Company: DGLY
Filing Date: 2025-06-17
Form Type: POS AM
Source: 0001641172-25-015434
Chunk: 5

Company: DIGITAL ALLY, INC.
Filing Date: 2025-06-17
Form: POS AM
Chunk 5
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 stock outstanding as of February 14, 2025 and there are 1,727,421 shares of common stock outstanding as of the date of this prospectus.

Any reduction to the exercise prices of the Series A Warrants and the Series B Warrants and resulting increase in the shares of common stock underlying the Warrants will be subject to a floor price. Prior to notice of the Warrant Stockholder Approval, the floor Price was equal to 50% of the Nasdaq Minimum Price immediately prior to the execution of the underwriting agreement with Aegis Capital Corp. (as described below) and after public notice of the Warrant Stockholder Approval, the floor Price is 20% of the Nasdaq Minimum Price immediately prior to the execution of the underwriting agreement.

The Warrants are exercisable only upon notice of receipt of such stockholder approval (the “Warrant Stockholder Approval”) to approve each of (i) certain terms in the Warrants and the issuance of the shares of common stock issuable upon the exercise of such Warrants, as may be required by the applicable rules and regulations of The Nasdaq Stock Market LLC, which was approved at a special meeting of stockholders of the Company held on May 6, 2025 (the “Special Meeting”), and (ii) if necessary, a proposal to amend the Company’s Articles of Incorporation, as amended (the “Articles of Incorporation”), to increase the authorized share capital of the Company to an amount sufficient to cover the shares of common stock issuable upon the exercise of the Warrants, which was not approved at the Special Meeting.

Our common stock is listed on The Nasdaq Capital Market under the symbol “DGLY.” The last reported sale price of our common stock on The Nasdaq Capital Market on June 16, 2025 was $2.47 per share. There is no established trading market for the Warrants and we do not intend to list the Warrants on any securities exchange or nationally recognized trading system.

We engaged Aegis Capital Corp. (“Aegis” or the “underwriter”) to act as our exclusive underwriter on a firm commitment basis in connection with the Offering. We have agreed to pay to the underwriter the underwriting fees as set forth in the table below. We will bear all costs associated with the offering. See “ Underwriting” on page 32 of this prospectus for more information regarding these arrangements.

We granted the underwriter an option to purchase
additional shares of common stock and/or Warrants