Company: ZCARW
Filing Date: 2025-03-28
Form Type: DRS
Source: 0001013762-25-003498
Chunk: 94

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-03-28
Form: DRS
Chunk 94
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 these rules and regulations will increase our legal and financial compliance
costs, make some activities more difficult, time-consuming or costly and increase demand on our systems and resources, particularly after
we are no longer an “emerging growth company” as defined in the JOBS Act. Among other things, the Exchange Act requires that
we file annual, quarterly and current reports with respect to our business and results of operations and maintain effective disclosure
controls and procedures and internal control over financial reporting. In order to improve our disclosure controls and procedures and
internal control over financial reporting to meet this standard, significant resources and management oversight may be required. As a
result, the management’s attention may be diverted from other business concerns, which could harm our business, financial condition,
results of operations and prospects. Although we have already hired additional personnel to help comply with these requirements, we may
need to further expand our legal and finance departments in the future, which will increase our costs and expenses.

In addition, changing
laws, regulations and standards relating to corporate governance and public disclosure are creating uncertainty for public companies,
increasing legal and financial compliance costs and making some activities more time-consuming. These laws, regulations and standards
are subject to varying interpretations, in many cases due to their lack of specificity, and, as a result, their application in practice
may evolve over time as new guidance is provided by regulatory and governing bodies. This could result in continuing uncertainty regarding
compliance matters and higher costs necessitated by ongoing revisions to disclosure and governance practices. We intend to invest resources
to comply with evolving laws, regulations and standards, and this investment may result in increased general and administrative expense
and a diversion of management’s time and attention from revenue-generating activities to compliance activities. If our efforts to
comply with new laws, regulations and standards differ from the activities intended by regulatory or governing bodies, regulatory authorities
may initiate legal proceedings against us, and our business and prospects may be harmed. As a result of disclosure of information in the
filings required of a public company, our business and financial condition will become more visible, which may result in threatened or
actual litigation, including by competitors and other third parties. If such claims are successful, our business, financial condition,
results of operations and prospects could be materially harmed, and even if the claims do not result in litigation or are resolved in
our favor, these claims, and the time and resources necessary to resolve them, could divert the resources of our management and materially
harm