Groove Botanicals files draft information statement
GRVE•Groove Botanicals shareholders authorized up to $15 million in Series C Preferred Stock, carrying a 7% non-cumulative annual dividend and conversion at a 25% discount to the trailing market price. The actions are expected to take effect on or about November 20, 2026.
1. Preferred stock authorization
Shareholders authorized up to $15 million in Series C Preferred Stock on October 20, 2026. The shares carry a 7% non-cumulative annual dividend and may convert into Common Stock at a 25% discount to the trailing market price. Conversions could substantially dilute Common Stock holders, but will remain suspended until sufficient authorized shares are available.
2. Voting control restrictions
Shareholders also authorized restrictions on redeeming Series A Convertible Preferred Stock without holder consent, preserving Kent Rodriguez's approximately 51% voting control. Both actions are expected to take effect on or about November 20, 2026.
