Company: XXII
Filing Date: 2025-12-30
Form Type: DEF 14A
Source: 0001493152-25-029651
Chunk: 22

Company: 22nd Century Group, Inc.
Filing Date: 2025-12-30
Form: DEF 14A
Chunk 22
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 Dilutive Issuance), then simultaneously with the consummation (or, if earlier, the announcement) of each Dilutive Issuance the Conversion Price shall be reduced to equal the Base Conversion Price, provided that the Base Conversion Price shall not be less than the Floor Price; provided that, any adjustments that would have occurred hereunder prior to the Stockholder Approval Date, shall be applied pursuant to this Section 7(b) on the Stockholder Approval Date as if such event or Dilutive Issuance occurred on the Stockholder Approval Date.

Notwithstanding the foregoing, no adjustment will be made under this Section 7(b) in respect of an Exempt Issuance. If the Corporation enters into a Variable Rate Transaction, despite the prohibition set forth in the Purchase Agreement, the Corporation shall be deemed to have issued Common Stock or Common Stock Equivalents at the lowest possible conversion price at which such securities may be converted or exercised; provided, however, in the case of an at the market offering by the Corporation, an adjustment will be made only if the actual sales under such offering are lower than the Base Conversion Price then in effect. The Corporation shall notify the Holders in writing, no later than the Trading Day following the issuance of any Common Stock or Common Stock Equivalents subject to this Section 7(b), indicating therein the applicable issuance price, or applicable reset price, exchange price, conversion price and other pricing terms (such notice, the “ Dilutive Issuance Notice”). For purposes of clarification, whether or not the Corporation provides a Dilutive Issuance Notice pursuant to this Section 7(b), upon the occurrence of any Dilutive Issuance, the Holders are entitled to receive a number of Conversion Shares based upon the Base Conversion Price on or after the date of such Dilutive Issuance, regardless of whether a Holder accurately refers to the Base Conversion Price in the Notice of Conversion.”

| PROXY STATEMENT | 12 |

Section 6(g) of the Certificate of Designations provides as follows:

| “(g) | Right                    
 of Alternate Conversion. |

| (i)  | General.                                                                                                                               
 Subject to Section 6(d), at any time after the Stockholder Approval Date, the Holder may, at the Holder’s option, convert (each,       
 an “Alternate Conversion”, and the date of such Alternate Conversion, each, an “Alternate Conversion Date”)                            
 all, or any part of, the Conversion Amount (such portion of the Conversion Amount subject to such Alternate Conversion