Motorsport Games Inc. adopted a shareholder rights plan (a “poison pill”) on July 22, 2026. Under the plan, one right will be distributed for each share of Class A common stock held as of the close of business on August 3, 2026. If any person or group acquires 12.5% or more of the common stock (with certain exceptions), the rights become exercisable and allow holders to buy a fraction of preferred stock at $25 per right, causing significant dilution to the acquiring person. The rights initially trade with the common stock but will separate and become transferable only after the triggering event.
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