The Group acquired all and/or any intellectual property rights, including but not limited to patents and trademarks, owned, used or held for use by and/or on behalf of SeeQuestor, including without limitations, such rights as relate to SeeQuestor’s products. The purchase price for the intellectual property rights consists of fixed consideration amounting to $6,000,000 and contingent payment through issuance of the Company’s shares of an amount equal to $3,000,000 which is conditional to certain financial performance through intellectual property rights from Agreement Date up to and including December 31, 2023. The contingent payment, if any, would have been made through the issuance of the Company’s shares as share-based payment. As the contingency was not met, no share-based payment was made.

The Group has made payments of $600,000 and $2,400,000 on Agreement Date and Effective Time, respectively, and payment of a further $3,000,000 had not been paid as of December 31, 2023. In October 2024, the Group entered into a settlement agreement with SeeQuestor, which reduced the outstanding obligation to $850,000. Consequently, the Group reversed payable for $2,150,000 with an offset to the cost of the intangible asset. Payment of $850,000 was made in October 2024.

Details of amortization on intangible assets are as follows: