International Land Alliance adds super-voting Series A, discounts Series C
Rhea-AI Filing Summary
International Land Alliance, Inc. reported that it has amended its Articles of Incorporation to change the terms of its preferred stock. The company increased the authorized shares of its Series A Convertible Preferred Stock to 200,000 and its Series C Convertible Preferred Stock to 15,000. The amendment also gives each Series A preferred share 100 votes, changes its conversion right to 1 share of common stock per preferred share, and makes the redemption right perpetual instead of limited to 5 years.
In addition, the Series C Convertible Preferred Stock now has a stated value of $100 per share and a conversion price set at 80% of the average closing sale price for the 10 consecutive trading days immediately before conversion, which ties its conversion terms directly to the market price of the common stock.
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Insights
ILAL rewrites preferred stock terms, adding super-voting rights and market-based conversion.
The company has significantly revised the structure of its preferred stock. Series A Convertible Preferred Stock is increased to 200,000 shares and now carries 100 votes per share, which can concentrate voting power among Series A holders relative to common shareholders. The conversion terms are also tightened from 100 common shares per preferred share to 1 common share per preferred share, while redemption is changed from a 5‑year limit to a perpetual right.
Series C Convertible Preferred Stock is increased to 15,000 shares with a stated value of $100 per share, and its conversion price is set at 80% of the average closing sale price over 10 consecutive trading days immediately before conversion. This formula links conversion to prevailing market prices at a discount, which can influence future common share issuance depending on how many preferred shares eventually convert.