Company: ZCARW
Filing Date: 2025-03-28
Form Type: DRS
Source: 0001013762-25-003498
Chunk: 47

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-03-28
Form: DRS
Chunk 47
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 In the event of a Dilutive Issuance, the exercise price
of the June Warrants and the November Series A Warrants will be reduced to the lower of the Dilutive Issuance Price and the lowest VWAP
during the five consecutive trading days commencing after the date of the Dilutive Issuance, in each case, subject to the Floor Price,
and there will be a proportionate adjustment to the number of shares underlying such warrants The exercise price of the Series A Warrants
issued at the First Closing and the Second Closing will be reduced to the Dilutive Issuance Price, subject to the Floor Price, and there
will be a proportionate adjustment to the number of shares underlying the such warrants. As a result, of any of the foregoing, the exercise
price of the Series A Warrants issued in the December Offering and the January/February Offering would be reduced, subject to the $6.24
Floor Price. All other warrants have already been reduced to their applicable Floor Price and, therefore, no further adjustments are applicable.

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Further, the June Warrants,
the November Series A Warrants and the Series A Warrants issued in the December Offering and January/February Offering provide that if
the Company enters into a Variable Rate Transaction (as defined in each class of warrant), then such warrants will automatically adjust
down to the lowest price that the Company shall be deemed to have issued shares of Common Stock at the lowest exercise price at which
such Warrants herein may be exercised, subject to the applicable Floor Price. As a result, of any of the foregoing, the exercise price
of the Series A Warrants issued in the December Offering and January/February Offering would be reduced in the event of any subsequent
Variable Rate Transaction, subject to the $6.24 Floor Price. All other warrants have already been reduced to their applicable Floor Price
and, therefore, no further adjustments are applicable.

In connection with the Business
Combination, we also issued the Notes to ACM in satisfaction of certain transaction expenses associated with the Business Combination.
The Notes, which are presently in default (and are the subject of a demand letter sent by the ACM to the Company for immediate payment
and a notice of motion for summary judgement as described in more detail herein), contain price based anti-dilution protection on the
conversion price of such Notes down to a floor price of $25 per share which has already been reached. Additionally, while the holder of
the Notes