BGMSP

Bio Green Med Solution, Inc. Preferred Stock represents a class of equity securities with certain rights and preferences compared to common stock. Preferred shares typically have priority over common shares for dividend payments and liquidation proceeds, though they usually carry limited or no voting rights. The specific terms of Bio Green Med Solution's preferred stock—including dividend rates, conversion features, liquidation preferences, and other characteristics—would be detailed in the company's offering documents and articles of incorporation. Preferred stock serves as a hybrid security combining features of both equity and debt. Preferred shareholders typically receive fixed or determinable dividend payments before any dividends are paid to common shareholders, providing more predictable income. In liquidation scenarios, preferred stockholders have claims on company assets that are senior to common stock but junior to debt obligations. Some preferred shares may be convertible into common stock at predetermined ratios, allowing holders to participate in equity upside while maintaining the downside protection and income characteristics of preferred securities. For a cannabis company like Bio Green Med Solution, preferred stock may have been issued to raise capital while preserving common equity for founders and early investors, or to provide investors with downside protection and priority income in an industry characterized by regulatory uncertainty and operating challenges. The preferred shares' investment appeal depends on the dividend rate, conversion terms (if applicable), liquidation preferences, company financial performance, and overall prospects in the cannabis industry. Preferred stock investors in cannabis companies balance the priority income and liquidation preferences against the industry's growth potential and the specific risks associated with cannabis businesses including regulatory changes, competition, and operational execution.