SG Echo Continues to Build Upon Largest Contract to Date With Private Infrastructure Solutions Client

Rhea-AI Summary

Safe & Green Holdings Corp. (NASDAQ: SGBX) has announced a new order with SG Echo, LLC to provide 90 modular units for a long-standing client, valued at approximately $6 million. This order continues a programmatic relationship between the companies and includes units from a second product line that fits within SG Echo's manufacturing capabilities. Deliveries are expected to be completed by Q3 2023. The announcement highlights the company's commitment to supporting evolving client needs through enhanced production capabilities.

Positive

• New order of 90 units valued at approximately $6 million enhances revenue.
• Continues a long-standing relationship with a private client, indicating trust and reliability.
• Involves a second product line, showcasing product diversification.

Negative

• Future profitability and client relationship development are uncertain.
• Risks associated with timely delivery and compliance with NASDAQ requirements.

The client, a one-stop shop provider of infrastructure solutions, is building upon a long-standing relationship with SG Echo

MIAMI--(BUSINESS WIRE)-- Safe & Green Holdings Corp. (NASDAQ: SGBX) (“Safe & Green Holdings” or the “Company”), a leading developer, designer, and fabricator of modular structures, announced today that SG Echo, LLC, a subsidiary of Safe & Green Holdings Corp., has entered into an agreement to provide an additional 90 units for a private, long-standing client, with a price tag of roughly $6 million.

The order consists of 90 units which are part of an ongoing programmatic ordering process between the two companies. 80 of the units are a second product line from this client that fit into SG Echo’s existing capacity and expertise in manufacturing.

“It’s very rewarding to see a relationship grow and expand the way it has with this client of ours,” David Cross, Vice President of Business Development with Safe & Green Holdings Corp. noted. “As our clients transform themselves, we intend to support this evolution via our factory growth coupled with production enhancements. It is beneficial to be as nimble as we are; creating the solutions needed for our clients. This is a customer that really believes in us and has come to us with a variety of needs that we’re happy to help with.”

The deliveries of the current set of units are anticipated to conclude in Q3 2023. The Company will provide further updates as appropriate on the current order, future orders and the evolving relationship with the private client.

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. Safe and Green Development Corporation is a leading real estate development company. Formed in 2021, the company focuses on the development of sites using purpose built, prefabricated modules built from both wood & steel, sourced from one of Safe & Green Holdings factories and operated by SG Echo. For more information, visit 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 supporting the evolution of the Company’s clients via factory growth and production enhancements, creating the solutions needed for the Company’s clients, delivery of the units concluding in Q3 2023 and providing further updates as appropriate on the current order, future orders and the evolving relationship with the private client. 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 deliver the units to this private client as planned, the Company’s ability to further develop its relationship with the private client, the Company’s ability to spin out Safe and Green Development Corporation as planned, the Company’s ability to expand within various verticals, the Company’s ability to position itself for future profitability, 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, 2022 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.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230404005546/en/

Investor Relations: 

Crescendo Communications, LLC

212-671-1020

SGBX@crescendo-ir.com

Source: Safe & Green Holdings Corp.

FAQ

What is the recent announcement from Safe & Green Holdings Corp. related to SGBX?

Safe & Green Holdings Corp. announced a $6 million order for 90 modular units from its subsidiary SG Echo, LLC.

When are the deliveries of the new units expected to conclude?

Deliveries of the 90 units are anticipated to conclude in Q3 2023.

What does this new order signify for Safe & Green Holdings Corp.?

The new order indicates a growing relationship with a client and a steady revenue stream for the company.

How much is the new order for the modular units worth?

The new order is valued at approximately $6 million.

What challenges does Safe & Green Holdings Corp. face related to this new order?

Challenges include ensuring timely delivery, maintaining client relationships, and compliance with NASDAQ listing requirements.