Company: GCL
Filing Date: 2025-08-27
Form Type: DRS
Source: 0001213900-25-080905
Chunk: 57

Company: GCL Global Holdings Ltd
Filing Date: 2025-08-27
Form: DRS
Chunk 57
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, including during periods when our stock
price is low or declining or during a period of market weakness. Such sales could cause further downward pressure on our share price,
and the timing of these sales is outside of our control.

PIPE Investor has acquired the Notes at a discount to market value
and may seek to convert and resell the underlying Ordinary Shares for short-term gains. PIPE Investor’s investment strategy may
not align with the long-term interests of other shareholders, and the resulting trading activity may contribute to market volatility or
downward pressure on our stock price.

We will not receive any proceeds from the resale of Ordinary Shares by the Selling Shareholders.

We will not receive any
of the proceeds from the sale of the Ordinary Shares by the Selling Shareholders under this registration statement. Accordingly, the
resale of the shares by the Selling Shareholders will not provide us with any capital to fund our operations.

Volatility in our share price could subject us to securities class action litigation.

The market price of our
Ordinary Shares may be volatile and, in the past, companies that have experienced volatility in the market price of their shares have
been subject to securities class action litigation. We may be the target of securities class action litigation and investigations. Securities
litigation against us could result in substantial costs and divert management’s attention from other business concerns, which could
adversely affect our business, financial condition and results of operations.

The requirements of being a public company may strain our resources, divert our management’s attention and affect our ability to attract and retain qualified board members.

As a public company, we
are subject to the reporting requirements of the Exchange Act, the Sarbanes-Oxley Act, the Dodd-Frank Act, listing requirements of Nasdaq
and other applicable securities rules and regulations. As such, we have incurred and expect to continue to incur relevant legal, accounting
and other expenses, and these expenses may increase even more if we no longer qualify as an “emerging growth company,” as
defined in Section 2(a) of the Securities Act. The Exchange Act requires, among other things, that we file annual and current reports
with respect to our business and results of operations. The Sarbanes-Oxley Act requires, among other things, that we maintain effective
disclosure controls and procedures and internal control over financial reporting. We may need to hire more employees or engage outside
consultants to comply with these requirements, which will increase our costs and expenses.

Changing laws, regulations
and standards