- Established Manufacturer/Supplier of Wood-Based Mulch, Soil, and Lumber.
- Arbor care and Storm Recovery Services with Green Waste Solutions, Waste Disposal, and Recycling Services.
- Recent Legal Settlement Will Retire Over 22 Million Shares of SGTM Common Stock from the Company’s 74 Million Shares Outstanding.
- Amended Quarterly Report Adds $6 Million to Assets and Moves the Company to Profitability for the Reporting Period Ending October 1, 2022.
- Registration Statement on Form 10-12G Filed to Become an SEC Reporting Company.
- Highly Qualified and Experienced Additions to Company Leadership Team.
The Sustainable Green Team LTD (OTC PINK: SGTM) is a wholesale manufacturer and supplier of wood-based mulch, soil, and lumber products, selling directly to mass merchandisers, home centers, hardware stores, nurseries, garden centers, convenience stores, and food stores, in addition to wholesalers and distributors. SGTM also provides arbor care and storm recovery services at the residential, commercial, and municipal levels while offering green waste solutions to large and small-scale waste disposal and recycling companies located throughout the southeastern United States. The SGTM subsidiary, Mulch Manufacturing Inc., is the largest provider of cypress mulch in the country.
SGTM has entered into an agreement with Australia-based VRM Biologik Group to bring VRM's world-leading soil moisture technology to the U.S. at scale. HumiSoil(R) and XLR8 Bio(R) are soil treatment products that rebuild soil hydration on a cellular level, improving the soil and the vegetation and agricultural products it supports.
SGTM plans to make HumiSoil(R) and XLR8 Bio(R) available for home gardens and lawns throughout the U.S. to help relieve water use in cities as well as to help VRM Biologik Group in its mission to restore productivity in depleted topsoil in 25 percent of the world's arable land.
On December 20th SGTM announced in a special filing, Entry into a Material Definitive Agreement for the settlement of certain legal matters which have been in contention with Ralph Spencer and RJ Enterprises of Florida. The settlement terms are very favorable to SGTM and include, in exchange for agreed-upon payments, the transfer of important real estate properties to SGTM. Also, very significantly, the agreement specifies the return of 22,101,556 shares of SGTM common stock back to the company from Ralph Spencer and RJ Enterprises. Since SGTM has a small share structure of approximately 74 million OS with a Public Float of approximately 8.4 million, this retirement of over 22 million shares represents a great improvement to SGTM shareholder value at this time.
Further details of the settlement agreement can be reviewed at the following link: https://www.otcmarkets.com/otcapi/company/financial-report/355697/content
SGTM Amends Quarterly Report, Resulting in a $6 Million Gain Adjustment
On January 19th SGTM announced it amended its quarterly report for the period ending October 1, 2022. The restatement includes amended condensed consolidated financial statements for the three and nine months ended October 1, 2022, along with their accompanying footnotes.
SGTM has recently partnered with VRM Biologik Group, embarking on producing a new soil technology in conjunction with that partnership. SGTM will produce a new product line, HumiSoil®, which has resulted in a change of accounting estimate related to inventory valuation. When the cycle counts were completed for the period that ended October 1, 2022, certain stock was excluded from the inventory valuation due to system limitations on how to capture and value that inventory. SGTM therefore, took a charge to the Cost of Revenue while researching the root cause of the excluded inventory. The Company has since identified the source of the deficiency and established procedures to properly account for and value the inventory associated with the production of HumiSoil®.
SGTM has valued its excluded inventory according to the updated procedures, resulting in an adjustment to Inventory and Cost of Revenue of approximately $6 million, increasing the Company’s total assets from $75,606,058 to $81,666,905. Furthermore, the adjustment increased the Company’s total gross profit from $(1,804,949) to $4,255,898 and its net income from $(4,629,242) to $1,229,626 for the three months ended October 1, 2022. For the nine months that ended October 1, 2022, the adjustment increased the Company’s total gross profit from $(492,645) to $5,568,202 and its net income from $(4,869,563) to $989,305. These financial statement changes have been disclosed within the uploaded Amended Financial Statements and Notes filed with OTCMarkets.
Also on January 19th SGTM announced it has filed with the U.S. Securities and Exchange Commission (the “SEC”) a registration statement on Form 10 (the “Form 10”) to register its common stock pursuant to Section 12(g) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). This registration statement is expected to become effective automatically 60 days from the date of the original filing (the “Effective Date”), pursuant to Section 12(g)(1) of the Exchange Act. As of the Effective Date, SGTM will become subject to the reporting requirements of Section 13(a) under the Exchange Act and will be required to file annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K, and it will be required to comply with all other obligations of the Exchange Act applicable to issuers filing registration statements pursuant to Section 12(g) of the Exchange Act.
2023 Corporate Priorities and 2022 Achievements
On January 12th SGTM announced its corporate priorities for the next 12 months and 2022 achievements.
The Company’s 2023 corporate priorities are aimed at bridging the gap SGTM believes exists between the value of its business and its value as reflected in the equity markets, including:
Identifying and prioritizing revenue-producing business opportunities and expansions that would be expected to drive growth and success. With a focus on cash flow management and EBIDTA, SGTM will carefully evaluate potential opportunities and select those that align with its long-term objectives and provide the greatest potential for success. This may involve acquiring companies within the Company’s industry throughout the nation to increase revenues and efficiencies. Furthermore, SGTM will continue to secure new and current contracts through its subsidiaries and partnership increasing revenue.
Become fully reporting with the SEC under the Exchange Act of 1934, providing optimal transparency to its loyal shareholders, and increasing market liquidity.
Developing a strategy for efficiently acquiring capital for long-term growth. This may involve seeking out partnerships, seeking investments or utilizing debt financing. By increasing access to efficient capital, SGTM will be better positioned to scale the business.
Launching its new software, Acumatica, to optimize and assist efficiency internally. This software was obtained in September 2021 and has since been configured to the Company’s needs. Acumatica will maximize resources, reduce costs, and improve profits thanks to an extensive suite of connected and mobile business applications that assist in production, estimating, engineering, material planning, scheduling, product configuration, and manufacturing data collection.
Continuously monitor market conditions and refine the strategy as needed to ensure that SGTM remains competitive and well-positioned for growth.
SGTM purchases a dormant 45-acre interior sawmill site with a 100,000-square-foot building in Beaver, Washington.
SGTM partners with Accel Media International (“AMI”) to obtain a bundle of media services including iconic billboards, short-form broadcasts, commercial and production guidance, media relations, and strategic planning and implementation. Short-form commercials highlighting SGTM and its sustainability message are expected to run across major news networks including Fox Business, Bloomberg, Newsmax, and additional media outlets via AMI’s network of media partnerships.
SGTM signs an agreement with VRM Biolgik Group, obtaining world-leading soil moisture technology to revolutionize the organic waste and soil health industry. VRM Biologik’s technology uses any vegetative green waste or compostable material, including wood material such as sawdust or chips or grindings from wood material, and applies a catalyst to stimulate natural reactions that manufacture and store soil moisture. The 100-percent organic material is converted into HumiSoil®, a valuable soil amendment, reducing the need for fertilizers and chemicals while increasing the production of agricultural products, including livestock grazing on pastureland.
SGTM expands into additional wood recycling facility intended to support the City of Ocoee, Orange County, Florida, and the State of Florida by providing a temporary storm debris and staging site for disaster-related contractors and for the collection and short-term storage of landscape and tree debris as part of any disaster recovery efforts. SGTM will also be utilizing VRM BioLogik’s Groundswell Continuous Fermentation process to produce soil treatment products that rebuild soil hydration on a cellular level from the collected vegetative and wood waste.
SGTM Appoints Ambassador Ned L. Siegal to its Board of Directors and Governance Committee adding his extensive experience in international business, management, real estate, energy, utilities, infrastructure, finance, and cyber security technology to the team.
SGTM appoints Colleen McAleer to its Independent Board of Directors and Compensation Committee. Adding her extensive experience in leadership, governance, commercial real estate, non-profits, and finance to the team.
SGTM appoints Bradford B. Baker to its Independent Board of Directors and Audit Committee. Adding his extensive experience in management, operations, finance, government process, and international relations to the team.
SGTM uplists to the OTCQX tier, the best market providing investors with transparent trading and information.
SGTM signs a contract with FMW Media to create, direct, produce and distribute commercial content to increase company exposure on its environmentally friendly agriculture products.
SGTM cancels 22,101,556 shares of the Company’s Common Stock from a recent settlement, updating the outstanding shares to 74,246,743 from 96,348,299 as of December 29, 2022.
CAP/FrontPageStocks/CorporateAds.com (CA) is a third-party publisher and news dissemination service provider. CAP/FPS/CA is NOT affiliated in any manner with any company mentioned herein. CAP/FPS/CA is a news dissemination solutions provider and is NOT a registered broker/dealer/analyst/adviser, holds no investment licenses, and may NOT sell, offer to sell or offer to buy any security. CAP/FPS/CA’s market updates, news alerts, and corporate profiles are NOT a solicitation or recommendation to buy, sell or hold securities. The material in this release is intended to be strictly informational and is NEVER to be construed or interpreted as research material. All readers are strongly urged to perform research and due diligence on their own and consult a licensed financial professional before considering any level of investing in stocks. All material included herein is republished content and details which were previously disseminated by the companies mentioned in this release or the opinion of the writer. CAP/FPS/ CA is not liable for any investment decisions by its readers or subscribers. Investors are cautioned that they may lose all or a portion of their investment when investing in stocks. CAP/FPS/CA has been compensated $500 by a third party for the dissemination of this article.
These news releases and postings may contain forward-looking statements within the meaning of the Securities Litigation Reform Act. The statements reflect the Company’s current views with respect to future events that involve risks and uncertainties. Among others, these risks include the expectation that any of the companies mentioned herein will achieve significant sales, the failure to meet schedule or performance requirements of the companies’ contracts, the companies’ liquidity position, the companies’ ability to obtain new contracts, the emergence of competitors with greater financial resources and the impact of competitive pricing. In light of these uncertainties, the forward-looking events referred to in this release might not occur.
Company Name: The Sustainable Green Team LTD
Contact Person: Tony Raynor, CEO
Email: Send Email
Country: United States