OAKLAND PARK, FL--(Marketwired - May 26, 2016) - BioStem Technologies, Inc. (
The Certificate of Designation for the Series A-1 Convertible Preferred Shares was amended (i) to reduce the number of authorized Series A-1 Convertible Preferred Shares from 500,000 to 300; (ii) to provide that each Series A-1 Convertible Preferred Share will have 2 million votes on any matter submitted to the shareholders of the Company; (iii) to provide that each Series A-1 Convertible Preferred Share will convert into one share of common stock of the Company.
The Certificate of Designation for the Series B-1 Convertible Preferred Shares was amended to provide that each Series B-1 Convertible Preferred Share will convert into 6 shares of common stock of the Company.
The amendments were approved by the Board of Directors of the Company and by the holders of the Series A-1 Convertible Preferred Shares and the Series B-1 Convertible Preferred Shares, on May 19, 2016.
Prior to these new designations, the holders of the preferred stock held a non-dilutable 55% equity stake (Preferred A-1), and a non-dilutable 15% equity stake (Preferred B-1) which combined, represented a non-dilutable 70% stake in BioStem Technologies, whereas the percentage following the amendments to the designations is now 46.6% on a fully diluted basis. Based on our current organizational documents, with any new stock offering going forward, all of our common and preferred stock shareholders will be diluted pari passu, on a fair and equitable basis. We believe that increasing shareholder equity and eliminating the possibility of unequal dilution will be viewed more favorably by the investment community.
About BioStem Technologies, Inc. (
Forward-Looking Statements Except for statements of historical fact, the matters discussed in this press release are forward looking and made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "future," "plan" or "planned," "expects," believe" or "projected." These forward-looking statements reflect numerous assumptions and involve a variety of risks and uncertainties, many of which are beyond the company's control that may cause actual results to differ materially from stated expectations. These risk factors include, among others, limited operating history, difficulty in developing, exploiting and protecting proprietary technologies, intense competition and additional risks factors as discussed in reports filed by the company with OTC Markets.
Contact Information:
Contact:
BioStem Technologies, Inc.
Phone: 954-380-8342
Website: http://www.biostemtech.com
Email: info@biostemtech.com
Twitter: @BioStemTech
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