Company: MVNC
Filing Date: 2025-05-19
Form Type: 10-Q
Source: 0001683168-25-003814
Chunk: 72

Company: Marvion Inc.
Filing Date: 2025-05-19
Form: 10-Q
Item: Part I, Item 8
Chunk 72
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 of accumulated
other comprehensive loss within the unaudited condensed consolidated statements of changes in shareholders’ deficit.

Unless indicated otherwise, throughout
this Quarterly Report on Form 10-Q, we refer to Marvion Inc. and its consolidated subsidiaries, as “MVNC,” “we,”
“us” and “our.”

Numerical information in this
report is presented on a rounded basis using actual amounts. Minor differences in totals and percentage calculations may exist due to
rounding. 

Description of Business

Marvion Inc. was incorporated
in the State of Nevada on March 6, 2008. The Company and its subsidiaries are hereinafter referred to as (the “Company”).
Marvion Inc. is not a Hong Kong operating company but a Nevada holding company with operations conducted through its wholly owned subsidiaries
based in the British Virgin Islands and Hong Kong. Our investors hold shares of common stock in Marvion Inc., the Nevada holding company.

On August 15, 2024, the Company
and United Warehouse Management Corp., a British Virgin Island corporation (“UWMC”) and eleven shareholders of UWMC entered
into a Share Exchange Agreement (the “SEA”) pursuant to which the shareholders of UWMC agreed to transfer to the Company 4,000
shares of UWMC, constituting all of the issued and outstanding securities of UWMC, in exchange for 148,148,150 shares of common stock
of the Company, par value $0.0001 per share (the “share exchange transaction”).

In addition to the Acquisition
Shares, the Company agreed to make earnout payments in the aggregate amount of $5.5 million (collectively, the “Earn Out Payments”)
upon UWMC’s achievement of certain net income performance milestones during each six month period ending June 30 and December 31
(each, a “Performance Period”) for a total of nine Performance Periods. The Earn Out Payments will be payable in the form
of interest free promissory notes and shared equally among Chan Sze Yu, Fong Hiu Ching and Young Chi Kin Eric who are also shareholders
of UWMC. The Acquisition transactions contemplated by the SEA were consummated on September 12, 2024.

As a result of the Acquisition,
Marvion became engaged in the business of logistics and warehousing services. Concurrently with the acquisition of UWMC, the Company also
divested its ownership of Marvion Holdings Limited and all of its subsidiaries and ceased