---
schema_version: "secwatch.filing_event.v1"
accession: "0001213900-25-096315"
form_type: "8-K"
ticker: "CAPS"
cik: "0000887151"
company_name: "Capstone Holding Corp."
filed_at: "2025-10-06T23:59:59+00:00"
generated_at: "2026-05-17T04:41:09.064099+00:00"
event_type: "other_material"
sentiment: "positive"
materiality_score: 0.65
calibrated_materiality_score: 0.65
confidence: "high"
source: SEC EDGAR
---

# Capstone exchanges $1.9M related-party debt for non-convertible preferred stock; no dilution

## Summary
- Retired $1.9M in notes from Brookstone entities BP Peptides ($847,919.95) and Brookstone Acquisition ($1,089,222.22) via exchange for Series Z Preferred.
- Interest expense reduced by >$170k annually; preferred shares accrue 8% dividend payable in cash or PIK, not convertible.
- Issued 1,467,343 Series Z Preferred shares with one vote per share; redeemable after 7 years or on change of control.
- Additionally, reduced conversion price on $3.27M convertible note to $1.00 and waived redemption obligations until April 2026.

## SEC filing metadata
- accession: 0001213900-25-096315
- form_type: 8-K
- ticker: CAPS
- cik: 0000887151
- company_name: Capstone Holding Corp.
- filed_at: 2025-10-06T23:59:59+00:00
- event_type: other_material
- sentiment: positive
- materiality_score: 0.65
- calibrated_materiality_score: 0.65
- confidence: high
- sec_items: 1.01, 3.02, 3.03, 5.03, 8.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/887151/000121390025096315/0001213900-25-096315-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/887151/000121390025096315/ea0259691-8k_capstone.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001213900-25-096315
- JSON: https://secwatch.observer/filing/0001213900-25-096315.json
- Plain text: https://secwatch.observer/filing/0001213900-25-096315.txt

## Key facts
- Governance Changes
  Capstone Holding Corp.: Certificate of Designation for Series Z Preferred shares filed, constituting an amendment to the articles of incorporation (effective 2025-10-06).
  - Change: charter amendment
  - Effective: 2025-10-06
  source text: Item 5.03. Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year. The applicable disclosures set forth in Item 1.01 above regarding the Certificate of Designation are incorporated by reference into this Item 5.03.
  evidence_url: https://www.sec.gov/Archives/edgar/data/887151/000121390025096315/0001213900-25-096315-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.