Safe & Green Holdings Corp. Enters Merger Agreement with New Asia Holdings Inc. – Positive Impact on Stockholders’ Equity Reported

On February 3, 2025, Safe & Green Holdings Corp. (NASDAQ:SGBX) disclosed in an 8-K filing that it has engaged in an Agreement and Plan of Merger with New Asia Holdings Inc., a Nevada corporation. This agreement outlines a strategic merger where New Asia Holdings Inc. will be merged into a subsidiary of Safe & Green Holdings Corp., a move referred to as the Merger. The aftermath of this merger will lead to New Asia Holdings Inc. and its owned subsidiaries, Olenox Corp. and Machfu Inc., becoming indirect, wholly owned subsidiaries of Safe & Green Holdings Corp.

The transaction, which is estimated to have a positive impact on stockholders’ equity amounting to about $60 million, has consequently positioned the company’s stockholders’ equity at a minimum of $2.5 million, as mandated by Nasdaq Listing Rule 5550(b)(1). Safe & Green Holdings Corp. has submitted documentation to Nasdaq to validate its compliance with this Rule and is currently awaiting confirmation from Nasdaq on the same.

The CEO of Safe & Green Holdings Corp., Michael McLaren, signed off the 8-K filing affirming the details stated therein. Following this merger agreement, the company is set to undergo structural changes and further expansion as it absorbs new subsidiaries into its corporate framework. This move signifies a step forward in Safe & Green Holdings Corp.’s growth strategy and market positioning.

This announcement comes as a significant development for Safe & Green Holdings Corp. and indicates a period of change and growth for the company and its shareholders.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Safe & Green’s 8K filing here.

Safe & Green Company Profile

Safe & Green Holdings Corp. is a design and construction services company, which engages in the provision of code engineered cargo shipping containers. It operates through the following segments: Construction, Medical, Development, and Corporate and Support. The Construction Services segment includes the manufacturing of unit SG ECHO and other modules projects.