Bright Green Corporation Announces the completion of its restructuring plan, withdraws from the Cannabis business and sets course on the production of all DEA Scheduled Controlled Substances

Rhea-AI Summary

Bright Green (OTC: BGXX) has announced a major strategic shift, withdrawing from the cannabis business to focus on the production of DEA Scheduled Controlled Substances. The company's restructuring plan includes a Restructuring Security Agreement (RSA) that will provide new equity to pay all creditors in full, with existing shareholders retaining their interests without dilution.

Under new CEO and Chairman Lynn Stockwell's leadership, BGXX plans to become a pioneer in producing legal controlled substances for medical purposes and establishing a reliable API supply chain in the US. The company aims to implement a $3.5 billion investment through owner/operator operations to build DEA and FDA-compliant mega farms.

The company's revenue strategy focuses on two streams: contracts for controlled substance production and the EB-5 program, which could generate capital through $800,000 investments from qualified applicants seeking US green cards. Gurvinder Singh will rejoin as General Manager to oversee the EB-5 program through Bright Green Regional Center

Positive

• New equity funding through RSA to pay all creditors in full
• No shareholder dilution in restructuring
• $3.5 billion planned investment for DEA/FDA-compliant facilities
• Potential revenue from controlled substances market worth hundreds of billions
• Additional revenue stream through EB-5 program ($800,000 per qualified applicant)

Negative

• Complete withdrawal from cannabis business
• Uncertainty in current business model transition
• Heavy reliance on future federal support and regulations
• Significant capital requirements for planned facilities

FORT LAUDERDALE, FLORIDA, Feb. 24, 2025 (GLOBE NEWSWIRE) -- Bright Green Corporation (OTC: BGXX) (“Bright Green” or the “Company”) announced that on February 24, 2025, on behalf of the Company, Lynn Stockwell has asked the court to approve the “RSA” Restructuring Security Agreement. The highlights of the RSA will provide new equity for the company to pay all creditors with approved claims in full, in addition the Company equity shareholders will retain their interests in the Company and are unimpaired with no dilution.

The Company in its restructuring efforts has entered into an agreement with the DEA to immediately withdraw all Cannabis related renewal applications. This agreement will allow for reinstatement once the Company is satisfied that there is commercial value, and the federal government clarifies a path that will stabilize operations for medical research and possible drug development.

Lynn Stockwell, the new Chief Executive Officer and Chairman of the Board of Directors of the Company also sponsors and manages other public corporations that are building a financial war chest to be used for acquisitions of revenue generating, well managed corporations for the platform of onshoring controlled substance production, API and manufacturing back to the U.S.

Stockwell said, “the Company will not canvas equity and then jeopardize shareholder value by the uncertainty of the United States Cannabis industry, currently this is not a business where normal banking is prohibited. I have reset the course for Bright Green to become the first mover in the production of legal Controlled Substances for medical purpose establishing a reliable API supply chain”

These legal controlled substances have never been produced commercially in the United States. The critical supply is imported from countries where diversion and quality controls are not a priority.

Lynn Stockwell continues, “this new federal administration is actively positioning Bright Green to participate in the production, drug manufacturing and prescription drug delivery back to the United States. This creates an opportunity for Bright Green where the drugs purchased in the United States has a total addressable market of hundreds of billions of dollars. With likely tariffs protecting this new American industry and supply contracts the company will move forward to implement its planned owner/operator operations for a $3.5 billion dollar investment. The owner/operators will implement this capital to build new DEA and FDA compliant mega farms for the production facilities to produce controlled substances that can supply quality API by contract for the MADE IN AMERICA supply chain. Each American farmer owner/operator will have access to federal loan guarantees to support the new infrastructure that is expected to create thousands of new jobs for the infrastructure construction while fostering the Company’s EB-5 program with investment through legal immigration for this new business. The Company will continue its exclusive partnership with Asia Capital Pioneer Group Inc to help support its EB-5 marketing efforts across Asia and the world.” 

Gurvinder Singh will rejoin the Company as General Manager responsible for the EB-5 program administered by Bright Green Regional Center LLC and help direct the Company forward.

The Company’s planned revenue is from contracts for production of controlled substances and EB-5 investment, the $800,000 investment from applicants seeking a green card administered by the USCIS EB-5 program that could generate significant capital from qualified applicants that seek entry into the United States through legal immigration.

The Company believes that the timing for both revenue streams will create this opportunity and  Bright Green Corporation will reset in a very positive way immediately.

Cautionary Note Regarding Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made as of the date they were first issued and were based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management as of such date. Words such as “expect,” “anticipate,” “should,” “believe,” “hope,” “target,” “project,” “goals,” “estimate,” “potential,” “predict,” “may,” “will,” “might,” “could,” “intend,” “shall” and variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond the Company’s control. Such forward looking statements include, but are not limited to, the ability of the Company to implement the Plan and raise funds under the Company’s EB-5 program, the impact that new officers, directors and employees may have on the Company and the Company’s business and results of operations. The Company’s actual results could differ materially from those stated or implied

Source:

Bright Green Corporation
401 E Las Olas Blvd #1400
Fort Lauderdale, Florida 33301
(833) 658-1799

FAQ

What is Bright Green's (BGXX) new business strategy after cannabis withdrawal?

BGXX is pivoting to focus on the production of DEA Scheduled Controlled Substances and APIs in the United States, moving away from cannabis operations to establish a domestic supply chain for legal controlled substances.

How does BGXX's restructuring plan affect current shareholders?

The restructuring plan ensures that current equity shareholders retain their interests without any dilution, while providing new equity to pay all creditors with approved claims in full.

What is the size of BGXX's planned investment in new facilities?

BGXX plans a $3.5 billion investment to build new DEA and FDA-compliant mega farms for controlled substance production facilities.

How will BGXX generate revenue under its new business model?

BGXX plans to generate revenue through two main streams: contracts for controlled substance production and the EB-5 program, which generates $800,000 per qualified immigrant investor.

What is BGXX's involvement with the EB-5 program?

BGXX operates the Bright Green Regional Center , which administers the EB-5 program, offering green card opportunities through $800,000 investments from qualified international applicants.