Creative Media & Community Trust Corp 8-K

What Happened

• Creative Media & Community Trust Corporation (CMCT) filed an 8‑K (dated June 17, 2026) reporting that it issued common stock in lieu of cash to redeem holders’ Series A and Series A1 preferred shares on May 12, 2026, May 28, 2026 and June 15, 2026.
• The company issued 99,599 shares of Common Stock to satisfy Series A1 redemptions and 209,080 shares of Common Stock to satisfy Series A redemptions, for a total of 308,679 common shares issued. The redemptions were requested by the preferred holders and the filings were made under Item 3.02 (Unregistered Sales of Equity Securities). The report was signed by CFO Brandon Hill.

Key Details

• Common shares issued for Series A1 redemptions: 4,418 (May 12), 68,971 (May 28), 26,210 (June 15) — total 99,599. Preferred shares redeemed (A1): 1,200; 16,000; 4,835 — total 22,035.
• Common shares issued for Series A redemptions: 26,992 (May 12), 19,296 (May 28), 162,792 (June 15) — total 209,080. Preferred shares redeemed (A): 6,952; 4,221; 28,093 — total 39,266.
• Conversion prices were set using the 20‑trading‑day VWAP before each redemption date: approx. $6.36 (May 12), $5.41 (May 28) and $4.30 (June 15).
• Issuances were in lieu of cash payment and were unregistered securities transactions reported under Item 3.02.

Why It Matters

• For investors, the transaction increases common shares outstanding by 308,679, which can modestly dilute existing common shareholders’ percentage ownership and per‑share metrics.
• By issuing stock instead of paying cash, CMCT reduced near‑term cash outflows associated with redeeming preferred shares and eliminated those preferred obligations (including accrued dividends) for the amounts redeemed.
• The declining VWAP-based conversion prices across the three dates reduced the cash-equivalent value per redemption over time; the filing is a factual disclosure of these capital‑structure changes, signed by the company’s CFO.