Nashville, TN, Feb. 22, 2022 (GLOBE NEWSWIRE) -- via NewMediaWire -- LIG Assets Inc. (“LIGA” or the “Company”) (OTC PINK: LIGA) has completed two agreements with ForeverBoard of California. The first item is a royalty agreement on the production of the current ForeverBoard Plant in Shafter, California. The second is a binding MOU to create a new Holding Company for the express purpose of expanding ForeverBoard Plants in the United States and Canada. This news release should be read in conjunction with the Arrangement Circular as a whole. Capitalized terms not otherwise defined below shall have the meanings ascribed to such terms in the Arrangement Circular.
As disclosed in the Supplemental Disclosure at OTC Markets, LIG Assets’ total investment of $585,675 USD, will receive a 4% royalty on the sales of ForeverBoard produced at the Shafter, CA facility. The Royalty agreement is capped at $1,200,000 USD over a three-year period. The royalty agreement provides a cash flow and yield ‘floor’ for LIGA. Current customer negotiations suggest a high probability that the plant will be delivering truckload volumes of product over the next 12-16 weeks.
The royalty agreement is part of a two-step process and will be converted to an equity position upon completion of Holding Company for the express purpose of expanding ForeverBoard Plants 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 Shafter, CA plant will be transferred into the new LLC and LIGA will purchase the equity of the minority shareholder for $1,500,000 USD. As compensation for a favorable purchase price the minority shareholder will participate in the future upside of the new ‘ForeverBoard, Inc.’ LIGA currently expects aid from the State of Indiana to help fund the new – and much larger – expansion plant in northern Indiana. The expansion plant will have four to five times the capacity of the CA plant.
The residential and commercial drywall market is approximately $60 Billion of annual sales USD. The ‘green’ portion of this market is growing exponentially, and LIGA is confident that ForeverBoard is the product to capture market share rapidly. www.foreverboard.net
As a point of reference, the current plant is projected to EBITDA approximately $3 million USD at 75% capacity and one shift. If demand materializes as expected, a second shift can be added.
For further information and commentary please read the Supplemental Disclosure including the Management Discussion of 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 "Leader in Green Assets" -- focused on exclusive green, renewable energy, and sustainable homes, living systems, technologies, and components to be utilized in the residential and commercial real estate acquisition and development projects currently under way and now individual product sales, as well as rapid expansion into other sectors via acquisitions, mergers, and joint venture partnerships. LIG Assets, Inc. trades on the pink sheets under the ticker symbol "LIGA".
LIGA Homes in association with the Company’s other wholly-owned subsidiary, LIG Developments, LLC., a steel framing manufacturing and design entity incorporated under the LIG Assets corporate umbrella will fast track LIGA Homes’ development as an emerging pioneer in the green and renewable energy sectors having 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 green systems and homes to fully sustainable communities and commercial centers - completely revolutionizing the sustainable and renewable construction movement forever!
For additional information about LIG Assets, Inc., Robert Plarr, and/or how to purchase our exclusive 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 at Twitter.com/LIGAssets.
Forward-Looking Statements:
This press release may contain forward-looking statements. The words "believe," "expect," "should," "intend," "estimate," "projects," variations of such 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 upon 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. Among the important factors that could cause actual results to differ significantly from those expressed or implied by such forward-looking statements are risks are detailed in the Company's respective filings at www.otcmarkets.com.
Contact Information:
LIGA Shareholder/Investor inquiries can be directed to:
Marvin Baker
President – LIG Assets, Inc.
CEO – BGTV Direct Worldwide Media Solutions
Email: Marvin@BGTVDirect.com
www.LeaderInGreenAssets.com
www.BGTVDirect.com
www.LIGAHomes.com
833 – LIGAHOMES
