RestructuringJun 4, 2026, 05:32 PM
Cycurion Restructures Over $4.8M Debt with Convertible Notes & Preferred Stock
AI Summary
Cycurion, Inc. completed a comprehensive debt restructuring on June 1, 2026, with key noteholders IQ Financial, Obsidian Associates, LLC, and M2B Funding Corp. The company restructured over $4.8 million in outstanding indebtedness, including principal, accrued interest, and default-related amounts. This was achieved through the issuance of new convertible promissory notes and Series H Convertible Preferred Stock, effectively consolidating obligations and eliminating prior defaults and penalties.
Key Highlights
- Restructured over $4.8 million in outstanding debt with IQ Financial, M2B, and Obsidian.
- Exchanged $517,604.40 of obligations with IQ Financial for a new convertible promissory note.
- Exchanged $1,326,748.31 in notes with M2B for a new convertible note and issued 952.7 Series H Preferred shares ($952,695.73 stated value).
- Exchanged $1,083,003.41 in notes with Obsidian for a new convertible note and issued 947.25 Series H Preferred shares ($947,250 stated value).
- New convertible promissory notes are convertible into common stock at $1.05 per share.
- Series H Convertible Preferred Stock is convertible into common stock at $1.45 per share.
- Series H Preferred Stock carries a 12% annual dividend on its stated value, payable quarterly in common stock.
- The restructuring eliminated prior defaults, penalties, and accrued charges.
Price Impact
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