11. Subsequent Events

The Company has evaluated subsequent events from the balance sheet date through December 16, 2025, the date at which the consolidated financial statements were available to be issued.

As discussed in Note 1, on December 2, 2025 (the “Closing Date”), the Company completed the business combination (the “Closing”) contemplated by the BCA. The common stock of HSI, par value $0.01 per share (“HSI Common Stock”) began trading on the Nasdaq Capital Market under the symbol “PURR” on December 3, 2025. The BCA, among other things, provided for (i) the merger of Rorschach Merger Sub with and into Rorschach (the “Rorschach Merger”), with Rorschach surviving the Rorschach Merger as a direct wholly owned subsidiary of HSI, and (ii) immediately following the Rorschach Merger, the merger of Sonnet Merger Sub with and into Sonnet (the “Sonnet Merger” and, together with the Rorschach Merger, the “Mergers” or “Business Combination”), with Sonnet surviving the Sonnet Merger as a direct wholly owned subsidiary of HSI.

In addition, concurrently with the execution of the BCA, certain accredited investors (the “Subscribers”) entered into subscription agreements with the Company and HSI (the “Subscription Agreements”), pursuant to which the Company agreed to issue, and the Subscribers agreed to purchase, immediately prior to the Closing, an aggregate of 239,921,355 shares of the Company’s common stock at a purchase price of $1.25 per share, pursuant to a private placement in accordance with Section 4(a)(2) of the Securities Act (the “Closing PIPE”). The Closing PIPE was consummated on the Closing Date immediately prior to the Closing and the Company issued 239,921,355 shares of its common stock to the Subscribers pursuant to the Subscription Agreements.

As a result of the Closing, Nasdaq filed a notification of removal from listing and deregistration of the Company’s common stock on Form 25 with the SEC on December 2, 2025. After the Form 25 becomes effective, the Company intends to file with the SEC a Form 15 to request deregistration of its common stock under Section 12(g) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) and suspension of its reporting obligations under Sections 13 and 15(d) of the Exchange Act.