Our team's dedication has driven significant operational progress, and their tireless work has positioned us for further improvement throughout the balance of this year. Maintaining our NASDAQ listing is paramount, and we are fully committed to meeting the listing requirements within the required timeline.”

About Safe & Green Holdings Corp.

Safe & Green Holdings Corp., a leading modular solutions company, operates under core capabilities which include the development, design, and fabrication of modular structures, meeting the demand for safe and green solutions across various industries. The firm supports third-party and in-house developers, architects, builders, and owners in achieving faster execution, greener construction, and buildings of higher value. The Company is a majority shareholder in Safe and Green Development Corporation, a leading real estate development company. Formed in 2021, it focuses on the development of sites using purpose-built, prefabricated modules built from both wood and steel, sourced from one of SG Holdings’ factories and operated by the SG Echo subsidiary.

For more information, visit https://www.safeandgreenholdings.com/ and follow us at @SGHcorp on Twitter.

Safe Harbor Statement

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. These forward-looking statements are based upon current estimates and assumptions and include statements regarding the Company’s extension of time through November 12, 2024, by Nasdaq, to regain compliance with Nasdaq’s Listing Rule 5550(b), which requires a minimum of $2,500,000 stockholders’ equity. 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, but are not limited to, the Company’s ability to successfully regain compliance with Nasdaq’s Listing Rule 5550(b), which requires a minimum of $2,500,000 stockholders’ equity,  and the factors discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, 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 Relations:
Crescendo Communications, LLC
212-671-1020
SGBX@crescendo-ir.com

FAQ

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What is the new deadline for Safe & Green Holdings (SGBX) to regain Nasdaq compliance?

Safe & Green Holdings (SGBX) has been granted an extension until November 12, 2024, to regain compliance with Nasdaq's minimum stockholders' equity requirement of $2,500,000.

How does Safe & Green Holdings (SGBX) plan to meet Nasdaq's stockholders' equity requirement?

Safe & Green Holdings (SGBX) plans to meet Nasdaq's stockholders' equity requirement through a recent private placement, cost-cutting initiatives aimed at achieving positive cash flow in 2024, ongoing debt reduction, and other strategic initiatives.

What is the minimum stockholders' equity required by Nasdaq for Safe & Green Holdings (SGBX)?

Nasdaq requires Safe & Green Holdings (SGBX) to maintain a minimum stockholders' equity of $2,500,000 to comply with Listing Rule 5550(b).

What are the main business activities of Safe & Green Holdings (SGBX)?

Safe & Green Holdings (SGBX) is a modular solutions company that develops, designs, and fabricates modular structures for various industries. It also holds a majority stake in Safe and Green Development , which focuses on real estate development using prefabricated modules.