Outstanding shares of BIO-key’s preferred stock converted into common stock
BIO-key International announced today that all remaining outstanding shares of the company’s Series A-1 and Series B-1 convertible preferred stock, and all accrued and unpaid dividends, have been converted into common stock at a conversion price of $3.60 per share.
As a result of these and other preferred stock conversions earlier in 2018, the New Jersey-based biometrics solutions provider has eliminated approximately $638,000 in future annual preferred stock dividends payments. BIO-key has also satisfied payment of all accrued preferred stock dividends through the issuance of common stock at a price of $3.60 per share.
In 2018, BIO-key has paid $828,441 in accrued preferred stock dividends through the issuance of 230,123 shares of its common stock. Reflecting the preferred stock conversions and accrued dividend payments in 2018, BIO-key has issued 4,885,569 shares of common stock, increasing its total issued and outstanding shares to 12.6 million.
“We are grateful for the support and confidence of these long-term investors who converted preferred stock and accrued dividends into common stock at roughly a 61% premium to the Friday June 1st closing price of $2.23,” commented BIO-key’s CEO Michael DePasquale. “The conversions simplify and strengthen BIO-key’s capital structure while eliminating all future dividend payment requirements.”