Company: EUDAW
Filing Date: 2025-04-29
Form Type: 20-F
Source: 0001641172-25-006627
Chunk: 11

Company: EUDA Health Holdings Ltd
Filing Date: 2025-04-29
Form: 20-F
Item: Item 3
Chunk 11
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 investors may have difficulty assessing the rapidly changing value of the Company’s ordinary shares. In
addition, investors in the Company’s ordinary shares may experience losses, which may be material, if the price of the Company’s
ordinary shares declines after this offering or if such investors purchase ordinary shares prior to any price decline.

General
Business-Related Risk Factors

Business
and Operational

EUDA
could incur significant upfront costs in client acquisitions and relationships, and if the Company is unable to maintain and grow these
client relationships over time, EUDA is likely to fail to recover these costs or major part of it, which could have a material adverse
effect on the Company’s business, financial condition and results of operations.

EUDA
derives most of its revenue from additional services required from clients and subscription access fees. The costly initial upfront investment
of the Company’s business model and the recognition of associated revenue on a ratable basis renders the Company substantially
dependent on achieving economies of scale. Additionally, EUDA devotes significant resources to establish relationships with the Company’s
clients and implement solution and related services. Accordingly, EUDA’s results of operations will substantially depend on the
Company’s ability to deliver a successful experience for both clients and members and continue maintaining and growing its relationship
with the Company. EUDA’s client acquisition costs could also increase faster than revenue as the business continues to grow and
expand, and EUDA may be unable to reduce total operating costs through economies of scale such that the Company is unable to achieve
desirable profitability. If EUDA fails to achieve appropriate economies of scale or fails to manage or anticipate the evolution and in
future periods, demand, of the subscription access fee model, the Company’s business, financial condition and results of operations
could be materially adversely affected.

EUDA’s
expansion into bioenergy cabins therapies and other wellness services
may not yield expected returns, which could materially and adversely affect the Company’s business, financial condition, and results
of operations.

EUDA has allocated significant resources to
sales of CK Health’s wellness consumer products and services and exploration of opportunities in other wellness services (which
include direct sales of stem cell therapies in Singapore and Malaysia). The acquisition of CK Health and the direct sales of bioenergy cabins therapy packages has continued to require considerable upfront costs
which include costs related to setting up three centers in Malaysia, consultancy and licensing fees. On April 22, 2025, CK Health entered
into a collaboration agreement with Key Lock Health Management Co., Ltd