secwatch.observer — SEC 8-K summary
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Issuer:     Adapti, Inc. (ADTI)
CIK:        0001420924
Form:       8-K
Filed at:   2026-07-17T22:43:32+00:00
Accession:  0001493152-26-033816
Event type: other_material
Sentiment:  negative
Materiality: 0.85
Item codes: 4.02
LLM model:  deepseek-v4-flash:cloud@v2

Adapti restates financials; acquisition of Ballengee Group should have been reverse recapitalization
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- Board concluded on July 14, 2026 that Q2 and Q3 FY2026 financials (Sep 30, Dec 31, 2025) should no longer be relied upon.
- Error: Transaction with Ballengee Group was accounted for as acquisition by Adapti, but should have been reverse recapitalization with Ballengee as accounting acquirer.
- James Ballengee received 81% of Adapti's common stock in the July 2025 deal, giving him control of the board and management.
- Company will restate the affected financial statements; discussions with auditor Victor Mokuolu, CPA PLLC are ongoing.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/1420924/000149315226033816/0001493152-26-033816-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/1420924/000149315226033816/form8-k.htm
  HTML page:      https://secwatch.observer/filing/0001493152-26-033816

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