Company: MASK
Filing Date: 2025-06-24
Form Type: F-1
Source: 0001185185-25-000685
Chunk: 111

Company: 3 E Network Technology Group Ltd
Filing Date: 2025-06-24
Form: F-1
Chunk 111
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 in the U.S.

The transfer of funds, dividends and
other distributions between us and our subsidiaries is subject to restriction.

As a holding company, we may rely on transfer of
funds, dividends and other distributions on equity paid by our subsidiaries in mainland China and Hong Kong for our cash and financing
requirements.

As of the date of this prospectus, there has been
no cash flows, including dividends, transfers and distributions, between 3e Network and its subsidiaries. In the future, cash proceeds
raised from overseas financing activities, including this offering, will be transferred by us to our subsidiaries via capital contributions
or shareholder loans, as the case may be. Such cash proceeds will be transferred by Guangzhou Sanyi Network to HK 3e Network, and then BVI 3e Holdings, then transferred to 3e Network, via share dividend and distribution, as the case may be.

We intend to keep any future earnings to re-invest
in and finance the expansion of the business of the Hong Kong operating entities, and we do not anticipate that any cash dividends
will be paid in the foreseeable future to our U.S. investors immediately following the consummation of this offering. Under BVI
law, a BVI company may pay a dividend on its shares out of profits of the company or its share premium amount or a combination of both,
provided that in no circumstances may a dividend be paid if this would result in the company being unable to pay its debts as they fall
due in the ordinary course of business. In order for us to pay dividends to our shareholders, we may rely on the distribution of profits
of the PRC subsidiaries to the Hong Kong subsidiary. PRC regulations currently permit the payment of dividends only out of accumulated
profits, as determined in accordance with accounting standards and PRC regulations. The PRC government imposes controls on the conversion
of RMB into foreign currencies and the remittance of currencies out of the PRC. In addition, the Enterprise Income Tax Law and its
implementation rules provide that a withholding tax at a rate of 10% will be applicable to dividends payable by Chinese companies to
enterprises outside of mainland China unless reduced under treaties or arrangements between the PRC central government and the governments
of other countries or regions where the enterprises outside of mainland China are tax resident.

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Pursuant to the Foreign Exchange Administration
Regulations, as amended in August 2008, RMB is convertible for current account items