f8k_072407i101302503.htm
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
D.C. 20549
FORM
8-K
CURRENT
REPORT
Pursuant
to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date
of Report (Date of earliest event reported): __July 24,
2007__
VIPER
NETWORKS, INC.
(Exact
Name of Registrant as Specified in Charter)
Nevada
|
0032939
|
87-0410279
|
(State
or Other Jurisdiction of Incorporation)
|
(Commission
File Number)
|
(IRS
Employer Identification Number)
|
10373
Roselle Street, Suite 170, San Diego, California 92121
(Address
of Principal Executive Offices, Zip Code)
Registrant’s
telephone number, including area code: (858) 452-8737
_____________________________________________________________________
(Former
Name or Former Address, if Changed Since Last Report)
Check
the appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
Check
the appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
[
] Written communication pursuant to Rule 425 under the Securities Act (17 CFR
230.425).
[
] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12).
[
] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b)).
[
] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c)).
Forward-Looking
Statements
THE
STATEMENTS CONTAINED IN THIS CURRENT REPORT THAT ARE NOT HISTORICAL FACTS ARE
“FORWARD-LOOKING STATEMENTS (AS THAT TERM IS DEFINED IN THE PRIVATE SECURITIES
LITIGATION REFORM ACT OF 1995), THAT CAN BE IDENTIFIED BY THE USE OF
FORWARD-LOOKING WORDS SUCH AS “BELIEVES, “EXPECTS, “MAY,” “WILL,” “SHOULD,” OR
“ANTICIPATES,” OR THE NEGATIVE OF THESE WORDS OR OTHER VARIATIONS OF THESE WORDS
OR COMPARABLE WORDS, OR BY DISCUSSIONS OF STRATEGY THAT INVOLVE RISKS AND
UNCERTAINTIES. MANAGEMENT WISHES TO CAUTION THE READER THAT THESE
FORWARD-LOOKING STATEMENTS INCLUDING, BUT NOT LIMITED TO, STATEMENTS REGARDING
THE PLANNED EFFORTS TO IMPLEMENT THE COMPANY’S BUSINESS PLAN AND ANY OTHER
EFFORTS THAT THE COMPANY INTENDS TO TAKE IN AN ATTEMPT TO GROW THE COMPANY,
ENHANCE SALES, ATTRACT & RETAIN QUALIFIED PERSONNEL, AND OTHERWISE EXPAND
THE COMPANY’S BUSINESS ARE NOT HISTORICAL FACTS AND ARE ONLY
PREDICTIONS. NO ASSURANCES CAN BE GIVEN THAT SUCH PREDICTIONS WILL
PROVE CORRECT OR THAT THE ANTICIPATED FUTURE RESULTS WILL BE
ACHIEVED. ACTUAL EVENTS OR RESULTS MAY DIFFER MATERIALLY EITHER
BECAUSE ONE OR MORE PREDICTIONS PROVE TO BE ERRONEOUS OR BECAUSE OF THE
CONTINUING RISKS FACING THE COMPANY. SUCH RISKS INCLUDE, BUT ARE NOT LIMITED
TO,
THE FOLLOWING: THE PROSPECTS AND FINANCIAL CONDITION OF THE COMPANY,
OUR ABILITY TO IMPLEMENT OUR PLANNED BUSINESS STRATEGY, THE RISK ASSOCIATED
WITH
AN EARLY STAGE COMPANY, AND THE UNCERTAINTIES AND RISKS OF A SMALL COMPANY
WITH
LIMITED MANAGERIAL, FINANCIAL, AND MARKETING RESOURCES. ANY ONE OR MORE OF
THESE
AND OTHER RISKS COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THE FUTURE
RESULTS INDICATED, EXPRESSED, OR IMPLIED IN SUCH FORWARD-LOOKING
STATEMENTS.
As
used herein, the terms, “we,” “us,” “our,” and the “Company” refers to Viper
Networks, Inc., a Nevada corporation and its subsidiaries, unless otherwise
stated.
ITEM 1.01
ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT
On
July 24, 2007, we entered into an agreement with each of the holders of our
Series A Preferred Stock. Under the terms of an Agreement to Waive Conversion
Rights (the “Agreement”) that we entered into with each of the four holders of
our Series A Preferred Stock (the “Holders”), each of the Holders agreed to
waive their right to convert the Series A Preferred Stock into shares of our
Common Stock until January 1, 2008. The waiver was granted by each of them
in
exchange for consideration consisting of the Company’s payment of the sum of
$100 plus other good and valuable consideration to each Holder.
The
Agreement also allows us to grant any Holder limited relief of the waiver so
as
to allow a Holder, upon written notice from the Company, to lift the restriction
on conversion for a specified number of shares of our Series A Preferred Stock
prior to the expiration of the waiver. After January 1, 2008, the
waiver provided in each Agreement expires and each Holder is no longer burdened
by it.
The
following Holders entered into the Agreement:
Name
of
Holder No.
of Series A Preferred Held
John
L.
Castiglione
443,566
Farid
Shouekani 3,315,191
Jason
Sunstein
276,004
Ronald
G. Weaver,
Sr.
100,000
The
Agreement with each Holder also was undertaken in connection with an action
by a
majority of the holders of the equity voting rights adopted by written consent
on the same date, as described below.
We
believe that the waiver by each of the Holders may, to a limited extent, better
allow us to meet some of our short-term financial needs and otherwise allow
us
to avoid some unnecessary debt financing.
ITEM 3.02
UNREGISTERED SALES OF EQUITY SECURITIES
When
we entered into an Agreement to Waive Conversion
Rights with each of the four holders of our Series A
Preferred Stock, the waiver that each of them granted us may be considered
the
sale of an unregistered equity security in that it changed the rights that
each
Holder has, at least until January 1, 2008, to convert the Series A Preferred
Stock, into shares of our common stock.
In
entering into these Agreements with each of the four Holders, we did not receive
any proceeds from the transactions and we did not use any NASD-registered
broker-dealer or other third party
to
assist us in these matters. All of the Holders are officers and directors or
former officers and directors of the Company and each assured us that they
are
Accredited Investors and sophisticated and experienced in making business,
financial, and investment decisions. Each was also granted unrestricted access
to our books and records and an opportunity to ask questions of our existing
officers and directors and receive answers to all said questions. Each of them
also acknowledged that the Agreement entered into does not change the
restrictions imposed upon persons who hold “restricted securities” (as that term
is defined in the Securities Act of 1933).
ITEM 5.03
AMENDMENT TO ARTICLES OF INCORPORATION OR BY-LAWS;CHANGE IN FISCAL
YEAR
On
July 24, 2007, five stockholders holding an aggregate of over 66.3% of the
outstanding equity voting rights of our Company approved an amendment to Article
Fourth of our Articles of Incorporation pursuant to Section 78.320 of the Nevada
General Corporation Law.
Under
the terms of the Amendment, Article Fourth of our Articles of Incorporation
is
to be amended so that, as amended, our authorized common stock (par value
$0.001) is to be increased from its present limit of 250,000,000 shares to
350,000,000 shares.
The
stockholders also authorized the Company’s Board of Directors to prepare and
file the Amendment with the Nevada Secretary of State.
We
intend to file the Amendment in the near future. To the extent that we are
able
to raise additional capital in the future, we believe that the increase in
the
authorized common stock may allow us to better meet some, but certainly not
all,
of our financial needs.
We
continue to face financial challenges in executing our business plan and we
cannot assure you that these actions will sufficiently address or resolve our
financial difficulties.
(A) Factors
That May Affect Future Results
In
General.
The purchase of shares of our common stock is very speculative and involves
a
very high degree of risk. Our business organization and structure all involve
elements of risk. In many instances, these risks arise from factors
over which we will have little or no control. Some adverse events may
be more likely than others and the consequence of some adverse events may be
greater than others. No attempt has been made to rank risks in the
order of their likelihood or potential harm.
1) The
market price of our common stock may fluctuate significantly.
The
market price of our common shares may fluctuate significantly in response to
factors, some of which are beyond our control, such as:
·
|
the
announcement of new technologies by us or our
competitors;
|
·
|
quarterly
variations in our and our competitors’ results of
operations;
|
·
|
changes
in earnings estimates or recommendations by
securitiesanalysts;
|
·
|
developments
in our industry;
|
· general
market conditions and other factors, including factors unrelated to our own
operating performance;
· changing
regulatory exposure, laws, rules and regulations which may change;
and
·
|
tax
incentives and other changes in the tax
code.
|
Further,
the stock market in general
has recently experienced extreme price and volume fluctuations. Continued market
fluctuations could result in extreme volatility in the price of our common
shares, which could cause a decline in the value of our common shares. You
should also be aware that price volatility might be worse if the trading volume
of our common shares is low.
2) Trading
of our common stock is limited.
Our
Common Stock is traded only on the
OTC Pink Sheets and there can be no guarantee that we will gain or achieve
any
listing on the NASD Electronic Bulletin Board. Trading in our stock has
historically been limited and sporadic with no continuous trading market over
any long or extended period of time. This has adversely effected the liquidity
of our securities, not only in terms of the number of securities that can be
bought and sold at a given price, but also through delays in the timing of
transactions and reduction in security analysts' and the media's coverage of
us.
This may result in lower prices for our common stock than might otherwise be
obtained and could also result in a larger spread between the bid and asked
prices for our common stock. There will likely be only limited liquidity and
investors will not likely have the ability to purchase or sell our common stock
in any significant quantities. This too will sharply limit interest
by individual and institutional investors.
3) Limited
Financial Resources and Future Dilution
We
are a small company and we have
limited financial resources. While we believe that we have some
significant growth opportunities, we cannot assure you that we will be
successful in obtaining additional financial resources to meet our financial
needs or, we are successful in doing so, that we can obtain such financial
resources on terms that are reasonable in light of our current financial
circumstances. To the extent that we are able, we anticipate that we may raise
additional capital in the future and we cannot assure you that we will be
successful in raising additional capital or if we do, that current investors
will not suffer immediate and substantial dilution as a result of any successful
financing transactions.
ITEM 9.01 Financial
Statements and Exhibits
(d) Exhibits
|
(d) Exhibits
|
|
|
|
|
|
Exhibit
Number
|
|
Exhibit
Title or Description
|
|
3.1(i)
|
|
Amendment
to Articles of Incorporation
|
SIGNATURES
Pursuant
to the requirements of the
Securities and Exchange Act of 1934, the Registrant has duly caused this report
to be signed on its behalf by the undersigned hereunto duly
authorized.
|
|
|
|
VIPER
NETWORKS, INC.
|
|
|
|
Date: July
27, 2007
|
By:
|
/s/ Farid
Shouekani
|
|
Farid
Shouekani, President
|
6