DBGI News & Events

DBGI has cancelled 7.1M pre-funded warrants to protect shareholders pending a legal investigation. The Company has been notified by concerned shareholders regarding a troubling series of events concerning collusion, acting in concert, multiple violations of the 4.99% rule, using foreign silent partners as nominees and transfer agent discrepancies. Shareholders and stakeholders are actively seeking immediate clarification and corrective action from the Board of Directors regarding these concerns. The Company remains committed to adhering to SEC regulations and ensuring a fair, transparent market for all investors. Further updates will be provided as this matter develops. Pre-funded warrants are typically structured with a 4.99% or 9.99% beneficial ownership blocker to prevent individual entities from triggering change-of-control provisions or crossing SEC reporting thresholds. Shareholders have raised serious red flags regarding a concerted effort by certain entities to circumvent these caps. The Company is being urged to investigate whether related parties and attribution affiliates are coordinating and acting in concert to exert disproportionate control over the share price and trading activity through, including share price manipulation. Shareholders are requesting a formal investigation into suspected misconduct, market manipulation, and the undisclosed use of foreign silent partners as nominees. The complaint alleges that certain entities transferred pre-funded warrant allocations to foreign silent partners to collude, control share allocations, and artificially manipulate share prices. Share transfers and Share Purchase Agreements were submitted to the transfer agent. Beyond control and collusion concerns, and the 4.99% beneficial ownership issues and using foreign silent partners as nominees, there are glaring inaccuracies in the outstanding warrant total and records logged per entity given the SPA's and transfer agreements that a single controlling party from this group provided to the transfer agent.

Digital Brands Group announced that it has expanded its partnership with GCC, and received initial purchase orders for its $125M U.S. Program and expanded partnership. This expanded partnership includes apparel and soft good revenue opportunities available through GCC's digital networks, physical installations, domestic and international events and hospitality.

Digital Brands announced the launch of a strategic AI and brand protection collaboration with a globally recognized outdoor performance apparel. The initiative is being supported through the Company's relationship with SECUR3D Inc. and is expected to utilize their AI-powered brand protection technology to assist in identifying unauthorized digital assets, counterfeit-related listings, and broader online intellectual property concerns. Digital Brands believes the growing intersection between AI, eCommerce, digital assets, and online marketplaces is creating significant new challenges for global consumer brands, particularly as counterfeit activity and unauthorized digital distribution continue expanding across online channels.