AMERICAN GREEN INC - ERBB STOCK NEWS

American Green (ERBB) has signed a non-binding letter of intent with a private equity firm for $12 million to fund the completion of its 'Cypress Chill' grow building, which was acquired for $3.75 million in May 2022. The company is actively working on the necessary documentation to proceed through the loan application process. Additionally, American Green is exploring funding opportunities for the construction and equipment of this state-of-the-art cannabis facility. Agronomic IQ and Dutch Direct are key suppliers providing HVAC equipment and custom cannabis grow benches respectively.

American Green (ERBB) reported a significant revenue increase of 69% for Q2 FY 2023 compared to the same period last year, demonstrating strong growth despite no recent harvests from upgraded grow rooms. The company's revenue rose from $515,259 in Q2 FY 2022 to $874,522 in Q2 FY 2023, a $359,263 increase. This growth is attributed to recent investments in LED lighting and improved grow management techniques at the 'Sweet Virginia' cannabis operation. All ten grow rooms are now renovated and operational, with expectations to double revenue further in the upcoming quarters. The company remains optimistic about its future performance.

American Green (ERBB:OTC) reports a positive outlook for fiscal year 2023, anticipating revenue to exceed $4 million, a growth of over 100% from 2022. The company has successfully completed renovations at its "Sweet Virginia" Cannabis Grow operation in Arizona, resulting in impressive revenue increases across its grow rooms.

For instance, the revenue from Room 8 surged by 140% to $89,000. The total average increase across the first six upgraded rooms was 126%, equating to approximately $50,375 in added revenue.

American Green has announced the arrival of two custom-built air conditioning chillers at its Cypress Chill grow facility in Phoenix, AZ. Weighing over 13,500 lbs each, these chillers will provide 704 tons of cooling power, ensuring precise temperature and humidity control crucial for high-quality cannabis production. The company acquired the 40,000 sq. ft. building in May 2022 for $3.75MM, which has since appraised at $5.3MM, adding significant equity of $2.65MM. This development supports American Green's goal of becoming a leader in the cannabis and premium CBD industry.

American Green (ERBB) announced the launch of its own premium cannabis flower branded as "Private Reserve" in Arizona. The first product is being sold at TruMed dispensary, with plans to market it across over 70 dispensaries in the state. The cannabis is cultivated at their Sweet Virginia facility and is positioned to enhance sales and brand awareness. The company emphasizes quality through a hand-selection and slow-drying process to preserve natural terpenes and flavors. Future expansion includes the Cypress Chill facility aimed at optimizing production.

American Green has finalized the purchase of its "Cypress Chill" cannabis facility in Phoenix, AZ, for $3.75 million, previously leased since August 2021. The property was appraised at $5.3 million, increasing American Green's equity to $2.673 million. This facility is expected to generate over $15 million in annual revenue, enhancing financial benefits compared to leasing. President David G. Gwyther emphasized the significance of this acquisition for the company, marking it as a cornerstone for future growth.

American Green, Inc. (OTC:ERBB) announced the acquisition of Vendweb, a North Carolina vending machine company supplying American Green with smart vending machines for five years. This acquisition grants American Green full control over the smart vending division, aiming to reduce costs and enhance profitability. Vendweb's technology enables age-restricted product sales via facial recognition and finger vein reader systems. The acquisition also includes Vendweb's general vending business, which generated $395,000 in revenue last year. The U.S. vending industry expects annual revenues of $8.9 billion in 2022.

American Green, Inc. (ERBB:OTC) has exercised its right to purchase the 40,000 square foot 'Cypress Chill' cannabis facility in Phoenix, AZ, from its landlord. This transaction eliminates a previously mandated 90-day closing period. The company believes that owning this facility will provide significant financial benefits compared to leasing, further supported by rising commercial real estate prices in the Phoenix area. American Green has begun construction on the property and will inform stakeholders about the financing details in due course.

American Green, Inc. (ERBB:OTC) announced the approval of its Board of Directors to purchase a 40,000 square foot cannabis facility in Phoenix, Arizona. The landlord has recognized the company's right to buy the property and waived the traditional 90-day waiting period. Over the past three months, American Green consulted with real estate experts and found compelling data supporting the purchase at this time. The acquisition is expected to provide accounting advantages and a solid real estate asset on the company's balance sheet, benefiting shareholders financially.