Company: DDC
Filing Date: 2025-10-24
Form Type: F-1
Source: 0001213900-25-102214
Chunk: 224

Company: DDC Enterprise Ltd
Filing Date: 2025-10-24
Form: F-1
Chunk 224
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 and restricted stock grants: (i) 1,285,272 options granted under the Pre -IPOESOP that are exercisable at prices above $1.50 per share, and (ii) 3,774,038 options and restricted shares under the 2023 ESOP and substantially all of which have exercise prices in excess of the current price of the Company’s Class A Ordinary Shares (collectively (i) and (ii) are the “Underwater Grants”). The Compensation Committee of the board determined that the Underwater Grants are providing little if any value to the Company and the option holders and the Compensation Committee deemed it in the best interest of the Company and its shareholders to cancel the Underwater Grants. The Compensation Committee has also determined that cancellation of the Underwater Options is not intended to constitute a re -pricingunder NYSE -Americanrules and U.S. GAAP. In November 2024, the Company held an extraordinary general meeting at which the shareholders approved, among other things, amendments to the 2023 ESOP to provide for an increase in the total amount of the Company’s Class A Ordinary Shares that can be awarded under the 2023 ESOP from 3,200,000 Class A Ordinary Shares to 5,200,000 Class A Ordinary Shares. Upon completion of the 1:25 reverse share split that took effect in April 2025, 208,000 Class A Ordinary Shares were reserved for grant under the 2023 ESOP. In December 2024, the Compensation Committee of the board of directors granted 500,000 options or restricted stock awards under the 2023 ESOP to each of the Company’s independent members of the board of directors. In June 2025, the Company held an annual general meeting at which the shareholders approved, among other things, an increase in the total amount of Class A Ordinary Shares that can be awarded under the 2023 ESOP from 208,000 Class A Ordinary Shares to 1,208,000 Class A Ordinary Shares. Unless otherwise determined by our board of directors, participation in the 2023 ESOP is open to all our employees. Participation in the ESOP will be voluntary. The 2023 ESOP is administered by our board of directors, which may delegate its authority thereunder as contemplated by the 2023 ESOP. Our board of directors has the authority, in the case of special dividends or distributions, specified reorganizations and other transactions, to determine appropriate equitable adjustments, if any, to