Company: XXII
Filing Date: 2025-05-22
Form Type: PRE 14A
Source: 0001641172-25-012101
Chunk: 68

Company: 22nd Century Group, Inc.
Filing Date: 2025-05-22
Form: PRE 14A
Chunk 68
---
. The Company, as provided in the Securities Purchase Agreement will be obligated to incur additional management resources and expenses to call and hold a meeting every 75 days thereafter to seek such stockholder approval until the date Stockholder Approval is obtained. Additionally, the failure to obtain Stockholder Approval may discourage future investors from engaging in future financings with us. If these consequences occur, we may have difficulty finding alternative sources of capital to fund our operations in the future on terms favorable to us or at all. We can provide no assurance that we would be successful in raising funds pursuant to additional equity or debt financings.

If the stockholders approve this Proposal 7, the Warrants shall become immediately exercisable. The Warrants could also have a reduced exercise price upon a dilutive issuance, which could result in substantial dilution to our stockholders.

<div align='center'>Our Board of Directors recommends that the stockholders vote “FOR” Proposal 7 to approve the issuance of the shares of common stock upon exercise of the Warrants pursuant to Rule 5635(d) of the Nasdaq Stock Market.</div>

| 45 |

<div align='center'>PROPOSAL NO. 8
APPROVAL OF THE ISSUANCE OF THE SHARES OF COMMON STOCK UPON EXERCISE OF THE WARRANTS DATED MAY 1, 2025 PURSUANT TO NASDAQ LISTING RULE 5635</div>

The board of directors has approved and recommends to the stockholders a proposal to approve the issuance of the Warrants (defined below) dated May 1, 2025 (the “Warrants Shares”) pursuant to Rule 5635(d) of the Nasdaq Stock Market for the potential issuance of more than 19.99% of our outstanding common stock at below the Minimum Price under Nasdaq rules.

General

As previously disclosed on a current report on Form 8-K filed with SEC on April 30, 2025, we commenced a warrant inducement offering (the “Warrant Inducement”) with the holders of certain outstanding warrants to purchase up to an aggregate of 11,072,093 shares of common stock (collectively, the “Existing Warrants”). The Company offered the holders of the Existing Warrants an inducement period whereby the Company agreed to issue new warrants (the “Inducement Warrants”) to purchase up to a number of shares of common stock equal to 100% of the number of shares of common stock issued pursuant to the exercise by the holders of the Existing