Company: SISI
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001493152-25-006895
Chunk: 122

Company: SHINECO, INC.
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 1
Chunk 122
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, and for an aggregate purchase price of US$8,241,750. The SPA, the transaction contemplated thereby, and the
issuance of the August 2024 Shares have been approved by the Company’s board of directors. The closing of the transaction
contemplated by the SPA took place on September 10, 2024. As of December 31, 2024, proceeds of approximately US$4.7 million were
received, and the remaining proceeds are expected to be fully received by June 30, 2025.

On December 24, 2024, the Company entered into a securities
purchase agreement with nine non-U.S. investors (the “December 2024 Purchasers”), pursuant to which the Company agreed to
sell, and the December 2024 Purchasers agreed to purchase, severally and not jointly, an aggregate of 15,000,000 shares of common stock
of the Company (the “December 2024 Shares”) at a purchase price of US$2.18 per share for gross proceeds of US$32.7 million.
In reliance on the Purchasers’ representations to the Company, the Shares issued in this offering were not subject to the registration
requirements of the Securities Act, pursuant to Regulation S promulgated thereunder. The December 2024 Shares were issued to the December
2024 Purchasers on January 10, 2025.

62

On
October 21, 2024, the Company’s stockholders approved a 1-for-24 reverse stock split of the shares of the Company’s common
stock, with a par value of US$0.001 per share, which became effective on November 12, 2024 (the “Second 2024 Reverse Stock Split”).
As a result of the Second 2024 Reverse Stock Split, each of the twenty-four pre-split shares of common stock outstanding automatically
combined and converted to one issued and outstanding share of common stock without any action on the part of the stockholders. No fractional
shares of common stock were issued to any shareholders in connection with the Second 2024 Reverse Stock Split. Each shareholder received
one share of common stock in lieu of the fractional share that would have resulted from the Second 2024 Reverse Stock Split. As a result
of the Second 2024 Reverse Stock Split, the Company’s shares and per share data as reflected in the unaudited condensed consolidated
financial statements have been retroactively restated as if the transaction