Company: GDHLF
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001410578-25-000935
Chunk: 283

Company: GDS Holdings Ltd
Filing Date: 2025-04-28
Form: 20-F
Item: Item 5
Chunk 283
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 of December 31, 2022, 2023 and 2024, the VIEs and their subsidiaries held cash of RMB2,326.3 million, RMB2,451.5 million and RMB1,858.8 million (US$254.7 million), respectively.

In the years ended December 31, 2022 and 2023, our company, through the intermediate holding companies, made capital contribution or provided intercompany loans to the non-VIE subsidiaries of RMB6,312.5 million and RMB1,285.3 million, respectively. In the year ended December 31, 2024, GDS Holdings received repayments from discontinued operations of RMB1,059.0 million (US$145.1 million) and made capital contributions or provided intercompany loans to other non-VIE subsidiaries of RMB851.0 million (US$116.6 million).

PRC entities need to appropriate reserve funds of 10% before distributing earnings until such reserve reaches 50% of paid in capital. Except as otherwise disclosed elsewhere in this annual report, there was no restriction or limitation on our company’s ability to receive earnings from our subsidiaries or to distribute them to U. S. investors during the years ended December 31, 2022, 2023 and 2024. Likewise, there was no restriction or limitation on the consolidated VIEs to settle obligations under the consolidated VIE contractual arrangements. As of December 31, 2024, certain subsidiaries, the VIEs and their subsidiaries had retained earnings of RMB3,334.7 million (US$456.9 million) in aggregate. No dividend or distribution was made through our subsidiaries or consolidated VIEs to our company during the years ended December 31, 2022, 2023 and 2024.

The PRC government imposes controls on the convertibility of the Renminbi into foreign currencies and, in certain cases, the remittance of currency out of mainland China. We receive substantially all of our revenues in Renminbi. Under our current corporate structure, GDS Holdings may rely on dividend payments from our mainland China subsidiaries to fund any of our cash and financing requirements. Under China’s existing foreign exchange regulations, our mainland China subsidiaries are able to make payments of current accounts, such as dividends, to their offshore holding companies, in foreign currencies, without prior approval from SAFE, by complying with certain procedural requirements. However, approval from appropriate government authorities will be