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Safe & Green Holdings Restructures Recent Transaction, Reducing Dilution and Complies with NASDAQ Panel Requirements

1. Safe & Green restructured its $8M private placement with D. Boral Capital. 2. Cancelled Series A and B warrants reduce potential dilution by 70%. 3. Restructuring meets NASDAQ's compliance requirements and investor interests. 4. CEO states this aligns financing with shareholder value and governance. 5. The company continues to seek strategic opportunities in modular construction.

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FAQ

Why Bullish?

The cancellation of dilutive warrants decreases future shareholder dilution, which can boost investor confidence and stabilize stock prices.

How important is it?

The restructuring significantly impacts shareholder value and actual market perception, meriting high importance.

Why Short Term?

Immediate positive sentiment expected due to reduced dilution, but longer-term impact depends on execution of strategic opportunities.

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Safe & Green Holdings Corp. (NASDAQ:SGBX) ("Safe & Green" or the "Company"), a leading developer of modular structures, today announced that it has restructured its previously announced private placement with D. Boral Capital, originally dated April 14, 2025. The revised terms eliminate both the Series A and Series B Common Stock Warrants, significantly reducing potential dilution and addressing the concerns raised by the NASDAQ Hearings Panel.As a result of the restructuring:The Series A Warrants, originally exercisable at $0.784 per share for five years, have been cancelled.The Series B Warrants, originally exercisable at $0.98 per share for 30 months, have also been cancelled.Overall, the potential dilution to shareholders has been reduced by approximately 70%.This restructuring conforms with the requirements of the NASDAQ Hearings Panel, which had raised a public interest concern related to the original structure of the transaction. By working closely with NASDAQ and restructuring the deal in a manner that supports both regulatory compliance and investor interests, the Company remains focused on gaining full compliance with NASDAQ listing standards."We acted decisively to restructure the financing in a way that better aligns with shareholder interests and ensures full compliance with NASDAQ's listing standards," said Mike Mclaren, Chairman and CEO of Safe & Green Holdings. "This is an important step as we continue building long-term shareholder value with a disciplined approach to capital markets activity."The Company originally announced the $8.0 million private placement in April 2025, with each Common Unit consisting of one share (or pre-funded warrant), one Series A warrant, and one Series B warrant. With the restructuring, the Common Stock or Pre-Funded Warrants remain in place, while both classes of dilutive warrants have been removed and exchanged for an aggregate of 60,000 shares of Series B Preferred StockThe Company will continue to evaluate strategic opportunities while remaining focused on responsible governance and disciplined capital management.About Safe and Green HoldingsSafe & 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. For more information, visit www.safeandgreenholdings.com and follow us at @SGHcorp on Twitter.Safe Harbor StatementCertain 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 restructuring of the Company's private placement with D. Boral Capital. 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 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, 2024 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.For investor and media inquiries, please contact:[email protected]SOURCE: Safe & Green Holdings Corp

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