Company: OSRH
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076461
Chunk: 74

Company: OSR Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 74
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 Holdings has incurred significant
operating losses and negative cash flows from operating activities. The Company recorded an operating loss of approximately $6.5 million
for the six months ended June 30, 2024, and approximately $8.1 million for the same period in 2025. As of June 30, 2025, OSR Holdings
had an accumulated deficit of approximately $30.2 million.

To date, OSR Holdings has funded its operations primarily through the
issuance of common stock and convertible bonds, bank borrowings, loans from affiliates, and, to a lesser extent, product revenue generated
by its subsidiary, RMC. As of June 30, 2025, the Company had cash and cash equivalents of approximately $1.58 million, consisting primarily
of bank deposits.

The Company incurred significant expenses in connection with the business
combination and the filing of its Form S-4 registration statement, which, together with other general expenses, reduced the funds available
for operations and created an urgent need for additional capital. In response, in February 2025, OSR Holdings entered into an equity
line of credit (“ELOC”) agreement with an investor, providing for up to $80 million in potential capital. Through June 30,
2025, the Company issued a total of 10,000 shares under the ELOC, raising $14,050 in gross proceeds.

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Subsequently in July, the Company issued a further 757,500 shares under
the ELOC, to raise gross proceeds of $727,887. This brings the total proceeds under the facility to $741,937. OSR Holdings expects to
continue utilizing the ELOC to secure additional financing for its ongoing operations.

As of June 30, 2025, the Company had consolidated
cash and cash equivalents of approximately $1.58 million, primarily held in bank deposits.

Off-Balance Sheet Arrangements

We have no obligations, assets or liabilities which would be considered off-balance sheet
arrangements as of June 30, 2025. We do not participate in transactions that create relationships with unconsolidated entities or financial
partnerships, often referred to as variable interest entities, which would have been established for the purpose of facilitating off-balance sheet
arrangements. We have not entered into any off-balance sheet financing arrangements, established any special purpose entities,
guaranteed any debt or commitments of other entities, or purchased