Company: KAVL
Filing Date: 2025-02-10
Form Type: 10-K
Source: 0001731122-25-000185
Chunk: 849

Company: Kaival Brands Innovations Group, Inc.
Filing Date: 2025-02-10
Form: 10-K
Item: Item 7A
Chunk 849
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, that in no event
shall the Reset Price be less than $0.574 per share (subject to adjustment for reverse and forward stock splits, recapitalizations and
similar transactions following the date of the securities purchase agreement). Immediately after the Reset Date, the Reset Exercise Price
is $1.1577 per share. As of October 31, 2024, June 2024 Public Offering Warrants to purchase 5,549,050 shares of Common Stock remain outstanding.

GoFire Acquisition Warrants

The Company issued a common stock purchase warrant
to purchase an aggregate of 95,240 shares of Common Stock as consideration for the acquisition of the GoFire Purchased Assets. The Warrant
is exercisable for a period of four (4) years from the Closing Date. The exercise price for the Warrant Shares is $63.00, $84.00, $105.00
and $126.00 per share, respectively, for each of four tranches of 23,810 Warrant Shares. The exercise prices of the Warrant are subject
to customary stock-based (but not price-based) adjustments upon the occurrence of stock splits and the like involving the Common Stock.
The Warrant is exercisable on a cash basis only, except that the Warrant may be exercised on a “cashless basis” if at the
time of exercise there is not an effective registration statement under the Securities Act of 1933, as amended covering the public resale
of the Warrant Shares. As of October 31, 2024, GoFire Acquisition Warrants to purchase 95,240 shares of Common Stock remain outstanding.

September 2021 Public Offering Warrants

The Company issued a common stock purchase warrant
to purchase a total of 193,036 shares of Common Stock in connection with the Company’s underwritten public offering in September
2021, at an exercise price of $39.90 per share. These warrants expire in 2026. As of October 31, 2024, September 2021 Public Offering
Warrants to purchase 110,396 shares of Common Stock remain outstanding.

 Other Warrants

The Company issued a common stock purchase warrant
to purchase an aggregate of 17,524 shares of Common Stock as compensation for advisory services rendered directly related to the GoFire
APA. The warrant is exercisable for a period of five (5) years from the Closing Date. The exercise price for the warrant shares is $14.70
per share.