Digital Brands Group closes $11.2M PIPE offering of Series D Convertible Preferred Stock

Digital Brands Group, Inc.

• Raised ~$11,225,000 from sale of ~14,031 Series D Preferred shares at $800/share; proceeds held in segregated account pending conditions.
• Conversion price is 80% of lowest closing price of common stock over prior five trading days; beneficial ownership cap at 19.99%.
• Company must obtain Nasdaq shareholder approval within 90 days; otherwise investors can demand redemption of purchase price.
• Up to $5.061M released upon SEC filing of resale registration; remaining released after reverse split and registration effectiveness.
• RBW Capital Partners acted as placement agent, receiving 8% fee plus up to $100k in expense reimbursement.