Galaxy Next Generation Announces the Conversion of the Majority of Series F Convertible Preferred Stock into Common Stock at a Price of $0.37

Rhea-AI Summary

Galaxy Next Generation, Inc. (OTCQB:GAXY) announced on December 14, 2022, that the majority of holders of its Series F Convertible Preferred Stock converted their shares into 23,540,539 common shares, valued at $0.37 per share. This conversion is viewed positively as it strengthens the company's common equity position. CEO Gary LeCroy expressed appreciation for the long-term shareholders, who are expected to maintain their investments for 5-10 years. Galaxy focuses on providing interactive technology solutions primarily to the K-12 education market.

Positive

• Conversion of Series F Convertible Preferred Stock enhances common equity position.
• Majority shareholders converted 23,540,539 preferred shares to common stock, indicating strong investor confidence.
• Long-term shareholder commitment (5-10 years) supports stable capital structure.

Negative

• None.

Improves Capital Structure and Strenghthens Common Equity Position

TOCCOA, GA / ACCESSWIRE / December 16, 2022 / Galaxy Next Generation, Inc. (OTCQB:GAXY) ("Galaxy" or the "Company), a provider of interactive learning technology solutions and school communication platforms, is pleased to announce that on December 14, 2022 the majority of the holders of its Series F Convertible Preferred Stock, at their option, converted into 23,540,539 common shares valued at $0.37 per share.

Gary LeCroy, Galaxy's Chief Executive Officer, commented, "We appreciate the support of these long-term shareholders who share in our strategic vision. This conversion was at their option and is a positive event for our Company as it increases our common equity position valuation. It is our understanding that these shareholders will continue to hold for the long-term as their investing time horizon is typically 5-10 years."

About Galaxy Next Generation, Inc.

Galaxy Next Generation (OTCQB:GAXY) is a provider of interactive learning technology solutions that allows the presenter and participant to engage in a fully collaborative instructional environment. Galaxy's products include Galaxy's own private-label interactive touch screen panel as well as numerous other national and international branded peripheral and communication devices. Galaxy's distribution channel consists of 22+ resellers across the U.S. who primarily sell the Company's products within the commercial and educational market. Galaxy does not control where resellers focus their resell efforts, although generally, the K-12 education market is the largest customer base for Galaxy products - comprising nearly 90% of Galaxy's sales.

For additional information, please visit our website at: www.galaxynext.us

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are based on the current plans and expectations of management and are subject to a number of uncertainties and risks that could significantly affect the company's current plans and expectations, as well as future results of operations and financial condition. A more extensive listing of risks and factors that may affect the company's business prospects and cause actual results to differ materially from those described in the forward-looking statements can be found in the reports and other documents filed by the company with the Securities and Exchange Commission. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Investors Contact:

IR@GalaxyNext.us
p888-859-1274

SOURCE: Galaxy Next Generation, Inc.

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FAQ

What is the significance of the Series F Convertible Preferred Stock conversion for GAXY?

The conversion enhances Galaxy Next Generation's common equity position, which is a positive indicator for investors.

How many shares were converted in the recent Galaxy Next Generation announcement?

A total of 23,540,539 shares were converted, valued at $0.37 per share.

What is the expected holding period for the shareholders who converted their preferred stock in GAXY?

Shareholders who converted their preferred stock are expected to hold for the long term, typically between 5 to 10 years.

When was the Series F Convertible Preferred Stock conversion announced by Galaxy Next Generation?

The conversion was announced on December 16, 2022.

What market does Galaxy Next Generation primarily serve?

Galaxy Next Generation primarily serves the K-12 education market, which comprises nearly 90% of its sales.