Company: HROW
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001641172-25-009263
Chunk: 53

Company: HARROW, INC.
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 1
Chunk 53
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 may change. We may also sell some of our assets, or all
of our ownership interests in Melt or our other subsidiaries.

In January 2026 the Oaktree
Loan matures and in April 2026, the 2026 Notes become due. As of March 31, 2025, there was $107,500,000 principal amount outstanding under
the Oaktree Loan and $75,000,000 principal amount of the 2026 Notes were outstanding. The maturity of these debt obligations could raise
substantial doubt about our ability to continue as a going concern. We are currently in discussions with our current senior secured lender,
Oaktree, and other potential lenders about refinancing the Oaktree Loan and the 2026 Notes. Management expects to engage in more definitive
discussions and negotiations with Oaktree and other potential lenders in the summer and fall of 2025. Management believes it is probable
that we will be able to refinance the Oaktree Loan and the 2026 Notes based on our collateral strength and expected cash flows from operations;
however, there can be no assurance that we will obtain the refinancing on terms acceptable to us, or at all. We believe that one of the other alternatives available to us is the sale of one or more of our assets. There can be no assurance that
any sale could be completed on a timely basis or on terms acceptable to us. If we are unable to successfully
refinance the Oaktree Loan and the 2026 Notes, we do not expect to have the ability to repay the Oaktree Loan and the 2026 Notes in full.

 30 

We may acquire new products,
product candidates and/or businesses and, as a result, we may need significant additional capital to support our business plan and fund
our proposed business operations.
We may also seek additional financing from a variety of sources, including other equity or debt financings, funding from corporate partnerships
or licensing arrangements, sales of assets or any other financing transaction. If we issue equity or convertible debt securities to raise
additional funds, our existing stockholders may experience substantial dilution, and the newly issued equity or debt securities may have
more favorable terms or rights, preferences and privileges senior to those of our existing stockholders. If we raise additional funds
through collaboration or licensing arrangements or sales of assets, we may be required to relinquish potentially valuable rights to our
product candidates or proprietary technologies or formulations, or grant licenses on terms that are not favorable to us. If we