Replies to post #24411 on Houmu Holdings Ltd (HOMU)

[NRS2005]

If he owns 93% of the voting rights than he owns 93% of the common shares. Common Shares can also be called voting shares. Whatever the total number of commons shares is; the new owner has 93% of them.

[Jeff Taitano]

Do you think it would be safe to assume that by having this large amount of preferred shares, it would be in the best interest of the owner to raise the value of the common shares as much as possible to secure the best dividend rate for their investment?

Do preferred shares always pay dividends?

What are the risks for shareholders when there is a large block of preferred shares? Are there any?

[sdhunter11]

Either Increase of Number of Authorized Common Shares or do a reverse stock split in order for the private entity to obtain majority ownership/voting rights in the public shell. If unable to increase number of authorized common shares to gain majority then below is a viable solution to the problem.

Preferred Stock - Determining that each preferred share shall be convertible into a certain number of common shares so that after the conversion, the shareholders of the private company will hold the percentage of the common shares in the public shell they are supposed to hold under the terms of the the deal.
Therefore imo that is what happened -- Wei Tian obtained 100,000,000 preferred stock granting him 93%.

Which states in the 8-k.
On December 9, 2020, as a result of a private transactions, 100,000,000 shares of Series A Preferred Stock, $0.001 par value per share (the “Shares”) of XXStream Entertainment, Inc., a Nevada corporation (the “Company”), were transferred from Custodian Ventures, LLC to Wei Tian (the “Purchaser”). As a result, the Purchaser became an approximately 93% holder of the voting rights of the issued and outstanding share capital of the Company on a fully-diluted basis of the Company, and became the controlling shareholder