Company: SCAG
Filing Date: 2025-11-12
Form Type: 20-F
Source: 0001213900-25-109190
Chunk: 34

Company: Scage Future
Filing Date: 2025-11-12
Form: 20-F
Item: Item 3
Chunk 34
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 the CAC to apply for security assessments occur. In addition, these measures require data processors
to carry out self-assessments of risks of providing data overseas before applying to the CAC for security assessments. As advised by
our PRC counsel, as of the date of this annual report, since: (1) our business operations do not involve any operator of a network platform
with personal information of over one million users; (2) we have not received notification that we are recognized as a critical information
infrastructure operator by the administration responsible for the security protection of critical information infrastructure; (3) our
business operations do not involve the processing of important data; and (4) we only provide a very small amount of personal information
to overseas institutions during the listing process, we are not required to apply for the security assessment or the cybersecurity review
for the Business Combination under such regulations.

On February 24, 2023,
the CSRC, the Ministry of Finance, the National Administration of State Secrets Protection and the National Archives Administration released
the revised Provisions on Strengthening Confidentiality and Archives Administration of Overseas Securities Offering and Listing by Domestic
Companies (the “ Archives Rules”), which became effective on March 31, 2023. The Archives Rules regulate both overseas
direct offerings and overseas indirect offerings, providing that, among other things:

  in relation to                                                                                    

  during the course                                                                                 

  working papers                                                                               

On March 22, 2024, the
CAC promulgated the Provisions on Promoting and Regulating Cross-border Data Flows, which came into effect on the same day. According
to this Provisions, if relevant departments or jurisdictions have not informed the data handlers or publicly announced that the data
are important data, data handlers are not required to undergo security assessment for cross-border data provision.

Given that the above-mentioned
newly promulgated laws, regulations and policies were recently promulgated or issued, their interpretation, application and enforcement
may be subject to substantial uncertainties, and it is unclear whether the relevant PRC regulatory authority would reach the same conclusion
as ours, and we face uncertainty as to whether any review or other required actions can be timely completed, or at all. Given such uncertainty,
we may be further required to suspend our business, shut down our platforms, or face other penalties, which could materially and adversely
affect our business, financial condition and results of operations, or could significantly limit or completely hinder our ability to