Company: SCAG
Filing Date: 2025-11-12
Form Type: 20-F
Source: 0001213900-25-109190
Chunk: 227

Company: Scage Future
Filing Date: 2025-11-12
Form: 20-F
Item: Item 19
Chunk 227
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 Investor prior to founder
party and any other ordinary shareholders of Scage International. Liquidation events include: (i) the dissolution, insolvency, winding
up, or liquidation of Scage International under applicable laws and regulations; (ii) any merger or acquisition of Scage International,
in which all shareholders then together hold less than 50

The
liquidation preference is exercised in the sequence of Series A Preferred Shares, Series Pre-A Preferred Shares, and Series Angel Preferred
Shares. Upon the occurrence of liquidation events, the holders of Preferred Share shall be entitled to receive the liquidation amount
(“ Liquidation Amount”) equal to 100 12 100

Dividends

Each
holder of a Preferred Share shall be entitled to receive dividends, in pari passu with each holder of any other class or series of Shares
of Scage International. Such dividends shall be payable only when, as, and if declared by the Board of Directors and shall be non-cumulative. No

Voting
Rights

The
holder of a Preferred Share shall be entitled to such number of votes as equals the whole number of ordinary shares into which such holder’s
collective Convertible Redeemable Preferred Shares are convertible immediately after the close of business on the record date of the
determination of Scage International Group’s members entitled to vote. Each series of Convertible Redeemable Preferred Shares are
allowed to vote separately with respect to any matters.

Accounting
for the Convertible Redeemable Preferred Shares

Before
the consummation of the Business Combination, the issued and outstanding convertible redeemable preferred shares were classified as mezzanine
equity as these Convertible Redeemable Preferred Shares are contingently redeemable upon the occurrence of an event not solely within
the control of the Group. Each issuance of the convertible redeemable preferred shares is recognized at the respective issue price at
the date of issuance net of issuance costs. In addition, the Group adjusts changes in the redemption value of the convertible redeemable
preferred shares based on the 150

Conversion
of Convertible Redeemable Preferred Shares into Ordinary Shares of the Company

Upon
consummation of the Business Combination, all the issued and outstanding convertible redeemable preferred shares from Series Angel, Series
Pre-A, and Series A were automatically converted into an aggregate of 15,099,551

F-33

SCAGE
FUTURE

NOTES
TO CONSOLIDATED FINANCIAL STATEMENTS

(In
U.