Form 4: Perfect Moment Director Converts Preferred to Common Stock

Perfect Moment Ltd. Director Adam Epstein reported the automatic conversion of Series AA Preferred Stock into common stock by two funds he manages.

Summary

• Adam Zachary Epstein, a Director of Perfect Moment Ltd. (PMNT), reported transactions on January 15, 2026.
• These transactions involved the automatic conversion of 12% Series AA Convertible Preferred Stock into common stock.
• Blue Opportunity Fund, LP, for which Mr. Epstein has sole investment and dispositive power, converted 77,580 shares of Series AA Preferred Stock into 961,093 shares of Common Stock.
• MAZE Focus Fund LP, also managed by Mr. Epstein, converted 60,340 shares of Series AA Preferred Stock into 747,517 shares of Common Stock.
• The conversion rate was $12.388 per share, calculated by dividing the original purchase price of the Series AA Preferred Stock by $0.46822.
• Mr. Epstein disclaims beneficial ownership of these shares except to the extent of his pecuniary interest.

Sentiment

Score: 5

Explanation: The filing reports a routine conversion of preferred stock to common stock by an insider, which is a neutral event in itself, reflecting a pre-determined corporate action rather than new performance data.

Positives

• Simplification of the capital structure through the conversion of preferred stock into common stock.
• Increased liquidity for the converted shares as common stock is typically more liquid than preferred stock.

Negatives

• Loss of potential preferred stock benefits such as fixed dividend payments or liquidation preferences for the converted shares.

Future Outlook

NA

Management Comments

• Reporting Person disclaims beneficial ownership of such shares except to the extent of his pecuniary interest, if any, therein.

Industry Context

NA

Related Party Transactions

• Adam Zachary Epstein, a Director of Perfect Moment Ltd., is the managing member of MAZE Investments LLC, which is the general partner of Blue Opportunity Fund, LP and MAZE Focus Fund LP. These funds engaged in the reported stock conversions.

Stakeholder Impact

• Shareholders: The conversion increases the common stock float, which could lead to dilution if not already accounted for in the preferred stock terms.
• Preferred Shareholders (now common): Holders of the converted preferred stock now possess common equity with voting rights and participate in common stock appreciation or depreciation, foregoing previous preferred stock benefits.

Key Dates

Recommendation

This Form 4 reports a routine, pre-scheduled conversion of preferred stock into common stock by an insider. It does not contain new financial performance data, strategic shifts, or material events that would warrant a change in investment recommendation. The conversion itself is a mechanical event based on prior terms and does not inherently signal a positive or negative outlook for the company's future performance.

Keywords

Perfect Moment Ltd., PMNT, Adam Epstein, Form 4, SEC filing, stock conversion, preferred stock, common stock, insider transaction, director ownership