Analyst Summary
- Creative Media & Community Trust Corporation issued 3,600,415 shares of Common Stock on March 12, 2025, for the redemption of 108,022 shares of Series A1 Preferred Stock.
- An additional 1,529,145 shares of Common Stock were issued on March 12, 2025, for the redemption of 43,367 shares of Series A Preferred Stock.
- On March 13, 2025, the Company issued 280,098 shares of Common Stock for the redemption of 8,451 shares of Series A1 Preferred Stock.
- Also on March 13, 2025, 185,363 shares of Common Stock were issued for the redemption of 5,463 shares of Series A Preferred Stock.
- Redemptions were based on the VWAP of the Common Stock for the 20 Trading Days preceding each redemption date.
- The Company intends to continue satisfying redemption requests for Series A and A1 Preferred Stock with Common Stock through Q1 2025.
Potential Implications
Stock Price
- Issuance of new common stock may dilute existing shareholders, potentially leading to a decrease in stock price.
- The continued practice of using common stock for preferred stock redemptions could create downward pressure on the stock price if the market perceives it negatively.