---
schema_version: "secwatch.filing_event.v1"
accession: "0001493152-24-041814"
form_type: "8-K"
ticker: "DBGI"
cik: "0001668010"
company_name: "Digital Brands Group, Inc."
filed_at: "2024-10-21T23:59:59+00:00"
generated_at: "2026-05-30T12:22:14.990417+00:00"
event_type: "other_material"
sentiment: "negative"
materiality_score: 0.75
calibrated_materiality_score: 0.75
confidence: "high"
source: SEC EDGAR
---

# Digital Brands Group erroneously issued 1.3M shares violating Nasdaq rule; shares being cancelled

## Summary
- Issued 1,311,345 shares of common stock to a note holder upon conversion of promissory note between Oct 3-15, 2024.
- Issuance violated Nasdaq Listing Rule 5635(d) requiring stockholder approval for conversions exceeding 19.9% of pre-transaction shares.
- Company notified note holder to return shares; cancellation will reduce outstanding shares to approximately 8,104,438.
- Communicating with Nasdaq regarding the erroneous issuance and remediation actions.
- As of Oct 16, 2024, issued and outstanding common stock was 9,415,783 shares before cancellation.

## SEC filing metadata
- accession: 0001493152-24-041814
- form_type: 8-K
- ticker: DBGI
- cik: 0001668010
- company_name: Digital Brands Group, Inc.
- filed_at: 2024-10-21T23:59:59+00:00
- event_type: other_material
- sentiment: negative
- materiality_score: 0.75
- calibrated_materiality_score: 0.75
- confidence: high
- sec_items: 3.02
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1668010/000149315224041814/0001493152-24-041814-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1668010/000149315224041814/form8-k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001493152-24-041814
- JSON: https://secwatch.observer/filing/0001493152-24-041814.json
- Plain text: https://secwatch.observer/filing/0001493152-24-041814.txt

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.