LIFECORE BIOMEDICAL, INC. \DE\ 8-K

What Happened Lifecore Biomedical, Inc. announced on July 2, 2026 that between June 29 and June 30, 2026 it received redemption notices for approximately 49,263 shares — representing all outstanding shares — of its Series A Redeemable Convertible Preferred Stock. The Certificate of Designations sets the redemption price at $1,000 per share plus accrued and unpaid dividends; the required payment date is 180 days after notice, which is Monday, December 28, 2026.

Key Details

• Notices received: June 29–30, 2026 for ~49,263 shares (all outstanding Series A preferred).
• Per-share redemption terms: $1,000 per share plus accrued dividends; as of June 30, 2026 accrued/unpaid dividends = $0.9M and total liquidation value ≈ $50.2M.
• Total amount required to redeem on Dec 28, 2026 ≈ $52.1M; if the Company fails to redeem all submitted shares then interest accrues at 1% per month on any unpaid balance.
• Liquidity and constraints: as of Mar 31, 2026 the Company reported $38.1M total liquidity ($20.8M cash & equivalents; $17.3M available on its revolver). Payment of the redemptions requires lender consents under existing credit agreements; the Company is evaluating alternatives (cash, debt/equity financing, or other transactions).

Why It Matters This filing signals a near-term cash obligation that materially exceeds the Company’s reported liquidity as of March 31, 2026 and requires lender consents to pay. Investors should note the $52.1M redemption obligation, the Dec 28, 2026 payment deadline, and the risk of interest accrual if the Company cannot fully redeem by that date. The Company is exploring financing and strategic options; outcomes will affect capital structure, potential dilution, and near-term liquidity.