Company: SISI
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001493152-25-006895
Chunk: 91

Company: SHINECO, INC.
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 1
Chunk 91
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 restaurant in Fuzhou city,
Fujian Province. The restaurant features an open kitchen and adopts a modern Chinese style, offering a variety of modern Chinese healthy
light meals and metabolism-boosting meal sets. The Company plans to gradually establish additional branches in key cities across China,
including Beijing, Shanghai, Guangzhou, and other southeastern coastal regions.

Tenet-Jove
Disposal Group conducts three other business segments. First, developing, manufacturing, and distributing specialized fabrics, textiles,
and other by-products derived from an indigenous Chinese plant Apocynum Venetum, known in Chinese as “Luobuma” or “Bluish
Dogbane,” as well as Luobuma raw materials processing; this segment is conducted through our wholly owned subsidiary, Tenet-Jove.
Second, planting, processing and distributing green and organic agricultural produce, growing and cultivation of yew trees, as well as
planting fast-growing bamboo willows and scenic greening trees; this segment is conducted through Qingdao Zhihesheng and Guangyuan. Third,
providing domestic air and overland freight forwarding services by outsourcing these services to a third party; this segment is conducted
through Zhisheng Freight. These three business segments were reclassified as discontinued operations. The results of operations of Tenet-Jove
Disposal Group have been reclassified to “net income from discontinued operations” in the unaudited condensed consolidated
statements of income (loss) and comprehensive income (loss) for the six and three months ended December 31, 2024 and 2023.

Financing
Activities

On
June 16, 2021, the Company entered into a securities purchase agreement pursuant to which the Company issued an unsecured convertible
promissory note with a one-year maturity term to an institutional accredited investor, Streeterville Capital, LLC (“Investor”).
The note had an original principal amount of US$3,170,000 and Investor gave consideration of US$3.0 million, reflecting original issue
discount of US$150,000 and Investor’s legal fee of US$20,000. Interest accrues on the outstanding balance of the note at 6% per
annum. The Company has received the principal in full from the Investor and used the proceeds for general working capital purposes. On
September 7, 2022, the Company signed an extension amendment with the Investor to extend the maturity date to June 17, 2023. On October
21, 2022