Company: SCAG
Filing Date: 2025-11-12
Form Type: 20-F
Source: 0001213900-25-109190
Chunk: 66

Company: Scage Future
Filing Date: 2025-11-12
Form: 20-F
Item: Item 3
Chunk 66
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ation
of the Business Combination, (ii) in which hawse have total annual gross revenue of at least US$1.235 billion, or (iii) in
which we are deemed to be a large accelerated filer, which means the market value of our common equity that is held by non-affiliates
exceeds US$700 million as of the last business day of its most recently completed second fiscal quarter; and (2) the date
on which we have issued more than US$1.00 billion in non-convertible debt securities during the prior three-year period.

Investors may find our securities
less attractive if it chooses to rely on these exemptions, and there may be a less active trading market for our securities, and the
price of such securities may be more volatile.

We will incur increased costs as a result
of operating as a public company, and its management will be required to devote substantial time to comply with a public company’s
responsibilities and corporate governance practices.

As a public company, we will
incur significant legal, accounting and other expenses, which we expect to further increase after it is no longer an “emerging
growth company.” The Sarbanes-Oxley Act, the Dodd-Frank Wall Street Reform and Consumer Protection Act, the listing requirements
of Nasdaq, and other applicable securities rules and regulations impose various requirements on public companies. our management and
other personnel are not experienced in managing a public company and will be required to devote a substantial amount of time to compliance
with these requirements. Moreover, these rules and regulations will increase our legal and financial compliance costs and will make some
activities more time-consuming and costly.

In the past, shareholders
of some public companies brought securities class action suits against these companies following periods of instability in the market
price of these companies’ securities. our involvement in a class action suit could divert a significant amount of its management’s
attention and other resources from its business, which could harm its results of operations and require it to incur significant expenses
to defend the suit.

Any such class action suit,
whether or not successful, could harm our reputation and restrict its ability to raise capital in the future. In addition, if a claim
is successfully made against it, we may be required to pay significant damages, which could materially and adversely affect its financial
condition and results of operations.

If we are characterized as a passive foreign
investment company (“ PFIC”) for U. S. federal income tax purposes, U.