NEW YORK, Aug. 24, 2023 /PRNewswire/ -- Creatd, Inc. $VOCL; ("Creatd" or the "Company") today shares an open letter from Chairman and CEO of Creatd, Inc. to shareholders addressing declining stock values.
Dear Creatd Shareholders,
I'm writing to address recent concerns and developments at Creatd, Inc. As the Chairman and CEO, I deeply feel the responsibility towards all shareholders. Our stock performance has been disappointing, not reflecting Creatd's potential despite our achievements. External factors continue to impact our stock, even after major initiatives like the Reg CF for Vocal, Inc.
We've partnered with renowned law firms, Christian, Smith & Jewell, LLP, and PULLP, to defend against Lind Partners. Collaborations with Share Intel and the establishment of CEOBLOC aim to champion retail investors. However, government agencies must adapt to the rapid technological changes, which they often don't.
The hard work of Creatd's team is commendable, but our stock value doesn't mirror our accomplishments. The stock price reveals a flawed funding space for innovative companies, affected by unscrupulous institutional behaviors and technological loopholes.
I view Creatd, Inc. personally, considering shareholders as family and friends. On August 18, 2023, Vocal, Inc. introduced a Reg CF to raise capital, reducing the holding company's burden. Our vision is to expand this strategy across Creatd subsidiaries, resulting in four distinct entities. By attracting private capital and planning to spin them off, we aim to enhance Creatd, Inc.'s value. In this business cycle, individual components often hold more value than the collective.
Creatd, Inc. will soon operate with reduced overhead, focusing on ownership and advisement rather than daily operations. Most shareholders understand our strategy and its potential. I assure you, our goals align, and those betting against us will face challenges.
To enhance shareholder value, we're taking these steps:
Vocal, Inc. Reg CF: This aims to unlock Vocal's true value. Divesting just 10% could provide Vocal with $6-10M capital, reducing dilution pressures on Creatd, Inc. and enabling Vocal's self-financing.
OG Special Dividend: Progress is steady, with more details coming soon. We aim for a September or October record date. After this, OG Collection, Inc. shares will be distributed as restricted shares, leading to a Reg CF for OG Collection, Inc. Our goal is to take OG Collection public.
Improved Balance Sheet: Segmenting and privatizing our subsidiaries will enhance our parent-level capabilities, from buying back convertible debt to converting debt into equity.
While some companies opt for stock reversals, I'm committed to anti-dilution strategies, not considering a reverse split in the near future. Success will lead us to uplist to a national exchange, hopefully without a reverse split.
Your support and insights are crucial for our future. Stay engaged, follow our progress, and share your insights. Together, we're building a promising future for Creatd, Inc. and its shareholders.
Read the original letter published on Creatd's flagship social publishing platform Vocal: https://vocal.media/trader/creatd-ceo-jeremy-frommer-publishes-open-letter-to-shareholders-addressing-declining-stock-values