LGL GROUP INC

11.** Stockholders' Equity

Shares Authorized

On* December 28, 2021,*the Company’s stockholders approved an amendment to the Company’s certificate of incorporation to increase the number of authorized shares of our common stock to 30,000,000. Previously, the Company was authorized to issue 10,000,000 shares of common stock. The Company’s certificate of incorporation was amended and restated to effect this change. The number of authorized shares of common stock was increased to support the Company’s growth and provide flexibility for future corporate needs including financing, potential strategic transactions (mergers, acquisitions and business combinations) and grants under equity compensations plans.

Common Stock Warrants

On* November 16, 2020,the Company issued 5,258,320 "European style" warrants to holders of recorded of outstanding shares of the Company's common stock as of November 9, 2020.The warrants are listed on the NYSE American and traded under the symbol "LGL.WS". Five warrants will entitle their holder to purchaseone* share of LGL Group common stock at an exercise price of $12.50 and are exercisable at the earlier (i) the expiration of the warrant term, which is* November 16, 2025,or (ii) subject to a date acceleration if triggered only after the average volume weighted average price ("VWAP") of LGL Group common stock for30* consecutive trading days is greater than or equal to $17.50. The warrants also provide for the adjustment of the exercise price and the trigger price for potential acceleration of the exercise date, upon the occurrence of certain dilutive events, such.

Pursuant to the warrant agreement, the Distribution was a qualifying dilutive event that required an adjustment to the exercise price and the trigger price for potential acceleration of the exercise date. Effective* October 18, 2022,the warrant exercise price was adjusted to $4.75 and the target trigger price for potential acceleration of the exercise date was adjusted to $6.65. Assuming that all warrants are exercised, the net proceeds from the exercise of the warrants will be $4,995. The Company intends to use the net proceeds from the exercise of the warrants for general corporate purposes, which mayinclude working capital, general and administrative expenses, capital expenditures and implementation of our strategic priorities. Pending the application of the net proceeds, we may*invest the proceeds in short-term, interest bearing, investment-grade marketable securities or money market obligations.

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Share Repurchase Program

On* August 29, 2011,the Board authorized an expansion of its previously announced share repurchase program in accordance with applicable securities laws. This authorization increased the total number of shares authorized and available for repurchase under the Company's existing share repurchase program to 540,000 shares, at such times, amounts and prices as the Company shall deem appropriate. No shares were repurchased by the Company in2023* or2022. As of* December 31, 2023*, the Company had repurchased a total of 81,584 shares of common stock at a cost of $580, which shares are currently held in treasury.