Company: OSRH
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001213900-25-109054
Chunk: 75

Company: OSR Holdings, Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 2
Chunk 75
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significant operating losses and negative cash flows from operating activities. The Company recorded an operating loss of approximately
$10.08 million for the nine months ended September 30, 2024, and approximately $11.95 million for the same period in 2025. As of September
30, 2025, OSR Holdings had an accumulated deficit of approximately $32.33 million.

To date, OSR Holdings has funded its operations primarily through the
issuance of common stock and convertible bonds, bank borrowings, loans from affiliates, and, to a lesser extent, product revenue generated
by its subsidiary, RMC. As of September 30, 2025, the Company had cash and cash equivalents of approximately $2.18 million, consisting
primarily of bank deposits.

The Company incurred significant expenses in connection with the business
combination and the filing of its Form S-4 registration statement, which, together with other general expenses, reduced the funds available
for operations and created an urgent need for additional capital. In response, in February 2025, OSR Holdings entered into an equity line
of credit (“ELOC”) agreement with an investor, providing for up to $80 million in potential capital. As of September 30, 2025,
the Company had issued a total of 767,500 shares under the ELOC, raising gross proceeds of $741,937. In addition, the Company has executed
or is exploring various financing initiatives through the issuance of warrants and notes.

OSR Holdings expects to continue utilizing the ELOC and other available
financing instruments to secure additional capital for its ongoing operations.

Off-Balance Sheet Arrangements

We have no obligations, assets or liabilities
which would be considered off-balance sheet arrangements as of September 30, 2025. We do not participate in transactions that
create relationships with unconsolidated entities or financial partnerships, often referred to as variable interest entities, which would
have been established for the purpose of facilitating off-balance sheet arrangements. We have not entered into any off-balance sheet
financing arrangements, established any special purpose entities, guaranteed any debt or commitments of other entities, or purchased any non-financial assets.

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Contractual Obligations

We do not have any long-term debt, capital lease
obligations, operating lease obligations, purchase obligations or long-term liabilities, other than an agreement to pay an affiliate of
Bellevue Capital Management,