Item 3.02 Unregistered Sales of
On
Redemption and Stockholder Approval: Under the terms of the Series C-2, the
Company shall call a special meeting of stockholders within 180 days of the
initial issuance date seeking stockholder ratification of the issuance of the
Series C-2. If the ratification of the issuance is not approved prior to the
twelve-month anniversary of the initial issuance date (the "Vote Deadline"), the
Series C-2 will be redeemed at a price equal to 107% of (i) the stated value per
share, or
Conversion: Each share of Series C-2 is convertible into shares of the Company's
common stock, par value
Ranking: The Series C-2 ranks senior to the Company's common stock, and to all other classes and series of equity securities of the Company which by their terms do not rank pari passu or senior to the Series C-2. The Series C-2 is subordinate to and ranks junior to all indebtedness of the Company. The holders of the Series C-2 are entitled to receive dividends or distributions on each share of Series C-2 on an as converted basis.
Voting Rights: If the issuance of the Series C-2 is ratified by the stockholders of the Company, each share of Series C-2 shall vote on an as converted basis with the common stock or other equity securities of the Company on a two vote per one share of common stock basis. The common stock into which the Series C-2 is convertible shall, when issued, have all the same voting rights as other issued and outstanding common stock of the Company.
Anti-Dilution Adjustment: If at any time after the initial issuance date, the
Company raises capital equal to or in excess of
The sale of the Series C-2 was exempt from the registration requirements of the Securities Act of 1933 pursuant to Section 4(a)(2) and Rule 506(b) of Regulation D thereof.
The foregoing description of the Series C-2 does not purport to be complete and is qualified in their entirety by reference to the provisions of such Certificate of Designations, Preferences and Rights of the Series C-2 (the "Certificate of Designation"), which is filed as Exhibit 4.1 to this report.
Item 5.03 Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year
On
The Company intends to seek stockholder approval for the ratification of the Series C-2 issuance described in Item 3.02 of this report.
Item 9.01 Financial Statements and Exhibits.
4.1 Certificate of Designations, Preferences and Rights of the Series C-2
Convertible Preferred Stock
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