Company: ATLN
Filing Date: 2025-12-05
Form Type: S-3
Source: 0001213900-25-118830
Chunk: 39

Company: ATLANTIC INTERNATIONAL CORP.
Filing Date: 2025-12-05
Form: S-3
Chunk 39
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 record are held through banks, brokers, other financial institutions and registered clearing agencies.

<div align='center'>S-6

DILUTION</div>

If you purchase any of the Preferred Stock offered
by this prospectus supplement, you will experience dilution to the extent of the difference between the Conversion Price per share of
Preferred Stock you pay in this offering and the net tangible book value per share of Common Stock immediately after this offering. Our
net tangible book value (deficit) as of September 30, 2025 was ($49,865,554), or ($0.895) per share of Common Stock based on 55,713,259
shares used and outstanding. Net tangible book value (deficit) per share represents our total tangible assets of $82,456,211 (which excludes
goodwill and other intangible assets), less our total liabilities of $132,321,765, divided by the aggregate number of our shares of Common
Stock outstanding as of September 30, 2025.

After giving effect to the sale of our shares
of Preferred Stock in the aggregate amount of $30,000,000 million at an assumed offering price of $[●] per share of Preferred Stock,
and after deducting estimated offering commissions and other estimated offering expenses payable by us, our as adjusted net tangible book
value as of September 30, 2025 would have been $[●], or approximately $[●] per share of Common Stock based on an aggregate of
[●] shares of Common Stock issued and outstanding. This amount represents an immediate increase in net tangible book value of $[●]
per share of Common Stock to existing stockholders as a result of this offering and immediate dilution of approximately $[●] per
share of Common Stock to new investors purchasing our Preferred Stock in this offering. The following table illustrates this dilution
on a per share basis. The as adjusted information below is illustrative only and will adjust based on the actual price to the public,
the actual number of shares sold and other terms of the offering determined at the time our Preferred Stock is sold pursuant to this prospectus
supplement.

| Assumed Offering price per share                           
 Net tangible book value per share as of September 30, 2025 |     |   | [●]     
 (0.895) |
|:-----------------------------------------------------------|:----|:--|:--------|
| Increase in net tangible book value per share              
 attributable to the offering                               |     |