Company: FOXX
Filing Date: 2025-10-15
Form Type: 10-K
Source: 0001213900-25-098953
Chunk: 569

Company: Foxx Development Holdings Inc.
Filing Date: 2025-10-15
Form: 10-K
Item: Item 2
Chunk 569
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s to diversify our product offerings, we expect to target customers who are interested in other mobile devices, tablets, and IoT
products. In addition, we began launching our products through TikTok Shop in March 2024 and we expect to grow our sales through this
E-Commerce channel.

For
the year ended June 30, 2025, we experienced a significant increase in the sales of mobile phone
products, as we have added three new major customers. In addition, we
have launched new wearable products, such as smart watches, smart rings, smart glasses, trackers and headsets, and App service commission
revenue during the period which have driven up our sales for the year ended June 30, 2025 as compared to the same period in 2024.

The
Business Combination 

Incorporated
as a Delaware corporation under the name “Acri Capital Merger Sub I Inc.” on November 13, 2023, we entered into the Business
Combination Agreement on February 18, 2024, as amended on May 31, 2024, by and among us, ACAC, Merger Sub, and Old Foxx.

Upon
the Closing of the Business Combination on September 26, 2024, ACAC merged with and into us, with us surviving the Reincorporation Merger,
and (ii) Old Foxx merged with and into Merger Sub, with Merger Sub surviving as our wholly-owned Delaware subsidiary after the Acquisition
Merger.

Merger
Consideration

Immediately
prior to the effective time of the Reincorporation Merger (the “Reincorporation Merger Effective Time”), which was on September
25, 2024, one business day prior to the Closing, (i) each issued and outstanding ACAC unit was automatically separated into one (1) share
of ACAC Class A common stock and one-half (1/2) of one ACAC warrant, and (ii) each share of ACAC Class A common stock held by stockholders of ACAC
who validly redeemed their shares of ACAC Class A common stock (each “ACAC Redeeming Share”) was automatically cancelled
and ceased to exist and thereafter represented only the right to be paid a pro-rata redemption price.

●At
the Reincorporation Merger Effective Time on September 25, 2024, (i) each share of ACAC Class A or Class B common stock issued and outstanding