Vivakor withdraws preferred stock series

In a recent move, Vivakor , Inc. (NASDAQ:VIVK), a $28.4 million market cap company specializing in refuse systems, has amended its Articles of Incorporation to eliminate all previously designated series of preferred stock. According to InvestingPro data, the company’s stock has declined over 57% in the past six months, trading at $0.80 per share. The filing with the Nevada Secretary of State took place on Wednesday, February 6, 2025, and as of that date, the company has 15 million shares of preferred stock authorized but undesignated to any specific series and with no outstanding shares.

This corporate action was disclosed in a Form 8-K filed with the U.S. Securities and Exchange Commission on February 12, 2025. The amendment signifies a change in the capital structure of the Dallas-based firm, which operates under the organization name 01 Energy & Transportation. The Certificate of Amendment to the Articles of Incorporation has been included as an exhibit in the SEC filing.

The implications of this amendment for shareholders and potential investors are yet to be observed, as the company has not provided additional commentary on the rationale or future plans regarding its preferred stock. InvestingPro analysis reveals concerning financial metrics, including a debt-to-equity ratio of 2.04 and a current ratio of 0.1, suggesting potential liquidity challenges. InvestingPro subscribers have access to 10 additional key insights about VIVK’s financial health. It is important to note that forward-looking statements from the company’s filings indicate that actual results and events may differ materially from those anticipated due to various risks and uncertainties.

Vivakor’s decision to withdraw its designated series of preferred stock aligns with the company’s compliance with regulatory requirements and corporate governance practices. The SEC filing ensures transparency for investors and the market, providing the latest updates on the company’s financial and corporate affairs based on the press release statement.

Investors and market watchers will be looking to see how this adjustment to Vivakor’s capital structure will play out in the company’s strategy and operations moving forward. The company, listed on the Nasdaq Capital Market, is known for its focus on refuse systems within the energy and transportation sectors.

In other recent news, Vivakor, Inc. has been making significant strategic moves. In a recent meeting, shareholders elected five board members and ratified Urish Popeck & Co., LLC as the independent registered public accounting firm for the upcoming fiscal year. These developments indicate shareholder confidence in the company’s management and strategic direction.

In a major business maneuver, Vivakor issued equity securities as part of an acquisition of the Endeavor Entities, a group involved in the energy and transportation sectors. The total purchase price amounted to $120 million, paid in a combination of Vivakor common stock and Series A Preferred Stock.

The company also entered into a new executive employment agreement with its Vice President of Marketing, offering an annual base salary and incentive cash and equity compensation based on performance goals. Additionally, Aldali Int’l for Gen. Trading & Cont. Co. exercised a Non-Qualified Stock Option, resulting in the acquisition of 1,000,000 shares of Vivakor’s common stock.

These are among the recent developments that have shaped Vivakor’s business trajectory. The company continues to make strategic decisions, focusing on its governance, expansion, and executive compensation agreements.

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