Company: SISI
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001493152-25-006895
Chunk: 172

Company: SHINECO, INC.
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 2
Chunk 172
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 we undertake no obligation
to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect
the occurrence of unanticipated events. In addition, we cannot assess the impact of each factor on our business or the extent to which
any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements.
Nonetheless, we reserve the right to make such updates from time to time by press release, periodic report, or other method of public
disclosure without the need for specific reference to this Quarterly Report. No such update shall be deemed to indicate that other statements
not addressed by such update is incorrect or create an obligation to provide any other updates.

The
information included in this Management’s Discussion and Analysis of Financial Condition and Results of Operations should be read
in conjunction with our unaudited condensed consolidated financial statements and the notes included in this Quarterly Report, and the
audited consolidated financial statements and notes and Management’s Discussion and Analysis of Financial Condition and Results
of Operations contained in our Annual Report. All monetary figures are presented in U.S. dollars, unless otherwise indicated.

45

General
Overview

Shineco,
Inc. is a holding company incorporated in Delaware. Prior to the following acquisition and the termination of the VIE structure, as a
holding company with no material operations of our own, we conducted a substantial majority of our operations through the operating entities
established in the People’s Republic of China, or the PRC, primarily the variable interest entities (the “VIEs”). We
did not have any equity ownership of the VIEs, instead we received the economic benefits of the VIEs’ business operations through
certain contractual arrangements. Our common stock that currently listed on the Nasdaq Capital Markets are shares of our Delaware holding
company. The Chinese regulatory authorities could disallow our structure, which could result in a material change in our operations and
the value of our securities could decline or become worthless.

On
December 30, 2022, Shineco Life Science Group Hong Kong Co., Limited (“Shineco Life”), a company established under the laws
of Hong Kong and a wholly owned subsidiary of the Company, closed the acquisition of 51% of the issued equity interests of Changzhou
Biowin Pharmaceutical Co., Ltd. (“Biowin”), a company established under the laws of China, pursuant to the previously announced
stock purchase agreement, dated as of October 21