Company: NCL
Filing Date: 2025-01-14
Form Type: S-1/A
Source: 0001575872-25-000059
Chunk: 18

Company: Northann Corp.
Filing Date: 2025-01-14
Form: S-1/A
Chunk 18
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 dividends paid by its subsidiaries for its cash needs. Any limitation on the ability of its subsidiaries to make dividend payments to the Company, or any tax implications of making dividend payments to the Company, could limit the Company’s ability to pay its expenses or pay dividends to holders of its common stock. |

Risks Related to Doing Business in China

| · | Changes in China’s political, economic or social conditions could have a material adverse effect 
 on our business and operations.                                                                  |

| · | Uncertainties in the interpretation and enforcement of PRC laws and regulations and changes in policies,                              
 rules, and regulations in China, which may be quick with little advance notice, could limit the legal protection available to you and 
 us.                                                                                                                                   |

| · | PRC regulation of parent/subsidiary loans and direct investment by offshore holding companies to PRC entities may delay or prevent us from using the proceeds of offshore offerings to make loans or additional capital contributions to the PRC subsidiaries, which could materially and adversely affect their liquidity and their ability to fund and expand their business. |

| · | You may experience difficulties in effecting service of legal process, enforcing foreign judgments, or                                      
 bringing actions in China against us or our PRC subsidiaries based on foreign laws. It may also be difficult for you or overseas regulators 
 to conduct investigations or collect evidence within China.                                                                                 |

| · | The PRC government exerts substantial influence over the manner in which our PRC subsidiaries conduct                                    
 their business activities. The PRC government may also intervene or influence our operations at any time and may exert more control over 
 foreign investment in China-based issuers, which could result in a material change in our PRC subsidiaries’ operations.                  |

| · | If the Chinese government chooses to exert more oversight and control over                                                                  
 offerings that are conducted overseas and/or foreign investment in China-based issuers, such action could significantly limit or completely 
 hinder our ability to offer or continue to offer securities to investors and cause the value of such securities to significantly decline    
 or be worthless.                                                                                                                            |

| · | Recent greater oversight by the Cyberspace Administration of China (the “CAC”) over data security, 
 could adversely impact our business.                                                               |

| 5 |

| · | If we and/or our subsidiaries were to be required to obtain any permission or approval from or complete                                  
 any filing procedure with the China Securities Regulatory Commission (the “CSRC”), the CAC, or other PRC governmental authorities        
 in connection with future follow-on