[424B2] Wells Fargo & Co. Prospectus Supplement
TEN Holdings, Inc. ("XHLD") has obtained written consent from its 64.9% majority stockholder to approve two dilutive share issuances that together exceed the 20% threshold set by Nasdaq Rule 5635(d):
- Settlement Agreement with Sunpeak Holdings Corp. ("SHC") 鈥� $4.91 million debt-for-equity swap. SHC purchased claims against the Company and is receiving shares priced at the 23-Apr-2025 closing price (subject to adjustment) plus 175,000 fee shares. Court approval under Section 3(a)(10) was obtained on 30-Apr-2025, and 5.56 million shares (including fee shares) have already been issued through 25-Jun-2025.
- Purchase Agreement (equity line) with Lincoln Park Capital 鈥� up to $20 million. Over a 24-month term beginning after an effective resale registration statement, TEN can direct Lincoln Park to buy up to 100,000鈥�175,000 shares per draw (max $750k per draw). Pricing equals 97% of the lower of (i) the lowest trade on the draw date or (ii) the average of the three lowest closes in the prior 10 trading days. Lincoln Park received 882,145 commitment shares up-front and is barred from shorting. The Company may terminate the facility at any time.
The Board believes these 鈥淐orporate Issuances鈥� will (i) extinguish $4.91 million of liabilities and (ii) provide flexible, discretionary access to $20 million of growth or working-capital funding. Because each transaction could result in the issuance of 鈮�20% of pre-transaction outstanding shares at below the Nasdaq 鈥淢inimum Price,鈥� stockholder approval was required and was granted via written consent dated 08-Jul-2025.
Dilution impact: As of the 08-Jul-2025 record date, TEN had 35.1 million shares outstanding. The SHC settlement has already added ~5.6 million shares (鈮�16%), and the Lincoln Park facility plus remaining SHC shares could add materially more, reducing existing holders鈥� voting power. SHC鈥檚 ownership is capped at 4.99% and Lincoln Park is subject to 9.99% beneficial-ownership and per-draw dollar limits, but cumulative dilution could exceed 40% if the full $20 million is drawn at low prices.
Key terms & safeguards: default triggers under the SHC agreement if the share price falls to 鈮�$0.25 or 30-day average volume drops below 100k; no 鈥渁t-the-market鈥� or additional equity lines for 24 months; court fairness opinion under Section 3(a)(10) provides Securities Act registration exemption; no dissenter appraisal rights.
Mailing of the Information Statement starts in July 2025; the actions become effective ~20 days later (on or about Aug-2025). No further stockholder action or proxies are required.
TEN Holdings, Inc. ("XHLD") ha ottenuto il consenso scritto dal suo azionista di maggioranza al 64,9% per approvare due emissioni di azioni diluitive che insieme superano la soglia del 20% stabilita dalla Regola 5635(d) del Nasdaq:
- Accordo di transazione con Sunpeak Holdings Corp. ("SHC") 鈥� conversione debito in azioni per 4,91 milioni di dollari. SHC ha acquistato crediti verso la Societ脿 e riceve azioni valutate al prezzo di chiusura del 23 aprile 2025 (soggetto ad aggiustamenti) pi霉 175.000 azioni a titolo di commissione. L'approvazione del tribunale ai sensi della Sezione 3(a)(10) 猫 stata ottenuta il 30 aprile 2025 e 5,56 milioni di azioni (incluse quelle di commissione) sono gi脿 state emesse fino al 25 giugno 2025.
- Contratto di acquisto (linea di capitale azionario) con Lincoln Park Capital 鈥� fino a 20 milioni di dollari. In un periodo di 24 mesi a partire dall'efficacia della dichiarazione di registrazione per la rivendita, TEN pu貌 indirizzare Lincoln Park ad acquistare da 100.000 a 175.000 azioni per ogni prelievo (massimo 750.000 dollari per prelievo). Il prezzo corrisponde al 97% del minore tra (i) il prezzo pi霉 basso di negoziazione nel giorno del prelievo o (ii) la media dei tre prezzi di chiusura pi霉 bassi nei 10 giorni di borsa precedenti. Lincoln Park ha ricevuto 882.145 azioni di impegno iniziali ed 猫 vietato che effettui vendite allo scoperto. La Societ脿 pu貌 terminare la linea in qualsiasi momento.
Il Consiglio ritiene che queste "Emissioni societarie" (i) estingueranno 4,91 milioni di dollari di passivit脿 e (ii) forniscano accesso flessibile e discrezionale a 20 milioni di dollari per finanziamenti di crescita o capitale circolante. Poich茅 ciascuna transazione potrebbe comportare l鈥檈missione di 鈮�20% delle azioni in circolazione pre-transazione a un prezzo inferiore al "Prezzo Minimo" del Nasdaq, 猫 stato necessario e ottenuto l鈥檃pprovazione degli azionisti tramite consenso scritto datato 8 luglio 2025.
Impatto diluitivo: Alla data record dell'8 luglio 2025, TEN aveva 35,1 milioni di azioni in circolazione. La transazione con SHC ha gi脿 aggiunto circa 5,6 milioni di azioni (鈮�16%), e la linea con Lincoln Park pi霉 le azioni residue di SHC potrebbero aggiungerne molte altre, riducendo il potere di voto degli azionisti attuali. La partecipazione di SHC 猫 limitata al 4,99% e Lincoln Park 猫 soggetto a limiti di possesso beneficiario del 9,99% e limiti di dollari per prelievo, ma la diluizione cumulativa potrebbe superare il 40% se venissero utilizzati i 20 milioni di dollari a prezzi bassi.
Termini chiave e garanzie: clausole di default nell鈥檃ccordo SHC se il prezzo delle azioni scende a 鈮�0,25$ o il volume medio a 30 giorni scende sotto 100.000; nessuna linea di capitale "at-the-market" o aggiuntiva per 24 mesi; parere di equit脿 del tribunale ai sensi della Sezione 3(a)(10) che fornisce esenzione dalla registrazione ai sensi del Securities Act; nessun diritto di valutazione per dissidenti.
L鈥檌nvio della Dichiarazione Informativa inizier脿 a luglio 2025; le azioni diventeranno efficaci circa 20 giorni dopo (intorno ad agosto 2025). Non sono richieste ulteriori azioni o deleghe da parte degli azionisti.
TEN Holdings, Inc. ("XHLD") ha obtenido el consentimiento por escrito de su accionista mayoritario con el 64,9% para aprobar dos emisiones de acciones dilutivas que en conjunto superan el umbral del 20% establecido por la Norma 5635(d) de Nasdaq:
- Acuerdo de liquidaci贸n con Sunpeak Holdings Corp. ("SHC") 鈥� intercambio deuda por acciones de 4,91 millones de d贸lares. SHC compr贸 reclamaciones contra la Compa帽铆a y recibe acciones valoradas al precio de cierre del 23 de abril de 2025 (sujeto a ajustes) m谩s 175,000 acciones de comisi贸n. Se obtuvo la aprobaci贸n judicial bajo la Secci贸n 3(a)(10) el 30 de abril de 2025, y ya se han emitido 5,56 millones de acciones (incluidas las de comisi贸n) hasta el 25 de junio de 2025.
- Acuerdo de compra (l铆nea de capital) con Lincoln Park Capital 鈥� hasta 20 millones de d贸lares. Durante un plazo de 24 meses a partir de la vigencia de la declaraci贸n de registro para reventa, TEN puede ordenar a Lincoln Park comprar entre 100,000 y 175,000 acciones por cada extracci贸n (m谩ximo 750,000 d贸lares por extracci贸n). El precio es el 97% del menor entre (i) la operaci贸n m谩s baja en la fecha de extracci贸n o (ii) el promedio de los tres cierres m谩s bajos en los 10 d铆as h谩biles previos. Lincoln Park recibi贸 882,145 acciones de compromiso por adelantado y tiene prohibido realizar ventas en corto. La Compa帽铆a puede terminar la l铆nea en cualquier momento.
La Junta considera que estas "Emisiones Corporativas" (i) extinguir谩n 4,91 millones de d贸lares en pasivos y (ii) proporcionar谩n acceso flexible y discrecional a 20 millones de d贸lares para financiamiento de crecimiento o capital de trabajo. Debido a que cada transacci贸n podr铆a resultar en la emisi贸n de 鈮�20% de las acciones en circulaci贸n antes de la transacci贸n a un precio inferior al "Precio M铆nimo" de Nasdaq, se requiri贸 y obtuvo la aprobaci贸n de los accionistas mediante consentimiento por escrito fechado el 8 de julio de 2025.
Impacto dilutivo: A la fecha de registro del 8 de julio de 2025, TEN ten铆a 35,1 millones de acciones en circulaci贸n. La liquidaci贸n con SHC ya ha a帽adido aproximadamente 5,6 millones de acciones (鈮�16%), y la l铆nea con Lincoln Park m谩s las acciones restantes de SHC podr铆an a帽adir muchas m谩s, reduciendo el poder de voto de los accionistas existentes. La propiedad de SHC est谩 limitada al 4,99% y Lincoln Park est谩 sujeto a l铆mites de propiedad beneficiaria del 9,99% y l铆mites de d贸lares por extracci贸n, pero la diluci贸n acumulada podr铆a superar el 40% si se utilizan los 20 millones de d贸lares completos a precios bajos.
T茅rminos clave y salvaguardas: desencadenantes de incumplimiento en el acuerdo SHC si el precio de la acci贸n cae a 鈮�0,25$ o el volumen promedio de 30 d铆as cae por debajo de 100,000; no habr谩 l铆neas de capital "at-the-market" ni adicionales durante 24 meses; opini贸n de equidad judicial bajo la Secci贸n 3(a)(10) que proporciona exenci贸n de registro bajo la Ley de Valores; sin derechos de tasaci贸n para disidentes.
El env铆o de la Declaraci贸n Informativa comenzar谩 en julio de 2025; las acciones se har谩n efectivas aproximadamente 20 d铆as despu茅s (alrededor de agosto de 2025). No se requieren m谩s acciones o poderes por parte de los accionistas.
TEN Holdings, Inc.("XHLD")電� 64.9%鞚� 斓滊寑 欤检＜搿滊秬韯� 雮橃姢雼� 攴滌箼 5635(d)臧� 鞝曧暅 20% 頃滊弰毳� 齑堦臣頃橂姅 霊� 瓯挫潣 頋劃 欤检嫕 氚滍枆鞐� 雽�頃� 靹滊┐ 霃欖潣毳� 氚涭晿鞀惦媹雼�:
- Sunpeak Holdings Corp.("SHC")鞕�鞚� 頃╈潣 瓿勳暯 鈥� 491毵� 雼煬 攴滊鞚� 毂勲毳� 欤检嫕鞙茧 鞝勴櫂. SHC電� 須岇偓鞐� 雽�頃� 毂勱秾鞚� 鞚胳垬頄堨溂氅� 2025雲� 4鞗� 23鞚� 膦呹皜(臁办爼 臧�電�) 旮办鞙茧 韽夑皜霅� 欤检嫕瓿� 175,000欤检潣 靾橃垬耄� 欤检嫕鞚� 氚涭姷雼堧嫟. 2025雲� 4鞗� 30鞚� 鞝�3(a)(10)臁办棎 霐半ジ 氩曥洂 鞀轨澑鞚� 氚涭晿鞙茧┌ 2025雲� 6鞗� 25鞚缄箤歆� 556毵� 欤�(靾橃垬耄� 欤检嫕 韽暔)臧� 鞚措 氚滍枆霅橃棃鞀惦媹雼�.
- Lincoln Park Capital瓿检潣 毵れ垬 瓿勳暯(欤检嫕 霛检澑) 鈥� 斓滊寑 2,000毵� 雼煬. 鞙犿毃頃� 鞛寪毵� 霌彪 鞁犼碃靹� 鞚错泟 24臧滌洈 霃欖晥 TEN鞚� Lincoln Park鞐� 毵ろ殞 10毵寏17.5毵� 欤�(毵ろ殞 斓滊寑 75毵� 雼煬)毳� 毵れ垬頃橂弰搿� 歆�鞁滍暊 靾� 鞛堨姷雼堧嫟. 臧�瓴╈潃 (i) 毵れ垬鞚� 斓滌爛 瓯半灅臧� 霕愲姅 (ii) 歆侅爠 10瓯半灅鞚� 欷� 3鞚� 斓滌爛 膦呹皜 韽夑窢 欷� 雮潃 臧�瓴╈潣 97%鞛呺媹雼�. Lincoln Park電� 靹犽秷搿� 882,145欤检潣 鞎届爼 欤检嫕鞚� 氚涭晿鞙茧┌ 瓿惦Г霃勲姅 旮堨霅橃柎 鞛堨姷雼堧嫟. 須岇偓電� 鞏胳牅霌犾 鞚� 鞁滌劋鞚� 膦呺頃� 靾� 鞛堨姷雼堧嫟.
鞚挫偓須岆姅 鞚� "旮办梾 氚滍枆"鞚� (i) 491毵� 雼煬鞚� 攵�毂勲ゼ 靻岆└鞁滍偆瓿� (ii) 2,000毵� 雼煬鞚� 靹膘灔 霕愲姅 鞖挫爠鞛愲掣 鞛愱笀鞐� 雽�頃� 鞙犾棸頃橁碃 鞛焿鞝侅澑 鞝戧芳鞚� 鞝滉车頃� 瓴冹澊霛缄碃 氙快姷雼堧嫟. 臧� 瓯半灅臧� 瓯半灅 鞝� 氚滍枆 欤检嫕鞚� 鈮�20%毳� 雮橃姢雼� "斓滌唽 臧�瓴�" 鞚错晿搿� 氚滍枆頃� 靾� 鞛堨溂氙�搿� 欤检＜ 鞀轨澑(2025雲� 7鞗� 8鞚� 靹滊┐ 霃欖潣)鞚� 頃勳殧頄堦碃 鞀轨澑霅橃棃鞀惦媹雼�.
頋劃 鞓來枼: 2025雲� 7鞗� 8鞚� 旮办 TEN鞚� 氚滍枆 欤检嫕 靾橂姅 3,510毵� 欤检榾鞀惦媹雼�. SHC 頃╈潣搿� 鞎� 560毵� 欤�(鞎� 16%)臧� 鞚措 於旉皜霅橃棃鞙茧┌ Lincoln Park 鞁滌劋瓿� 雮潃 SHC 欤检嫕鞚� 於旉皜搿� 靸侂嫻頌� 歃濌皜頃� 靾� 鞛堨柎 旮办〈 欤检＜鞚� 鞚橁舶甓岇澊 臧愳唽頃� 靾� 鞛堨姷雼堧嫟. SHC 靻岇湢甓岇潃 4.99%搿� 鞝滍暅霅橁碃 Lincoln Park電� 9.99%鞚� 鞁れ 靻岇湢甓� 氚� 毵ろ殞 雼煬 頃滊弰鞚� 鞝滍暅鞚� 氚涭毵�, 鞝勳泊 2,000毵� 雼煬臧� 雮潃 臧�瓴╈棎 鞚胳稖霅� 瓴届毎 雸勳爜 頋劃鞚� 40%毳� 齑堦臣頃� 靾� 鞛堨姷雼堧嫟.
欤检殧 臁瓣贝 氚� 鞎堨爠鞛レ箻: 欤缄皜臧� 鈮�0.25雼煬搿� 頃橂澖頃橁卑雮� 30鞚� 韽夑窢 瓯半灅霟夓澊 10毵� 氙鸽鞙茧 霒柎歆� 瓴届毎 SHC 瓿勳暯靸侅潣 旮半掣 鞙勲皹 臁瓣贝; 24臧滌洈 霃欖晥 "鞁滌灔臧�瓴�" 氚╈嫕 霕愲姅 於旉皜 欤检嫕 霛检澑 旮堨; 鞝�3(a)(10)臁办棎 霐半ジ 氩曥洂 瓿奠爼靹� 鞚橁铂鞙茧 歃濌秾氩� 霌彪 氅挫牅 鞝滉车; 氚橂寑 欤检＜鞚� 臧愳爼 韽夑皜甓� 鞐嗢潓.
鞝曤炒 氇呾劯靹� 氚滌啞鞚� 2025雲� 7鞗旍棎 鞁滌瀾霅橂┌, 臁办箻電� 鞎� 20鞚� 頉�(2025雲� 8鞗旉步) 氚滍毃霅╇媹雼�. 於旉皜 欤检＜ 臁办箻雮� 鞙勳瀯鞛レ潃 頃勳殧頃橃 鞎婌姷雼堧嫟.
TEN Holdings, Inc. ("XHLD") a obtenu le consentement 茅crit de son actionnaire majoritaire d茅tenant 64,9 % des actions pour approuver deux 茅missions d'actions dilutives d茅passant ensemble le seuil de 20 % fix茅 par la r猫gle Nasdaq 5635(d) :
- Accord de r猫glement avec Sunpeak Holdings Corp. ("SHC") 鈥� conversion de dette en actions de 4,91 millions de dollars. SHC a achet茅 des cr茅ances contre la Soci茅t茅 et re莽oit des actions au prix de cl么ture du 23 avril 2025 (sous r茅serve d'ajustements) plus 175 000 actions de frais. L'approbation du tribunal en vertu de la section 3(a)(10) a 茅t茅 obtenue le 30 avril 2025, et 5,56 millions d'actions (y compris les actions de frais) ont d茅j脿 茅t茅 茅mises jusqu'au 25 juin 2025.
- Contrat d'achat (ligne de capitaux propres) avec Lincoln Park Capital 鈥� jusqu'脿 20 millions de dollars. Sur une p茅riode de 24 mois 脿 compter de la mise en vigueur d'une d茅claration d'enregistrement de revente, TEN peut demander 脿 Lincoln Park d'acheter entre 100 000 et 175 000 actions par tirage (maximum 750 000 $ par tirage). Le prix correspond 脿 97 % du plus bas entre (i) la transaction la plus basse 脿 la date du tirage ou (ii) la moyenne des trois plus bas cours de cl么ture des 10 jours de bourse pr茅c茅dents. Lincoln Park a re莽u 882 145 actions d'engagement en avance et est interdit de vente 脿 d茅couvert. La Soci茅t茅 peut r茅silier la facilit茅 脿 tout moment.
Le Conseil estime que ces 芦 脡missions d'entreprise 禄 permettront (i) d'茅teindre 4,91 millions de dollars de passifs et (ii) de fournir un acc猫s flexible et discr茅tionnaire 脿 20 millions de dollars pour le financement de la croissance ou du fonds de roulement. Comme chaque transaction pourrait entra卯ner l'茅mission de 鈮�20 % des actions en circulation avant la transaction 脿 un prix inf茅rieur au 芦 Prix Minimum 禄 du Nasdaq, l'approbation des actionnaires 茅tait requise et a 茅t茅 accord茅e par consentement 茅crit en date du 8 juillet 2025.
Impact dilutif : 脌 la date d'enregistrement du 8 juillet 2025, TEN comptait 35,1 millions d'actions en circulation. Le r猫glement avec SHC a d茅j脿 ajout茅 environ 5,6 millions d'actions (鈮�16 %), et la facilit茅 Lincoln Park ainsi que les actions restantes de SHC pourraient en ajouter beaucoup plus, r茅duisant le pouvoir de vote des d茅tenteurs actuels. La participation de SHC est plafonn茅e 脿 4,99 % et Lincoln Park est soumis 脿 des limites de propri茅t茅 b茅n茅ficiaire de 9,99 % et de montant par tirage, mais la dilution cumul茅e pourrait d茅passer 40 % si les 20 millions de dollars sont enti猫rement tir茅s 脿 des prix bas.
Principaux termes et garanties : d茅clencheurs de d茅faut dans l'accord SHC si le cours de l'action tombe 脿 鈮�0,25 $ ou si le volume moyen sur 30 jours descend en dessous de 100 000 ; pas de ligne de capitaux 芦 at-the-market 禄 ou suppl茅mentaire pendant 24 mois ; avis d'茅quit茅 judiciaire en vertu de la section 3(a)(10) fournissant une exemption d'enregistrement au titre de la loi sur les valeurs mobili猫res ; pas de droits d'茅valuation pour les dissidents.
L'envoi de la d茅claration d'information d茅butera en juillet 2025 ; les actions deviendront effectives environ 20 jours plus tard (vers ao没t 2025). Aucune autre action ou procuration des actionnaires n'est requise.
TEN Holdings, Inc. ("XHLD") hat die schriftliche Zustimmung seines Mehrheitsaktion盲rs mit 64,9 % erhalten, um zwei verw盲ssernde Aktienausgaben zu genehmigen, die zusammen die 20%-Schwelle gem盲脽 Nasdaq-Regel 5635(d) 眉berschreiten:
- Vergleichsvereinbarung mit Sunpeak Holdings Corp. ("SHC") 鈥� Schulden-gegen-Aktien-Tausch im Wert von 4,91 Millionen US-Dollar. SHC hat Forderungen gegen das Unternehmen erworben und erh盲lt Aktien zum Schlusskurs vom 23. April 2025 (vorbehaltlich Anpassungen) plus 175.000 Geb眉hrenaktien. Die gerichtliche Genehmigung gem盲脽 Abschnitt 3(a)(10) wurde am 30. April 2025 erteilt, und bis zum 25. Juni 2025 wurden bereits 5,56 Millionen Aktien (einschlie脽lich Geb眉hrenaktien) ausgegeben.
- Kaufvereinbarung (Kapitallinie) mit Lincoln Park Capital 鈥� bis zu 20 Millionen US-Dollar. 脺ber einen Zeitraum von 24 Monaten nach Wirksamwerden einer Verkaufsregistrierungserkl盲rung kann TEN Lincoln Park anweisen, pro Abruf bis zu 100.000鈥�175.000 Aktien zu kaufen (max. 750.000 US-Dollar pro Abruf). Die Preisfestsetzung entspricht 97 % des niedrigeren von (i) dem niedrigsten Handel am Abrufdatum oder (ii) dem Durchschnitt der drei niedrigsten Schlusskurse der vorangegangenen 10 Handelstage. Lincoln Park erhielt im Voraus 882.145 Verpflichtungsaktien und darf keine Leerverk盲ufe t盲tigen. Das Unternehmen kann die Einrichtung jederzeit beenden.
Der Vorstand ist der Ansicht, dass diese 鈥濽nternehmensausgaben鈥� (i) Verbindlichkeiten in H枚he von 4,91 Millionen US-Dollar tilgen und (ii) flexiblen, diskretion盲ren Zugang zu 20 Millionen US-Dollar f眉r Wachstums- oder Betriebskapitalfinanzierung bieten werden. Da jede Transaktion zur Ausgabe von 鈮�20 % der vor der Transaktion ausstehenden Aktien unterhalb des Nasdaq-鈥濵indestpreises鈥� f眉hren k枚nnte, war eine Zustimmung der Aktion盲re erforderlich und wurde durch schriftliche Zustimmung vom 8. Juli 2025 erteilt.
痴别谤飞盲蝉蝉别谤耻苍驳蝉补耻蝉飞颈谤办耻苍驳: Zum Stichtag 8. Juli 2025 hatte TEN 35,1 Millionen ausstehende Aktien. Die SHC-Vergleichsvereinbarung hat bereits ca. 5,6 Millionen Aktien (鈮�16 %) hinzugef眉gt, und die Lincoln-Park-Fazilit盲t sowie verbleibende SHC-Aktien k枚nnten noch wesentlich mehr hinzuf眉gen, was die Stimmrechte der bestehenden Inhaber verringert. Die Beteiligung von SHC ist auf 4,99 % begrenzt, und Lincoln Park unterliegt einer 9,99 %-igen wirtschaftlichen Eigentums- und Dollar-Limitierung pro Abruf, aber die kumulative Verw盲sserung k枚nnte 40 % 眉bersteigen, wenn die vollen 20 Millionen US-Dollar zu niedrigen Preisen abgerufen werden.
Wesentliche Bedingungen und Schutzma脽nahmen: Ausl枚sebedingungen im SHC-Vertrag bei einem Kurs 鈮�0,25 US-Dollar oder einem 30-Tage-Durchschnittsvolumen unter 100.000; keine 鈥濧t-the-Market鈥�- oder zus盲tzlichen Kapitallinien f眉r 24 Monate; gerichtliches Fairness-Gutachten gem盲脽 Abschnitt 3(a)(10) bietet Befreiung von der Registrierung nach dem Wertpapiergesetz; keine Abfindungsrechte f眉r abweichende Aktion盲re.
Der Versand der Informationsmitteilung beginnt im Juli 2025; die Ma脽nahmen werden ca. 20 Tage sp盲ter wirksam (etwa im August 2025). Weitere Aktion盲rsma脽nahmen oder Vollmachten sind nicht erforderlich.
- Eliminates approximately $4.91 million of liabilities through a court-approved debt-for-equity settlement, improving the balance sheet without cash use.
- Provides discretionary access to up to $20 million in equity financing over 24 months, enhancing liquidity flexibility.
- Ownership caps (4.99% SHC; 9.99% Lincoln Park) limit control risk from new investors.
- No short-selling covenant on Lincoln Park reduces downward trading pressure during draws.
- Company retains right to terminate the equity line at any time with no penalty, preserving optionality.
- Potentially dilutive issuance exceeding 20% of outstanding shares at prices below Nasdaq 鈥淢inimum Price,鈥� materially reducing existing shareholders鈥� voting power and EPS.
- Equity line pricing (97% of lowest price) may encourage issuance during weak markets, creating a negative feedback loop and pressuring the share price.
- Default triggers if price 鈮� $0.25 or 30-day volume < 100k signal limited market depth and could accelerate share issuance or renegotiation.
- Written consent bypasses minority shareholder vote, raising governance concerns and limiting recourse for dissenting investors.
- Immediate issuance of 882,145 commitment shares creates dilution before any cash is received.
Insights
TL;DR 鈥� Debt removal and $20 m equity line aid liquidity, but material below-market share issuance creates significant dilution risk.
The SHC swap eliminates $4.9 m of payables without cash outflow, improving the balance sheet ahead of any near-term covenant or vendor pressure. Court approval via 3(a)(10) reduces legal overhang and registration expense. The Lincoln Park facility gives management discretion to raise up to $20 m at times of its choosing, potentially funding growth or operating losses without traditional underwriting fees.
However, the pricing mechanics (97% of the lowest price) incent draws when the stock is weak and can create a downward spiral. Combined with the 882k commitment shares, dilution could exceed 40% of current shares outstanding if fully utilized, suppressing EPS and voting power. The SHC default triggers at $0.25 and low volume further highlight fragility in liquidity and share price. While the 4.99% and 9.99% ownership caps mitigate takeover risk, they do not limit aggregate dilution.
Net, the transaction is strategically necessary for liquidity but value-dilutive for existing holders, leaving the impact largely neutral in credit terms yet negative for per-share metrics.
TL;DR 鈥� Majority-owner written consent expedites funding but bypasses minority vote; dilution at sub-floor pricing raises governance and fairness concerns.
The Board leveraged Nevada Section 78.320 to approve the issuances without convening a meeting, relying on the 64.9% holder. This is legally sound yet disenfranchises minority investors who might oppose heavy dilution. Requiring fewer than 20 days between mailing and effectiveness reduces opportunity for contesting the action.
Nasdaq Rule 5635(d) compliance is satisfied procedurally, but the use of an equity line at below-minimum price contradicts best-practice capital-raising guidelines that favor transparent, broadly marketed offerings. The Section 3(a)(10) court fairness opinion improves optics for the SHC swap, yet the same shareholder is shielded by a 4.99% cap, limiting activism potential.
Governance takeaway: Expediency over inclusivity. While legally permissible, the combination of deep discount pricing, majority-only approval and rapid effectiveness may prompt minority pushback and heighten perceived governance risk.
TEN Holdings, Inc. ("XHLD") ha ottenuto il consenso scritto dal suo azionista di maggioranza al 64,9% per approvare due emissioni di azioni diluitive che insieme superano la soglia del 20% stabilita dalla Regola 5635(d) del Nasdaq:
- Accordo di transazione con Sunpeak Holdings Corp. ("SHC") 鈥� conversione debito in azioni per 4,91 milioni di dollari. SHC ha acquistato crediti verso la Societ脿 e riceve azioni valutate al prezzo di chiusura del 23 aprile 2025 (soggetto ad aggiustamenti) pi霉 175.000 azioni a titolo di commissione. L'approvazione del tribunale ai sensi della Sezione 3(a)(10) 猫 stata ottenuta il 30 aprile 2025 e 5,56 milioni di azioni (incluse quelle di commissione) sono gi脿 state emesse fino al 25 giugno 2025.
- Contratto di acquisto (linea di capitale azionario) con Lincoln Park Capital 鈥� fino a 20 milioni di dollari. In un periodo di 24 mesi a partire dall'efficacia della dichiarazione di registrazione per la rivendita, TEN pu貌 indirizzare Lincoln Park ad acquistare da 100.000 a 175.000 azioni per ogni prelievo (massimo 750.000 dollari per prelievo). Il prezzo corrisponde al 97% del minore tra (i) il prezzo pi霉 basso di negoziazione nel giorno del prelievo o (ii) la media dei tre prezzi di chiusura pi霉 bassi nei 10 giorni di borsa precedenti. Lincoln Park ha ricevuto 882.145 azioni di impegno iniziali ed 猫 vietato che effettui vendite allo scoperto. La Societ脿 pu貌 terminare la linea in qualsiasi momento.
Il Consiglio ritiene che queste "Emissioni societarie" (i) estingueranno 4,91 milioni di dollari di passivit脿 e (ii) forniscano accesso flessibile e discrezionale a 20 milioni di dollari per finanziamenti di crescita o capitale circolante. Poich茅 ciascuna transazione potrebbe comportare l鈥檈missione di 鈮�20% delle azioni in circolazione pre-transazione a un prezzo inferiore al "Prezzo Minimo" del Nasdaq, 猫 stato necessario e ottenuto l鈥檃pprovazione degli azionisti tramite consenso scritto datato 8 luglio 2025.
Impatto diluitivo: Alla data record dell'8 luglio 2025, TEN aveva 35,1 milioni di azioni in circolazione. La transazione con SHC ha gi脿 aggiunto circa 5,6 milioni di azioni (鈮�16%), e la linea con Lincoln Park pi霉 le azioni residue di SHC potrebbero aggiungerne molte altre, riducendo il potere di voto degli azionisti attuali. La partecipazione di SHC 猫 limitata al 4,99% e Lincoln Park 猫 soggetto a limiti di possesso beneficiario del 9,99% e limiti di dollari per prelievo, ma la diluizione cumulativa potrebbe superare il 40% se venissero utilizzati i 20 milioni di dollari a prezzi bassi.
Termini chiave e garanzie: clausole di default nell鈥檃ccordo SHC se il prezzo delle azioni scende a 鈮�0,25$ o il volume medio a 30 giorni scende sotto 100.000; nessuna linea di capitale "at-the-market" o aggiuntiva per 24 mesi; parere di equit脿 del tribunale ai sensi della Sezione 3(a)(10) che fornisce esenzione dalla registrazione ai sensi del Securities Act; nessun diritto di valutazione per dissidenti.
L鈥檌nvio della Dichiarazione Informativa inizier脿 a luglio 2025; le azioni diventeranno efficaci circa 20 giorni dopo (intorno ad agosto 2025). Non sono richieste ulteriori azioni o deleghe da parte degli azionisti.
TEN Holdings, Inc. ("XHLD") ha obtenido el consentimiento por escrito de su accionista mayoritario con el 64,9% para aprobar dos emisiones de acciones dilutivas que en conjunto superan el umbral del 20% establecido por la Norma 5635(d) de Nasdaq:
- Acuerdo de liquidaci贸n con Sunpeak Holdings Corp. ("SHC") 鈥� intercambio deuda por acciones de 4,91 millones de d贸lares. SHC compr贸 reclamaciones contra la Compa帽铆a y recibe acciones valoradas al precio de cierre del 23 de abril de 2025 (sujeto a ajustes) m谩s 175,000 acciones de comisi贸n. Se obtuvo la aprobaci贸n judicial bajo la Secci贸n 3(a)(10) el 30 de abril de 2025, y ya se han emitido 5,56 millones de acciones (incluidas las de comisi贸n) hasta el 25 de junio de 2025.
- Acuerdo de compra (l铆nea de capital) con Lincoln Park Capital 鈥� hasta 20 millones de d贸lares. Durante un plazo de 24 meses a partir de la vigencia de la declaraci贸n de registro para reventa, TEN puede ordenar a Lincoln Park comprar entre 100,000 y 175,000 acciones por cada extracci贸n (m谩ximo 750,000 d贸lares por extracci贸n). El precio es el 97% del menor entre (i) la operaci贸n m谩s baja en la fecha de extracci贸n o (ii) el promedio de los tres cierres m谩s bajos en los 10 d铆as h谩biles previos. Lincoln Park recibi贸 882,145 acciones de compromiso por adelantado y tiene prohibido realizar ventas en corto. La Compa帽铆a puede terminar la l铆nea en cualquier momento.
La Junta considera que estas "Emisiones Corporativas" (i) extinguir谩n 4,91 millones de d贸lares en pasivos y (ii) proporcionar谩n acceso flexible y discrecional a 20 millones de d贸lares para financiamiento de crecimiento o capital de trabajo. Debido a que cada transacci贸n podr铆a resultar en la emisi贸n de 鈮�20% de las acciones en circulaci贸n antes de la transacci贸n a un precio inferior al "Precio M铆nimo" de Nasdaq, se requiri贸 y obtuvo la aprobaci贸n de los accionistas mediante consentimiento por escrito fechado el 8 de julio de 2025.
Impacto dilutivo: A la fecha de registro del 8 de julio de 2025, TEN ten铆a 35,1 millones de acciones en circulaci贸n. La liquidaci贸n con SHC ya ha a帽adido aproximadamente 5,6 millones de acciones (鈮�16%), y la l铆nea con Lincoln Park m谩s las acciones restantes de SHC podr铆an a帽adir muchas m谩s, reduciendo el poder de voto de los accionistas existentes. La propiedad de SHC est谩 limitada al 4,99% y Lincoln Park est谩 sujeto a l铆mites de propiedad beneficiaria del 9,99% y l铆mites de d贸lares por extracci贸n, pero la diluci贸n acumulada podr铆a superar el 40% si se utilizan los 20 millones de d贸lares completos a precios bajos.
T茅rminos clave y salvaguardas: desencadenantes de incumplimiento en el acuerdo SHC si el precio de la acci贸n cae a 鈮�0,25$ o el volumen promedio de 30 d铆as cae por debajo de 100,000; no habr谩 l铆neas de capital "at-the-market" ni adicionales durante 24 meses; opini贸n de equidad judicial bajo la Secci贸n 3(a)(10) que proporciona exenci贸n de registro bajo la Ley de Valores; sin derechos de tasaci贸n para disidentes.
El env铆o de la Declaraci贸n Informativa comenzar谩 en julio de 2025; las acciones se har谩n efectivas aproximadamente 20 d铆as despu茅s (alrededor de agosto de 2025). No se requieren m谩s acciones o poderes por parte de los accionistas.
TEN Holdings, Inc.("XHLD")電� 64.9%鞚� 斓滊寑 欤检＜搿滊秬韯� 雮橃姢雼� 攴滌箼 5635(d)臧� 鞝曧暅 20% 頃滊弰毳� 齑堦臣頃橂姅 霊� 瓯挫潣 頋劃 欤检嫕 氚滍枆鞐� 雽�頃� 靹滊┐ 霃欖潣毳� 氚涭晿鞀惦媹雼�:
- Sunpeak Holdings Corp.("SHC")鞕�鞚� 頃╈潣 瓿勳暯 鈥� 491毵� 雼煬 攴滊鞚� 毂勲毳� 欤检嫕鞙茧 鞝勴櫂. SHC電� 須岇偓鞐� 雽�頃� 毂勱秾鞚� 鞚胳垬頄堨溂氅� 2025雲� 4鞗� 23鞚� 膦呹皜(臁办爼 臧�電�) 旮办鞙茧 韽夑皜霅� 欤检嫕瓿� 175,000欤检潣 靾橃垬耄� 欤检嫕鞚� 氚涭姷雼堧嫟. 2025雲� 4鞗� 30鞚� 鞝�3(a)(10)臁办棎 霐半ジ 氩曥洂 鞀轨澑鞚� 氚涭晿鞙茧┌ 2025雲� 6鞗� 25鞚缄箤歆� 556毵� 欤�(靾橃垬耄� 欤检嫕 韽暔)臧� 鞚措 氚滍枆霅橃棃鞀惦媹雼�.
- Lincoln Park Capital瓿检潣 毵れ垬 瓿勳暯(欤检嫕 霛检澑) 鈥� 斓滊寑 2,000毵� 雼煬. 鞙犿毃頃� 鞛寪毵� 霌彪 鞁犼碃靹� 鞚错泟 24臧滌洈 霃欖晥 TEN鞚� Lincoln Park鞐� 毵ろ殞 10毵寏17.5毵� 欤�(毵ろ殞 斓滊寑 75毵� 雼煬)毳� 毵れ垬頃橂弰搿� 歆�鞁滍暊 靾� 鞛堨姷雼堧嫟. 臧�瓴╈潃 (i) 毵れ垬鞚� 斓滌爛 瓯半灅臧� 霕愲姅 (ii) 歆侅爠 10瓯半灅鞚� 欷� 3鞚� 斓滌爛 膦呹皜 韽夑窢 欷� 雮潃 臧�瓴╈潣 97%鞛呺媹雼�. Lincoln Park電� 靹犽秷搿� 882,145欤检潣 鞎届爼 欤检嫕鞚� 氚涭晿鞙茧┌ 瓿惦Г霃勲姅 旮堨霅橃柎 鞛堨姷雼堧嫟. 須岇偓電� 鞏胳牅霌犾 鞚� 鞁滌劋鞚� 膦呺頃� 靾� 鞛堨姷雼堧嫟.
鞚挫偓須岆姅 鞚� "旮办梾 氚滍枆"鞚� (i) 491毵� 雼煬鞚� 攵�毂勲ゼ 靻岆└鞁滍偆瓿� (ii) 2,000毵� 雼煬鞚� 靹膘灔 霕愲姅 鞖挫爠鞛愲掣 鞛愱笀鞐� 雽�頃� 鞙犾棸頃橁碃 鞛焿鞝侅澑 鞝戧芳鞚� 鞝滉车頃� 瓴冹澊霛缄碃 氙快姷雼堧嫟. 臧� 瓯半灅臧� 瓯半灅 鞝� 氚滍枆 欤检嫕鞚� 鈮�20%毳� 雮橃姢雼� "斓滌唽 臧�瓴�" 鞚错晿搿� 氚滍枆頃� 靾� 鞛堨溂氙�搿� 欤检＜ 鞀轨澑(2025雲� 7鞗� 8鞚� 靹滊┐ 霃欖潣)鞚� 頃勳殧頄堦碃 鞀轨澑霅橃棃鞀惦媹雼�.
頋劃 鞓來枼: 2025雲� 7鞗� 8鞚� 旮办 TEN鞚� 氚滍枆 欤检嫕 靾橂姅 3,510毵� 欤检榾鞀惦媹雼�. SHC 頃╈潣搿� 鞎� 560毵� 欤�(鞎� 16%)臧� 鞚措 於旉皜霅橃棃鞙茧┌ Lincoln Park 鞁滌劋瓿� 雮潃 SHC 欤检嫕鞚� 於旉皜搿� 靸侂嫻頌� 歃濌皜頃� 靾� 鞛堨柎 旮办〈 欤检＜鞚� 鞚橁舶甓岇澊 臧愳唽頃� 靾� 鞛堨姷雼堧嫟. SHC 靻岇湢甓岇潃 4.99%搿� 鞝滍暅霅橁碃 Lincoln Park電� 9.99%鞚� 鞁れ 靻岇湢甓� 氚� 毵ろ殞 雼煬 頃滊弰鞚� 鞝滍暅鞚� 氚涭毵�, 鞝勳泊 2,000毵� 雼煬臧� 雮潃 臧�瓴╈棎 鞚胳稖霅� 瓴届毎 雸勳爜 頋劃鞚� 40%毳� 齑堦臣頃� 靾� 鞛堨姷雼堧嫟.
欤检殧 臁瓣贝 氚� 鞎堨爠鞛レ箻: 欤缄皜臧� 鈮�0.25雼煬搿� 頃橂澖頃橁卑雮� 30鞚� 韽夑窢 瓯半灅霟夓澊 10毵� 氙鸽鞙茧 霒柎歆� 瓴届毎 SHC 瓿勳暯靸侅潣 旮半掣 鞙勲皹 臁瓣贝; 24臧滌洈 霃欖晥 "鞁滌灔臧�瓴�" 氚╈嫕 霕愲姅 於旉皜 欤检嫕 霛检澑 旮堨; 鞝�3(a)(10)臁办棎 霐半ジ 氩曥洂 瓿奠爼靹� 鞚橁铂鞙茧 歃濌秾氩� 霌彪 氅挫牅 鞝滉车; 氚橂寑 欤检＜鞚� 臧愳爼 韽夑皜甓� 鞐嗢潓.
鞝曤炒 氇呾劯靹� 氚滌啞鞚� 2025雲� 7鞗旍棎 鞁滌瀾霅橂┌, 臁办箻電� 鞎� 20鞚� 頉�(2025雲� 8鞗旉步) 氚滍毃霅╇媹雼�. 於旉皜 欤检＜ 臁办箻雮� 鞙勳瀯鞛レ潃 頃勳殧頃橃 鞎婌姷雼堧嫟.
TEN Holdings, Inc. ("XHLD") a obtenu le consentement 茅crit de son actionnaire majoritaire d茅tenant 64,9 % des actions pour approuver deux 茅missions d'actions dilutives d茅passant ensemble le seuil de 20 % fix茅 par la r猫gle Nasdaq 5635(d) :
- Accord de r猫glement avec Sunpeak Holdings Corp. ("SHC") 鈥� conversion de dette en actions de 4,91 millions de dollars. SHC a achet茅 des cr茅ances contre la Soci茅t茅 et re莽oit des actions au prix de cl么ture du 23 avril 2025 (sous r茅serve d'ajustements) plus 175 000 actions de frais. L'approbation du tribunal en vertu de la section 3(a)(10) a 茅t茅 obtenue le 30 avril 2025, et 5,56 millions d'actions (y compris les actions de frais) ont d茅j脿 茅t茅 茅mises jusqu'au 25 juin 2025.
- Contrat d'achat (ligne de capitaux propres) avec Lincoln Park Capital 鈥� jusqu'脿 20 millions de dollars. Sur une p茅riode de 24 mois 脿 compter de la mise en vigueur d'une d茅claration d'enregistrement de revente, TEN peut demander 脿 Lincoln Park d'acheter entre 100 000 et 175 000 actions par tirage (maximum 750 000 $ par tirage). Le prix correspond 脿 97 % du plus bas entre (i) la transaction la plus basse 脿 la date du tirage ou (ii) la moyenne des trois plus bas cours de cl么ture des 10 jours de bourse pr茅c茅dents. Lincoln Park a re莽u 882 145 actions d'engagement en avance et est interdit de vente 脿 d茅couvert. La Soci茅t茅 peut r茅silier la facilit茅 脿 tout moment.
Le Conseil estime que ces 芦 脡missions d'entreprise 禄 permettront (i) d'茅teindre 4,91 millions de dollars de passifs et (ii) de fournir un acc猫s flexible et discr茅tionnaire 脿 20 millions de dollars pour le financement de la croissance ou du fonds de roulement. Comme chaque transaction pourrait entra卯ner l'茅mission de 鈮�20 % des actions en circulation avant la transaction 脿 un prix inf茅rieur au 芦 Prix Minimum 禄 du Nasdaq, l'approbation des actionnaires 茅tait requise et a 茅t茅 accord茅e par consentement 茅crit en date du 8 juillet 2025.
Impact dilutif : 脌 la date d'enregistrement du 8 juillet 2025, TEN comptait 35,1 millions d'actions en circulation. Le r猫glement avec SHC a d茅j脿 ajout茅 environ 5,6 millions d'actions (鈮�16 %), et la facilit茅 Lincoln Park ainsi que les actions restantes de SHC pourraient en ajouter beaucoup plus, r茅duisant le pouvoir de vote des d茅tenteurs actuels. La participation de SHC est plafonn茅e 脿 4,99 % et Lincoln Park est soumis 脿 des limites de propri茅t茅 b茅n茅ficiaire de 9,99 % et de montant par tirage, mais la dilution cumul茅e pourrait d茅passer 40 % si les 20 millions de dollars sont enti猫rement tir茅s 脿 des prix bas.
Principaux termes et garanties : d茅clencheurs de d茅faut dans l'accord SHC si le cours de l'action tombe 脿 鈮�0,25 $ ou si le volume moyen sur 30 jours descend en dessous de 100 000 ; pas de ligne de capitaux 芦 at-the-market 禄 ou suppl茅mentaire pendant 24 mois ; avis d'茅quit茅 judiciaire en vertu de la section 3(a)(10) fournissant une exemption d'enregistrement au titre de la loi sur les valeurs mobili猫res ; pas de droits d'茅valuation pour les dissidents.
L'envoi de la d茅claration d'information d茅butera en juillet 2025 ; les actions deviendront effectives environ 20 jours plus tard (vers ao没t 2025). Aucune autre action ou procuration des actionnaires n'est requise.
TEN Holdings, Inc. ("XHLD") hat die schriftliche Zustimmung seines Mehrheitsaktion盲rs mit 64,9 % erhalten, um zwei verw盲ssernde Aktienausgaben zu genehmigen, die zusammen die 20%-Schwelle gem盲脽 Nasdaq-Regel 5635(d) 眉berschreiten:
- Vergleichsvereinbarung mit Sunpeak Holdings Corp. ("SHC") 鈥� Schulden-gegen-Aktien-Tausch im Wert von 4,91 Millionen US-Dollar. SHC hat Forderungen gegen das Unternehmen erworben und erh盲lt Aktien zum Schlusskurs vom 23. April 2025 (vorbehaltlich Anpassungen) plus 175.000 Geb眉hrenaktien. Die gerichtliche Genehmigung gem盲脽 Abschnitt 3(a)(10) wurde am 30. April 2025 erteilt, und bis zum 25. Juni 2025 wurden bereits 5,56 Millionen Aktien (einschlie脽lich Geb眉hrenaktien) ausgegeben.
- Kaufvereinbarung (Kapitallinie) mit Lincoln Park Capital 鈥� bis zu 20 Millionen US-Dollar. 脺ber einen Zeitraum von 24 Monaten nach Wirksamwerden einer Verkaufsregistrierungserkl盲rung kann TEN Lincoln Park anweisen, pro Abruf bis zu 100.000鈥�175.000 Aktien zu kaufen (max. 750.000 US-Dollar pro Abruf). Die Preisfestsetzung entspricht 97 % des niedrigeren von (i) dem niedrigsten Handel am Abrufdatum oder (ii) dem Durchschnitt der drei niedrigsten Schlusskurse der vorangegangenen 10 Handelstage. Lincoln Park erhielt im Voraus 882.145 Verpflichtungsaktien und darf keine Leerverk盲ufe t盲tigen. Das Unternehmen kann die Einrichtung jederzeit beenden.
Der Vorstand ist der Ansicht, dass diese 鈥濽nternehmensausgaben鈥� (i) Verbindlichkeiten in H枚he von 4,91 Millionen US-Dollar tilgen und (ii) flexiblen, diskretion盲ren Zugang zu 20 Millionen US-Dollar f眉r Wachstums- oder Betriebskapitalfinanzierung bieten werden. Da jede Transaktion zur Ausgabe von 鈮�20 % der vor der Transaktion ausstehenden Aktien unterhalb des Nasdaq-鈥濵indestpreises鈥� f眉hren k枚nnte, war eine Zustimmung der Aktion盲re erforderlich und wurde durch schriftliche Zustimmung vom 8. Juli 2025 erteilt.
痴别谤飞盲蝉蝉别谤耻苍驳蝉补耻蝉飞颈谤办耻苍驳: Zum Stichtag 8. Juli 2025 hatte TEN 35,1 Millionen ausstehende Aktien. Die SHC-Vergleichsvereinbarung hat bereits ca. 5,6 Millionen Aktien (鈮�16 %) hinzugef眉gt, und die Lincoln-Park-Fazilit盲t sowie verbleibende SHC-Aktien k枚nnten noch wesentlich mehr hinzuf眉gen, was die Stimmrechte der bestehenden Inhaber verringert. Die Beteiligung von SHC ist auf 4,99 % begrenzt, und Lincoln Park unterliegt einer 9,99 %-igen wirtschaftlichen Eigentums- und Dollar-Limitierung pro Abruf, aber die kumulative Verw盲sserung k枚nnte 40 % 眉bersteigen, wenn die vollen 20 Millionen US-Dollar zu niedrigen Preisen abgerufen werden.
Wesentliche Bedingungen und Schutzma脽nahmen: Ausl枚sebedingungen im SHC-Vertrag bei einem Kurs 鈮�0,25 US-Dollar oder einem 30-Tage-Durchschnittsvolumen unter 100.000; keine 鈥濧t-the-Market鈥�- oder zus盲tzlichen Kapitallinien f眉r 24 Monate; gerichtliches Fairness-Gutachten gem盲脽 Abschnitt 3(a)(10) bietet Befreiung von der Registrierung nach dem Wertpapiergesetz; keine Abfindungsrechte f眉r abweichende Aktion盲re.
Der Versand der Informationsmitteilung beginnt im Juli 2025; die Ma脽nahmen werden ca. 20 Tage sp盲ter wirksam (etwa im August 2025). Weitere Aktion盲rsma脽nahmen oder Vollmachten sind nicht erforderlich.
The information in this preliminary pricing supplement is not complete and may be changed. This preliminary pricing supplement and the accompanying prospectus supplement and prospectus are not an offer to sell these notes and we are not soliciting an offer to buy these notes in any jurisdiction where the offer or sale is not permitted.
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Subject To Completion, dated July 8, 2025 PRICING SUPPLEMENT No. 457 dated July , 2025 (To Prospectus Supplement dated April 27, 2023 and Prospectus dated April 27, 2023)
Wells Fargo & Company Medium-Term Notes, Series T $ Fixed Rate Callable Notes Notes due July 22, 2035
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Filed Pursuant to Rule 424(b)(2)
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The notes have a term of 10 years, subject to our right to redeem the notes on the optional redemption dates beginning 2 years after issuance. The notes pay interest semi-annually at a fixed per annum rate, as set forth below. All payments on the notes are subject to the credit risk of Wells Fargo & Company. If Wells Fargo & Company defaults on its obligations, you could lose some or all of your investment. The notes will not be listed on any exchange and are designed to be held to maturity.
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Terms of the Notes |
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Issuer: |
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Wells Fargo & Company (“Wells Fargo”) |
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Original Offering Price: |
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$1,000 per note; provided that the original offering price for an eligible institutional investor and an investor purchasing the notes in a fee-based advisory account will vary but will not be less than $980.00 per note and will not be more than $1,000 per note. Because the original offering price for eligible institutional investors and investors purchasing the notes in a fee-based advisory account will vary as described in footnote (1) below, the price such investors pay for the notes may be higher than the prices paid by other eligible institutional investors or investors in fee-based advisory accounts based on then-current market conditions and the negotiated price determined at the time of each sale. |
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Principal Amount: |
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$1,000 per note. References in this pricing supplement to a “note” are to a note with a principal amount of $1,000. |
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Pricing Date: |
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July 18, 2025.* |
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Issue Date: |
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July 22, 2025.* |
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Stated Maturity Date: |
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July 22, 2035.* The notes are subject to redemption by Wells Fargo prior to the stated maturity date as set forth below under “Optional Redemption.” The notes are not subject to repayment at the option of any holder of the notes prior to the stated maturity date. |
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Payment at Maturity: |
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Unless redeemed prior to stated maturity by Wells Fargo, a holder will be entitled to receive on the stated maturity date a cash payment in U.S. dollars equal to $1,000 per note, plus any accrued and unpaid interest. |
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Interest Payment Dates: |
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Semi-annually on the 22nd day of each January and July, commencing January 22, 2026, and at stated maturity or earlier redemption.* |
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Interest Period: |
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With respect to an interest payment date, the period from, and including, the immediately preceding interest payment date (or, in the case of the first interest period, the issue date) to, but excluding, that interest payment date. |
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Interest Rate: |
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5.25% per annum. See “Description of Notes—Interest and Principal Payments” and “—Fixed Rate Notes” in the prospectus supplement for a discussion of the manner in which interest on the notes will be calculated, accrued and paid. |
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Optional Redemption: |
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The notes are redeemable by Wells Fargo, in whole but not in part, on the optional redemption dates, at 100% of their principal amount plus accrued and unpaid interest to, but excluding, the redemption date. Any redemption may be subject to prior regulatory approval. Wells Fargo will give notice to the holders of the notes at least 5 days and not more than 30 days prior to the date fixed for redemption in the manner described in the accompanying prospectus supplement under “Description of Notes—Redemption and Repayment.” |
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Optional Redemption Dates: |
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Annually on the 22nd day of each July, commencing July 22, 2027 and ending July 22, 2034*. |
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Listing: |
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The notes will not be listed on any securities exchange or automated quotation system. |
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Denominations: |
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$1,000 and any integral multiples of $1,000 |
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CUSIP Number: |
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95001DL65 |
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To the extent that we make any change to the expected pricing date or expected issue date, the interest payment dates, the optional redemption dates and stated maturity date may also be changed in our discretion to ensure that the term of the notes remains the same. |
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Investing in the notes involves risks not associated with an investment in conventional debt securities. See “Selected Risk Considerations” on page PRS-3 herein and “Risk Factors” beginning on page S-4 of the accompanying prospectus supplement. |
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The notes are unsecured obligations of Wells Fargo, and all payments on the notes are subject to the credit risk of Wells Fargo. If Wells Fargo defaults on its obligations, you could lose some or all of your investment. The notes are not savings accounts, deposits or other obligations of a depository institution and are not insured by the Federal Deposit Insurance Corporation, the Deposit Insurance Fund or any other governmental agency. |
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Neither the Securities and Exchange Commission nor any state securities commission or other regulatory body has approved or disapproved of these notes or passed upon the accuracy or adequacy of this pricing supplement or the accompanying prospectus supplement and prospectus. Any representation to the contrary is a criminal offense. |
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Original Offering Price(1) |
Agent Discount(2) |
Proceeds to Wells Fargo |
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Per Note |
$1,000.00 |
$20.00 |
$980.00 |
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Total |
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(1) |
The original offering price for an eligible institutional investor and an investor purchasing the notes in a fee-based advisory account will vary based on then-current market conditions and the negotiated price determined at the time of each sale; provided, however, the original offering price for such investors will not be less than $980.00 per note and will not be more than $1,000 per note. The original offering price for such investors reflects a foregone selling concession with respect to such sales as described in footnote (2) below. |
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(2) |
The agent will receive an agent discount of up to $20.00 per note, and from such agent discount will allow selected dealers a selling concession of up to $20.00 per note depending on market conditions that are relevant to the value of the notes at the time an order to purchase the notes is submitted to the agent. Dealers who purchase the notes for sales to eligible institutional investors and fee-based advisory accounts may forgo some or all selling concessions. The per note agent discount in the table above represents the maximum agent discount payable per note. See “Supplemental Plan of Distribution (Conflicts of Interest)” in the prospectus supplement for further information including information regarding how we may hedge our obligations under the notes and offering expenses. Wells Fargo Securities, LLC, a wholly owned subsidiary of Wells Fargo & Company, is the agent for the distribution of the notes and is acting as principal. |
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Wells Fargo Securities |
ADDITIONAL INFORMATION ABOUT THE ISSUER AND THE NOTES
The notes are senior unsecured debt securities of Wells Fargo & Company and are part of a series entitled “Medium-Term Notes, Series T.” The paying agent and security registrar for the notes is Computershare Trust Company, N.A.
All payments on the notes are subject to the credit risk of Wells Fargo.
You should read this pricing supplement together with the prospectus supplement dated April 27, 2023 and the prospectus dated April 27, 2023 for additional information about the notes. To the extent that disclosure in this pricing supplement is inconsistent with the disclosure in the prospectus supplement or prospectus, the disclosure in this pricing supplement will control. Certain defined terms used but not defined herein have the meanings set forth in the prospectus supplement.
You may access the prospectus supplement and prospectus on the SEC websiteiwww.sec.gov as follows (or if such address has changed, by reviewing our filings for the relevant date on the SEC website):
●Prospectus Supplement dated April 27, 2023:
https://www.sec.gov/Archives/edgar/data/72971/000183988223010804/seriest-424b2_042723.htm
●Prospectus dated April 27, 2023:
https://www.sec.gov/Archives/edgar/data/72971/000183988223010799/wf_424b2-0427.htm
PRS-2
SELECTED RISK CONSIDERATIONS
Your investment in the notes will involve risks not associated with an investment in conventional debt securities. You should carefully consider the risk factors set forth below and the “Risk Factors” section of the accompanying prospectus supplement as well as the other information contained in the prospectus supplement and prospectus, including the documents they incorporate by reference. You should reach an investment decision only after you have carefully considered with your advisors the appropriateness of an investment in the notes in light of your particular circumstances.
Risks Relating To The Notes Generally
The Amount Of Interest You Receive May Be Less Than The Return You Could Earn On Other Investments.
Interest rates may change significantly over the term of the notes, and it is impossible to predict what interest rates will be at any point in the future. The interest rate payable on the notes may be more or less than prevailing market interest rates at any time during the term of the notes. As a result, the amount of interest you receive on the notes may be less than the return you could earn on other investments.
The Per Annum Interest Rate Will Affect Our Decision To Redeem The Notes.
It is more likely that we will redeem the notes prior to the stated maturity date during periods when the remaining interest is to accrue on the notes at a rate that is greater than that which we would pay on a conventional fixed-rate non-redeemable note of comparable maturity. If we redeem the notes prior to the stated maturity date, you may not be able to invest in other notes that yield as much interest as the notes.
An Investment In The Notes May Be More Risky Than An Investment In Notes With A Shorter Term.
The notes have a relatively long term to maturity, subject to our right to redeem the notes on the optional redemption dates. By purchasing notes with a longer term, you will bear greater exposure to fluctuations in interest rates than if you purchased a note with a shorter term. In particular, you may be negatively affected if interest rates begin to rise because the likelihood that we will redeem your notes will decrease and the interest rate payable on the notes may be less than the amount of interest you could earn on other investments available at such time. In addition, if you tried to sell your notes at such time, the value of your notes in any secondary market transaction would also be adversely affected.
Holders Of The Notes Have Limited Rights Of Acceleration.
Holders Of The Notes Could Be At Greater Risk For Being Structurally Subordinated If We Convey, Transfer Or Lease All Or Substantially All Of Our Assets To One Or More Of Our Subsidiaries.
Risks Relating To An Investment In Wells Fargo’s Debt Securities, Including The Notes
The Notes Are Subject To The Credit Risk Of Wells Fargo.
The notes are our obligations and are not, either directly or indirectly, an obligation of any third party. Any amounts payable under the notes are subject to our creditworthiness. As a result, our actual and perceived creditworthiness may affect the value of the notes and, in the event we were to default on our obligations, you may not receive any amounts owed to you under the terms of the notes.
Our Ability To Service Our Debt, Including The Notes, May Be Limited By The Results Of Operations Of Our Subsidiaries And Certain Contractual Arrangements.
The Resolution Of Wells Fargo Under The Orderly Liquidation Authority Could Result In Greater Losses For Holders Of Our Debt Securities, Including The Notes, Particularly If A Single-Point-Of-Entry Strategy Is Used.
The Resolution Of Wells Fargo In A Bankruptcy Proceeding Could Also Result in Greater Losses For Holders Of Our Debt Securities, Including The Notes.
PRS-3
Risks Relating To The Value Of The Notes And Any Secondary Market
The Agent Discount, Offering Expenses And Certain Hedging Costs Are Likely To Adversely Affect The Price At Which You Can Sell Your Notes.
Assuming no changes in market conditions or any other relevant factors, the price, if any, at which you may be able to sell the notes will likely be lower than the original offering price. The original offering price includes, and any price quoted to you is likely to exclude, the agent discount paid in connection with the initial distribution, offering expenses and the projected profit that our hedge counterparty (which may be one of our affiliates) expects to realize in consideration for assuming the risks inherent in hedging our obligations under the notes. In addition, any such price is also likely to reflect dealer discounts, mark-ups and other transaction costs, such as a discount to account for costs associated with establishing or unwinding any related hedge transaction. The price at which the agent or any other potential buyer may be willing to buy your notes will also be affected by the interest rate provided by the notes and by the market and other conditions discussed in the next risk factor.
The Value Of The Notes Prior To Stated Maturity Will Be Affected By Numerous Factors, Some Of Which Are Related In Complex Ways.
The value of the notes prior to stated maturity will be affected by interest rates at that time and a number of other factors, some of which are interrelated in complex ways. The effect of any one factor may be offset or magnified by the effect of another factor. The following factors, among others, are expected to affect the value of the notes. When we refer to the “value” of your note, we mean the value that you could receive for your note if you are able to sell it in the open market before the stated maturity date.
●Interest Rates. The value of the notes may be affected by changes in the interest rates in the U.S. markets.
●Our Creditworthiness. Actual or anticipated changes in our creditworthiness may affect the value of the notes. However, because the return on the notes is dependent upon factors in addition to our ability to pay our obligations under the notes, such as whether we exercise our option to redeem the notes, an improvement in our creditworthiness will not reduce the other investment risks related to the notes.
The Notes Will Not Be Listed On Any Securities Exchange And We Do Not Expect A Trading Market For The Notes To Develop.
The notes will not be listed or displayed on any securities exchange or any automated quotation system. Although the agent and/or its affiliates may purchase the notes from holders, they are not obligated to do so and are not required to make a market for the notes. There can be no assurance that a secondary market will develop. Because we do not expect that any market makers will participate in a secondary market for the notes, the price at which you may be able to sell your notes is likely to depend on the price, if any, at which the agent is willing to buy your notes.
If a secondary market does exist, it may be limited. Accordingly, there may be a limited number of buyers if you decide to sell your notes prior to stated maturity. This may affect the price you receive upon such sale. Consequently, you should be willing to hold the notes to stated maturity.
Risk Relating To Conflicts Of Interest
A Dealer Participating In The Offering Of The Notes Or Its Affiliates May AG真人官方ize Hedging Profits Projected By Its Proprietary Pricing Models In Addition To Any Selling Concession, Creating A Further Incentive For The Participating Dealer To Sell The Notes To You.
If any dealer participating in the offering of the notes, which we refer to as a “participating dealer,” or any of its affiliates conducts hedging activities for us in connection with the notes, that participating dealer or its affiliates will expect to realize a projected profit from such hedging activities, if any, and this projected hedging profit will be in addition to any concession that the participating dealer realizes for the sale of the notes to you. This additional projected profit may create a further incentive for the participating dealer to sell the notes to you.
PRS-4
UNITED STATES FEDERAL TAX CONSIDERATIONS
In the opinion of our counsel, Davis Polk & Wardwell LLP, the notes will be treated as debt instruments for U.S. federal income tax purposes.
We expect the “issue price” of the notes to be equal to their stated principal amount. Assuming that the notes’ issue price is equal to the stated principal amount, the notes will be issued without original issue discount (“OID”) for U.S. federal income tax purposes. However, the issue price of the notes will be determined on the pricing date. If the notes’ stated principal amount exceeds their issue price by more than a de minimis amount, the notes would be issued with OID, in which case a U.S. holder (as defined in the accompanying prospectus supplement) would generally be required to recognize the OID in income in advance of the receipt of the related cash payments.
Both U.S. and non-U.S. persons considering an investment in the notes should read the discussion under “United States Federal Tax Considerations” in the accompanying prospectus supplement for more information.
PRS-5
SUPPLEMENTAL PLAN OF DISTRIBUTION
The original offering price is $1,000 per note; provided that the original offering price for an eligible institutional investor and an investor purchasing the notes in a fee-based advisory account will vary based on then-current market conditions and the negotiated price determined at the time of each sale. The original offering price for such investors will not be less than $980.00 per note and will not be more than $1,000 per note. The original offering price for such investors reflects a foregone selling concession with respect to such sales as described in the next paragraph.
Wells Fargo Securities, LLC, a wholly owned subsidiary of Wells Fargo & Company, is the agent for the distribution of the notes. The agent may resell the notes to other securities dealers at the original offering price of $1,000 per note less a concession not in excess of the agent discount. Such securities dealers may include Wells Fargo Advisors (the trade name of the retail brokerage business of our affiliates, Wells Fargo Clearing Services, LLC and Wells Fargo Advisors Financial Network, LLC). Wells Fargo Securities LLC will receive an agent discount of up to $20.00 per note, and from such agent discount will allow selected dealers a selling concession of up to $20.00 per note depending on market conditions that are relevant to the value of the notes at the time an order to purchase the notes is submitted to the agent. Dealers who purchase the notes for sales to eligible institutional investors and fee-based advisory accounts may forgo some or all selling concessions.
The agent or another affiliate of ours expects to realize hedging profits projected by its proprietary pricing models to the extent it assumes the risks inherent in hedging our obligations under the notes. If any dealer participating in the distribution of the notes or any of its affiliates conducts hedging activities for us in connection with the notes, that dealer or its affiliate will expect to realize a profit projected by its proprietary pricing models from such hedging activities. Any such projected profit will be in addition to any discount or concession received in connection with the sale of the notes to you.
PRS-6
Source:
FAQ
Why did TEN Holdings (XHLD) need majority stockholder approval for the SHC and Lincoln Park transactions?
How much debt is eliminated through the Sunpeak Holdings settlement?
What are the key pricing terms of the Lincoln Park equity line?
How many shares has TEN already issued to SHC under the settlement?
Will the transactions affect existing shareholders' voting power?
Can TEN terminate the Lincoln Park Purchase Agreement?
