Company: FWDI
Filing Date: 2025-08-15
Form Type: DEF 14A
Source: 0001683168-25-006240
Chunk: 12

Company: Forward Industries, Inc.
Filing Date: 2025-08-15
Form: DEF 14A
Chunk 12
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and Chief Executive Officer, is the beneficial holder of the Series A-1. Assuming the conversion of all of the outstanding Series A-1
converted at $7.50 per share, FC would beneficially own approximately 36% shares of common stock (which includes 244,688 shares of common
stock it or he currently owns) as of the record date. Upon conversion of these shares, FC’s beneficial ownership will exceed the
Conversion Caps, thus shareholder approval is required to remove the conversion restrictions. The closing price of the Company’s
common stock on the record date was $13.41.

Reason for Proposal

The Company’s common
stock is listed on Nasdaq, and, as a result, we are subject to the Nasdaq listing standards set forth in the Nasdaq listing rules and,
thus, we are required under Nasdaq Listing Rule 5635 to obtain shareholder approval to remove the Conversion Caps. This is being proposed
in connection with the Company’s belief that the conversion of the Series A-1 benefits the Company by improving the Company’s
capital structure and providing additional flexibility for future corporate needs.

Impact on Shareholders of Approval or Disapproval of this Proposal

If this proposal is approved,
the Company will be permitted to issue shares of common stock issuable upon the conversion of the Series A-1 in excess of the Conversion
Caps. Further, existing shareholders will suffer dilution in ownership interest and voting rights as a result of the issuance of shares
of common stock pursuant to the conversion of the Series A-1.

Recommendation of the Board

The Board recommends that
the shareholders vote “FOR” the Nasdaq 20% Issuance Proposal – Series A-1.

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<div align='center'>PROPOSAL 3. ADJOURNMENT</div>

General

The Company is asking its
shareholders to approve, if necessary, a proposal to adjourn the Special Meeting to a later date and time to solicit additional proxies
in favor of one or more proposals submitted to a vote by the shareholders at the Special Meeting. Any adjournment of the Special Meeting
for the purpose of soliciting additional proxies will allow shareholders who have already sent in their proxies to revoke them at any
time prior to the time that the proxies are used.

Recommendation of the Board

The Board recommends a vote
“FOR” this Adjournment Proposal.

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<div align='center'>OWNERSHIP OF OUR STOCK</div>

Voting Securities and