Company: NCL
Filing Date: 2025-02-07
Form Type: 424B3
Source: 0001575872-25-000134
Chunk: 56

Company: Northann Corp.
Filing Date: 2025-02-07
Form: 424B3
Chunk 56
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, 2024 on NYSE American.
In the past, stockholders have filed securities class action litigation following periods of market volatility. If we were to become involved
in securities litigation, it could subject us to substantial costs, divert resources and the attention of management from our business
and adversely affect our business.

NYSE American may apply additional and more stringent criteria for our continued listing because insiders hold a large portion of the Company’s listed securities.

NYSE American Company Guide Section 101 provides
NYSE American with broad discretionary authority over the continued listing of securities in NYSE American and NYSE American may use such
discretion to apply additional or more stringent criteria for the continued listing of particular securities, or suspend or delist particular
securities based on any event, condition, or circumstance that exists or occurs that makes continued listing of the securities on NYSE
American inadvisable or unwarranted in the opinion of NYSE American, even though the securities meet all enumerated criteria for continued
listing on NYSE American. In addition, NYSE American has used its discretion to deny continued listing or to apply additional and more
stringent criteria in the instances, including but not limited to: where the company engaged an auditor that has not been subject to an
inspection by the PCAOB, an auditor that PCAOB cannot inspect, or an auditor that has not demonstrated sufficient resources, geographic
reach, or experience to adequately perform the company’s audit. Our public offering will be relatively small and the insiders of
our Company will hold a large portion of the company’s listed securities. NYSE American might apply additional and more stringent
criteria for our initial and continued listing, which might cause a delay or even denial of our listing application.

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As a “controlled company” under the rules of the NYSE American Company Guide, we may choose to exempt our Company from certain corporate governance requirements that could have an adverse effect on our public stockholders.

Lin Li, our Chairman of the Board, Chief Executive
Officer, President, Secretary, and Treasurer, currently owns a majority of the voting power of our issued and outstanding common stock.
Under the NYSE American Company Guide Section 801(a), a company of which more than 50% of the voting power is held by an individual, group
or another company is a “controlled company”. A “controlled company” may elect not to comply with certain corporate
governance requirements, including the requirement that a majority of our directors be independent, as defined in the NYSE American