CMCT (NASDAQ: CMCT) redeems preferred shares using new Common Stock
Rhea-AI Filing Summary
Creative Media & Community Trust Corporation reported issuing new Common Stock in connection with preferred stock redemptions. On May 12, May 28 and June 15, 2026, the company issued 4,418, 68,971 and 26,210 shares of Common Stock, respectively, for redemptions of its Series A1 Preferred Stock, including accrued and unpaid dividends.
On the same dates, it issued 26,992, 19,296 and 162,792 shares of Common Stock, respectively, for redemptions of its Series A Preferred Stock, also including accrued and unpaid dividends. The conversion price for each date was based on the 20‑day volume-weighted average price of the Common Stock, at approximately $6.36, $5.41 and $4.30 per share for May 12, May 28 and June 15, 2026, respectively.
Positive
- None.
Negative
- None.
8-K Event Classification
Item 3.02 — Unregistered Sales of Equity Securities
1 item
Item 3.02
Unregistered Sales of Equity Securities
Securities
The company sold equity securities in a private placement or other unregistered transaction.
Key Figures
Common issued for Series A1 on May 12, 2026: 4,418 shares
Common issued for Series A1 on May 28, 2026: 68,971 shares
Common issued for Series A1 on June 15, 2026: 26,210 shares
+5 more
8 metrics
Common issued for Series A1 on May 12, 2026
4,418 shares
In respect of 1,200 Series A1 Preferred shares redeemed
Common issued for Series A1 on May 28, 2026
68,971 shares
In respect of 16,000 Series A1 Preferred shares redeemed
Common issued for Series A1 on June 15, 2026
26,210 shares
In respect of 4,835 Series A1 Preferred shares redeemed
Common issued for Series A on May 12, 2026
26,992 shares
In respect of 6,952 Series A Preferred shares redeemed
Common issued for Series A on May 28, 2026
19,296 shares
In respect of 4,221 Series A Preferred shares redeemed
Common issued for Series A on June 15, 2026
162,792 shares
In respect of 28,093 Series A Preferred shares redeemed
Conversion price May 12, 2026
$6.36 per share
Based on 20 trading day VWAP before May 12, 2026
Conversion price June 15, 2026
$4.30 per share
Based on 20 trading day VWAP before June 15, 2026
Key Terms
Unregistered Sale of Equity Securities, Series A1 Preferred Stock, Series A Preferred Stock, VWAP, +2 more
6 terms
Unregistered Sale of Equity Securities regulatory
"02 Unregistered Sale of Equity Securities. On May 12, 2026, May 28, 2026 and June 15, 2026, Creative Media & Community Trust Corporation..."
Series A1 Preferred Stock financial
"in respect of redemptions of the Company’s Series A1 Preferred Stock, par value $0.001..."
Series A Preferred Stock financial
"the Company issued 26,992, 19,296 and 162,792 shares of Common Stock, respectively, in respect of redemptions of the Company’s Series A Preferred Stock..."
Series A preferred stock is a type of ownership share in a company that gives investors certain advantages, such as priority in receiving profits or getting their money back if the company is sold or goes bankrupt. It is often issued during early funding stages to attract investors by offering more security than common shares. This stock matters to investors because it provides a safer way to invest while still holding potential for future gains.
VWAP financial
"The conversion price was based on the VWAP of the Common Stock for the 20 Trading Days immediately preceding each redemption date..."
VWAP, or Volume-Weighted Average Price, is a way to find the average price of a stock throughout the trading day, giving more importance to times when more shares are traded. It helps traders see the typical price and decide whether a stock is expensive or cheap compared to its average, similar to finding the average speed during a trip by giving more weight to times when you traveled faster or slower.
20 Trading Days financial
"for the 20 Trading Days immediately preceding each redemption date (with each such term as defined in the Company’s charter)..."
Common Stock, par value $0.001 financial
"issued 4,418, 68,971 and 26,210 shares of Common Stock, par value $0.001 (“Common Stock”), respectively..."
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What did CMCT disclose in its latest 8-K filing about stock issuance?
CMCT disclosed it issued new Common Stock in connection with redemptions of its Series A1 and Series A Preferred Stock. These issuances occurred on May 12, May 28 and June 15, 2026, in lieu of cash payments, and included accrued and unpaid dividends.
How was the conversion price for CMCT’s redemptions determined?
The conversion price was based on the volume-weighted average price of CMCT Common Stock over the 20 trading days before each redemption date. It was approximately $6.36 per share on May 12, $5.41 on May 28, and $4.30 on June 15, 2026, respectively.
Were CMCT’s preferred stock redemptions paid in cash or stock?
The redemptions were settled in Common Stock rather than cash. Holders of Series A1 and Series A Preferred Stock requested redemptions, and CMCT issued Common shares in lieu of cash payments, covering both principal redemption amounts and accrued, unpaid dividends.
Which CMCT securities were involved in the unregistered equity issuance?
The transaction involved CMCT’s Common Stock, $0.001 par value, issued for redemptions of the company’s Series A1 Preferred Stock and Series A Preferred Stock, each with $0.001 par value. All issuances were unregistered sales of equity securities under the Exchange Act disclosure requirements.