Company: OSRH
Filing Date: 2025-04-22
Form Type: 10-K
Source: 0001213900-25-034116
Chunk: 341

Company: OSR Holdings, Inc.
Filing Date: 2025-04-22
Form: 10-K
Item: Item 1A
Chunk 341
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 that a substantial
portion of any debt incurred will be denominated in U.S. dollars. We are a holding company and we may receive dividends, loans and
other distributions on equity paid by our operating subsidiaries in Korea. Any significant fluctuations in the value of the Korean Won
may materially and adversely affect our liquidity and cash flows. For example, the depreciation of the Korean Won and other foreign currencies
against the U.S. dollar typically results in a material increase in the cost of hosting services and equipment purchased from outside
of Korea and the cost of servicing debt denominated in currencies other than the Korean Won. As a result, any significant depreciation
of the Korean Won or other major foreign currencies against the U.S. dollar may have a material adverse effect on our results of
operations. If we decide to convert our Korean Won into U.S. dollars for the purpose of repaying principal or interest expense on
any future U.S. dollar-denominated debt, making payments for dividends on our common stock, or other business purposes, depreciation
of the Korean Won or other foreign currencies against the U.S. dollar would have a negative effect on the U.S. dollar amount
we would receive. Conversely, to the extent that we need to convert U.S. dollars into Korean Won for our operations, appreciation
of the Korean Won against the U.S. dollar would have an adverse effect on the Korean Won amount we would receive.

There are special risks involved with investing in Korean companies,
including the possibility of restrictions being imposed by the Korean government in emergency circumstances, accounting and corporate
disclosure standards that differ from those in other jurisdictions, and the risk of direct or vicarious criminal liability for executive
officers of our Korean affiliates.

OSR is a Korean company and operates in a business and cultural environment
that is different from that of other countries. For example, under the Foreign Exchange Transaction Act of Korea, if the Korean
government determines that in certain emergency circumstances, including sudden fluctuations in interest rates or exchange rates, extreme
difficulty in stabilizing the balance of payments or substantial disturbance in the Korean financial and capital markets are likely to
occur, it may impose any necessary restriction such as requiring Korean or foreign investors to obtain prior approval from the Minister
of Economy and Finance of Korea prior to entering into a capital markets transaction, repatriating interest, dividends or sales proceeds
arising from Korean securities or from the disposition