Company: KAVL
Filing Date: 2025-08-18
Form Type: 424B5
Source: 0001731122-25-001141
Chunk: 33

Company: Kaival Brands Innovations Group, Inc.
Filing Date: 2025-08-18
Form: 424B5
Chunk 33
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idi Stick
in the United States; and (b) issue temporary and permanent cease and desist orders pursuant to 337(f) of the Tariff Act of 1930, as amended,
which would prohibit the sale and distribution of the Bidi Stick in the United States. No damages are recoverable in the proceedings before
the ITC. Since the initiation of the ITC Complaint, we have not imported any Bidi Sticks and currently do not generate any revenue from
the sale of Bidi Sticks. Our current primary source of revenue is through an international licensing agreement with Philip Morris Products
S.A. (“PMPSA”), a wholly owned affiliate of Philip Morris International Inc. (“PMI”). See “Philip Morris Deed of Licensing Agreement”below.

On September 23, 2024, we entered
into a Merger and Share Exchange Agreement (the “Merger Agreement”) with Delta Corp Holdings Limited, a company incorporated
in England and Wales (together with its successors and assigns, “Delta”), Delta Corp Holdings Limited, a Cayman Islands exempted
company (“Pubco”), KAVL Merger Sub Inc., a Delaware corporation and a wholly owned subsidiary of Pubco (“Merger Sub”)
and Delta Corp Cayman Limited .(the “Sellers”) If the Merger Agreement is consummated, Pubco will become our parent and
all new officers and directors will be appointed by Pubco, except that pursuant to the Merger Agreement we have the right to appoint one
director to the Pubco board of directors and we have agreed to appoint any family member of Ankitaben Patel (the widow of our former CEO,
Nirajkumar Patel) and/or Nirajkumar Patel who is qualified and identified by Bidi for this role prior to the closing of the Merger Agreement.
Pursuant to the terms of the Merger Agreement, the outside date for the closing the transactions contemplated by the Merger Agreement
is February 15, 2025 and therefore under the Merger Agreement, the parties thereto have specified rights to terminate the Merger Agreement.
No assurances can be made that the transactions contemplated by the Merger Agreement will ever close. The transactions contemplated by
the Merger Agreement are described in further detail in our Current Report on Form 8-K filed with the SEC on September 27, 2024 ,
which is incorporated by reference into our Annual Report on Form 10-K, filed with the SEC on February 10,