GRANTS, NEW MEXICO, Aug. 08, 2024 — 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
