FAQs
My statement from AST shows just half of the shares I thought I had. Where's my other half?
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At the end of 2022, The Chosen converted from a Utah LLC (Limited Liability Company) to a Delaware C-corp (Corporation). As part of this conversion, the shareholders also approved what’s called a “reverse stock split.” That means that two shares became one, so each shareholder now has half the number of shares but the same ownership percentage as before. For example: if you had 100 shares before the conversion, you now have 50 shares.
I've been an investor for years. Why does AST need a W9 from me? Why do they need my social security number?
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We get it and hate asking for your personal information, but the IRS requires AST to update their files in order to make shareholder payments. Without a valid IRS W9 on file, AST either won’t be able to make a payment or may be forced to reduce your payment for what’s called “back-up withholding” by the IRS. We want you to receive your full payment, so please update your information with AST.
What is the current value of my shares?
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After my original investment is repaid plus 20% (total of 120%) will I continue to receive financial benefit from my investment in the future?
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After my original investment is repaid plus 20% (total of 120%) will I continue to receive financial benefit from my investment in the future?
As an original crowd funded investor in the Chosen, you were issued what is called preferred stock, which simply means you were entitled to 120% of your original investment before any other investors received payments. Upon payment of the dividend, your shares were automatically converted from preferred stock to common shares. As a common stockholder, you have the same ownership percentage you had previously as a preferred stockholder and you will then share pro rata (i.e., based on your % ownership) in any future earnings or dividends/distributions. Future dividends/distributions are not guaranteed and will be based on future company performance and subject to board approval.
Are there any plans for an IPO or opportunities for future investment or the purchase of more shares?
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Are there any plans for an IPO or opportunities for future investment or the purchase of more shares?
There are no currently available investment opportunities. Because future capital raises (such as an initial public offering or other issuance of stock) may be subject to SEC disclosures and reporting, we cannot comment on the possibility of future plans.
Can you provide additional information on CAS, their board, and their leadership?
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Can you provide additional information on CAS, their board, and their leadership?
Additional information on the foundation can be found athttps://www.comeandseefoundation.org/. Also, here is the video we emailed out and posted in the Facebook group: https://www.youtube.com/watch?v=FXVe1WfGWkY&t=9s
Dividend Questions
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Does the "reverse stock split" mean I will now receive 50% less dividend than before?
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Once I receive my 120% dividend, am I still a shareholder of The Chosen?
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The short answer is yes, but here are the details.
As a preferred stock shareholder, you are entitled to a 120% one-time preference payment before any common shareholders receive payment. After receiving this payment, your shares will automatically convert from preferred stock to common stock. As a common shareholder, you will have the same % ownership you had previously, and you will share pro rata (i.e., based on your % ownership) in any future earnings or distributions. Future distributions are not guaranteed, will be based on the company’s future performance, and are subject to board approval.
Will stockholders be taxed on their dividend/distribution?
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Will stockholders be taxed on their dividend/distribution?
If a dividend/distribution is made, you will receive a 1099-div from the Chosen at the end of the year. If you choose to donate to CAS, you will also receive a charitable contribution receipt from CAS. As every taxpayer’s situation is different, you will need to consult your tax advisor for your specific situation and the impact to your taxes.