UNLOCKD Upsizes Reg A Offering to 2 Billion Shares, Adds Selling Shareholders
BFCH sits 50% above its 52-week low of $0.
Summary
UNLOCKD, Inc. amended its Regulation A offering to sell up to 2 billion shares at $0.0001–$0.0003, a 71% increase from the prior filing, and added 350 million shares for selling shareholders. The offering could raise up to $600,000 for the company but represents massive dilution for a micro-cap stock trading at $0.0003.
Key Events · Financing and Capital Events · BFCH
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Offering Size Increased 71%
Company-offered shares were raised from 1.17 billion to 2.0 billion, a 71% increase. At the high end of the $0.0001–$0.0003 range, maximum gross proceeds to the company rise to $600,000.
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Selling Shareholders Added
An additional 350 million shares were introduced for selling shareholders, underlying $231,500 in convertible notes. These shares could generate up to $105,000 for the selling shareholders, with no proceeds to the company.
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Extreme Dilution for Existing Holders
If all 2.35 billion offered shares are sold, outstanding shares would double from 2.33 billion to 4.68 billion, not including an additional ~1.2 billion shares underlying other convertible instruments.
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Pricing at Market Lows
The offering price range of $0.0001–$0.0003 matches the current stock price of $0.0003, indicating the company is raising capital at the lowest possible valuation.
Analysis · BFCH · Energy & Transportation
In a move that underscores its precarious financial position, UNLOCKD, Inc. amended its Regulation A offering to boost the maximum company-offered shares by 71% to 2 billion, while also introducing 350 million shares for selling shareholders. The offering price was revised to a range of $0.0001–$0.0003, potentially raising up to $600,000 for the company. For a micro-cap with a market cap of approximately $668,000 and a stock price of $0.0003, this is a highly dilutive capital raise. The addition of selling shareholders converting $231,500 in convertible notes adds further overhang. With minimal cash, no revenue, and a going concern warning, the financing is critical for survival but extremely costly for existing shareholders.
At the time of this filing, BFCH was trading at $0.00 on OTC in the Energy & Transportation sector, with a market capitalization of approximately $667.9K. The 52-week trading range was $0.00 to $0.00. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.