Mangoceuticals establishes 6% Series B convertible preferred stock

Mangoceuticals , Inc. (NASDAQ:MGRX) has established a new class of preferred stock, according to a statement in a recent SEC filing. On July 3, Mango & Peaches Corp., a wholly-owned subsidiary of Mangoceuticals, filed a Certificate of Designations with the Secretary of State of Texas to create the 6% Series B Convertible Cumulative Preferred Stock. The designation covers 1,000,000 shares.

The Series B Preferred Stock carries several key terms. Each share is entitled to cumulative dividends at a rate of 6% per year on the stated value of $10 per share, payable quarterly in arrears starting September 30, 2025, if declared by the board. Dividends can be settled in cash or by increasing the stated value of the shares.

In the event of liquidation, holders are entitled to receive the stated value plus $2.50 per share and any accrued dividends before payments to holders of junior securities, but after any senior securities.

Holders may convert Series B Preferred Stock into common stock at a conversion price of $1.50 per share, subject to certain adjustments. The conversion is limited so that no holder and its affiliates may own more than 4.999% of the company’s common stock after conversion, unless increased up to 9.999% with 61 days’ notice.

The Series B Preferred Stock does not carry general voting rights, except for specific protective provisions. Approval from a majority of Series B holders is required before the company can amend the designation, change the number of authorized shares, alter the certificate of formation in a way that affects Series B rights, authorize senior securities, or otherwise change Series B privileges adversely.

The company may redeem the Series B Preferred Stock for cash at $12.50 per share any time after the third anniversary of issuance.

This information is based on a statement in a press release filed with the Securities and Exchange Commission. InvestingPro subscribers have access to over 10 additional key insights about Mangoceuticals, including detailed financial health metrics and growth indicators that could be crucial for evaluating this preferred stock offering.

In other recent news, Mangoceuticals, Inc. has reported significant developments across various areas of its business. The company announced promising results from field studies of its antiviral compound MGX-0024, which could potentially prevent respiratory diseases in poultry. These studies showed a significant reduction in mortality rates among treated chickens compared to untreated ones. Additionally, Mangoceuticals acquired all intellectual property and related assets from Smokeless Technology Corp., a Canadian firm specializing in stimulant and functional oral pouches. This acquisition aims to expand Mangoceuticals’ product offerings and tap into the growing oral pouch delivery market. Furthermore, the company’s president, Tony Isaac, resigned from his role and the board of directors, effective June 30, with no disagreements cited regarding the company’s operations. Mangoceuticals is also actively pursuing partnerships and regulatory approvals to expand the use of MGX-0024 and scale up production. The company has engaged Tim Corkum, a former JUUL Labs Canada executive, to enhance its management team and drive product development. These recent developments highlight Mangoceuticals’ strategic efforts to diversify and grow its business in the health and wellness sector.

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