Company: CMCT
Filing Date: 2025-08-15
Form Type: PRE 14A
Source: 0001104659-25-079235
Chunk: 40

Company: Creative Media & Community Trust Corp
Filing Date: 2025-08-15
Form: PRE 14A
Chunk 40
---
 its stockholders. In determining the 1:10 ratio of the 1:10 Reverse Stock Split, our Board considered, among other things, factors such as:

•

the historical trading price and trading volume of our Common Stock;

•

the then prevailing trading price and trading volume of our Common Stock and the anticipated impact of the 1:10 Reverse Stock Split on the trading market for our Common Stock;

•

our ability to have our Common Stock remain listed on Nasdaq, including the maintenance of the required number of shares of Common Stock registered with Nasdaq;

•

the anticipated impact of the 1:10 Reverse Stock Split on our ability to raise additional financing;

•

the potential for downward pressure on the bid price of the Common Stock caused by redemptions of Preferred Stock; and

•

prevailing general market and economic conditions.

If the 1:10 Reverse Stock Split is approved by our stockholders and the Company, in its sole discretion, determines to effect the 1:10 Reverse Stock Split, we will issue a press release announcing the 1:10 Effective Date (as defined below) of the 1:10 Reverse Stock Split and will file the Articles of Amendment, substantially in the form attached hereto as Appendix C (the “

#### Proposed 1:10 Amendment
”), to effect the 1:10 Reverse Stock Split. The 1:10 Reverse Stock Split will become effective upon the effective time stated in the Articles of Amendment (the “

#### 1:10 Effective Date
”), after the Articles of Amendment are accepted for record by the Maryland SDAT. The 1:10 Effective Date shall be no later than September 23, 2026.

If each of Proposal 1, Proposal 2, and Proposal 3 are approved at the Special Meeting, the Company may elect, in its sole discretion, to implement only one of the approved proposals at any time prior to September 23, 2026 or to implement none of the proposals. Providing the Company with discretion to select the exchange ratio at which to effect a reverse stock split-based on one of the three ratios contemplated by the proposed amendments, rather than requiring approval of a single fixed ratio, affords the Company flexibility to respond to prevailing market conditions, achieve its objectives with the reverse stock split, and act in the best interests of the Company. If certain but not all of Proposal 1, Proposal 2, or Proposal 3 were to be approved at the Special Meeting, the Company may elect, in its sole discretion,