Company: OSRH
Filing Date: 2025-08-29
Form Type: DEF 14A
Source: 0001213900-25-082061
Chunk: 32

Company: OSR Holdings, Inc.
Filing Date: 2025-08-29
Form: DEF 14A
Chunk 32
---
qualified deferred compensation), the awards must comply with Section 409A’s rules on deferral elections and distributions to avoid the imposition of additional taxes and penalties. The Company intends that awards under the Omnibus Plan will either comply with or be exempt from Section 409A. Tax Deductibility under Section 162(m) Under Section 162(m) of the Code, the Company’s deduction for compensation paid to certain covered employees (generally, the CEO, CFO, and the next three highest -paidexecutives) is limited to $1 million per year per covered employee, regardless of whether such compensation is performance -based. Although the Omnibus Plan permits the granting of performance -basedawards, no assurance can be given that any compensation will be deductible. Vote Required and Board of Directors’ Recommendation The approval of the Equity Plan Proposal requires the affirmative vote of the majority of the votes cast by stockholders represented in person or by proxy at the Annual Meeting. Broker non -votesand abstentions will not be taken into account in determining the outcome of the proposal. The Board recommends that stockholders vote “FOR” the Equity Plan Proposal. 19 NASDAQ 20% ISSUANCE PROPOSAL Overview The Nasdaq 20% Issuance Proposal is for the shareholders to approve, for purposes of complying with Nasdaq Listing Rule 5635(d), the issuance of 20% or more of our issued and outstanding common stock to White Lion GBM Innovation Fund and/or its affiliates (“ White Lion”). It is anticipated that such level of equity issuance may be met or exceeded in accordance with the exercise by the Board of the Company’s rights to sell company common shares to White Lion pursuant to that certain common stock equity line agreement by and between the Company and White Lion consisting of a Common Stock Purchase Agreement and a Registration Rights Agreement both dated as of February 25, 2025 as amended and restated as of May 6, 2025, (collectively, the “ELOC Agreement”), establishing an “equity line” of investment (“ELOC”), in combination with the potential exercise by White Lion of its rights under the WL Warrant Agreement and WL Convertible Note Agreement as defined and described below. Background Information As previously disclosed on the Company’s Current Report filed on Form 8 -Kon February 28, 2025, on February 25, 2025, the Company entered into a common stock purchase agreement (the “ Common Stock Purchase Agreement”) and a related registration rights agreement (the “ White Lion R