Bimini Capital Management, Inc. announced the adoption of an amendment to its existing Rights Agreement.
The expiration date of the Original Rights Plan was extended to December 21, 2030, with a change in the purchase price.
The Rights Plan aims to preserve stockholder value and certain tax assets associated with NOLs under Section 382 of the Internal Revenue Code.
Purpose of Rights Plan
Preserving stockholder value and protecting the value of NOLs.
Ownership Change
Preventing an ownership change under Section 382 of the Internal Revenue Code by increasing the purchase price.
Stockholder Vote
The First Amendment will be subjected to a stockholder vote at the 2026 annual meeting.
- The extension of the Rights Plan provides stability and security for stockholders.
- Increasing the purchase price helps reduce the likelihood of an ownership change and potential dilution.
The amendment to the Rights Agreement demonstrates Bimini Capital Management's commitment to protecting stockholder interests and preserving the value of tax assets.