MIAMI,
Oct. 17,
2024 /PRNewswire/ -- Safe and Green Development
Corporation (NASDAQ: SGD) ("SG Devco" or the "Company"), a leading
real estate development company releases a letter to shareholders
from SG Devco CEO, David
Villarreal:
"Dear SGD Shareholders,
I wanted to take a quick moment of your time to
address the recent reverse stock split & the subsequent trading
of the stock since then.
I would like to begin by stating that our reverse
stock split was completed after receiving shareholder approval to
do so. We took this step to be able maintain our NASDAQ Listing and
comply with NASDAQ minimum bid price requirements. We waited as
long as possible prior to having to effectuate a reverse split.
We have been disappointed to see this recent
trading in the stock after the split whereby we have gone from
trading at an approximately $5M
market cap down to a $2.5M market cap
without any fundamental changes to the business and / or
operations. To put this into perspective, the Company's real estate
assets were previously appraised at approximately $50M. Even if we discount appraised value and
subtract out the debt on the properties, there is still
significantly more value than the $2.5M market cap.
Therefore, we do not believe that the current
market capitalization is reflective of the value of the Company. In
the past year, the Company has grown via strategic acquisition and
joint ventures, both of which should shortened the timeline to
revenue generation. The Company is poised to execute its business
plan in developing safe and environmentally conscious housing while
facilitating the path to homeownership via its current and
developing technology platforms. Recent news releases have
highlighted the rapid progress in our South Texas growth market that we anticipate
will be a main source of revenue generation in 2025 and beyond. Our
strategic asset sales remain in play to shore up our balance sheet
in an aim to reduce the Company's interest expense in the long
term.
Over the past year, the Company has repositioned
itself to be able to capitalize on all initiatives in the real
estate space and management and the team is ready to accelerate
these efforts into rapid growth throughout Q4 and heading into an
exciting 2025.
Thank you all for your continued support.
David
Villarreal
President & CEO
About Safe and Green Development Corporation
(SG Devco)
Safe and Green Development Corporation is a
real estate development company. Formed in 2021, it focuses on the
development of sites using purpose-built, prefabricated modules
built from both wood and steel. The thesis of development is to
build strong, innovative and green, single or multifamily projects
across all income and asset classes. Additionally, a majority owned
subsidiary of SG DevCo, Majestic World Holdings LLC, is a
prop-tech company that has created a real estate AI Platform. The
Platform aims to decentralize the real estate marketplace, creating
an all-in-one solution that brings banks, institutions, home
builders, clients, agents, vendors, gig workers, and insurers into
a seamlessly integrated and structured AI-driven environment.
MyVONIA Innovations LLC, a wholly own subsidiary, is the owner of
MyVONIA which is an AI-powered personal assistant designed to help
simplify daily tasks and improve productivity for individuals and
businesses. MyVONIA aims to assist with managing both personal and
professional tasks.
Safe Harbor Statement
This press release may contain forward-looking
statements within the meaning of Section 27A of the Securities Act
of 1933 as amended and Section 21E of the Securities Exchange Act
of 1934 as amended. All statements other than statements of
historical fact are or may be deemed to be forward-looking
statements. In some cases forward-looking statements can be
identified by terminology such as "may," "should," "potential,"
"continue," "expects," "anticipates," "intends," "plans,"
"believes," "estimates" and similar expressions and include
statements regarding the growth via strategic acquisition and joint
ventures, shortening the timeline to revenue generation; the
Company being poised to execute its business plan in developing
safe and environmentally conscious housing while facilitating the
path to homeownership via its current and developing technology
platforms; the South Texas growth
market being a main source of revenue generation in 2025 and
beyond; the Company being repositioned to capitalize on all
developments in the real estate space and management and staff
being ready to accelerate these efforts into rapid growth
throughout Q4 and heading into an exciting 2025..
These forward-looking statements are based on
certain assumptions and analyses made by us in light of our
experience and our perception of historical trends, current
conditions, and expected future developments, as well as other
factors we believe are appropriate in the circumstances. Important
factors that could cause actual results to differ materially from
current expectations include, among others, the Company's ability
to generate revenue when anticipated; the ability to implement its
business plan, the Company's ability to deliver homes that meet the
growing demand in South Texas, the
Company's ability to create an all-in-one solution that brings
banks, institutions, home builders, clients, agents, vendors, gig
workers, and insurers into a seamlessly integrated and structured
AI-driven environment, the Company's ability to obtain the capital
necessary to fund its activities, the Company's ability to monetize
its real estate holdings, and other factors discussed in the
Company's Annual Report on Form 10-K for the year ended
December 31, 2023, and its subsequent
filings with the SEC. Readers are cautioned not to place undue
reliance on these forward-looking statements, which speak only as
of the date hereof. All forward-looking statements are qualified in
their entirety by this cautionary statement, and the Company
undertakes no obligation to revise or update this press release to
reflect events or circumstances after the date hereof.
For investor relations and media inquiries, please contact:
Barwicki Investor Relations
Andrew@Barwicki.com
516-662-9461
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SOURCE Safe and Green Development Corporation