Safe and Green Development announces $9M private placement

Safe and Green Development (SGD) announced that it has entered into a securities purchase agreement for a private investment in public equity financing for gross proceeds to the company of approximately $9M, before deducting placement agent fees and offering expenses. Pursuant to the terms of the securities purchase agreement, the company is selling an aggregate of 360,000 shares of the company’s Series B Non-Voting Convertible Preferred Stock convertible at $1.36 per share into 6,617,647 shares of common stock and common warrants to purchase up to 6,617,647 shares of common stock exercisable at an exercise price of $1.36 per share. Each unit is being sold at a combined price of $25.00 for each share of Preferred Stock and accompanying warrant, which pricing was designed to be in accordance with the “Minimum Price” requirement as defined in the Nasdaq rules. The Warrants issued in the PIPE are not exercisable until the shareholders of the company approve the terms of the Warrants and will expire two and one-half years following such approval. Dawson James acted as the sole placement agent for the PIPE financing. The PIPE financing is expected to close on or about October 17, subject to the satisfaction of customary closing conditions.