Company: DGLY
Filing Date: 2025-01-24
Form Type: S-1
Source: 0001493152-25-003451
Chunk: 214

Company: DIGITAL ALLY, INC.
Filing Date: 2025-01-24
Form: S-1
Chunk 214
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) days after such closing. The Company has the option to redeem the Series A Preferred Stock and Series B Preferred Stock at a price per share equal to 105% of the stated value of such shares commencing after the 90th day following the closing of the 2022 Offering, subject to the holders’ rights to convert the shares prior to such redemption.

| F-38 |

The proceeds of the 2022 Offering were held in an escrow account, along with the additional amount that would be necessary to fund the 105% redemption price until the expiration of the redemption period for the Preferred Stock, as applicable, subject to the earlier payment to redeeming holders. Upon expiration of the redemption period, any proceeds remaining in the escrow account will be disbursed to the Company.

The 2022 Offering closed on October 19, 2022. In December 2022, the Company redeemed 1,400,000shares of Series A & 100,000shares of Series B Preferred Stock, for a redemption price of $ 15,750,000, with a $ 13,365,000carrying amount, resulting in a $ 2,385,000loss on redemption.

Issuance of Common Stock as Consideration for the Potential Spin-Off Transaction.

On December 28, 2022, the Company issued a total of 25,000shares of common stock as a portion of the consideration paid for the advisory services associated with the potential spin-off transaction.

Stock Repurchase Program

On December 6, 2021, the board of directors of the Company authorized the repurchase of up to $ 10.0million of the Company’s outstanding common stock under the specified terms of a share repurchase program (the “Program”). During the year ended December 31, 2022, the Company repurchased 186,299shares of its common stock for $ 4,026,523, in accordance with the Program.

SCHEDULE OF STOCK REPURCHASE

| Period          |     | Total     
 Number of 
 Shares    
 Purchased |         |     | Average  
 Price    
 Paid per 
 Shares   |       |     | Total        
 Number of    
 Shares       
 Purchased as 
 Part of      
 Publicly     
 Announced    
 Program      |         |     | Maximum      
 Approximate  
 Dollar Value 
 of           
 Shares that  
 May Yet Be   
 Purchased    
 Under the    
 Program      |           |
|:----------------|:----|:----------|--------:|:----