Company: RETO
Filing Date: 2025-05-09
Form Type: 20-F
Source: 0001213900-25-041195
Chunk: 20

Company: ReTo Eco-Solutions, Inc.
Filing Date: 2025-05-09
Form: 20-F
Item: Item 7
Chunk 20
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 to publish reports covering us regularly,
we could lose visibility in the market, which in turn could cause our stock price or trading volume to decline and result in the loss
of all or a part of your investment in us.

Shares eligible for future sale may adversely
affect the market price of our Class A Shares, as the future sale of a substantial amount of outstanding Class A Shares in the public
marketplace could cause the price of our Class A Shares to decrease.

The market price of our shares
could decline as a result of sales of substantial amounts of our shares in the public market, or the perception that these sales could
occur. In addition, these factors could make it more difficult for us to raise funds through future offerings of our Class A Shares.

General Risk Factors

Our classified board structure may prevent
a change in control of our Company.

Our board of directors is
divided into three classes of directors. Class C directors hold office for a term expiring at the 2025 annual meeting of shareholders,
Class A directors hold office for a term expiring at the 2026 annual meeting of shareholders, and Class B directors hold office for a
term expiring at the 2027 annual meeting of shareholders. Directors of each class are elected for three-year terms upon the expiration
of their current terms. The staggered terms of our directors may reduce the possibility of a tender offer or an attempt at a change in
control, even though a tender offer or change in control might be in the best interest of our shareholders.

As the rights of stockholders under British
Virgin Islands law differ from those under U. S. law, you may have fewer protections as a shareholder

Our corporate affairs are
governed by (among other things) our constitutional documents (consisting of our M& A) and the British Virgin Island’s primary
corporate legislation, the British Virgin Islands Business Companies Act, 2004 (as amended) (the “ BVI Act”). The British Virgin
Islands has a common law legal system based on the English model, comprising statute law and binding case precedents influenced by the
laws of England and other Commonwealth jurisdictions, with a right of final appeal to the Privy Council in London. The rights of shareholders
to take legal action against our directors, actions by minority stockholders and the fiduciary responsibilities and duties of our directors
under British Virgin Islands law are to a large extent found under common law and the BVI Act. While decisions of the BVI