XWELL shareholders approve incentive plan amendment

In a recent SEC filing, XWELL, Inc. (NASDAQ:XWEL), a personal services company currently valued at $4.07 million, disclosed the outcomes of its Special Meeting held on April 10, 2025. The meeting comes at a challenging time for the company, with its stock down over 51% in the past six months. According to InvestingPro analysis, while XWELL holds more cash than debt, it’s currently burning through its cash reserves quickly. The filing detailed several key decisions, including the approval of an amendment to the company’s 2020 Equity Incentive Plan, which was voted on by stockholders.

The approved amendment to the Incentive Plan will increase the number of shares available for grant by 2.5 million, bringing the total to 3.125 million shares. Additionally, it raises the maximum number of shares that can be granted to non-employee directors in a single fiscal year to a value of $750,000.

At the Special Meeting, another proposal was presented to reclassify the board of directors into two classes with staggered two-year terms. However, this proposal did not receive sufficient votes for approval.

Stockholders also voted on a proposal related to the issuance of shares underlying Series G Preferred Stock and Warrants, which exceeded 20% of the company’s common stock. This issuance was authorized to comply with Nasdaq Listing Rule 5635(d).

Furthermore, the appointment of CBIZ (NYSE:CBZ) CPAs P.C. as XWELL’s independent registered public accounting firm for the fiscal year ending December 31, 2025, was ratified.

Lastly, the proposal to adjourn the Special Meeting to a later date, if necessary, to allow for further solicitation and voting on the proposals, was approved.

The company’s filing made clear that these decisions are pivotal in shaping the governance and incentive structures within XWELL. The information is based on the company’s SEC filing and provides a transparent look at the corporate decisions made by the stockholders.

In other recent news, XWELL, Inc. has announced plans to expand into the medical spa sector by 2025. The company aims to acquire several medical spas, supported by a $4 million private placement, focusing on the intersection of wellness and beauty. This strategic move will initially target metropolitan areas such as Orlando, Austin, Texas, and Salt Lake City, where there is high demand for medspa services. XWELL plans to offer advanced treatments and AI-driven personalization, including facial aesthetics, skin care, injectables, body sculpting, laser therapies, and various wellness services. The initiative aligns with XWELL’s broader vision of establishing a nationwide brand presence and delivering innovative self-care solutions. The medical spa market is experiencing rapid growth as consumers increasingly seek non-invasive and effective treatments. XWELL’s CEO, Ezra Ernst, emphasized the company’s mission to "liberate wellness" by extending its care continuum to urban areas. The company operates multiple brands within the wellness industry, including Xpres Spa, Treat, Naples Wax Center, XpresCheck, and HyperPointe.

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