Company: ZCARW
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001213900-25-014437
Chunk: 274

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 8
Chunk 274
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 on all matters submitted to the stockholders for their vote or approval. On all matters to be voted upon, holders
of Common Stock and holders of Preferred Stock will vote together as a single class. They are entitled to receive dividends at the discretion
of the Board of Directors. In the event of liquidation, after paying debts and any preferential amounts to Preferred Stockholders, Common
Stockholders are entitled to share in the remaining assets ratably.

34

ZOOMCAR HOLDINGS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

22Derivative financial instruments

The following is a summary of the Company’s derivative
financial instruments as of December 31, 2024 and March 31, 2024:

    Fair Value Outstanding 
  
    (In USD) As at 
    December 31, 2024  
    March 31, 2024 
  
    Current 

    Series A and Series B Warrants 
    $7,950,503  
    $   - 
  
    Total        
    $7,950,503  
    $- 

On November 7, 2024, the Company
had issued, in the November 2024 Offering, 4,275,700 Series A warrants, each exercisable for one share of Common Stock at an initial
exercise price of $4.03 per share. Each Series A warrant is exercisable on or after the initial exercise date as defined in the
agreement and until expiry of five years from such date. On the Reset Date, as defined in the agreement, the exercise price of the
warrants shall be adjusted to equal the lower of the exercise price and the Reset Price. Upon such reset, the number of warrant
shares issuable upon exercise shall be increased such that aggregate exercise price remains unchanged. The Reset Price is defined as
greater of a) the lowest daily volume weighted average price (“VWAP”) during the ten trading day period following the
Reset Date and b) the floor price as mentioned in the agreement. The Company has issued 427,570 Series A warrants to the placement
agent as a part of compensation for services rendered in connection with the November 2024 offering.

The Company had also sold, in the November 2024 Offering, Series B
warrants, with a maximum eligibility at issue date equal to zero which shall be increased on the reset date as defined in the agreement
to