Company: SQFTP
Filing Date: 2025-04-07
Form Type: PRE 14A
Source: 0001641172-25-003040
Chunk: 73

Company: Presidio Property Trust, Inc.
Filing Date: 2025-04-07
Form: PRE 14A
Chunk 73
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000 shares to 2,000,000 shares and having such preferences, conversion and other rights, voting powers, restrictions, limitations as to dividends, qualifications, and terms and conditions of redemption as determined by the Board. The full text of the Charter Amendment is set forth in the Articles of Amendment attached hereto as Appendix Band is incorporated by reference herein.

The current charter of the Company authorizes the Company to issue up to 109,001,000 shares of common stock, $0.01 per share, of which 100,000,000 shares are designated as Series A Common Stock, 1,000 shares are designated as Series B Common Stock and 9,000,000 shares are designated as Series C Common Stock, and up to 1,000,000 shares of preferred stock, all of which are designated as 9.375% Series D Cumulative Redeemable Perpetual Preferred Stock (“Series D Preferred Stock”).

Although the current charter of the Company grants the Board the power to classify any unissued shares of preferred stock into one or more classes or series of stock, the charter does not contain a similar provision granting the Board the power to classify any unissued shares of common stock. As such, the Company has from time to time relied on the existing charter provisions to classify undesignated shares of preferred stock into classes and series of common stock and preferred stock, resulting in no shares of undesignated preferred stock currently being authorized under the charter. Currently, all 1,000,000 shares of preferred stock are classified and designated as Series D Preferred Stock. Because the Board does not have the power classify unissued shares of common stock into one or more classes or series of stock and there are currently no authorized but undesignated shares of preferred stock, the Board is unable to classify or issue any additional classes or series of preferred stock at this time.

Purpose and Effect of Amendment

The principal purpose and effect of the Charter Amendment is to provide the Board with additional flexibility in the management of the Company’s capitalization and financing. The ability to issue preferred stock is a well-recognized and commonly-employed financing tool that could be used by us instead of debt to raise capital for future acquisitions or other business purposes. Having the flexibility to issue the full range of securities, including new classes or series of preferred stock, is crucial to ensuring that the Company can competitively finance future acquisitions and other business needs with the same tools employed by our competitors. The issuance of new classes or series of stock may, depending on market