BRIGHT GREEN ANNOUNCES IT HAS OBTAINED A $3.5 MILLION FUNDING COMMITMENT UNDER AN EXISTING LINE OF CREDIT AND HAS ENGAGED AN INVESTMENT BANK TO SEEK A $15.0 MILLION DEBT FINANCING TO MOVE FORWARD WITH COMMERCIALIZATION.
August 08 2024 - 4:51PM
Bright Green Corporation (Nasdaq: BGXX) (“Bright Green” or the
“Company”) today announced that the Company has engaged an
investment bank with vast experience to formally explore a $15.0
million debt financing to drive commercialization efforts forward
on the first 20 acres of its recently U.S. Drug Enforcement Agency
(“DEA”) reinspected facility.
In the interim, Bright Green has secured a $3.5
million capital commitment under its existing line of credit with
Lynn Stockwell. As part of the capital commitment, the line of
credit agreement has been amended to include security against the
Company’s greenhouse facility and a conversion option whereby all
principal and interest is convertible at the lender’s discretion,
under similar terms offered to Lynn Stockwell on August 31, 2023
when she previously converted $3.6 million of outstanding debt into
shares and warrants. The conversion allows Lynn Stockwell to
convert the outstanding principal and interest into shares (the
“Shares”) of the Company’s common stock, par value $0.0001 per
share (the “Common Stock”), at $1.15 per Share and receive an
accompanying warrant (the “Warrants”) for $0.13 per Warrant to
purchase up to an equal number of Common Stock (the “Warrant
Shares”) at a price of $3.00 per share. The Company also agreed to
extend the term of the previously issued warrants by 3 years, now
expiring on the earlier of (i) the 45th day after the closing price
per share of Common Stock is $3.00 or greater or (ii) August 31,
2027.
The aforementioned capital commitment will allow
Bright Green to pay down existing liabilities and ensures that the
Company has funding to take the necessary steps to begin operations
at the Grants, New Mexico facility.
ABOUT BRIGHT GREEN CORPORATION
Bright Green is one of the very few companies
selected by the New Mexico Board of Pharmacy and the US government
for the production, API and drug manufacture, market and distribute
Schedule 1-V plant-based drugs API including opium, cannabis and
cannabis-related products for research, pharmaceutical applications
and affiliated export. Our approval based on already agreed terms
from the U.S. Drug Enforcement Administration gives us the
opportunity to advance our vision of improving quality of life
through the opportunities presented by cannabis-derived therapies
and more. To learn more, visit www.brightgreen.us
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, including but not limited to, the inability of
the Company to raise funds under the Company’s EB-5 program, and
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 in forward-looking statements due to a number of
factors, including but not limited to, risks detailed in the
Company’s Annual Report on Form 10-K and Quarterly Report on Form
10-Q, as amended and supplemented, as well as other documents that
may be filed by the Company from time to time with the SEC. The
forward-looking statements included in this press release represent
the Company’s views as of the date of this press release. The
Company anticipates that subsequent events and developments will
cause its views to change. The Company undertakes no intention or
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise.
These forward-looking statements should not be relied upon as
representing the Company’s views as of any date subsequent to the
date of this press release. Additional information regarding these
and other factors that could affect the Company’s results is
included in the
Company’s SEC filings, which may be obtained by
visiting the SEC's website at www.sec.gov.
Media Inquiries & Investor Relations
Contactir@brightgreen.us
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