Why Safe And Green Development Stock Is Up

Safe and Green Development Corporation SGD shares are trading higher Wednesday after the company announced it has secured an investment of up to $10 million from Arena Investors.

The Details:

Safe and Green Devco said the initial funding amount is $1.38 million with the access to subsequent tranches up to a total of $10.27 million subject to various conditions. SG Devco also entered into an equity line of credit purchase agreement with Arena Business Solutions, whereby the company will have the right, but not the obligation, subject to various conditions, to put shares to the investor for potentially up to $50 million. 

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Safe and Green sees one of the key advantages of this investment to be the company’s access to Arena’s real estate-focused capabilities,and Arena’s extensive network and expertise.

“This investment represents a significant achievement for SG Devco. This strategic commitment signifies Arena’s support for our vision and demonstrates its confidence in the future potential of SG Devco’s real estate projects. We are confident that Arena’s support will not only fuel our expansion but also contribute to the long-term success of our real estate projects,” said David Villarreal, CEO of Safe and Green Devco. 

According to data from Benzinga Pro, more than 41 million Safe and Green shares have been traded in the session, compared to the stock's float of less than 10 million shares.

How To Buy SGD Stock:

Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, in Safe & Green Development's case, it is in the Real Estate sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.

SGD Price Action: According to Benzinga Pro, Safe and Green shares are up 41.6% at 33 cents at the time of publication Wednesday.

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Image: Megan Rexazin Conde from Pixabay