Company: OSRH
Filing Date: 2025-04-22
Form Type: 10-K
Source: 0001213900-25-034116
Chunk: 292

Company: OSR Holdings, Inc.
Filing Date: 2025-04-22
Form: 10-K
Item: Item 1A
Chunk 292
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terms of the Business Combination Agreement by a majority of our independent directors (i.e., the Company M&A Committee), potential
conflicts of interest still may exist and, as a result, the terms of the Business Combination may not be as advantageous to our public
stockholders as they would have been absent any conflicts of interest. Mr. Hwang beneficially owns 13,069,104 shares of the
post-combination company and controls 67.8%

The PIPE Investment did not close at the closing of the Business
Combination and is not expected to be consummated with the original PIPE investor. 

As a result of the PIPE Investment not closing, BLAC did not receive
$20 million in cash at the closing of the Business Combination. The Company was insolvent at the closing of the Business Combination and
will not have enough cash to fund its operations or pay its outstanding expenses and debts. Toonon, PIPE Investor, exercised its right
to cancel the PIPE investment based upon its assessment of macroeconomic factors specific to Korean markets. If the Company fails to secure
other funding in the next few months, the Company could enter bankruptcy proceedings and the value of the stock and warrants of the Company
would likely become worthless.

30

The Sponsor and the Company’s directors and officers have
interests that are different from or that conflict with the interests of the Company’s stockholders and that may
have influenced their analysis of whether the Business Combination with the Company is appropriate as BLAC’s initial business
combination. Such interests include that the Sponsor will lose its entire investment in BLAC if the Business Combination is not completed.

The personal and financial interests of the Sponsor as well as the
Company’s directors and officers may have influenced their motivation in identifying and selecting OSR as an initial business combination
target, completing an initial business combination with OSR and may influence the operation of the business following consummation of
the initial business combination.

Following the consummation of the Business Combination, the Company’s
only significant asset will be its ownership of OSR and such ownership may not be sufficient to pay its expenses or satisfy other financial
obligations.

Following the consummation of the Business Combination, the Company
will be a holding company and will not directly own any operating assets other than its ownership of interests in OSR. The Company
will depend on OSR for distributions, loans and other payments to generate the funds necessary to meet its financial obligations,