Digital Brands Group, Inc. announced on August 9, 2025, that it has entered into a private investment in public equity (PIPE) financing agreement with select investors. The agreement is for gross proceeds of approximately $11.225 million.
Under the terms of the securities purchase agreement, the company will sell up to 14,031.25 shares of its Series D Convertible Preferred Stock. These shares are convertible into common stock at a conversion price equal to 80% of the lowest closing price of the common stock for the five trading days immediately prior to conversion.
The aggregate cash purchase price for the Series D Preferred Stock was $11.225 million, with a stated value of $14,031,250. The proceeds are intended for general corporate purposes, providing crucial capital for the company's operations and growth initiatives, though the conversion terms present potential dilution.
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