Company: NIVFW
Filing Date: 2025-08-22
Form Type: DRS
Source: 0001213900-25-079717
Chunk: 130

Company: NewGenIvf Group Ltd
Filing Date: 2025-08-22
Form: DRS
Chunk 130
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, 2025, all promissory notes as of December 31, 2024 have been settled, and convertible bonds comprising
the Initial Note, the First Mandatory Additional Note, and the Second Mandatory Additional Note, have been converted into shares in the
Company. A further $2,000,000 of the Third Mandatory Additional Note was issued subsequent to year end and remains outstanding. Moreover,
the Company has access to an equity line of credit facility of up to $100,000,000 from White Lion Capital, of which approximately $11.66
million has been drawn and become equity to date.

The Company can make no assurance
that required financings will be available for the amounts needed, or on terms commercially acceptable to the Company, if at all. If one
or all of these events does not occur or subsequent capital raises are insufficient to bridge financial and liquidity shortfall, there
would likely be a material adverse effect on the Company and its financial statements.

The consolidated financial
statements do not reflect adjustments that would be necessary if the going concern basis was not appropriate. If the going concern basis
was not appropriate for these consolidated financial statements, then adjustments would be necessary in the carrying value of the assets
and liabilities, the reported revenues and expenses, and the balance sheet classifications used. These adjustments could be material.

Equity Line of Credit

The Company entered into an
equity line of credit agreement with White Lion Capital in November 2024. As part of the agreement, the Company is required to pay a commitment
fee of 700,000 shares to the White Lion Capital. The commitment fee is a cost incurred to secure the equity line of credit. The relevant
US GAAP guidance for this treatment can be found in ASC 340-10-S99-1, which states that costs incurred to raise capital should be recorded
as a reduction of Additional Paid in Capital (“APIC”) and shall be excluded from the determination of net income or the results
of operations under all circumstances. The commitment fee of 700,000 shares was directly offset against APIC. The financing arrangement
resulting from the commitment fee is that of equity financing and not debt financing in characteristics.

The commitment fee paid in
the form of shares, are recorded at fair value of the shares issued, determined based on the market price of the shares at the date of
issuance. The fair market value of the shares is recorded as APICs (since we do not have par value), and APIC – deferred