Destination XL Group, Inc. ("DXL") (NASDAQ:DXLG), the leading integrated commerce retailer of Big + Tall men's clothing and shoes, today announced that its Board of Directors has reevaluated the previously announced merger of equals between DXL and FBB Holdings I, Inc. ("FullBeauty") and is engaging with FullBeauty in constructive discussions to determine the best path forward.

As part of its ongoing fiduciary duties to DXL's stockholders, the DXL Board, with the assistance of external financial and legal advisors, has conducted a comprehensive reevaluation of the merger. The Board continues to believe in the industrial logic of the combination. However, given the increasingly challenging consumer environment since the execution of the merger agreement in December 2025 and FullBeauty's indebtedness, the Board believes that the existing terms of the merger agreement are not in the best interests of DXL stockholders.

"The DXL Board of Directors is committed to creating stockholder value and taking actions that are in the best interests of DXL and its stockholders," said Lionel Conacher, Chairman of the Board of DXL. "Our objective is to determine the path forward that best positions DXL and its stockholders for future success."

First Quarter Fiscal 2026 Results

In a separate press release issued today, DXL announced its First Quarter Fiscal 2026 financial results. To access the earnings release, please visit (https://investor.dxl.com). President and Chief Executive Officer Harvey Kanter and Executive Vice President, Chief Financial Officer and Treasurer Peter Stratton will host a conference call at 9:00 a.m. ET to discuss the results. Participants can join by conference call or webcast.

Advisors

Guggenheim Securities, LLC is acting as financial advisor to DXL, Greenberg Traurig, LLP is acting as its legal advisor and Joele Frank, Wilkinson Brimmer Katcher is serving as its strategic communications advisor.

About Destination XL Group, Inc.

Destination XL Group, Inc. is the leading retailer of Men's Big + Tall apparel that provides the Big + Tall man the freedom to choose his own style. Subsidiaries of Destination XL Group, Inc. operate DXL Big + Tall retail and outlet stores and Casual Male XL retail and outlet stores throughout the United States, and an e-commerce website, DXL.COM, and mobile app, which offer a multi-channel solution similar to the DXL store experience with the most extensive selection of online products available anywhere for Big + Tall men. DXL is headquartered in Canton, Massachusetts, and its common stock is listed on the Nasdaq Global Market under the symbol "DXLG." For more information, please visit DXL's investor relations website: https://investor.dxl.com.