24 Aug 2005capital raising announcement● NeutralMajor
Tengasco retired all of its Series B and C preferred stock, a total of $5,113,045.39 in face value plus accrued dividends and interest, by letting holders choose cash or common stock. Holders of about 54.3% took cash totalling $1,814,184.30, funded mainly by a new $1,814,000 loan from Dolphin Offshore Partners (12% interest, secured on company assets, due 2005-12-31). The rest, including Dolphin, took 9,567,620 new common shares, of which 4,595,040 go to Dolphin, so common shareholders are diluted and Dolphin's stake and lending exposure both grow. The same filing extends Dolphin's existing $700,000 note from 2005-08-20 to 2005-12-31 on the same terms, continuing the company's reliance on Dolphin.