Company: ATLN
Filing Date: 2025-01-23
Form Type: S-4/A
Source: 0001213900-25-006032
Chunk: 187

Company: ATLANTIC INTERNATIONAL CORP.
Filing Date: 2025-01-23
Form: S-4/A
Chunk 187
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ness with the appropriate Jackson party whereby: (i) all interest accrued and payable to appropriate Jackson party will be waived or forgiven and (ii) the principal amount of the Loan will be converted into 5,600,000shares of Series I Preferred Stock. In the event the average closing price of Atlantic Common Stock over the five (5) trading days immediately preceding the date of the Closing is below $5.00, members of the management of Staffing 360 and Atlantic and Atlantic itself shall issue to Jackson such number of additional shares of Atlantic Common Stock equal to (i) 5,600,000shares multiplied by the quotient of $5.00 per share and the Average Closing Price (as defined herein) minus (ii) 5,600,000. Additionally pursuant to the First Amendment and further agreement between the applicable parties, Jackson shall enter into a lock -upagreement such that the Merger Consideration for all of the Series I Preferred Stock are subject to a lock up period for the one year after the closing of the Merger, provided, however, that 600,000shares of Merger Consideration shall be freely tradable following the closing of the Merger; •signed agreements to be mutually agreed to by the parties whereby the applicable parties shall: (i) convert any amounts owed in Earned Contingent Cash Payment (as defined in the Merger Agreement) into five million (5,000,000) shares of Series H Preferred Stock and waive any interest/dividends or other payments due from Staffing 360 related to the Series H Preferred Stock; and (ii) lock -upagreements such that the Merger Consideration for all of the shares of Series H Preferred Stock are; (A) subject to a lock up for the 6 months after closing of the Merger as follows; (B) 1,750,000shares of Atlantic common stock are subject to a lock -upfor the period starting on 6 months after closing of the Merger until 9 months after closing of the Merger; (C) 875,000shares of Atlantic common stock are subject to a lock -upfor the period starting on 9 months after closing of the Merger until 12 months after closing of the Merger; and (D) the lock -upshall terminate 12 months after closing of the Merger and (E) the lock -upshall not apply to the extent shares of Atlantic common stock must be sold to pay any taxes from such applicable holder