11/06/2024 | Press release | Distributed by Public on 11/06/2024 08:01
Item 8.01. Other Events.
As previously disclosed by Digital Brands Group, Inc., a Delaware corporation (the "Company"), on October 16, 2024, the Company became aware that the issuance by its transfer agent of 1,311,345 shares of the Company's common stock to a certain note holder (the "Holder") upon conversion of its promissory note originally issued by the Company on or around October 1, 2023 (the "Note"), was in error and not permitted under the terms of the Note due to Nasdaq Rule 56353(d). The Company then notified the Holder that 1,311,345 shares of the Company's common stock must be returned to the Company's transfer agent for cancellation. On November 5, 2024, the Holder facilitated the cancellation of 1,311,345 shares of the Company's common stock in accordance with the Company's remediation plan. Upon cancellation of 1,311,345 shares of the Company's common stock by the Holder, the Company's issued and outstanding common stock count as of November 5, 2024, was 28,982,218 shares.