Company: APM
Filing Date: 2025-12-05
Form Type: 424B5
Source: 0001213900-25-118752
Chunk: 16

Company: Aptorum Group Ltd
Filing Date: 2025-12-05
Form: 424B5
Chunk 16
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. During the second quarter of 2023, the Company decided to streamline its operations by
terminating clinic services and suspending non-lead R&D projects. This was done to optimize the allocation of the Company’s
resources and focusing efforts on advancing our lead projects, which hold the most promise for commercial success and beneficial impact.
This decision aligns with our commitment to enhance shareholder value and effectively drive our core objectives forward in the competitive
landscape.

Prior to March 2017,
the Company had pursued passive healthcare related investments in early-stage companies primarily in the United States. However,
we have since ceased pursuing further passive investment operations and intend to exit all such portfolio investments over an appropriate
timeframe to focus resources on our current business.

Our Company

Aptorum is not a Chinese operating
company. Aptorum is a Cayman Islands holding company with operations conducted through our subsidiaries and the variable interest entity
(VIE). We have determined that we have one VIE: Libra, according to the U.S. GAAP. In accordance with ASC 810, we concluded that we are
not the primary beneficiary of Libra and therefore we do not consolidate its financial statements into ours. Previously, we determined
that we were the primary beneficiary of another VIE, Mios Pharmaceuticals Limited; however, Mios was dissolved on October 31, 2024 and
therefore we no longer maintain any ownership over such entity.

Our current corporate structure
does not contain any variable interest entity in mainland China and we do not have intention establishing any VIEs in mainland China in
the future. However, if in the future there is any significant change to the current political arrangements between mainland China and
Hong Kong and mainland China’s expanded authority in Hong Kong result in the PRC regulatory authorities disallowing our current
corporate structure, or if in the future our structure were to contain a VIE and the mainland PRC regulatory authorities expand to Hong
Kong and disallow our corporate structure, it would likely result in a material adverse change in the VIE’s operations, and the
value of our securities may decline significantly in value or become worthless.

Although currently we do not
have any business operations or VIE in mainland China and we believe that the laws and regulations of the PRC applicable in China do not
currently have any material impact on our business, financial condition or results of operations, we face risks and uncertainties associated
with the complex and evolving PRC laws and regulations and as to whether and how the