---
schema_version: "secwatch.filing_event.v1"
accession: "0001683168-26-003182"
form_type: "8-K"
ticker: "TOON"
cik: "0001355848"
company_name: "Kartoon Studios, Inc."
filed_at: "2026-04-24T23:59:59+00:00"
generated_at: "2026-05-15T04:11:10.421733+00:00"
event_type: "debt"
sentiment: "neutral"
materiality_score: 0.6
calibrated_materiality_score: 0.6
confidence: "high"
source: SEC EDGAR
---

# Kartoon Studios issues 2.55M shares to settle $1.46M in past due obligations

## Summary
- Issued 2,553,047 shares to Continuation Capital to settle $1,143,884 in debts plus $315,000 additional amount.
- Settlement price: 1.75 shares per dollar; shares issued under Section 3(a)(10) exemption.
- Agreement approved by Florida Circuit Court on April 13, 2026, and NYSE American on April 20, 2026.
- Beneficial ownership capped at 4.99%; sale volume limited to 25% of 10-day avg volume without consent.
- Shares are freely-trading, unregistered; company reserves at least 2,553,047 shares.

## SEC filing metadata
- accession: 0001683168-26-003182
- form_type: 8-K
- ticker: TOON
- cik: 0001355848
- company_name: Kartoon Studios, Inc.
- filed_at: 2026-04-24T23:59:59+00:00
- event_type: debt
- sentiment: neutral
- materiality_score: 0.6
- calibrated_materiality_score: 0.6
- confidence: high
- sec_items: 1.01, 3.02, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1355848/000168316826003182/0001683168-26-003182-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1355848/000168316826003182/toon_8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001683168-26-003182
- JSON: https://secwatch.observer/filing/0001683168-26-003182.json
- Plain text: https://secwatch.observer/filing/0001683168-26-003182.txt

## Source-grounded claims
- claim_id: ef90099a2e18df697a4383d6aa9f2cc738cd1902
  claim: Kartoon Studios, Inc. entered into Agreement with Continuation Capital, Inc. valued at $1,143,884 (effective 2026-04-20).
  evidence_excerpt: Kartoon Studios, Inc. (the “Company”) entered into an Agreement (the “Agreement”) with Continuation Capital, Inc. (“CCI”) wherein the Company agreed to issue an aggregate of 2,553,047 shares of its common stock to CCI in exchange for the settlement of certain past due obligations and accounts payable of the Company (the “Subject Debts”) in the aggregate amount of $1,143,884
  evidence_url: https://www.sec.gov/Archives/edgar/data/1355848/000168316826003182/0001683168-26-003182-index.htm

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