The change of control and massive potential dilution (40M shares vs 28.5M outstanding) signal severe financial distress. Monitor for further debt restructuring, potential reverse stock split, or additional dilutive financing. The extension of defaulted notes to year-end provides a temporary reprieve but does not resolve the underlying solvency issues.
Price Chart
Executive Summary
NEXT-ChemX Corporation (CHMX) filed an 8-K reporting a change of control following the issuance of 80,000 Series B Preferred Shares to two accredited investors, Arastou Mahjoory and Ann Mollicone. The investors acquired 58% voting control of the company by exchanging $400,000 of secured debt for the new shares, which are convertible into 40,000,000 common shares. The filing also discloses that the company is in default on $1.61 million in convertible and promissory notes, with note holders extending maturities to December 31, 2026.
Key Financial Metrics
Key Facts
- Two accredited investors (Arastou Mahjoory and Ann Mollicone) purchased 80,000 Series B Preferred Shares, resulting in a change of control with 58% voting power.
- The Series B Preferred Shares were issued in exchange for cancellation of $400,000 in secured debt.
- Each Series B Preferred Share is convertible into 500 common shares, representing potential dilution of 40,000,000 common shares vs. 28,546,835 currently outstanding.
- The company is in default on ten Series F convertible notes with $840,000 principal and seven promissory notes with $770,000 remaining balance.
- Note holders extended maturities on defaulted convertible notes to December 31, 2026.
Financial Impact
Debt reduction of $400,000 via debt-to-equity swap; remaining defaulted debt of $1.61 million extended to December 31, 2026. Potential dilution of 40,000,000 common shares from Series B conversion.
Risk Factors
- Massive potential dilution from Series B Preferred conversion (40M shares vs 28.5M outstanding)
- Company remains in default on $1.61M in debt despite extension
- Change of control concentrates 58% voting power with two investors, potentially limiting minority shareholder protections
- OTC-traded stock with limited liquidity and disclosure requirements
Investment Themes
Documents Analyzed
This report is based on 4 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001493152-26-034145 |
| Document: 0001493152-26-034145-index-headers.html | 0001493152-26-034145 |
| Document: 0001493152-26-034145-index.html | 0001493152-26-034145 |
| Document: 0001493152-26-034145.txt | 0001493152-26-034145 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Sep 2, 2026 7w ago | 10-K/A | $0.001400 $0.0100 | ▼ −614.29% | ▼ −614.19% | $0.010000 (−614.29%) |
Jul 22, 2026 13w ago | 8-K | $0.000500 $0.001400 | ▼ −180.00% | ▼ −177.10% | $0.010000 (−1900.00%) |
May 8, 2026 24w ago | 8-K | $0.0111 $0.0111 | · 0.00% | ▼ −0.02% | $0.010000 (−9.91%) |
Apr 20, 2026 27w ago | 8-K | $0.0111 $0.0111 | · 0.00% | ▼ −4.20% | $0.010000 (−9.91%) |
US Market Status
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