Company: ZCARW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076590
Chunk: 214

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 214
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 future accruals. The Company was advised by its largest investor and director that he would no longer commit to continuing his support
to the Company in the event that any liquidity requirements arise in the future.

54

There can be no assurance
that the Company will be able to achieve its business plan, raise any additional capital or secure the additional financing necessary
to implement its current operating plan. The ability of the Company to continue as a going concern is dependent upon its ability to increase
its revenues and eventually achieve profitable operations. No adjustments have been made to the financial statements based on this uncertainty.

Financing Arrangements

We have financed our operations
through revenue generated from sales, borrowings, and issuance of Common Stock, preferred stock, senior subordinated convertible promissory
notes, convertible promissory note and unsecured convertible notes and redeemable promissory notes.

Debentures and Other Borrowings from Financial Institutions

We have obtained loan facilities
from various financial institutions during earlier time periods, which remained outstanding as of June 30, 2025.

Issue of Common Stock

The Company’s shareholders
authorized, and the Board of Directors approved for a 1-for-100 Reverse Stock Split, which became effective on October 21, 2024.

The Company’s shareholders
authorized, and the Board of Directors approved for a 1-for-20 Reverse Stock Split, which became effective on March 21, 2025.

In
December 2023, we raised $5,000,000 against issuance of 16,667 shares (1,666,666 prior to Reverse Stock Split)  to Mohan Ananda, 
the former Chairman of Board of Directors and our largest shareholder. 

In May 2024, we issued 125,120
shares (12,512,080 prior to Reverse Stock Split) to Atalaya Note holders to settle a part of the unsecured promissory note liability.

Issue of Unsecured Convertible Note

In December 2023, we issued an Unsecured Convertible
Note bearing a principal amount of $8,434,605.

Issue of Redeemable Promissory Note

On June 18, 2024, the Company
entered into a Securities Purchase Agreement with certain institutional accredited investors pursuant to which the Company issued and
sold an aggregate of $3,600,000 in principal amount of notes and warrants to purchase up to an aggregate of 1,267,728 shares (52,966,102