Company: SDAWW
Filing Date: 2025-02-04
Form Type: 6-K
Source: 0001213900-25-010076
Chunk: 18

Company: SunCar Technology Group Inc.
Filing Date: 2025-02-04
Form: 6-K
Chunk 18
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 $ trigger price as well as the $ warrant
exercise price per full share after the redemption notice is issued and not limit our ability to complete the redemption.

F-16

The redemption criteria for the Public Warrants
have been established at a price which is intended to provide warrant holders a reasonable premium to the initial exercise price and provide
a sufficient differential between the then-prevailing share price and the warrant exercise price so that if the share price declines as
a result of the Company’s redemption call, the redemption will not cause the share price to drop below the exercise price of the
warrants.

Except as described below, the Private Warrants
have terms and provisions that are identical to the Public Warrants. The Private Warrants will be non-redeemable and may be exercised
on a cashless basis, in each case so long as they continue to be held by the initial purchaser or their permitted transferees.

The exercise period of Public Warrants and Private
Warrants commence on the later to occur of (i) the completion of the Company’s initial business combination and (ii)12 months following
the closing of the Public Offering of GBRG, and terminating on earlier to occur if (i) five years after the completion of the initial
business combination (May 17, 2028), and (ii) the date fixed for redemption of the Warrants.

The Public Warrants met the criteria for equity
classification and are recorded as additional paid-in capital on the Consolidated Balance Sheet at the completion of the Business Combination.
The Private Warrants contain exercise and settlement features that may change with a change in the holder, which precludes the Private
Warrants from being indexed to the Company’s own stock. Therefore, the Private Warrants are recognized as warrant liabilities on
Consolidated Balance Sheet at fair value, with subsequent changes in fair value recognized in the Consolidated Statement of Operations
and Comprehensive Loss at each reporting date until exercised.

Warrant issued in the Follow-on Offering

As part of the Follow-on Offering, the Company
agreed to issue to the Institutional Investors certain common warrants (“Common Warrants”) for the purchase of up to
Ordinary Shares at an exercise price of $ per share. The Warrants are exercisable immediately after October 30, 2023, the date of
issuance and will have a term of five years therefrom.

The Company also entered into Placement Agency
Agreement dated October 26, 2023 (the “Placement Agency Agreement