NEWS iLL POST IT
NEW HAVEN, CT, Dec 15, 2009 (MARKETWIRE via COMTEX) -- American Green Group, Inc. (PINKSHEETS: AMNE) (www.americangreengroup.com) and its wholly owned subsidiary Paradigm Polymers have agreed to sell ECOSAFE PREMIUM FOAM(R) to Trans Global Group, Inc (PINKSHEETS: TGGI) and its wholly owned subsidiary Ecosafe Insulation of FL ("ECOFL") (www.ecosafeus.com).
The Agreement, which calls for respective Shareholder and Director Approvals, would give TGGI complete control of Ecosafe Premium Foam(R). Under the terms of the Agreement a third party Fairness Opinion is needed to place a fair market value on the Ecosafe division of AMNE. AMNE and TGGI will rescind their joint venture agreement and AMNE will return to TGGI the 50 million shares of TGGI it received in September.
TGGI will also assume certain liabilities of AMNE that are associated with Ecosafe.
AMNE has been unsuccessful in the past few months in obtaining financing for the Company because of the company's stock price. Changes in the securities industry regarding sub penny securities has made it nearly impossible for the company to receive outside financing. The Company had previously stated it will not do a reverse split which is the only way the Company would cease trading as a sub penny securitie.
The Agreement is expected to be signed by the end of December 2009 and completion will take place early in the first quarter of 2010. Once the Agreement is executed TGGI and AMNE will work together for a seamless transaction and TGGI will assume control of the daily operations of Ecosafe.
Neither company anticipates any hurdle in receiving both Shareholder and Director approvals to complete the transaction.
AMNE will work with TGGI in developing the "Infinite R" brand and bring the product to market in 2010.
The Company believes all other remarks made in the release to be accurate to the best of their knowledge
