Company: FWDI
Filing Date: 2025-06-10
Form Type: S-1
Source: 0001683168-25-004372
Chunk: 21

Company: Forward Industries, Inc.
Filing Date: 2025-06-10
Form: S-1
Chunk 21
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 rights related to the shares issued under the Purchase Agreement, we have filed a registration statement of which
this prospectus forms a part in order to register the resale of up to: (i) 245,571 Purchase Shares that we may elect, in our sole discretion,
to issue and sell to the Selling Stockholder, from time to time after the Commencement Date upon the terms and subject to the conditions
and limitations of the Purchase Agreement, subject to applicable stock exchange rules; and (ii) 2,500 Commitment Shares that may be issued
to the Selling Stockholder in connection with related issuances and sales of Purchase Shares as consideration for the Selling Stockholder’s
execution and delivery of the Purchase Agreement.

Under applicable Nasdaq rules,
in no event may we issue to the Selling Stockholder shares of our common stock representing more than 19.99% of the total number of shares
of common stock outstanding immediately prior to the date of the Purchase Agreement, unless we obtain prior stockholder approval or if
such approval is not required in accordance with the applicable Nasdaq rules. In addition, the Selling Stockholder is not obligated to
buy any common stock under the Purchase Agreement if such shares, when aggregated with all other common stock then beneficially owned
by the Selling Stockholder and its respective affiliates (as calculated pursuant to Section 13(d) of the Exchange Act and Rule 13d-3 promulgated
thereunder), would result in the Selling Stockholder beneficially owning common stock in excess of 4.99% of the then-outstanding shares
of common stock, or the Beneficial Ownership Limitation; provided, however, the Selling Stockholder may increase the Beneficial Ownership
Limitation up to 9.99% at its sole discretion upon sixty-one days’ prior written notice to us. Our inability to access a portion
or the full amount available under the Purchase Agreement, in the absence of any other financing sources, could have a material adverse
effect on our business or results of operation.

The Purchase Agreement and
Registration Rights Agreement contain customary registration rights, representations, warranties, conditions and indemnification obligations
by each party. The representations, warranties and covenants contained in such agreements were made only for purposes of such agreements
and as of specific dates, were solely for the benefit of the parties to such agreements and are subject to certain important limitations.

Purchase Agreement

Pursuant to the Purchase Agreement,
the Selling Stockholder shall subject to the restrictions and satisfaction of the conditions