Company: OTSA
Filing Date: 2025-01-28
Form Type: DRS
Source: 0001213900-25-007614
Chunk: 36

Company: OTSAW Ltd
Filing Date: 2025-01-28
Form: DRS
Chunk 36
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 sales, results of operations and prospects. Our ability to manufacture, assemble, and produce our products on a large scale is unproven, and delays in the development, production and delivery of our products could harm our business, prospects, financial condition and operating results. We plan to substantially expand our production capacity to meet our organic growth and the increasing popularity of our products, as well as to expand our market share and offer more competitive pricing through economies of scale. Our business success depends in large part on our ability to design, develop, manufacture, market, deploy and service our products on a large scale. Our production operations are conducted in -houseat our facilities in Singapore, where we assemble the materials and components we procure from our suppliers into our final products. However, our ability to manufacture, assemble, and produce our products on a large scale remains unproven. We may not be able to develop efficient and low -costproduction capabilities and processes, or secure reliable sources of materials and components for us to meet the volume, quality, price, and production standards required for high production volumes, which is key to successfully mass marketing our products and systems. Even if we are successful in developing high volume production capability and processes and are able to reliably source for materials and components, we may not be able to avoid significant delays and cost overruns, which may be a result of factors beyond our control, such as problems with suppliers and vendors or force majeure events. As such, we may not be able to meet our product delivery schedules or satisfy customer requirements on a mass scale. Additional risks associated with large scale production include: •the potential effects of a resurgence of the COVID -19pandemic or other pandemics, epidemics or outbreaks; •our ability to hire and retain a sufficient number of qualified employees; •delays in delivery of materials and components by our suppliers; •production in excess of demand due to contractual requirements or unexpected changes in demand; •quality controls, including ensuring the long and short term durability of our products, particularly as we plan to expand our production capacity; and •delays or disruptions in our supply chain, work stoppages, labor strikes and other labor disputes affecting us or our suppliers, third -partymanufacturers and other partners. In addition, substantially expanding and developing our own manufacturing and production capabilities will significantly increase our capital expenditures. If this were to occur, we may have to raise or borrow additional funds, which may not be available on terms acceptable to us or at all. We may also need to adjust