THIS INFORMATION STATEMENT IS BEING PROVIDED TO
YOU BY THE BOARD OF DIRECTORS OF INTELLICELL BIOSCIENCES, INC.
WE ARE NOT ASKING YOU FOR A PROXY AND YOU ARE
REQUESTED NOT TO SEND US A PROXY
lntellicell Biosciences, Inc.
460 Park Avenue, 1
7t
h
Floor
New York, NY 10022
(646) 576-8700
INFORMATION STATEMENT
(Definitive)
February 14, 2014
NOTICE OF STOCKHOLDER ACTION BY WRITTEN CONSENT
GENERAL INFORMATION
To the Holders of Common Stock of Intellicell Biosciences, Inc.:
This Information Statement has been filed with the Securities and Exchange Commission and is being furnished, pursuant to Section 14C of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), to the holders (the "Stockholders") of common stock, $0.001 par value per share (the "
Commo
n
Stock"
), of lntellicell Biosciences, Inc., a Nevada corporation (the "
Compan
y
"), to notify the Stockholders that on January 20, 2014, the Company received a unanimous written consent in lieu of a meeting of the holders of Series F Preferred Stock, 0.0 I par value per share (the "Series F Preferred"), created by unanimous written consent of the Board of Directors of the Company (the "Board"), as permitted by the Company 's Certificate of Incorporation, as may be amended ("
Amende
d
Certificate"
). Each share of Series F Preferred has the equivalent of 31,164,657 votes of Common Stock (based upon the outstanding number of shares of Common Stock issued at the time hereof). Currently, there are five holders of Series F Preferred (the "
Series
F
Stockholders
" or the "Majority
Stockholder
s
"), holding fifty-one (51) shares of Series F Preferred, resulting in the Series F Stockholders holding in the aggregate approximately 50.95% of the total voting power of all issued and outstanding voting capital of the Company. The Series F Stockholder authorized the following:
|
●
|
The increase in the number of authorized shares of Common Stock from one billion five hundred million (1,500,000,000) shares of Common Stock to three billion five hundred million (3,500,000,000) shares of Common Stock (the "
Authorize
d
Share
Increase"
); and
|
|
●
|
The amendment to the par value (the "Par Change") of the Common Stock from a par value of $0.001 per share to a par value, $0.0001 per share.
|
On
January
2
0
,
201
4
,
the
Board
approved
the
Authorized
Share
Increase
and
the
Par
Change
and
recommended
to
the
Majority
Stockholders
that
they
approve
the
Authorized
Share
Increase
and
the
Par
Chang
e
.
On
January
22,
2014,
the
Majority
Stockholders
approved
the
Authorized
Share
Increase
and
the
Par
Change
by
written
consent
in
lieu
of
a
meeting
in
accordance
with
the
Nevada
Revised
Statutes.
Accordingly,
your
consent
is
not
required
and
is
not
being
solicited
in
connection
with
the
approval
of
the
Authorized
Share
Increase.
We will mail the Notice of Stockholder Action by Written Consent to the Stockholders on or about February 14, 2014.
WE ARE NOT ASKING YOU FOR A PROXY AND YOU ARE REQUESTED NOT TO SEND A PROXY.
The Board believes the Authorized Share Increase is necessary and advisable in order to maintain the Company's financing and capital raising ability and to generally maintain our flexibility in today's competitive and rapidly changing environment.
The Board believes that the stockholders will benefit from the Par Change because changing the par value of the Common Stock from $0.001 to $0.0001 per share will provide the Company more flexibility to issue shares for a purchase price that the Board deems appropriate at the time of issuance.
Accordingly, it is the Board's opinion that the Authorized Share Increase and Par Change would better position the Company to attract potential business candidates and provide the Stockholders a greater potential return.
INTRODUCTION
The Nevada Revised Statutes provide that the written consent of the holders of outstanding shares of voting capital stock having not less than the minimum number of votes which would be necessary to authorize or take such action at a meeting at which all shares entitled to vote thereon were present and voted can approve an action in lieu of conducting a special stockholders' meeting convened for the specific purpose of such action. The Nevada Revised Statutes, however, require that in the event an action is approved by written consent, a company must provide prompt notice of the taking of any corporate action without a meeting to the stockholders of record who have not consented in writing to such action and who, if the action had been taken at a meeting, would have been entitled to notice of the meeting if the record date for such meeting had been the date that written consents signed by a sufficient number of holders to take the action were delivered to a company.
In
accordance
with
the
foregoin
g
,
we
will
mail
the
Notice
of
Stockholder
Action
by
Written
Consent
on
or
about
February
14, 2014.
This Information Statement contains a brief summary of the material aspects of the Authorized Share Increase approved by the Board of lntellicell Biosciences, Inc. (the "
Com
pan
y
," "
we
," "
our
," or "
us
"
) and the holders of Series F Preferred Stock (the "Series F Preferred"), which constitutes a majority of the voting capital stock of the Company.
Series F Preferred
By unanimous written consent of the Board (as permitted under Nevada law), the number, designation, rights, preferences and privileges of the Series F Preferred were established by the Board (as is permitted under Nevada law and by the Amended Certificate of Incorporation of the Company). The designation, rights, preferences and privileges that the Board established for the Series F Preferred is set forth in a Certificate of Designation that was filed with the Secretary of State of the State of Nevada on January 17, 2014. Among other things, the Certificate of Designation provides that each one share of Series F Preferred has voting rights equal to (x) 0.019607 multiplied by the total issued and outstanding Common Stock eligible to vote at the time of the respective vote (the "Numerator"), divided by (y) 0.49, minus (z) the Numerator.
By unanimous written consent of the Board, the Board issued an aggregate of fifty one (51) shares of Series F Preferred to five individuals. As a result of the voting rights granted to the Series F Preferred, the Series F Stockholders hold, in the aggregate, approximately 50.95% of the total voting power of all issued and outstanding voting capital of the Company.
As of January 27, 2014, there were issued and outstanding 1,369,825,849 shares of Common Stock, (ii) 15,058 shares of Series B Preferred, (iii) 7,250 shares of Series C Preferred Stock; (iv) 56,500 shares of Series D Preferred Stock and (vi) 51 shares of Series F Preferred. Based on the foregoing, the total aggregate amount of votes en titled to vote regarding the approval of the Authorized Share Increase is approximately 3,116,531,356. Pursuant to the Nevada Revised Statutes, at least a majority of the voting equity of the Company, or at least 1,558,265,678 votes, are required to approve the Authorized Share Increase by written consent. The Majority Stockholders, which hold in the aggregate 1,589,397,507 votes or approximately 50.95% of the voting equity of the Company, has voted in favor of the Authorized Share Increase thereby satisfying the
requirement under the Nevada Revised Statutes that at least a majority of the voting equity vote in favor of a corporate action by written consent.
This Information Statement is provided to the holders of Common Stock of the Company only for information purposes in connection with the Actions, pursuant to and in accordance with Rule 14c-2 of the Exchange Act. Please carefully read this Information Statement.
By Order of the Board of Directors
Dr. Steven A. Victor
Chief Executive Officer
Dated: February 14, 2014
4