Core Viewpoint - The acquisition of Resource Group by Safe and Green Development Corporation (SGD) is a strategic move aimed at enhancing revenue-generating operations and aligning with the company's vision for sustainable development [2][5]. Company Overview - Safe and Green Development Corporation is a publicly traded real estate and development company focused on innovative and green building practices, utilizing prefabricated modules made from wood and steel [12]. - Resource Group US Holdings LLC specializes in transforming organic green waste into engineered soil and mulch products, providing sustainable solutions for various sectors [3]. Acquisition Details - SGD has completed the acquisition of Resource Group, which includes a permitted composting facility, two green waste aggregation sites, and a transportation fleet [2]. - The acquisition is expected to add significant revenues and growth potential to SGD's core business [5]. - SGD issued 376,818 shares of common stock, 1,500,000 shares of non-voting Series A Convertible Preferred Stock, and $480,000 in unsecured promissory notes as part of the acquisition [5]. Operational Integration - The Resource Group team will continue in their current roles, collaborating with SGD's leadership to ensure a seamless transition and integration of operations [4]. - The combined entity is working on aligning operations, optimizing logistics, and expanding sales of environmentally responsible products [11]. Future Plans - SGD plans to reconstitute its board of directors to include members from Resource Group, enhancing governance and oversight [6]. - The company is in the process of rebranding under a new name, which will be announced soon [11].

Core Insights - Safe and Green Development Corporation (SGD) announced a strategic acquisition of Resource Group US Holdings LLC (RSG), aimed at long-term revenue growth in engineered soils and composting [1][2] - SGD achieved its first quarter of positive Adjusted EBITDA in Q4 2024, indicating progress in financial performance [1][6] - The company is focusing on monetizing non-core assets and advancing residential development projects to support future growth [1][3] Acquisition Details - The acquisition of RSG includes two subsidiaries: RGUS, which has a patented composting and engineered soils machinery, and ZEI, a logistics and trucking business [2] - RSG generated $17.5 million in revenue in 2023 and $18.75 million in 2024, with a reduced net loss from $6.2 million to $936,000 [2] - The transaction is expected to close by Q2 2025, pending customary conditions and RSG's audit completion [2] Financial Performance - For the full year 2024, SGD reported a net loss of $8.91 million, with an Adjusted EBITDA of $(1.77) million [6] - In Q4 2024, the company recorded a net loss of $1.53 million and an Adjusted EBITDA of $38,841, marking a significant improvement [6] Strategic Initiatives - SGD sold its St. Mary's property for $1.4 million to reduce high-interest debt and reinvest in aligned initiatives [3] - The company made construction progress in its Sugar Phase I development in South Texas, completing the first five homes [4] - SGD secured up to $10 million in potential investment from Arena Investors to support its strategic growth [5]