Genius Brands International Inc (GNUS)

[rickn23]

WOW! Arnold get a warrant "to purchase 2,158,273 shares of the Company’s common stock at an exercise price equal to $1.39 per share (the “Exercise Price”)" and gets a 1/3 interest in Superhero Kindergarten.

If Superhero Kindergarten does well, Arnold got a really good deal, as long as GNUS shares stays above $1.39 per share.

On June 12, 2020, Genius Brands International, Inc., a Nevada corporation (the “Company”), issued to Oak Productions, Inc. a warrant (the “Schwarzenegger Warrant”) to purchase 2,158,273 shares of the Company’s common stock at an exercise price equal to $1.39 per share (the “Exercise Price”). The Schwarzenegger Warrant will be a non-refundable recoupable advance on Mr. Schwarzenegger’s one-third (1/3) participation in the animated television series currently entitled “Stan Lee’s Superhero Kindergarten” (the “Show”). MSA Advisors, LLC (“MSA”) will also receive a warrant (the “MSA Warrant” and, together with the Schwarzenegger Warrant, the “Warrants”) to purchase 125,899 shares of the Company’s common stock at the Exercise Price as compensation for MSA’s role as an advisor to the Show.

I don't see any indication Arnold is actually putting any of his money on the line here.

https://www.sec.gov/Archives/edgar/data/1355848/000168316820001994/genius_8k.htm