Company: ZCARW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076590
Chunk: 682

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part II, Item 1A
Chunk 682
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both investors collectively “June 2025 Noteholders”),
respectively, in connection with a private placement offering of convertible bridge notes (each, a “Note” and collectively,
the “Notes”) in the aggregate principal amount of $290,240.00 and $111,760.00, respectively. Pursuant to the Purchase Agreements,
DLL purchased a Note in the original principal amount of $290,240.00 with an original issue discount of $30,240.00 and net proceeds to
the Company of $250,000.00, after fees. Boot purchased a Note in the original principal amount of $111,760.00 with an original issue discount
of $11,760.00 and net proceeds to the Company of $100,000.00. Each Note bears interest at a rate of 12% per annum and is due on March
30, 2026. The Notes include scheduled installment repayments, and may be prepaid in full by the Company at a discount to the outstanding
balance. The Notes are subject to default interest at a rate of 22% per annum and include customary events of default and covenants.

76

The Company believes that
current cash and cash equivalents will allow the Company to continue operations through September 30, 2025, assuming that the Company
makes no payments on its currently outstanding indebtedness and only pays current operating accruals, however there can be no assurance
that this will be the case. Even if our current cash position supports operations through September 30, 2025, we cannot assure that this
cash will be sufficient in the longer run and we will be required to obtain a further infusion of cash funds to support our operations
or address the indebtedness, including through this offering. The Company will still need to seek financing for the purpose of raising
additional funds to be able to meet its obligations and so that there will no longer be substantial doubt about its ability to continue
as a going concern. However, there is no assurance that the Company will be able to raise any such financing or, even if it does, that
it will be sufficient for it to meet its obligations or continue as a going concern.

The Company as on August
13, 2025 has $158,413 of cash and cash equivalents.

Accordingly, we believe that
additional funds will be imminently required to support current operations and, in the long term, the growth of our business. Our operations
have consumed substantial amounts of cash