Company: ZCARW
Filing Date: 2025-06-30
Form Type: 10-K
Source: 0001213900-25-059675
Chunk: 44

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-06-30
Form: 10-K
Item: Item 1
Chunk 44
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 market acceptance of our
    platform and the functionality it provides to facilitate peer-to-peer car sharing.

28

If lack of available capital
prevents us from proceeding with the execution of our business plan, our ability to become profitable will be compromised and our business
will be harmed.

Future sales of our securities may affect
the market price of the Common Stock and result in material dilution, including the anti-dilution protection in the warrants issued in
2024. We are also in default of various outstanding debt obligations, including under the Notes issued to ACM, and may issue shares of
Common Stock or other securities to satisfy those obligations in the future (in the case of ACM, subject to receipt of shareholder approval).
The issuance of shares of Common Stock or other securities in the future will dilute your percentage ownership interest and may also
result in downward pressure on the price of our Common Stock.

We will finance our immediate cash needs (and expect to finance
our future cash needs until we become profitable, if ever) through equity offerings, debt financings or other third-party funding, marketing
and distribution arrangements and other collaborations, strategic alliances and licensing arrangements. We will require substantial funding
to fund our business. In June 2024 we issued warrants that contain an “alternative cashless exercise” provision which gives
the warrant holder the right to exchange the warrant on a one-for-one basis for shares of Common Stock at any time that the warrant is
exercisable without any cash payment and without regard to the then market price of the Company’s Common Stock or exercise price
of the warrant. In addition, the warrants include a provision that resets the warrant exercise price with a proportionate adjustment to
the number of shares underlying the warrant in the event of a reverse split of the Company’s Common Stock at any time between the
issuance date and the three year anniversary of the issuance date (a “Share Combination Event”). In the event of a Share Combination
Event, the exercise price of the warrant will be reset to a price equal to the lesser of (i) the then exercise price and (ii) the
lowest volume weighted average price (VWAP) during the period commencing five trading days immediately after the date the Company effects
both the reverse stock splits, subject to a floor price of $283.2 (which is the “Minimum Price” under Nasdaq rules) prior
to receipt of stockholder approval or $56.64 following receipt of stockholder approval (in each case,