Agrify Inks Total Turn-Key Agreement In New Jersey With Loud Wellness

Agrify Corp AGFY has signed a definitive agreement for its Agrify Total Turn-Key Solution with Loud Wellness Inc., a New Jersey-based cultivation and manufacturing operator.
Loud Wellness is one of only eight awardees that received both the Class 1 Cultivator and Class 2 Manufacturer licenses in New Jersey.
According to MJBizDaily, the nascent New Jersey recreational cannabis market will surpass $2 billion in yearly sales within a few years, rivaling neighboring New York and Massachusetts. Loud Wellness is well-positioned to take market share.
The terms of the 10-year agreement entered include the installation of 500 VFUs and the use of the fully integrated Agrify Insights software at Loud Wellness' Glassboro, NJ facility.
Agrify will also provide architectural and engineering services, operations consulting, and brand licensing. The engagement is expected to generate ~$100 million in production success fees, based on a conservative 35 pounds annual dry-flower production per VFU and ~$18 million in SaaS software fees for Agrify.
Also, Agrify may provide Loud Wellness up to an $18 million construction loan based on its standard TTK terms.
Price Action: AGFY shares are trading higher by 5.42% at $3.89 on the last check Monday.