Item 5.03 Amendments to Articles of Incorporation or Bylaw; change in Fiscal Year.
On August 21, 2024, in connection with the Share Exchange Agreement, the Company filed a Certificate of Designation, authorizing and designating 10,000,000 shares of the Company’s Series C Convertible Preferred Stock, par value $0.0002 per share (the “Series C Stock”), with the Oklahoma Secretary of State. Each share of the Series C Stock has a stated value of $3.00. Each holder of the Series C Stock shall be entitled to a number of votes equal to shares of the Company’s common stock into which such Series C Stock are then convertible, disregarding, for such purposes, any limitations on conversion. However, the holders are not entitled to receive any dividend rights.
The Series C Stock is convertible, at the option of the holders and, in certain circumstances, by the Company, into shares of common stock. Each share of the Series C Stock may be converted into Two Hundred Thirty (230) shares of common stock of the Company, subject to terms and conditions and limitations as set forth in the Certificate of Designation for the Series C Stock.
The conversion rate in the March announcement was 150. Now it's 230. The way it reads to me is in March they initially valued each share at .02 and now they see it being .013.