Company: OSRH
Filing Date: 2025-04-22
Form Type: 10-K
Source: 0001213900-25-034116
Chunk: 550

Company: OSR Holdings, Inc.
Filing Date: 2025-04-22
Form: 10-K
Item: Item 1B
Chunk 550
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 Note is qualified
in its entirety by reference to the full text of the Promissory Note, a copy of which is filed as Exhibit 10.1 the October 22, 2025 Form 8-K and
incorporated herein by reference.

PIPE Investment

As previously reported by the Company on Form 8-K dated October 4,
2024, on that date the Company and Toonon Partners Co., Ltd. (“Toonon”) entered into a subscription agreement (the “Subscription
Agreement”), pursuant to which, among other things, the Company agreed to issue and sell to Toonon, and Toonon agreed to subscribe
for and purchase, 222,222 shares (the “PIPE Shares”) of Series A Preferred Stock of the Company (the “Series
A Preferred Stock”) for an aggregate purchase price of $20,000,000 or $90.00 per share (the “Series A Original Issue
Price”) of Series A Preferred Stock (the “PIPE Investment”). Prior to closing of the PIPE Investment, the
Company filed with the Secretary of State of the State of Delaware a Certificate of Designations (the “Certificate of Designations”)
setting forth the rights and preferences of the Series A Preferred Stock, which have been agreed to between the Company and Toonon. Such
rights and preferences included, among others, that (1) dividends will accrue at a rate of 5% per annum of the Series A Original
Issue Price (except as otherwise provided for in the Certificate of Designations) to be payable only when, as, and if declared by the
board of directors of the Company or as otherwise specifically provided in the Certificate of Designations; (2) the Series A Preferred
Stock is convertible, at the option of the holder thereof, into shares of common stock of the Company (“Common Stock”)
in an amount equal to the quotient of (i) the Series A Original Issue Price plus all unpaid accruing dividends as of the date of
the conversion and (ii) then applicable conversion price (the “Conversion Price”) (the Conversion Price shall
initially be $9.00); (3) beginning on the one-year anniversary of the original issue date (the “Original Issue Date”),
the Company had the option, in its sole discretion, to redeem all or a portion of then outstanding shares of Series A Preferred Stock,
for an amount equal to the Series A Original Issue Price plus