(A Delaware Statutory Trust)
Established for the benefit of the common shareholders of FG Nexus Inc. (f/k/a Fundamental Global Inc.) as of August 8, 2025.
Key Facts
FG CVR Trust, a Delaware Statutory Trust, was established for the benefit of the common shareholders of FG Nexus Inc. (f/k/a Fundamental Global Inc.) as of August 8, 2025.
On this date, assets with a net book value of approximately $49 million were transferred to the Trust.
Assets Transferred to the Trust:
Book value transferred: approximately $48.9M
In September 2025, the Trust distributed $10 per CVR (totaling ~$13.3M) to CVR holders.
Future distributions are not guaranteed.
Trustee: Wilmington Trust, National Association
Management Committee:
• D. Kyle Cerminara
• Larry G. Swets
CVRs are not transferable except under limited conditions described in the CVR Agreement.
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Website: https://strong-tech.com
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Website: NA
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Website: https://fireflyon.com
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Website: https://greenfirst.ca
FG Communities is a U.S. owner-operator of manufactured housing communities, primarily in the Southeast. The business produces stable cash flow supported by long-term demand for affordable housing.
Website: https://fgcommunities.com
Craveworthy Brands is a multi-concept restaurant platform that develops, acquires, franchises, and operates fast-casual and emerging food-service brands. Its performance is driven by franchise growth and brand scalability.
Website: https://craveworthybrands.com
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Website: https://fgmerger.com/
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Website: https://aldelfinancial.com/
Greenland Exploration Limited is a Texas-based energy company focused on developing strategic assets in North America, including the Jameson Land Basin in Greenland. It is part of a planned merger to form Greenland Energy Company (Nasdaq: GLND), intended to advance exploration and drilling initiatives.
Website: Greenland Limited
FG Nexus Inc. (“FG Nexus”) will report the distribution of the Contingent Value Right (“CVR”) as a non-cash distribution on Form 1099-DIV, based on the fair market value of the CVR as of the August 7, 2025 distribution date, which FG Nexus has determined to be $42.00 per share.
FG Nexus has determined that it has no current or accumulated earnings and profits. As such, the distribution will be treated as a non-taxable return of capital to the extent of the shareholder’s tax basis in FG Nexus common stock. If a shareholder’s tax basis is less than the $42.00 per share return of capital, the excess would be treated as a capital gain.
For additional information on the distribution of the CVR, please see the Form 8937 FG Nexus will publish on its website.
The $10.00 cash distribution per CVR, which was made in September 2025, will be reported on Form 1099-DIV from FG CVR SpinCo, LLC (“FG CVR SpinCo”).
FG CVR SpinCo has determined that it has no current or accumulated earnings and profits. As such, the $10.00 cash distribution will be treated as a non-taxable return of capital to the extent of the shareholder’s tax basis in the CVR, which is $42.00 per CVR reported on the FG Nexus Form 1099-DIV.
Yes. Tax law with respect to CVRs is highly uncertain. The Company has made its best determination as to tax reporting with respect to the CVRs and intends to report consistently with what is described above.
The Depository Trust Company has assigned CUSIP 303CVR013 to the CVRs. Beneficial holders of CVRs received the $10 per CVR distribution payment directly through their bank or broker. Registered holders of CVRs received the $10 per CVR distribution payment via US mail.
If you were a registered FG Nexus shareholder at the time of the distribution of the CVR in August 2025, please contact our transfer agent, Broadridge, by calling 877-830-4936 or 720-378-5591 or emailing shareholder@broadridge.com.
If you were a beneficial FG Nexus shareholder at the time of the distribution of the CVR in August 2025 (in other words, if you held your shares through a broker, bank or other nominee): Please direct any questions regarding the CVR distribution or the $10 per CVR cash payment to your broker, bank or other nominee.