Company: ZCARW
Filing Date: 2025-05-12
Form Type: S-1/A
Source: 0001213900-25-041769
Chunk: 42

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-05-12
Form: S-1/A
Chunk 42
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 a price or effective price that is less than the then current exercise price of the warrants following the issuance date. In the event of a Dilutive Issuance, the exercise price of the June Warrants and the November Series A Warrants will be reduced to the lower of the Dilutive Issuance Price and the lowest VWAP during the five consecutive trading days commencing after the date of the Dilutive Issuance, in each case, subject to the Floor Price, and there will be a proportionate adjustment to the number of shares underlying such warrants The exercise price of the Series A Warrants issued at the First Closing and the Second Closing will be reduced to the Dilutive Issuance Price, subject to the Floor Price, and there will be a proportionate adjustment to the number of shares underlying the such warrants. As a result, of any of the foregoing, the exercise price of the Series A Warrants issued in the December Offering and the January/February Offering would be reduced, subject to the $6.24 Floor Price. All warrants, including the above mentioned June Warrants, the November Series A Warrants and the Series A Warrants issued in the December Offering and January/February Offering, have already been reduced to their applicable Floor Price and, therefore, no further adjustments are applicable. 18 Further, the June Warrants, the November Series A Warrants and the Series A Warrants issued in the December Offering and January/February Offering provide that if the Company enters into a Variable Rate Transaction (as defined in each class of warrant), then such warrants will automatically adjust down to the lowest price that the Company shall be deemed to have issued shares of Common Stock at the lowest exercise price at which such Warrants herein may be exercised, subject to the applicable Floor Price. As a result, of any of the foregoing, the exercise price of the Series A Warrants issued in the December Offering and January/February Offering would be reduced in the event of any subsequent Variable Rate Transaction, subject to the $6.24 Floor Price. All other warrants have already been reduced to their applicable Floor Price and, therefore, no further adjustments are applicable. In connection with the Business Combination, we also issued the Notes to ACM in satisfaction of certain transaction expenses associated with the Business Combination. The Notes, which are presently in default (and are the subject of a demand letter sent by the ACM to the Company for immediate payment and a notice of motion for summary judgement as described in more detail herein), contain price based anti-dilution protection on the