Company: SISI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010889
Chunk: 208

Company: SHINECO, INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 2
Chunk 208
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 30, 2024. The net proceeds from the Offering were approximately
US$1.7 million, after deducting the estimated underwriting discounts and commissions and estimated offering expenses.

On August 22, 2024, the Company entered into a securities
purchase agreement (the “SPA”) with 22 purchasers, each an unrelated third party to the Company (collectively, the “August
2024 Purchasers”). Pursuant to the SPA, the August 2024 Purchasers agree to purchase, and the Company agreed to issue and sell to
the August 2024 Purchasers, an aggregate of 624,375 shares of the Company’s common stock, par value US$0.001 per share (the “August
2024 Shares”), at a purchase price of US$13.20 per share, and for an aggregate purchase price of US$8,241,750. The SPA, the transaction
contemplated thereby, and the issuance of the August 2024 Shares have been approved by the Company’s board of directors. The closing
of the transaction contemplated by the SPA took place on September 10, 2024. As of March 31, 2025,
proceeds of approximately US$4.7 million were received, and the remaining proceeds are expected to be fully received by June 30, 2025.

67

On December 24, 2024, the Company
entered into a securities purchase agreement with nine non-U.S. investors (the “December 2024 Purchasers”), pursuant to
which the Company agreed to sell, and the December 2024 Purchasers agreed to purchase, severally and not jointly, an aggregate of
15,000,000 shares of common stock of the Company (the “Shares”) at a purchase price of US$2.18 per share for gross
proceeds of US$32.7 million. In reliance on the Purchasers’ representations to the Company, the Shares were not subject to the
registration requirements of the Securities Act, pursuant to Regulation S promulgated thereunder. The Shares were issued to the
December 2024 Purchasers on January 10, 2025, and the proceeds of approximately US$27.6 million were received in April 2025. The
remaining proceeds are expected to be fully received by June 30, 2025.

As disclosed in the Company’s unaudited condensed
consolidated financial statements, the Company had recurring net losses from