Company: OSRH
Filing Date: 2025-01-24
Form Type: S-4/A
Source: 0001213900-25-006139
Chunk: 691

Company: OSR Holdings, Inc.
Filing Date: 2025-01-24
Form: S-4/A
Chunk 691
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 within its control and affect its ability to exercise (or not to exercise) the option to renew (e.g., a change in business strategy).

F-151

4. Financial risk management 4.1 Overview of financial risk management policy The company is exposed to various financial risks such as market risk (exchange risk, interest rate risk), credit risk and liquidity risk due to various activities. The company’s overall risk management policy focuses on volatility in the financial markets and focuses on minimizing any negative impact on financial performance. Risk management is conducted under the supervision of the finance department according to the policy approved by the Board of Directors. The finance department identifies, evaluates and manages financial risks in close cooperation with the sales departments. The Board of Directors provides written policies on overall risk management principles and specific areas such as foreign exchange risk, interest rate risk, credit risk, use of derivative and non -derivativefinancial instruments, and investments in excess of liquidity. 4.1.1 Market risk Market risk is the risk of possible losses which arise from the changes of market factors, such as interest rate, stock price, foreign exchange rate, commodity value and other market factors related to the fair value or future cash flows of the financial instruments, such as securities, derivatives and others. (1) Currency risk The following table sets forth the result of foreign currency translation into KRW for financial assets and liabilities of the Company as of December 31, 2022 and 2021:

|                                                   | (Korean won in unit) |   | December 31, 2022 |     |                |     |   | December 31, 2021 |     |                |
|:--------------------------------------------------|:---------------------|:--|------------------:|:----|:---------------|:----|:--|------------------:|:----|:---------------|
| USD                                               |                      |   |               KRW |     | USD            |     |   |               KRW |     |                |
| Foreign currency assets Cash and Cash equivalents |                      | $ |         74,420.38 |     | ₩   94,312,948 |     | $ |        420,600.00 |     | ₩  498,621,300 |

The following table sets forth the impact of strengthening (or weakening) of the KRW by a hypothetical 10% against each foreign currency on the Company’s after -taxprofit (or loss), assuming all other variables remain constant.

| (Korean