Company: JWEL
Filing Date: 2025-05-09
Form Type: 20-F
Source: 0001213900-25-041556
Chunk: 164

Company: Jowell Global Ltd.
Filing Date: 2025-05-09
Form: 20-F
Item: Item 19
Chunk 164
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 and $129,690compensation cost for the
year ended December 31, 2023, which were charged to general and administrative expenses.

In aggregate, share-based compensation expense
amounted to nil, $129,690and $1,847,925for the years ended December 31, 2024, 2023 and 2022, respectively.

Share Consolidation

On October 25, 2023, the shareholders of the Company
held an extraordinary general meeting (the “ Meeting”) and approved by an ordinary resolution of a share consolidation (the
“ Share Consolidation”) that (i) every sixteen (16) issued and unissued ordinary shares of the Company, par value $0.0001each
(the “ Ordinary Shares”) be consolidated into one (1) ordinary share par value $0.0016each and (ii) every sixteen (16) issued
and unissued preferred shares of the Company, par value $0.0001each (the “ Preferred Shares”) be consolidated into one (1)
preferred share, par value $0.0016each. Immediately following the Share Consolidation, the shareholders of the Company approved by an
ordinary resolution of share capital increase that the authorized share capital of the Company be increased to $800,000divided into500,000,000shares of which (x)450,000,000shares are designated as ordinary shares with a nominal or par value of $0.0016per share, and (y)50,000,000shares are designated as preferred shares with a nominal or par value of $0.0016per share (the “ Share Capital Increase”).
At the Meeting, the shareholders of the Company also approved by a special resolution the third amended and restated memorandum and articles
of association of the Company to reflect the Share Consolidation and the Share Capital Increase. The Company believes it is appropriate
to reflect the Share Consolidation of its Ordinary Shares on a retroactive basis pursuant to ASC 260. All shares and per share data for
all the periods presented have been retroactively restated.

Statutory reserve

The Company is required to make appropriations
to certain reserve funds, comprising the statutory surplus reserve and the discretionary surplus reserve, based on after-tax net income
determined in accordance with generally accepted accounting principles of the PRC (“ PRC GAAP”). Appropriations to the statutory
surplus reserve are required to be at least10% of the after-tax net income determined in accordance with PRC