Company: SISI
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001493152-25-006895
Chunk: 76

Company: SHINECO, INC.
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 1
Chunk 76
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 third party to the
Company (collectively, the “August 2024 Purchasers”). Pursuant to the SPA, the August 2024 Purchasers agree to purchase,
and the Company agreed to issue and sell to the August 2024 Purchasers, an aggregate of 624,375
shares of the Company’s common stock, par value US$0.001
per share (the “August 2024 Shares”), at a purchase price of US$13.20
per share, 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 by the Company, and the remaining proceeds are expected to be fully received by June 30, 2025.

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 occurred at the beginning of the periods presented.

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