Safe & Green Holdings Corp. Enters Loan Agreement
Ticker: OLOX · Form: 8-K · Filed: Aug 7, 2024 · CIK: 1023994
Sentiment: neutral
Topics: debt, financing
Related Tickers: SGH
TL;DR
SGH just signed a new loan agreement, potentially boosting their cash flow.
AI Summary
On July 31, 2024, Safe & Green Holdings Corp. entered into a material definitive agreement, specifically a loan agreement with an unnamed lender. This agreement creates a direct financial obligation for the company, the terms of which are detailed in the filing.
Why It Matters
This filing indicates Safe & Green Holdings Corp. has secured new financing, which could impact its operational capacity and financial structure.
Risk Assessment
Risk Level: medium — The company has entered into a new financial obligation, the specifics of which could pose risks if not managed effectively.
Key Players & Entities
- SAFE & GREEN HOLDINGS CORP. (company) — Registrant
- July 31, 2024 (date) — Date of earliest event reported
- Delaware (jurisdiction) — State of Incorporation
- 001-38037 (identifier) — SEC File Number
- 95-4463937 (identifier) — IRS Number
FAQ
What is the specific nature of the material definitive agreement entered into by Safe & Green Holdings Corp. on July 31, 2024?
The filing indicates the agreement is a loan agreement, creating a direct financial obligation for the registrant.
Who is the lender in the new loan agreement?
The filing does not explicitly name the lender in the provided text.
What is the principal amount of the loan agreement?
The principal amount of the loan is not specified in the provided text.
What are the key terms and conditions of the loan agreement?
The filing states that the terms and conditions are detailed within the agreement itself, which is not fully provided in the excerpt.
How will this new financial obligation impact Safe & Green Holdings Corp.'s financial statements?
The filing indicates it creates a direct financial obligation, which will be reflected in the company's balance sheet and potentially its income statement depending on interest and repayment terms.
Filing Stats: 648 words · 3 min read · ~2 pages · Grade level 10.9 · Accepted 2024-08-06 19:08:40
Key Financial Figures
- $0.01 — ch Registered Common Stock, par value $0.01 SGBX The Nasdaq Stock Market LLC
- $1,957,150.00 — which SG Building Blocks sold to Cedar $1,957,150.00 of its future receivables for a purchas
- $1,350,000 — ure receivables for a purchase price of $1,350,000, less underwriting fees and expenses pa
- $285,180 — ts due Cedar, for net funds provided of $285,180. Pursuant to the Cash Advance Agreemen
- $49,150 — greement, Cedar is expected to withdraw $49,150 a week directly from SG Building Blocks
- $1,957,150 — Building Blocks' bank account until the $1,957,150 due to Cedar under the Cash Advance Agr
Filing Documents
- ea0210758-8k_safegreen.htm (8-K) — 27KB
- ea021075801ex10-1_safegreen.htm (EX-10.1) — 64KB
- ex10-1_001.jpg (GRAPHIC) — 795KB
- ex10-1_002.jpg (GRAPHIC) — 1539KB
- ex10-1_003.jpg (GRAPHIC) — 1506KB
- ex10-1_004.jpg (GRAPHIC) — 1574KB
- ex10-1_005.jpg (GRAPHIC) — 1478KB
- ex10-1_006.jpg (GRAPHIC) — 1186KB
- ex10-1_007.jpg (GRAPHIC) — 1389KB
- ex10-1_008.jpg (GRAPHIC) — 1535KB
- ex10-1_009.jpg (GRAPHIC) — 1392KB
- ex10-1_010.jpg (GRAPHIC) — 1280KB
- ex10-1_011.jpg (GRAPHIC) — 236KB
- ex10-1_012.jpg (GRAPHIC) — 449KB
- ex10-1_013.jpg (GRAPHIC) — 336KB
- ex10-1_014.jpg (GRAPHIC) — 300KB
- 0001213900-24-065805.txt ( ) — 20936KB
- sgbx-20240731.xsd (EX-101.SCH) — 3KB
- sgbx-20240731_lab.xml (EX-101.LAB) — 33KB
- sgbx-20240731_pre.xml (EX-101.PRE) — 22KB
- ea0210758-8k_safegreen_htm.xml (XML) — 4KB
01 Entry into a Material Definitive
Item 1.01 Entry into a Material Definitive Agreement. On July 31, 2024, SG Building Blocks, Inc. ("SG Building Blocks"), a wholly owned subsidiary of Safe & Green Holdings Corp. (the "Company"), entered into a Cash Advance Agreement ("Cash Advance Agreement") with Cedar Advance LLC ("Cedar") pursuant to which SG Building Blocks sold to Cedar $1,957,150.00 of its future receivables for a purchase price of $1,350,000, less underwriting fees and expenses paid and the repayment of prior amounts due Cedar, for net funds provided of $285,180. Pursuant to the Cash Advance Agreement, Cedar is expected to withdraw $49,150 a week directly from SG Building Blocks' bank account until the $1,957,150 due to Cedar under the Cash Advance Agreement is paid. In the event of a default (as defined in the Cash Advance Agreement), Cedar, among other remedies, can demand payment in full of all amounts remaining due under the Cash Advance Agreement. SG Building Blocks' obligations under the Cash Advance Agreement have been guaranteed by the Company's wholly owned subsidiary, SG Echo, LLC. The foregoing description of the Cash Advance Agreement is qualified in its entirety by reference to the full text of the Cash Advance Agreement, a copy of which is attached hereto as Exhibit 10.1 and is incorporated herein in its entirety by reference.
03 Creation of a Direct Financial Obligation
Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. The information provided in Item 1.01 of this Current Report on Form 8-K is incorporated herein by reference.
01 Financial Statements and Exhibits
Item 9.01 Financial Statements and Exhibits Exhibit Number Description 10.1 Standard Cash Advance Agreement, dated July 31, 2024, by and between SG Building Blocks, Inc. and Cedar Advance LLC 104 Cover Page Interactive Data File (embedded within the inline XBRL document) 1
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. SAFE & GREEN HOLDINGS CORP. Dated: August 6, 2024 By: /s/ Patricia Kaelin Name: Paticia Kaelin Title: Chief Financial Officer 2