Company: OSRH
Filing Date: 2025-04-22
Form Type: 10-K
Source: 0001213900-25-034116
Chunk: 84

Company: OSR Holdings, Inc.
Filing Date: 2025-04-22
Form: 10-K
Item: Item 1
Chunk 84
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 capacity to adeptly manage any forthcoming
expansion.

Risks Related to the Company’s Requirements for Additional
Capital

The following risk factors reference the risks and uncertainties
relating to additional capital requirements of OSR, which, following the closing of the Business Combination, will be the additional capital
requirements of the Company. References in this section to “we,” “us,” and “our” refer to OSR prior
to the closing of the Business Combination and to the Company after closing.

We will require substantial additional capital to finance our
operations. If we are unable to raise such capital when needed, or on acceptable terms, we may be forced to delay, reduce and/or eliminate
one or more of our research and drug development programs, future commercialization efforts and/or other operations.

Developing pharmaceutical products, including conducting preclinical
studies and clinical trials, is a very time-consuming, expensive and uncertain process that takes years. OSR’s operations,
through its subsidiaries, have consumed substantial amounts of cash since inception. We currently do not have sufficient committed sources
of additional capital to fund our current development plans. We expect our expenses to increase in connection with our ongoing activities,
particularly as we advance our preclinical and clinical development programs, seek regulatory approvals for our product candidates, and
launch and commercialize any products for which we receive regulatory approval. We also expect to incur additional costs associated with
operating as a public company. Accordingly, we will need to obtain substantial additional funding in order to implement our current development
plans or expand them. If we are unable to raise capital when needed or on acceptable terms, we may be forced to delay, reduce or eliminate
one or more of our research and drug development programs or future commercialization efforts.

Based on our current operating plan, and in part due to the cancellation
of our previously anticipated PIPE Investment, following the closing of our Business Combination there still remains some doubt as to
our ability to fund our operating expenses and capital expenditure going forward, and, as noted by our auditor, our ability to survive
as a going concern. A more detailed discussion of this agreement is included in Part II, Item 7, “Management’s Discussion
and Analysis of Financial Condition and Results of Operations – Liquidity and Capital Resources.” Despite the fact that
we appear to have obtained alternative financing under our ELOC Agreement, our actual capital requirements may also vary significantly
from what we expect, and we will in any event require additional capital in order to complete clinical development of any