Company: OSRH
Filing Date: 2025-04-22
Form Type: 10-K
Source: 0001213900-25-034116
Chunk: 80

Company: OSR Holdings, Inc.
Filing Date: 2025-04-22
Form: 10-K
Item: Item 1
Chunk 80
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 our various subsidiaries,
and accordingly, we will depend on distributions and dividends from our subsidiaries to make additional cash investments, pay taxes and
cover our corporate and other overhead expenses.

We are a holding company and have no material assets other than our
ownership interests in our subsidiaries. We are dependent on our subsidiaries for generating revenue or cash flow and have no other means
of generating revenue or operating cash flow. In the future, we may be limited, however, in our ability to cause our subsidiaries to make
dividend payments or other distributions to us due to restrictions contained in any credit agreement to which our subsidiaries are bound.
To the extent that we need funds and our subsidiaries are restricted from making dividend payments or other distributions under applicable
law or regulation or under the terms of their financing arrangements or are otherwise unable to provide such funds, our liquidity and
financial condition could be adversely affected.

The Company has identified material weaknesses in its internal
control over financial reporting, which could adversely affect its ability to report its financial condition and results of operations
accurately and on a timely basis.

Management has concluded that the Company’s internal control over financial reporting
was not effective as of December 31, 2024, due to the identification of material weaknesses. These include (i) improper use of Trust
Account funds for general operating expenses in violation of the Trust Agreement, (ii) failure to obtain timely Audit Committee approval
for related party transactions, (iii) inadequate documentation of related party financing transactions, and (iv) insufficient personnel
in the accounting and financial reporting functions. These weaknesses could result in material misstatements not being prevented or detected
in a timely manner. Although the Company has taken certain remedial actions, there can be no assurance that the material weaknesses will
be fully remediated or that additional material weaknesses will not be identified in the future.

Risks Related to the Company’s Strategy to Grow the Business

The following risk factors reference the risks and uncertainties
relating to the growth strategy of OSR, which, following the closing of the Business Combination, relate to the growth strategy of the
Company going forward. References in this section to “we,” “us,” and “our” refer to OSR prior to the
closing of the Business Combination and to the Company after closing.

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We may not be successful in our efforts to acquire, in-license or
discover and develop new product candidates.

The success of our business is highly dependent on our ability to successfully
identify new product candidates, whether through acquisitions or