INNOVATE Corp. Files 8-K on Equity Sales

TL;DR

INNOVATE Corp. sold unregistered equity, filing an 8-K on 4/24.

AI Summary

On April 24, 2024, INNOVATE Corp. filed an 8-K report detailing unregistered sales of equity securities. The filing also included other events and financial statements and exhibits. The company, formerly known as HC2 Holdings, Inc., is incorporated in Delaware and its fiscal year ends on December 31.

Why It Matters

This filing indicates potential dilution or new capital infusion through unregistered equity sales, which could impact existing shareholders.

Risk Assessment

Risk Level: medium — Unregistered equity sales can sometimes signal financial distress or lead to significant dilution for existing shareholders.

Key Numbers

• 001-35210 — SEC File Number (Identifies the company's filings with the SEC.)
• 54-1708481 — IRS Employer Identification No. (Company's tax identification number.)

Key Players & Entities

• INNOVATE Corp. (company) — Registrant
• HC2 Holdings, Inc. (company) — Former company name
• 295 Madison Avenue (location) — Business and mailing address
• April 24, 2024 (date) — Date of report

FAQ

Key Financial Figures

• $0.001 — ich registered Common Stock, par value $0.001 per share VATE New York Stock Exchange
• $1,000 — Preferred Stock") for an issue price of $1,000 per share in connection with the backst
• $6.3 million — consideration of Lancer Capital funding $6.3 million pursuant to the Investment Agreement. T

Filing Documents

• hchc-20240424.htm (8-K) — 33KB
• a202404248-kxexh991.htm (EX-99.1) — 11KB
• innovateforproxy.jpg (GRAPHIC) — 17KB
• 0001006837-24-000053.txt ( ) — 241KB
• hchc-20240424.xsd (EX-101.SCH) — 3KB
• hchc-20240424_def.xml (EX-101.DEF) — 16KB
• hchc-20240424_lab.xml (EX-101.LAB) — 29KB
• hchc-20240424_pre.xml (EX-101.PRE) — 17KB
• hchc-20240424_htm.xml (XML) — 4KB

02. Unregistered Sales of Equity Securities

Item 3.02. Unregistered Sales of Equity Securities. The information in Item 8.01 of this Current Report on Form 8-K is incorporated by reference herein.

01 Other Events

Item 8.01 Other Events. On April 24, 2024, INNOVATE Corp. (the "Company") completed its previously announced rights offering, which expired at 5:00 p.m., New York City time, on April 19, 2024. A copy of the press release announcing the closing of the rights offering is attached as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated by reference herein. As previously disclosed on March 28, 2024, pursuant to the Investment Agreement (the "Investment Agreement") entered into with Lancer Capital LLC ("Lancer Capital"), the Company sold 25.0 thousand shares of Series C Non-Voting Convertible Participating Preferred Stock, par value $0.001 per share (the "Preferred Stock") for an issue price of $1,000 per share in connection with the backstop arrangement. In connection with the closing of the rights offering, the Company sold approximately 6.3 thousand additional shares of Preferred Stock to Lancer Capital in consideration of Lancer Capital funding $6.3 million pursuant to the Investment Agreement. This issuance and sale was consummated without registration under the Securities Act, in reliance upon an exemption from the registration requirements of the Securities Act under Section 4(a)(2) of the Securities Act. The Company is basing such reliance upon representations made by Lancer Capital, including, but not limited to, representations as to Lancer Capital's status as an "accredited investor" (as defined in Rule 501(a) under the Securities Act) and Lancer Capital's investment intent. The Preferred Stock was not offered or sold by any form of general solicitation or general advertising (as such terms are used in Rule 502 under the Securities Act).

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits. (d) Exhibits Exhibit No. Description 99.1 Press Release dated April 2 4 , 2024, titled "INNOVATE Corp. Announces Closing of Rights Offering" 104 Cover Page Interactive Data File (the cover page XBRL tags are embedded within the inline XBRL document).

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Date: April 24, 2024 INNOVATE Corp. (Registrant) By: /s/ Michael J. Sena Name: Michael J. Sena Title: Chief Financial Officer

View Full Filing

View this 8-K filing on SEC EDGAR