Kartoon Studios, Inc. — Form 8-K

On July 1, 2026, Kartoon Studios' board adopted a Preferred Stock Rights Agreement and designated 300,000 shares of Series D Participating Preferred Stock (par value $0.001/share). Each common shareholder receives one right per share (record date July 13, 2026) to purchase 1/1000th of a Series D preferred share at $3.75 per right. Rights become exercisable upon a 'triggering event': either a 10% ownership stake acquisition ('Acquiring Person') or a tender offer that would create one. Upon such event, non-Acquiring Person rights holders can exercise to purchase common stock at 50% of market price ('flip-in'), while Acquiring Person rights become null and void. Rights expire June 29, 2027, unless earlier redeemed at $0.001/right or exchanged for common stock. VStock Transfer, LLC serves as rights agent.