Company: ZCARW
Filing Date: 2025-06-30
Form Type: 10-K
Source: 0001213900-25-059675
Chunk: 1824

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-06-30
Form: 10-K
Item: Item 6
Chunk 1824
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 (before
deduction of fees to the placement agent and other offering expenses). On November 7, 2024, the Company closed on private placement financing
pursuant to which it raised gross proceeds of approximately $9.15 million. After the deduction of commissions and expenses, the Company
received net proceeds of approximately $7.625 million and used $3.804 million of such net proceeds to repay the outstanding principal
balance and accrued interest on outstanding indebtedness relating to financing from institutional investors in June 2024. There was also
a holdback of $0.2 million for indemnification of the placement agent in the financing, leaving proceeds of approximately $3.621 million
to the Company. While this financing resulted in the payment of certain outstanding indebtedness, the Company will still need to raise
substantial additional capital imminently in order to have sufficient capital. The Company believes that current cash and cash equivalents
will allow the Company to continue operations through July 31, 2025, assuming that the Company makes part payments on its currently outstanding
indebtedness and 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.

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 March 31, 2025.

75

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.

In December 2023, we raised
$5,000,000 against issuance of 16,667 shares (1,666