Solar Integrated Roofing Corp. Announces Amendment of Settlement Agreement with Brian Milholland and Milholland Family Trust LP

Rhea-AI Summary

Solar Integrated Roofing Corp. (OTC:SIRC) announced an amendment to its settlement agreement with Brian Milholland and Milholland Family Trust LP, easing cash flow pressures. The company will fulfill its $7 million obligation through an issuance of 40 million shares of common stock and $1.6 million in payments made in installments after a significant capital raise. CEO George B. Holmes expressed gratitude for the cooperation in restructuring the payment terms. This adjustment aims to alleviate financial burdens and potentially stabilize SIRC’s cash flow for future business operations.

Positive

• Restructured settlement agreement reduces immediate cash burden by modifying payment terms.
• Issuing 40 million shares allows for manageable financial obligations.

Negative

• Issuing a large number of shares could dilute existing shareholders' equity.
• Continued dependence on capital raises may signal cash flow issues.

HENDERSON, Nev., Jan. 18, 2023 (GLOBE NEWSWIRE) -- Solar Integrated Roofing Corp. (OTC:SIRC), an integrated, single-source solutions provider of solar power, roofing and EV charging systems, today announced the amendment of its settlement agreement with Brian Milholland and Milholland Family Trust LP.

“We are pleased that both parties were able to work together to restructure the timing and manner of payment of the amounts due to Milholland under our September 2022 settlement agreement,” said George B. Holmes, Chairman and Chief Executive Officer of Solar Integrated Roofing Corp. “I would like to thank Brian Milholland for working with us to modify the payment terms to alleviate the significant cash burden of our prior settlement obligations.”

Pursuant to the renegotiated settlement, SIRC will discharge its remaining $7.0 million obligation to Milholland by the issuance of an aggregate of 40 million shares of common stock, the payment of $1.6 million in four equal installments following a significant capital raise by SIRC, and the reimbursement of expenses.

About Solar Integrated Roofing Corp.

Solar Integrated Roofing Corp. (OTC: SIRC) is an integrated, single-source solutions provider of solar power, roofing and EV charging systems, specializing in commercial and residential properties throughout North America. The Company serves communities by delivering the best experience through constant innovation & legacy-focused leadership. For more information, please visit the Company's website at www.solarintegratedroofing.com or join us on Twitter or LinkedIn.

Safe Harbor / 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. Forward-looking statements can be identified by words such as: “anticipate,” “intend,” “plan,” “goal,” “seek,” “believe,” “project,” “estimate,” “expect,” “strategy,” “future,” “likely,” “may,” “should,” “will” and similar references to future periods. Examples of forward-looking statements in this press include, among others, statements about our renegotiated settlement agreement. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: our limited operating history; our dependence on third parties for many aspects of our business; general market and economic conditions; technical factors; the availability of outside capital; our receipt of revenues; legislative developments; changes in our expenditures and other uses of cash; our ability to find, recruit and retain personnel in sufficient numbers to support our growth; our ability to manage growth; and general market, economic and business conditions. Additional factors that could cause actual results to differ materially from those anticipated by our forward-looking statements are under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our most recent Registration Statement on Form 10 or Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission. Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

Investor Relations Contact:
Lucas A. Zimmerman
Director
MZ North America
Main: 949-259-4987
SIRC@mzgroup.us
www.mzgroup.us

FAQ

What is Solar Integrated Roofing Corp.'s recent settlement agreement?

SIRC amended its settlement agreement with Brian Milholland, restructuring payment terms to ease cash flow.

How much does Solar Integrated Roofing owe in the settlement agreement?

SIRC has a remaining obligation of $7 million under the settlement agreement.

How will SIRC fulfill its financial obligations in the settlement?

SIRC will pay the obligation through the issuance of 40 million shares and $1.6 million in installments after a capital raise.

What impact does the settlement agreement have on SIRC's stock?

The issuance of 40 million shares could dilute existing shareholder equity, affecting stock performance.