Company: JXG
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-043744
Chunk: 53

Company: JX Luxventure Group Inc.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 3
Chunk 53
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 13, which became effective on June 1, 2015. Under SAFE Notice 13,
applications for foreign exchange registration of inbound foreign direct investments and outbound overseas direct investments, including
those required under SAFE Circular 37, will be filed with qualified banks instead of SAFE. The qualified banks will directly examine the
applications and accept registrations under the supervision of SAFE.

Some of our shareholders that we are aware of
are subject to SAFE regulations, and we expect all of these shareholders will have completed all necessary registrations with the local
SAFE branch or qualified banks as required by SAFE Circular 37. We cannot assure you, however, that all of these shareholders may continue
to make required filings or updates in a timely manner, or at all. We can provide no assurance that we are or will in the future continue
to be informed of identities of all PRC residents holding direct or indirect interest in our company. Any failure or inability by such
shareholders to comply with SAFE regulations may subject us to fines or legal sanctions, such as restrictions on our cross-border investment
activities or our PRC subsidiaries’ ability to distribute dividends to, or obtain foreign exchange-denominated loans from, our company
or prevent us from making distributions or paying dividends. As a result, our business operations and our ability to make distributions
to you could be materially and adversely affected.

Furthermore, as these foreign exchange regulations
are still relatively new and their interpretation and implementation have been constantly evolving, it is unclear how these regulations,
and any future regulation concerning offshore or cross-border transactions, will be interpreted, amended and implemented by the relevant
government authorities. For example, we may be subject to a more stringent review and approval process with respect to our foreign exchange
activities, such as remittance of dividends and foreign-currency-denominated borrowings, which may adversely affect our financial condition
and results of operations. In addition, if we decide to acquire a PRC domestic company, we cannot assure you that we or the owners of
such company, as the case may be, will be able to obtain the necessary approvals or complete the necessary filings and registrations required
by the foreign exchange regulations. This may restrict our ability to implement our acquisition strategy and could adversely affect our
business and prospects.

As of the date of this disclosure, The PRC residents
have applied for foreign exchange registration under the SAFE Circular 37 and other related rules. Although they are in the process of
making foreign exchange registration, they may still face with the above said possible fines in