Edible Garden completes sale of Net Operating Losses

Edible Garden has completed the sale of its net operating losses under the New Jersey Economic Development Authority's Technology Business Tax Certificate Transfer Program and has received gross proceeds of approximately $3.35 million.

Through the NJEDA Technology Business Tax Certificate Transfer Program, qualified New Jersey-based technology and innovation-driven companies are permitted to transfer certain unused New Jersey net operating losses and research and development tax credits to approved corporate buyers in exchange for cash. The Program is designed to provide eligible companies with access to non-dilutive, tax-free capital without issuing equity or incurring additional debt.

Jim Kras, Chief Executive Officer of Edible Garden, commented, "The completion of this NOL sale reflects an important step in strengthening the Company's financial position. By monetizing previously unused New Jersey net operating losses, we converted tax assets into immediate, non-dilutive liquidity that further strengthens our balance sheet, enhances financial liquidity, and builds on the progress we have made in improving our cash flow position through disciplined execution across the business. This enhanced financial flexibility allows us to support ongoing operations, continue investing in our core business, and evaluate disciplined capital allocation decisions as we pursue strategic initiatives focused on growth and operational efficiency. With a stronger balance sheet, we believe Edible Garden is well positioned to deploy capital in ways that support sustainable, long-term value creation for our shareholders."