CEA Industries Signs Contract with Merida Capital Holdings Client

CEA Industries Inc. (NASDAQ: CEAD, CEADW), announced that its subsidiary, Surna Cultivation Technologies LLC, has signed a contract with a client of its previously announced partner, Merida Capital Holdings. The contract is incremental to Surna’s announced backlog of $9.7 million as of August 11, 2022.

In June of this year, the Company announced it had entered into an agreement with Merida in which Merida agreed to use the Company as its sole provider of certain products and services for Merida’s indoor cultivation facilities.

“Surna has had success as Merida’s go-to provider of products and services for their indoor cultivation needs on several projects,” stated Tony McDonald, Chairman, and CEO of CEA Industries Inc. “We are excited to further advance our partnership with Merida with the undertaking of this new project and we look forward to growing our relationship with the success of each of Merida’s client engagements.”

Surna will be providing a suite of HVAC systems for the Connecticut-based client. The systems include Surna’s EnviroPro^™ air handlers, as well as heat recovery fan coils, dehumidifiers, humidifiers, and circulating fans. Surna has previously provided mechanical engineering services for the client.

CEA Industries also announced that its 2022 annual meeting of stockholders has been adjourned to October 6, 2022, at 1:00 PM, Mountain Time. The adjournment was due to a lack of quorum for the meeting scheduled on August 29^th. The record date for the adjourned meeting will continue to be July 8, 2022. Tony McDonald, CEA Industries Chairman and CEO, noted that the Company had received proxies for 3,540,460 shares of common stock outstanding for 44.512% of the shares eligible to vote at the meeting. For approval of the adjournment, the Company had received 3,294,406 or 41.418% of the voted shares eligible to vote at the meeting in favor of an adjournment, in the event that it was needed. Because the votes were generally in favor of electing the designated slate of directors and of ratification of the current accounting firm to continue as the independent auditors, as discussed in the Proxy Statement, dated July 20, 2022, the Company adjourned the annual meeting to continue to solicit votes on these proposals.