Company: ZCARW
Filing Date: 2025-05-12
Form Type: S-1/A
Source: 0001213900-25-041769
Chunk: 146

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-05-12
Form: S-1/A
Chunk 146
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 values of these warrants at initial measurement. The remaining proceeds were then allocated between the Common Stock and the pre-funded warrants using the relative fair value method. 85

| (b) | Warrants issued along with  
 Redeemable Promissory Note: |

During the nine months ended December 31, 2024, the Company issued warrants along with Redeemable Promissory Note and as consideration to the placement agent for the issuance of the Redeemable Promissory Note. These warrants were classified as equity in accordance with ASC 815-40 since all the conditions required for equity classification are met. Upon issuance of the warrants, the Company had allocated a portion of the proceeds from the issuance of its Redeemable Promissory Note to the warrant based on the relative fair values of warrants and Redeemable Promissory Note in accordance with ASC 820.

| (c) | Warrants issued along with                                        
 SSCPN and to placement agent (‘Derivative financial instrument’): |

During the year ended March 31, 2024, the Company issued warrants along with Senior Subordinated Convertible Promissory Note (“SSCPN)” and as consideration to the placement agent for the issuance of SSCPN. These warrants were deemed derivative instruments in accordance with ASC 815-10-15-83 since they contained an underlying, had cash less payment provisions, that could have been net settled in shares and had a very minimal initial net investment. Accordingly, the derivatives were measured at fair value and subsequently revalued at each reporting date until the close of Reverse Recapitalization consummated during year ended March 31, 2024.

| (d) | Warrants issued to preferred 
 stockholders:                |

Before the date of reverse recapitalization, the Company had warrants issued to preferred stockholders convertible into shares of preferred stock and common stock which were issued during the year ended March 31, 2022, and were classified as liabilities and equity respectively. Each unit issued by the Company consisted of one share of Series E preferred stock and a warrant which entitled the holder to purchase one share of common stock of the Company on the satisfaction of certain conditions. Warrants were also issued to the placement agent of the Series E and Series E1 which included the following two categories: a) warrants to purchase common stock of the company; and b) warrants to purchase Series E and Series E1 shares. Warrants to be converted into common stock: The Company’s warrants to purchase common stock were classified as equity