HNO International Announces an 82% Reduction in Outstanding Shares of Common Stock as 360 Million Shares Have Been Exchanged

Rhea-AI Summary

HNO International (HNOI) has announced a significant reduction in its outstanding common stock shares, with 360 million shares being exchanged for newly designated Series B Convertible Preferred Stock. This exchange, involving shares owned by CEO Donald Owens and an affiliated entity, has resulted in an 82% decrease in outstanding common shares, reducing the total to approximately 74 million shares.

The company, which specializes in hydrogen-based clean energy technologies, views this exchange as part of its transition from R&D to production operations. According to CEO Owens, this restructuring aims to enhance shareholder value while maintaining their focus on product development.

Positive

• 82% reduction in outstanding common shares, decreasing from ~434M to 74M shares
• Successful transition from R&D to production phase
• Share restructuring potentially reduces dilution for common stockholders

Negative

• Large concentration of voting power in preferred shares held by CEO and affiliated entity

HOUSTON, Jan. 3, 2025 /PRNewswire/ -- HNO International, Inc. (OTC Pink: HNOI) (the "Company"), a leader in hydrogen-based clean energy technologies, announces a major reduction in the outstanding shares of Common Stock of the Company.

After the return exchange of 360 million shares of Common Stock owned by Donald Owens, Chairman of the Board of Directors and CEO of the Company and an affiliated entity, for shares of newly designated Series B Convertible Preferred Stock, the new number of outstanding shares of Common Stock is roughly 74 million shares.

"As 2024 ends and 2025 begins, I'm pleased to announce this share exchange. Our rotation from R&D to a production environment has placed the Company in a significantly stronger position and has enabled us to drastically reduce the outstanding shares of Common Stock of the Company through this exchange, furthering our goal of bringing both a solid product and increasing shareholder value to the marketplace," commented Donald Owens, Chairman of the Board of Directors and CEO of HNO International.

About HNO International
HNO International (HNOI) is a company specializing in the design, integration, and development of green hydrogen-based energy technologies. With over 15 years of experience in green hydrogen production, HNOI and its leadership team are on a mission to help lead the renewable energy transition by making energy accessible to businesses and communities worldwide. Their pioneering solutions, including the Scalable Hydrogen Energy Platform (SHEP™) and the Compact Hydrogen Refueling Station (CHRS™), are setting new standards for green hydrogen production.

Forward-Looking Statements
This news release contains "forward-looking statements" which are not purely historical and may include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, the development, costs and results of new business opportunities and words such as "anticipate", "seek", intend", "believe", "estimate", "plan", or similar phrases may be deemed "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ from those projected in any forward-looking statements due to numerous factors. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K, our quarterly reports on Form 10-Q and other periodic reports filed from time to time with the Securities and Exchange Commission. For more information, please visit www.sec.gov.

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SOURCE HNO International

FAQ

What is the impact of HNOI's 82% share reduction on existing shareholders?

The reduction in outstanding common shares from approximately 434M to 74M shares potentially increases the value per share for existing shareholders by reducing dilution, though voting power is now more concentrated in preferred shares.

How many HNOI shares were exchanged in January 2025?

360 million shares of common stock were exchanged for Series B Convertible Preferred Stock in January 2025.

What is HNOI's new share count after the January 2025 exchange?

After the exchange, HNOI's outstanding common shares were reduced to approximately 74 million shares.

How does HNOI's transition from R&D to production relate to the share exchange?

The company's transition to production operations has strengthened its position, enabling the share restructuring as part of its strategy to enhance shareholder value while delivering solid products.