Company: APM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001213900-25-037669
Chunk: 165

Company: Aptorum Group Ltd
Filing Date: 2025-04-30
Form: 20-F
Item: Item 4A
Chunk 165
---
3 and 2022, respectively. These capital expenditures were incurred
primarily for investments in facilities, leasehold improvements, equipment and technology.

COMMITMENTS

The following table sets forth
our contractual obligations as of December 31, 2024.

                                   Payment Due by Period                                                                                            
                                   Total                                     less than                     One to                       Three to    
                                   US$                                       US$                           US$                          US$         
  Operating lease commitments                                   122,114                        97,541                       24,573                  
  Debt obligations                                            3,360,000                     3,360,000                       -                       
  Total                                                       3,482,114                     3,457,541                       24,573                  

Operating lease commitments

We have an operating lease
for laboratory as of December 31, 2024. Operating lease commitments reflect our obligation to make payments under these operating leases.

Debt obligations

Debt obligations reflects
outstanding principal and accrued interest payable to Jurchen Investment Corporation, the largest shareholder of the Company, pursuant
to a convertible note arrangement. This instrument features a conversion option at a price of $2.42 per share into the Company’s
Class A Ordinary Shares. It carries a two-year maturity from the date of issuance and bears an annual interest rate of 6%.

The Group can access up to
a total $12 million under a line of credit offered by Aeneas Group Limited. The line of credit was originally mature on August 12, 2022.
The Group and Aeneas Group Limited has mutually agreed to extend the line of credit arrangement further 3 years to August 12, 2025. The
interest on the outstanding principal indebtedness is at the rate of 8% per annum. The Group may early repay, in whole or in part, the
principal indebtedness and all interest accrued at any time prior to the maturity date without the prior written consent of the lender
and without payment of any premium or penalty.

CONTINGENT PAYMENT OBLIGATIONS

As of December 31, 2024, the
Group does not have any non-cancellable purchase commitments.

The Group has contingency
payment obligations under each of the license agreements, such as milestone payments, royalties, research and development funding, if
certain condition or milestone is met.

Milestone payments are due
upon achievements of specific conditions, such as Investigational New Drugs (“ IND”) filing or U. S. Food and Drug Administration
(“ FDA”)