Company: SWAGW
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001213900-25-031596
Chunk: 27

Company: Stran & Company, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 1
Chunk 27
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 subject to the restriction per month
over such two-year period. The shares were also subject to a market standoff provision restricting transfers and other dispositions of
the shares as reasonably requested by the Company and its underwriter until the date that is two years after its initial public offering,
which occurred on November 8, 2021. The shares were also formerly subject to a repurchase right which lapsed upon the occurrence of the
initial public offering. Subject to the above remaining restrictions, Messrs. Shape and Birney may sell the shares subject to the security
interest at prevailing market prices so long as such portion of the sale proceeds as is required under the promissory note to repay the
note is so used to repay the note.

17

On May 24, 2021, Mr. Stranberg also transferred
700,000 shares of common stock to another third party pursuant to a stock purchase agreement subject to a different arrangement with Mr.
Stranberg from Mr. Shape and Mr. Birney’s.

On November 12, 2021, the Company completed its
initial public offering, in which it sold 4,337,349 units, each unit consisting of one share of common stock and a publicly-traded warrant
to purchase one share of common stock at the initial public offering price of $4.15 per unit, plus an additional 650,602 shares of common
stock and 650,602 publicly-traded warrants pursuant to the exercise of the underwriters’ over-allotment option. Initially, the common
stock and publicly-traded warrants had been listed on The Nasdaq Capital Market tier of Nasdaq under the initial ticker symbols “STRN”
and “STRNW”, respectively. Subsequently, we changed the ticker symbols of the shares and publicly-traded warrants to “SWAG”
and “SWAGW”, respectively. Each whole share exercisable pursuant to the publicly-traded warrants had an initial exercise price
per share of $5.1875, equal to 125% of the initial public offering price. Due to our subsequent private placement of common stock and
common stock purchase warrants at a purchase price of $4.97 for one share and 1.25 warrants combined, after attributing a warrant value
of $0.125, the exercise price per share of the publicly-traded warrants was reduced to $4.81375 as of December 10, 2021. The publicly-traded
warrants were immediately exercisable and will expire on the