Company: ZCARW
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001213900-25-014437
Chunk: 242

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 8
Chunk 242
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 is the primary beneficiary. The primary beneficiary of a VIE is the party that meets both
of the following criteria:

i.has the power to direct the activities
                                            that most significantly affect the economic performance of the VIE; and

ii.has the obligation to absorb losses
                                            or the right to receive benefits that in either case could potentially be significant to
                                            the VIE.

Periodically, the Company determines
whether any changes in its interest or relationship with the entity impact the determination of whether the entity is still a VIE and,
if so, whether the Company is the primary beneficiary.

As at December 31, 2024, following
are the list of subsidiaries and step-down subsidiaries:

  Name of Entity  Place of Incorporation  Investor Entity  Method of consolidation  Zoomcar, Inc.  USA  Zoomcar Holdings, Inc.  Voting Interest  Zoomcar India Private Limited  India  Zoomcar, Inc.  Voting Interest  Zoomcar Netherlands Holding B. V  Netherlands  Zoomcar, Inc.  Voting Interest  Fleet Holding Pte ltd  Singapore  Zoomcar, Inc.  Voting Interest  PT Zoomcar Indonesia Mobility Service  Indonesia  Fleet Holding Pte ltd  Voting Interest  Fleet Mobility Philippines Corporation  Philippines  Zoomcar, Inc.  VIE  Zoomcar Egypt Car Rental LLC  Egypt  Zoomcar Netherlands Holding  VIE  Zoomcar Vietnam Mobility LLC  Vietnam  Fleet Holding Pte ltd  VIE 

In determining whether the VIE model
was applicable to the subsidiaries the criteria prescribed under ASC 810 were examined as below:

-The
                                            subsidiaries were incorporated as legal entities under the laws and regulations of the country
                                            in which they are incorporated.

-The
                                            scope exemptions under ASC 810 were not applicable to the entities.

-Zoomcar
                                            Holdings, Inc holds variable interest in all the subsidiaries by way of contribution towards
                                            equity and in the form of debt.

-The
                                            entities are variable interest entities for Zoomcar Holdings, Inc since the legal entities
                                            do not have sufficient equity investment at risk and equity investors at risk.

For the purpose of equity interests,
the interests held by employees are also considered under ASC 810 since employees are considered as de-facto agents. Thus, Zoomcar Egypt
Car Rental LLC, Fleet Mobility Philippines Corporation, and Zoomcar Vietnam Mobility LLC are considered as wholly owned subsidiaries
of Zoomcar, Inc and step-down subsidiaries of Zoomcar Holdings, Inc.

9

ZOOMCAR HOLDINGS, INC