Nashville, TN, Feb. 22, 2022 (GLOBE NEWSWIRE) — via NewMediaWire — LIG Assets Inc. (“LIGA“or the”Company”) (OTC PINK: LIGA) has two deals with ForeverBoard of California. The first element is a royalty agreement on production from ForeverBoard’s current factory in Shafter, California. The second is a binding memorandum of understanding to create a new holding company for the express purpose of expanding ForeverBoard factories in the United States and Canada. This press release should be read in conjunction with the Arrangement Circular as a whole. Capitalized terms not otherwise defined below have the meanings given to them in the Arrangement Circular.
As noted in the Supplemental OTC Markets Disclosure, LIG Assets’ total investment of $585,675 will receive a 4% royalty on sales of ForeverBoard produced at the Shafter, CA facility. The royalty agreement is capped at $1,200,000 over a three-year period. The royalty agreement provides a cash flow and yield “floor” for LIGA. Current negotiations with customers suggest a strong likelihood that the plant will deliver product volumes by truck over the next 12 to 16 weeks.
The royalty agreement is part of a two-step process and will be converted into an equity position upon termination of the holding company for the express purpose of expanding ForeverBoard factories in the United States and Canada. The holding company is expected to be formed no later than April 30, 2022. LIGA will own 51% of the new “ForeverBoard Inc.”. The factory in Shafter, California will be transferred to the new LLC and LIGA will buy the capital of the minority shareholder for 1,500,000 USD. In return for a favorable purchase price, the minority shareholder will participate in the future upside of the new “ForeverBoard, Inc.” LIGA is currently expecting assistance from the State of Indiana to help fund the new – and much larger – plant expansion in northern Indiana. The expansion plant will have four to five times the capacity of the AC plant.
The residential and commercial drywall market represents approximately $60 billion in annual sales USD. The “green” part of this market is growing exponentially, and LIGA is convinced that ForeverBoard is the product that is rapidly gaining market share. www.foreverboard.net
For reference, the current plant is expected to generate approximately US$3 million in EBITDA at 75% capacity and one shift. If demand materializes as expected, a second team may be added.
For further information and commentary, please read the additional disclosure, including management’s discussion at the following link: https://www.otcmarkets.com/otcapi/company/financial-report/321055/content.
About LIG Assets, Inc.:
LIG Assets, Inc., in association with Robert Plarr, is the emerging “Green Asset Leader” – focused on exclusive green homes, renewable energy and sustainable homes, living systems, technologies and components for use in residential and commercial real estate. acquisition and development projects currently underway and now individual product sales, as well as rapid expansion into other sectors through acquisitions, mergers and joint venture partnerships. LIG Assets, Inc. trades on the pink sheets under the symbol “LIGA”.
LIGA Homes, in association with the Company’s other wholly owned subsidiary, LIG Developments, LLC., a structural steel fabrication and design entity incorporated under the LIG Assets umbrella, will accelerate the development of LIGA Homes as an emerging pioneer in green and renewable energy. industries that have successfully created the world’s first earthquake, flood, hurricane and fire resistant homes and structures that are 100% fully sustainable and disaster resistant – from individual eco-friendly systems and homes to fully sustainable communities and centers buildings – completely revolutionizing the sustainable and ever-renewable building movement!
For more information about LIG Assets, Inc., Robert Plarr, and/or how to purchase our proprietary homes, structures, products and technologies or to subscribe online to LIGA’s free shareholder newsletter for regular updates and alerts regarding important company developments. Please follow LIGA on Twitter.com/LIGAssets.
This press release may contain forward-looking statements. The words “believe”, “expect”, “should”, “intend”, “estimate”, “project”, variations of these words and similar expressions identify forward-looking statements, but their absence does not mean that a statement is not a forward-looking statement. These forward-looking statements are based on the Company’s current expectations and are subject to a number of risks, uncertainties and assumptions. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. Important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include the risks detailed in the company’s respective filings at www.otcmarkets.com.
LIGA shareholder/investor inquiries can be directed to:
President – LIG Assets, Inc.
CEO – BGTV Direct Worldwide Media Solutions
Email: [email protected]
833 – LIGAHOMES