Company: SISI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010889
Chunk: 78

Company: SHINECO, INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 78
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 of the First 2024 Reverse Stock
Split, each of the ten pre-split shares of common stock outstanding automatically combined and converted to one issued and outstanding
share of common stock without any action on the part of the stockholders. No fractional shares of common stock were issued to any shareholders
in connection with the First 2024 Reverse Stock Split. Each shareholder received one share of common stock in lieu of the fractional share
that would have resulted from the First 2024 Reverse Stock Split. The number of the Company’s authorized common stock also increased
to 150,000,000 shares, and the par value of the common stock following the First 2024 Reverse Stock Split remained at US$0.001 per share.
As a result of the First 2024 Reverse Stock Split, the Company’s shares and per share data as reflected in the unaudited condensed
consolidated financial statements have been retroactively restated as if the transaction occurred at the beginning of the periods presented.

 On June 18, 2024, the Board of Directors of
the Company approved the issuance of shares of common stock pursuant to the Company’s 2024 Equity Incentive Plan (the “2024
Plan”) in the aggregate amount of 30,650 shares (the “Shares”) to its non-officer employees. The fair value of the Shares
was US$2,331,852 based on the fair value of the share price of US$76.08 on June 18, 2024. The Shares were issued on June 18, 2024

On June 20, 2024, the Company entered into a securities
purchase agreement with certain non-U.S. investors (the “June 2024 Purchasers”), pursuant to which the Company agreed to sell,
and the Purchasers agreed to purchase, severally and not jointly, an aggregate of 58,333 shares of common stock of the Company (the “June
2024 Shares”) at an offering price of US$120.00 per share for gross proceeds of up to US$7.0 million. In reliance on the June 2024
Purchasers’ representations to the Company, the June 2024 Shares issued in this offering were not subject to the registration requirements
of the Securities Act, pursuant to Regulation S promulgated thereunder. As of June 30, 2024, proceeds of approximately US$6.4 million
were received by the Company, and the remaining proceeds were fully