Bankruptcy: Bright Green Corp

Form Type: 8-K

Filing Date: 2025-02-27

Corporate Action: Bankruptcy

Type: New

Accession Number: 000149315225008512

Filing Summary: On February 24, 2025, Bright Green Corp filed a Form 8-K to report material developments related to its Chapter 11 bankruptcy filing and restructuring efforts. The company entered a Restructuring Support Agreement (RSA) with its majority shareholder, Lynn Stockwell, to implement a prepackaged restructuring. This includes an agreement to voluntarily withdraw all Cannabis-related renewal applications. The restructuring plan entails the establishment of a $6,500,000 Exit Facility to fund working capital, paying allowed administrative claims in cash, and restructuring debts through a combination of cash and equity distributions post-reverse stock split. A significant aspect of the plan is the anticipated conversion of a portion of the debt into common stock and the renaming of the company to Drugs Made In America Corp. The company plans to involve federal agencies in research and engage franchisees for facility management in controlled substance production. A petition for Chapter 11 relief was filed on February 22, 2025, with the aim of ongoing operations under bankruptcy court guidelines while seeking acceptance of the restructuring plan from the majority of its general unsecured creditors. The filing cautioned investors about the speculative nature of trading in company securities due to ongoing restructuring complexities.

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Form Type: 8-K

Filing Date: 2025-01-28

Corporate Action: Bankruptcy

Type: New

Accession Number: 000149315225003865

Filing Summary: Bright Green Corporation entered into a Restructuring Support Agreement on January 21, 2025, with its major shareholder, Lynn Stockwell. This agreement facilitates the company’s restructuring efforts in anticipation of filing a petition for Chapter 11 bankruptcy. It outlines various terms including the conversion of a $2,825,000 pre-petition secured note into shares of Series A Convertible Voting Preferred Stock and the establishment of a $5,400,000 Exit Facility for working capital needs. The agreement also stipulates a restructuring plan involving a reverse stock split at a ratio of 50-1 and issuance of common stock to unsecured creditors. The company plans to change its name to Drugs Made In America Corp. and seeks to organize a joint venture to research plant-based controlled substances. A press release announcing this agreement was issued on January 23, 2025, cautioning security holders about the speculative nature of trading during the bankruptcy proceedings. The restructuring will require a majority vote from general unsecured creditors and is subject to court approval.

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