Company: ZCARW
Filing Date: 2025-03-28
Form Type: DRS
Source: 0001013762-25-003498
Chunk: 51

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-03-28
Form: DRS
Chunk 51
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 waivers of such overdue payments. While the Company is actively engaging in discussions with its lenders and vendors
to restructure the existing indebtedness by means of reductions and deferment of payment timelines, no assurance can be made that the
Company will be successful in restructuring these outstanding liabilities.

As a result of the foregoing,
the Company is at material risk that the above parties including certain vendors could initiate insolvency proceedings under Indian Insolvency
and Bankruptcy Code 2016 (IBC). As per the provisions of IBC, an operational creditor can initiate an insolvency resolution process against
the Company where the minimum amount of the default is INR 1,00,00,000 (Rupees One crore) or ~USD 119,000. If insolvency proceedings were
initiated and the petition is admitted, it could result in significant disruptions to our operations, loss of management control, and
a substantial decrease in stockholder value. Furthermore, the outcomes of such proceedings are uncertain and could materially affect our
financial position and results of operations.

The Zoomcar Board and Zoomcar
management are evaluating options to improve liquidity and address Zoomcar’s long-term capital structure, however, there can
be no assurance that any such option or plan will be available on favorable terms, or at all.

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We have issued a significant number of options and warrants and exercise of these securities and the sale of the shares of Common Stock issuable thereunder (along with the issuance of any similar securities in the future) will dilute your percentage ownership interest and may also result in downward pressure on the price of our Common Stock.

As of March [ ], 2025, we
have issued and outstanding options to purchase [ ] shares of our Common Stock with a weighted average exercise price of $11,460,
pre-funded warrants to purchase [ ] shares of Common Stock at an exercise price of $0.0001
per share, warrants to purchase [ ] shares of Common Stock with an exercise price
of $6,000 per share which were assumed by the Company in connection with the Business Combination, 11,500,000 Public Warrants to purchase
5,750 shares of our Common Stock, each Public Warrant exercisable into one two thousandth of one share of Common Stock at an exercise
price of $11,420.00 per full share, warrants to purchase [ ] shares of Common Stock at
a current exercise price of $56.64 per share which were issued in June 202