Innovative Eyewear, Inc. Adopts Limited Duration Stockholders Rights Plan
Innovative Eyewear, Inc. (Nasdaq: LUCY), developer of smart eyewear brands, has adopted a duration stockholder rights plan. The plan, effective from September 25, 2024 to September 25, 2025, aims to protect stockholders' interests and ensure fair value realization. Key features include:
1. One right distributed per outstanding common stock share.
2. Rights become exercisable if a person/group acquires 20% or more ownership without board approval.
3. Allows stockholders to purchase additional shares at a discount in specific scenarios.
4. Does not deter fair offers for the company.
5. Vladimir Galkin and affiliates are grandfathered but subject to certain conditions.
The plan is designed to prevent control acquisition through open market accumulation without paying an appropriate premium, while giving the board time to make informed decisions in stockholders' best interests.
Innovative Eyewear, Inc. (Nasdaq: LUCY), sviluppatore di marchi di occhiali smart, ha adottato un piano di diritti degli azionisti a durata. Il piano, efficace dal 25 settembre 2024 al 25 settembre 2025, mira a proteggere gli interessi degli azionisti e garantire una realizzazione del valore equo. Le caratteristiche principali includono:
1. Un diritto distribuito per ogni azione ordinaria in circolazione.
2. I diritti diventano esercitabili se una persona/gruppo acquisisce il 20% o più della proprietà senza l'approvazione del consiglio.
3. Permette agli azionisti di acquistare azioni aggiuntive a un prezzo scontato in scenari specifici.
4. Non ostacola le offerte eque per l'azienda.
5. Vladimir Galkin e i suoi affiliati sono esentati ma soggetti a determinate condizioni.
Il piano è progettato per prevenire l'acquisizione del controllo attraverso l'accumulo nel mercato aperto senza pagare un premio adeguato, dando al consiglio il tempo di prendere decisioni informate nel miglior interesse degli azionisti.
Innovative Eyewear, Inc. (Nasdaq: LUCY), desarrollador de marcas de gafas inteligentes, ha adoptado un plan de derechos de los accionistas a duración. El plan, efectivo desde el 25 de septiembre de 2024 hasta el 25 de septiembre de 2025, tiene como objetivo proteger los intereses de los accionistas y garantizar la realización de un valor justo. Las características clave incluyen:
1. Un derecho distribuido por cada acción ordinaria en circulación.
2. Los derechos se pueden ejercer si una persona/grupo adquiere el 20% o más de propiedad sin la aprobación de la junta.
3. Permite a los accionistas comprar acciones adicionales con descuento en escenarios específicos.
4. No disuade las ofertas justas por la empresa.
5. Vladimir Galkin y sus afiliados están exentos pero sujetos a ciertas condiciones.
El plan está diseñado para prevenir la adquisición del control mediante la acumulación en el mercado abierto sin pagar una prima adecuada, al mismo tiempo que da a la junta tiempo para tomar decisiones informadas en el mejor interés de los accionistas.
Innovative Eyewear, Inc. (Nasdaq: LUCY)는 스마트 안경 브랜드 개발 업체로, 기간 주주 권리 계획을 채택했습니다. 이 계획은 2024년 9월 25일부터 2025년 9월 25일까지 유효하며, 주주들의 이익을 보호하고 공정한 가치 실현을 보장하는 것을 목표로 합니다. 주요 특징은 다음과 같습니다:
1. 발행 중인 보통주 1주당 1개의 권리가 배포됩니다.
2. 특정 개인이나 그룹이 이사회 승인 없이 20% 이상의 소유권을 취득할 경우 권리가 행사 가능합니다.
3. 특정 상황에서 주주들이 추가 주식을 할인된 가격으로 구매할 수 있도록 허용합니다.
4. 회사에 대한 공정한 제안을 방해하지 않습니다.
5. 블라디미르 갈킨과 그의 지분 보유자는 면제되지만 특정 조건에 따라 다릅니다.
이 계획은 적절한 프리미엄을 지불하지 않고 공개 시장에서의 축적을 통해 통제력을 획득하는 것을 방지하고, 이사회가 주주들의 최선의 이익을 위해 정보에 기반한 결정을 내릴 수 있는 시간을 제공합니다.
Innovative Eyewear, Inc. (Nasdaq: LUCY), développeur de marques de lunettes intelligentes, a adopté un plan de droits des actionnaires à durée. Le plan, qui prend effet du 25 septembre 2024 au 25 septembre 2025, vise à protéger les intérêts des actionnaires et à garantir la réalisation d'une valeur équitable. Les principales caractéristiques comprennent :
1. Un droit distribué par action ordinaire en circulation.
2. Les droits deviennent exercables si une personne ou un groupe acquiert 20 % ou plus de propriété sans l'approbation du conseil d'administration.
3. Permet aux actionnaires d'acheter des actions supplémentaires à prix réduit dans des scénarios spécifiques.
4. Ne dissuade pas les offres équitables pour l'entreprise.
5. Vladimir Galkin et ses affiliés sont exonérés mais soumis à certaines conditions.
Le plan est conçu pour empêcher l'acquisition de contrôle par accumulation sur le marché ouvert sans payer une prime appropriée, tout en donnant au conseil d'administration le temps de prendre des décisions éclairées dans le meilleur intérêt des actionnaires.
Innovative Eyewear, Inc. (Nasdaq: LUCY), Entwickler von Smart-Brillenmarken, hat einen rechtsgültigen Plan für Aktionärsrechte angenommen. Der Plan, der vom 25. September 2024 bis zum 25. September 2025 gilt, zielt darauf ab, die Interessen der Aktionäre zu schützen und eine faire Wertrealisierung sicherzustellen. Zu den wichtigsten Merkmalen gehören:
1. Ein Recht, das pro ausstehender Stammaktie verteilt wird.
2. Die Rechte werden ausübbar, wenn eine Person oder Gruppe 20 % oder mehr des Eigentums ohne Zustimmung des Vorstands erwirbt.
3. Ermöglicht Aktionären, in bestimmten Szenarien zusätzliche Aktien zu einem ermäßigten Preis zu kaufen.
4. Beeinträchtigt nicht faire Angebote für das Unternehmen.
5. Wladimir Galkin und seine Partner sind ausgenommen, unterliegen jedoch bestimmten Bedingungen.
Der Plan soll die Übernahme der Kontrolle durch Ansammlung im offenen Markt verhindern, ohne eine angemessene Prämie zu zahlen, und der Vorstand erhält Zeit, um informierte Entscheidungen im besten Interesse der Aktionäre zu treffen.
- Adoption of stockholder rights plan to protect shareholder value
- Plan designed to prevent hostile takeovers without fair premium
- Provides board with time to make informed decisions in stockholders' interests
- Does not deter fair offers for the company
- Potential limitation on large stake acquisitions by investors
- May discourage some investors from accumulating significant positions
Insights
The adoption of a duration stockholder rights plan, commonly known as a "poison pill," is a significant defensive measure by Innovative Eyewear. This move suggests the company perceives a potential threat of hostile takeover or activist investor intervention. The 20% ownership threshold and one-year duration are typical features, balancing protection with shareholder interests.
Key implications include:
- Deterrence of unsolicited takeover attempts
- Potential increase in negotiating leverage for the Board
- Possible negative perception by some investors who view it as entrenching management
The grandfathering of Vladimir Galkin and associates indicates they are likely significant shareholders. This plan may impact stock liquidity and could influence future strategic decisions. While it provides short-term protection, the Board must use this time effectively to enhance shareholder value to justify the measure.
This Rights Plan is a complex legal mechanism with significant implications. Key legal aspects include:
- Compliance with Delaware law and SEC regulations
- Potential challenges from shareholders or potential acquirers
- Fiduciary duty considerations for the Board
The plan's structure, particularly the 20% trigger and exclusion of Vladimir Galkin, may face scrutiny. Courts typically uphold such plans if they're reasonable in relation to the threat posed. The duration is a positive factor for legal defensibility.
Shareholders should note that while this plan doesn't prevent a takeover, it significantly alters the process and economics of any potential acquisition. The Board's actions in response to any offers will be important in determining the plan's legal standing if challenged.
The adoption of the Rights Plan is intended to enable all Innovative Eyewear stockholders to realize the full potential value of their investment in the company and to protect the interests of the company and its stockholders by reducing the likelihood that any person or group gains control of Innovative Eyewear through open market accumulation or other tactics without paying an appropriate control premium. In addition, the Rights Plan provides the Board of Directors with time to make informed decisions that are in the best long-term interests of Innovative Eyewear and its stockholders and does not deter Innovative Eyewear's Board of Directors from considering any offer that is fair and otherwise in the best interest of Innovative Eyewear's stockholders.
The Rights Plan is similar to other plans adopted by publicly traded companies. Under the Rights Plan, the rights generally will become exercisable only if a person or group (including a group of persons who are acting in concert with each other) acquires beneficial ownership of
Further details of the Rights Plan will be contained in a Current Report on Form 8-K that Innovative Eyewear will be filing with the Securities and Exchange Commission (SEC). These filings will be available on the SEC's web site at www.sec.gov. Copies are also available at no charge at the Investors section of Innovative Eyewear's corporate website at www.lucyd.co.
Ellenoff Grossman & Schole LLP is serving as legal counsel to Innovative Eyewear.
About Innovative Eyewear, Inc.
Innovative Eyewear is a developer of cutting-edge ChatGPT enabled smart eyewear, under the Lucyd®, Nautica®, Eddie Bauer® and Reebok® brands. True to our mission to Upgrade Your Eyewear®, our Bluetooth audio glasses allow users to stay safely and ergonomically connected to their digital lives and are offered in hundreds of frame and lens combinations to meet the needs of the optical market. To learn more and explore our continuously evolving collection of smart eyewear, please visit www.lucyd.co.
Forward-Looking Statements
This press release contains certain forward-looking statements, including but not limited to, those relating to the Company's Rights Plan. Forward-looking statements are based on the Company's current expectations and assumptions. The Private Securities Litigation Reform Act of 1995 provides a safe-harbor for forward-looking statements. These statements may be identified by the use of forward-looking expressions, including, but not limited to, "anticipate," "believe," "continue," "estimate," "expect," "future," "intend," "may," "outlook," "plan," "potential," "predict," "project," "should," "will," "would" and similar expressions that predict or indicate future events or trends or that are not statements of historical matters, but the absence of these words does not mean that a statement is not forward-looking. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law. Important factors that could cause actual results to differ materially from those in the forward-looking statements include, among others, market and other conditions, and other factors and risks identified from time to time in the Company's filings with the Securities and Exchange Commission (the "SEC"), including its annual report on Form 10-K under the caption "Risk Factors" filed with the SEC on March 25, 2024.
Investor Relations Contact:
Innovative Eyewear, Inc.
Scott Powell
Skyline Corporate Communications Group, LLC
Office: +1 (646) 893-5835
Email: scott@skylineccg.com
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SOURCE Innovative Eyewear, Inc.
FAQ
What is the purpose of Innovative Eyewear's (LUCY) new stockholder rights plan?
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