Company: OTSA
Filing Date: 2025-01-28
Form Type: DRS
Source: 0001213900-25-007614
Chunk: 34

Company: OTSAW Ltd
Filing Date: 2025-01-28
Form: DRS
Chunk 34
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 requirements may be different from those we currently anticipate. Therefore, we may need to seek equity or debt financing to finance a portion of our future capital needs and expenditures. If we raise additional capital funds through the issuance of equity or convertible debt securities, it would result in dilution of our shareholders’ voting rights and could be at a per share purchase price significantly below the per share price in this offering. These newly -issuedsecurities may have rights, preferences or privileges senior to those of existing stockholders, including those acquiring shares in this offering. The incurrence of indebtedness would result in increased debt service obligations and could result in operating and financing covenants that would restrict our operations, liquidity and ability to make cash dividends. It is uncertain whether financing will be available to us in a timely manner or on terms that are acceptable, or at all. If adequate financing is not available or is not available on acceptable terms, if and when needed, our ability to fund our operations, take advantage of unanticipated opportunities, develop or enhance our products, or otherwise respond to competitive pressures would be significantly limited. Our inability to raise capital could require us to significantly curtail or terminate our operations. We may have to significantly reduce our spending, delay or cancel our planned activities, or substantially change our corporate structure. We have no experience maintaining or servicing our products at a large scale. Under our RaaS subscription model and some of our direct sale agreements, we will be responsible for maintenance and servicing of our products. In addition to our in -housecustomer support and product maintenance service, we have partnered with third parties, including our distributors and Swisslog Healthcare’s personnel, to perform some or all of the servicing and maintenance on our products. However, we have no experience providing maintenance and servicing at a large scale. Our direct customers and distributors may also depend on our in -housecustomer support and product service team to resolve technical and operational issues relating to the integrated software and hardware underlying our products. Although our distributors are required by their agreement with us to provide initial maintenance and support to the end -usercustomers, our customer support team and product service team is also mandated to provide training, general support, and technical solutions to support the distributors. In addition, the RaaS subscription model will require us to cover costs relating to the servicing and maintenance of our products which are leased directly to our customers. Customer behavior and usage may result in higher -than -expectedmaintenance and repair costs. Moreover, if RaaS customers do not pay the subscription fee while the units are out of