Mobile Infrastructure Corporation (NYSE American: BEEP), a real estate firm, has declared the payment of monthly dividends for its preferred stock, according to an 8-K filing with the Securities and Exchange Commission. On Thursday, the company's board authorized dividends on two classes of preferred stock, Series A and Series 1, to be distributed on or about December 12, 2024.
Holders of the Series A Preferred Stock will receive $4.791 per share, while Series 1 Preferred Stock shareholders are set to receive $4.583 per share. The record date for the Series A Preferred Stock is November 27, 2024, and for the Series 1 Preferred Stock, it is November 24, 2024.
The company emphasized that the declaration and payment of future dividends will be at the discretion of the board, contingent on the company's financial health, legal requirements, and other factors the board considers relevant. This information is based on a press release statement.
In other recent news, Mobile Infrastructure Corporation announced the approval of monthly dividends for its Series A and Series 1 Preferred Stock by its board of directors. The Series A Preferred Stock is set at $4.791 per share, and the Series 1 Preferred Stock will receive $4.583 per share. The dividends are scheduled for payment later this year, with eligibility for the October Dividend being for shareholders on record as of today. The company also revealed that future dividends would be dependent on various factors, including its financial health.
In a strategic move to enhance shareholder value, Mobile Infrastructure Corporation has secured a $40.4 million credit line from Harvest Small Cap Partners, L.P. and Harvest Small Cap Partners Master, Ltd. This funding aims to provide the flexibility to pay for future preferred stock redemptions in cash, cover all accrued dividends on preferred stock, and initiate a common stock repurchase plan. The company's Board of Directors has also authorized a $10 million share buyback program in response to the perceived undervaluation of its stock.
Company officials, including Co-Chairman of the Board Jeff Osher and President Stephanie Hogue, expressed commitment to increasing shareholder value and preventing future dilution from preferred stock conversions.
The line of credit will bear an interest rate of 15.0% per annum, with interest payable at maturity or upon any principal repayment. These are the latest developments in the company's ongoing efforts to enhance shareholder value.
InvestingPro Insights
While Mobile Infrastructure Corporation has announced dividends for its preferred stockholders, it's important to note that the company does not pay dividends to common shareholders, according to InvestingPro Tips. This aligns with the company's current financial situation, as InvestingPro data reveals that Mobile Infrastructure is not profitable over the last twelve months, with an operating income margin of -5.12%.
Despite these challenges, the company has shown impressive revenue growth of 21.33% over the last twelve months, reaching $35.74 million. Additionally, Mobile Infrastructure boasts a strong gross profit margin of 63.23%, which InvestingPro Tips highlight as one of the company's strengths.
For investors seeking a more comprehensive analysis, InvestingPro offers 6 additional tips that could provide valuable insights into Mobile Infrastructure Corporation's financial health and future prospects.
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