Company: DGLY
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021680
Chunk: 66

Company: DIGITAL ALLY, INC.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 66
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 issued at a 7%
original issue discount, providing gross proceeds of $750,000, and bear interest at 8% per annum.

The
net proceeds of the private placement on September 15, 2025 was $610,000 (after $140,000 deduction of costs of the offering). The Company
allocated the net proceeds from the private placement of the senior secured promissory notes and the detachable warrants based upon their
relative fair values as of the date of issuance as follows:

 SCHEDULE OF NET PROCEEDS FROM THE PRIVATE PLACEMENT 

    Amount 

    Allocated to the following: 

    Senior secured promissory notes 
    $290,583 

    Detachable warrants 
     319,417 

    Total 
    $610,000 

Committed
Equity Financing (ELOC)

On
September 15, 2025 (the “Closing Date”), the Company entered into a Common Stock Purchase Agreement (the “ELOC Purchase
Agreement”) with an institutional investor (the “ELOC Investor”), providing a committed equity financing facility of
up to $25 million (the “Total Commitment”) over a 36-month term. Under the agreement, and subject to certain conditions and
limitations, the Company may, at its sole discretion, direct the ELOC Investor to purchase shares of its common stock (“Purchase
Shares”) from time to time during the term of the facility.

February
2025 Public Equity Offering

On
February 13, 2025, the Company entered into an underwriting agreement (the “Underwriting Agreement”) with Aegis Capital Corp.
(the “Underwriter”) for the sale and issuance of (i) 3,925 units at a public offering price per unit of $300.00 with each
Unit consisting of one share of Common Stock, one Series A warrant to purchase one share of Common Stock at an exercise price of $375.00
per share and one Series B warrant to purchase one share of Common Stock at an exercise price of $600.00 and (ii) 46,075 pre-funded units
at a public offering price of $298.00 per pre-funded unit, with each pre-funded unit consisting of one pre-funded warrant exercisable
for one share of Common Stock at an exercise price of $0.001 per share, one Series A warrant and one Series B warrant. The pre-funded
warrants were immediately exercisable and may be exercised at any time