Company: FVN
Filing Date: 2025-02-14
Form Type: DRS/A
Source: 0001829126-25-000945
Chunk: 124

Company: Future Vision II Acquisition Corp.
Filing Date: 2025-02-14
Form: DRS/A
Chunk 124
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 of the PRC be notified in advance of any change-of-control transaction in which a foreign investor takes control of a PRC domestic enterprise. Moreover, the Anti-Monopoly Law promulgated by the Standing Committee of the National People’s Congress, which became effective in 2008 and amended in 2022, requires that transactions which are deemed concentrations and involve parties with specified turnover thresholds must be cleared by anti-monopoly law enforcement agency under the State Council before they can be completed. In addition, the Implementation of Security Review System for Mergers and Acquisitions of Domestic Enterprises by Foreign Investors issued by the Ministry of Commerce and became effective in September 2011 specify that mergers and acquisitions by foreign investors that raise “national defense and security” concerns and mergers and acquisitions through which foreign investors may acquire de facto control over domestic enterprises that raise “national security” concerns are subject to strict review by the Ministry of Commerce, and the rules prohibit any activities attempting to bypass a security review, including by structuring the transaction through a proxy or contractual control arrangement.

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In the future, VIWO may pursue potential strategic acquisitions that are complementary to VIWO’s business and operations. Complying with the requirements of the above-mentioned regulations and other rules to complete such transactions could be time-consuming, and any required approval processes, including obtaining approval or clearance from the Ministry of Commerce, may delay or inhibit VIWO’s ability to complete such transactions, which could affect VIWO’s ability to expand its business or maintain VIWO’s market share. Furthermore, according to the M&A Rules, if a PRC entity or individual plans to merger or acquire its related PRC entity through an overseas company legitimately incorporated or controlled by such entity or individual, such a merger and acquisition will be subject to examination and approval by the Ministry of Commerce. The application and interpretations of M&A Rules are still uncertain, and there is possibility that the PRC regulators may promulgate new rules or explanations requiring that VIWO obtain approval of the Ministry of Commerce for VIWO’s completed or ongoing mergers and acquisitions. There is no assurance that VIWO can obtain such approval from the Ministry of Commerce for VIWO’s mergers and acquisitions, and if VIWO fails to obtain those approvals, VIWO may be required to suspend VIWO’s acquisition and be subject to penalties. Any uncertainties regarding such approval requirements could have a material adverse effect on VIWO’s business, results of operations and corporate structure.

Furthermore, the M&A Rules,