Company: DGLY
Filing Date: 2025-01-24
Form Type: S-1
Source: 0001493152-25-003451
Chunk: 291

Company: DIGITAL ALLY, INC.
Filing Date: 2025-01-24
Form: S-1
Chunk 291
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2023, the Company and its wholly owned subsidiary Kustom Entertainment, Inc. (“Kustom”) entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Clover Leaf Capital Corp., (“Clover Leaf”), and their subsidiary whereby Kustom and Clover Leaf would merge.

On November 7, 2024, pursuant to provisions of the Merger Agreement, the Company, Clover Leaf, and related entities the parties entered into a Mutual Termination and Release Agreement (the “Termination Agreement”) to terminate the Merger Agreement. As a result of the Termination Agreement, the Merger Agreement was fully terminated and is of no further force and effect.

Amendments to Company Bylaws

On November 6, 2024, the Company adopted Amendment No. 1 to its Corporate Bylaws with the approval of the Company’s board of directors. The Bylaws were amended to reduce the quorum requirement at any meeting of the Company’s stockholders to thirty-three and one-third percent (33 1/3%) of the stock issued and outstanding and entitled to vote at such meeting.

Annual Meeting

The Company held its annual meeting of stockholders (the “Annual Meeting”) on December 17, 2024 for the following purpose:

| 1. | To                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
 elect four directors;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| 2. | To                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
 ratify the appointment of RBSM LLP as our independent registered public accounting firm;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| 3. | To                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
 approve the transactions contemplated by the securities purchase agreement, entered into as of June 24, 2024, by and between the                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
 Company and investors, including, the issuance of 20% or more of our outstanding shares of common stock, par value $0.001 per share                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
 (the “Common Stock”) upon (i) exercise of Series A Common Stock Purchase Warrant; and (ii) exercise of Series B Common                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
 Stock Purchase Warrant, each dated June 25, 2024; and                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| 4. | To approve a proposal to authorize the board of directors of the Company, in its sole and absolute discretion, and without further action of the stockholders, to file an amendment to our articles of incorporation, to effect a reverse stock split of our issued and outstanding Common Stock at a ratio to