Company: ZCARW
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110391
Chunk: 66

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 66
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    $383,355 
  
    Current portion of pension and other employee obligations 
    $-  
    $80 
  
    Other current liabilities 
    $9,168  
    $141,164 

  Nature of investment in the VIEs is as follows:     Name of the VIE  Place of incorporation  Nature of investment  Investor entity  Fleet Mobility Philippines Corporation *  Philippines  Debt  Zoomcar Inc. 

These
amounts have been eliminated during the process of consolidation.

*In
May 2022, Company had initiated the process of winding-up for Fleet Mobility Philippines Corporation. The assets consolidated for the
VIE are not material.

In August 2023, Zoomcar Vietnam Mobility
LLC had filed for bankruptcy with the local authorities. This application was admitted by the local authorities and bankruptcy proceedings
were ordered to commence on June 4, 2025. In accordance with ASC 810-10-15-10, the Company consolidated the VIE till June 3, 2025 since
the Company held a variable interest and continued to be the primary beneficiary. However on June 04, 2025, the Company ceased to be the
primary beneficiary and consequently, the Company has derecognized its cost of investment and assets and liabilities of the VIE and recognized
a gain upon derecognition of VIE amounting to $401,180 as ‘Gain on derecognition of subsidiary’ under Other expense/(income),
net.

On
June 3, 2024, Zoomcar Egypt Car Rental LLC had closed down its operations due to decrease in operations and rising economic difficulties.
On December 15, 2024, Zoomcar Egypt Car Rental LLC held an extraordinary general meeting to initiate the liquidation process and appoint
a liquidator. Subsequently, on August 5, 2025, Zoomcar Egypt Car Rental LLC’s name was deleted from the commercial register.

In
accordance with ASC 810-10-15-10, the Company consolidated the VIE till August 4, 2025 since the Company held a variable interest and
continued to be the primary beneficiary. However on August 05, 2025, the Company ceased to be the primary beneficiary and consequently,
the Company has derecognized its cost of investment and assets and liabilities of the VIE and recognized a gain upon derecognition of
VIE amounting to $1,456,024 as ‘Gain on