Company: MYSZ
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001641172-25-000990
Chunk: 177

Company: My Size, Inc.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 1C
Chunk 177
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 within 45 days of our receipt of Naiz’s 2025 audited financial statements;
provided that certain revenue targets are met. Following the Equity Value Averaging Period, it was determined that the Shortfall Value
is $459,240.

The
Naiz Cash Consideration is payable to the Naiz Sellers in five installments, according to the following payment schedule: (i) US$500,000
at closing, (ii) up to US$500,000 within 45 days of My Size’s receipt of Naiz’s 2022 audited financial statements, (iii)
up to US$350,000 within 45 days of My Size’s receipt of Naiz’s unaudited financial statements for the six months ended June
30, 2023, (iv) up to $350,000 within 45 days of My Size’s receipt of Naiz’s unaudited financial statements for the six months
ended December 31, 2023, and (v) up to $350,000 within 45 days of My Size’s receipt of Naiz’s 2024 audited financial statements;
provided that in the case of the second, third, fourth and fifth installments certain revenue targets are met.

The
payment of the second, third, fourth and fifth cash installments are further subject to the continuing employment or involvement of Borja
and Aritz, or the Key Persons, by or with Naiz at the date such payment is due (except if a Key Person is terminated from Naiz due to
a Good Reason (as defined in the Naiz Agreement)).

The
Naiz Agreement contains customary representations, warranties and indemnification provisions. In addition, the Naiz Sellers will be subject
to non-competition and non-solicitation provisions pursuant to which they agree not to engage in competitive activities with respect
to My Size’s business.

In
connection with the Naiz Agreement, (i) each of the Naiz Sellers entered into the Lock-Up Agreement with My Size, (ii) Whitehole, Twinbel
and EGI entered into the Voting Agreement with My Size and (iii) each of the Key Persons entered into employment agreements and services
agreements with Naiz.

The
Lock-Up Agreement provides that each Naiz Seller will not, for the six-month period following the closing of the transaction, (i) offer,
pledge, sell, contract to sell, sell any option, warrant or contract to purchase, purchase any option, warrant