Company: OSRH
Filing Date: 2025-04-22
Form Type: 10-K
Source: 0001213900-25-034116
Chunk: 332

Company: OSR Holdings, Inc.
Filing Date: 2025-04-22
Form: 10-K
Item: Item 1A
Chunk 332
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 failure as a result of hardware malfunctions, power outages, natural disasters, computer viruses, cyber-attacks, employee theft or
misuse and other unauthorized access. While we don’t believe we have experienced any significant system failures or security breaches
to date, the occurrence of such an event could lead to substantial disruptions in our development programs and overall business operations
and subject us to governmental sanctions and private causes of action. For instance, the loss of clinical trial data, whether from completed,
ongoing, or future trials, could lead to delays in our efforts to gain regulatory approval and result in substantial costs to recover
or reproduce the lost data.

49

We could be held liable for monetary damages resulting from
security breaches of our internal computer systems, and our insurance policies may be insufficient to cover potential losses.

We may also incur liability for unauthorized disclosure of sensitive
information, especially personal identifying information or personal health data. Specific data breaches may necessitate reporting to
affected individuals, governmental bodies, and, in some instances, the media, under regulations like the Health Insurance Portability
and Accountability Act (“HIPAA”) and other U.S. federal and state laws, as well as requirements from non-U.S. jurisdictions.
Our existing insurance policies might not be sufficient to cover potential losses stemming from breaches, system failures, catastrophic
events, or other forms of disruption to our infrastructure. Additionally, there’s a possibility that such insurance may not be available
to us in the future on economically viable terms, or at all. Furthermore, our insurance might not cover all claims brought against us,
and the process of defending a lawsuit, regardless of its merit, could be both expensive and divert management’s focus.

We or the third parties upon whom we depend on may be adversely
affected by natural disasters and our business continuity and disaster recovery plans may not adequately protect us from a serious disaster.

Our operating subsidiaries are located in South Korea and Switzerland.
South Korea is subject to various natural disaster risks, including flooding, storms and typhoons, primarily during the summer season,
and to a more infrequent extent, earthquakes. Switzerland, due to its topography, is particularly vulnerable to natural disasters such
as flooding. Natural disasters could cause significant disruptions to the operations of our subsidiaries, which could seriously impact
our business, financial condition, results of operations, and future prospects. Our ability to sustain our business operations might be
challenging, and in some cases, impossible for a considerable duration. Our current disaster recovery and business