Digital Brands Group, Inc. Enters into Securities Purchase Agreement and Promissory Note

On June 9, 2026, Digital Brands Group, Inc. entered into a securities purchase agreement with 1800 Diagonal Lending, LLC. This agreement involved a loan to the Company, evidenced by a promissory note totaling $238,050.00, which includes an original issue discount of $13,050.00. Additional tranches of up to $1,015,000.00 may be available over the next twelve months, subject to further agreement. The purchase price for the note was $207,000.00. The agreement contains standard representations, warranties, and covenants from the Company. The note requires nine monthly payments of $29,624.00, including a 12% interest charge, with the first payment due July 15, 2026. The note matures on March 15, 2027, and includes customary default clauses. In the event of default, the amount due will be 150% of the outstanding principal and accrued interest, plus a 22% annual default interest rate. 1800 Diagonal Lending, LLC has the right to convert the outstanding balance into the Company’s common stock at a price of 61% of the lowest closing bid price during the ten trading days prior to conversion. Ownership and conversion are subject to limitations, not exceeding 4.99% for 1800 Diagonal and its affiliates, and a total of 19.99% of the Company’s outstanding common stock as of June 9, 2026. The Company received the net proceeds on June 10, 2026, and plans to use them for general working capital.