Company: FORL
Filing Date: 2025-04-30
Form Type: 10-K
Source: 0001213900-25-037576
Chunk: 308

Company: Four Leaf Acquisition Corp
Filing Date: 2025-04-30
Form: 10-K
Item: Item 1A
Chunk 308
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 and ancillary regulations, and
became the legal foundation for foreign investment in the PRC from January 1, 2020. Meanwhile, the Implementation Regulation of the Foreign
Investment Law and the Measures for Reporting of Information on Foreign Investment came into effect as of January 1, 2020, which clarified
and elaborated on the relevant provisions of the Foreign Investment Law.

The Foreign Investment Law sets out the basic regulatory framework
for foreign investments and proposes to implement a system of pre-entry national treatment with a negative list for foreign investments,
pursuant to which (i) foreign entities and individuals are prohibited from investing in the areas that are not open to foreign investments,
(ii) foreign investments in the restricted industries must satisfy certain requirements under the law, and (iii) foreign investments in
business sectors outside of the negative list will be treated equally with domestic investments. The Foreign Investment Law also sets
forth necessary mechanisms to facilitate, protect and manage foreign investments and proposes to establish a foreign investment information
reporting system, through which foreign investors or foreign-invested enterprises are required to submit an initial report, report of
changes, report of deregistration and an annual report relating to their investments to the MOFCOM or its local branches. As the Foreign
Investment Law is still relatively new, it is unclear how the regulations will be interpreted and implemented by the relevant government
authorities.

Changes in the policies, regulations, rules, and the enforcement
of laws of the PRC government may be quick with little advance notice and could have a significant impact upon our ability to operate
profitably in the PRC.

If we consummate our initial business combination with a target with
principal operations in the PRC, our combined company may conduct most of our operations and most of our revenue is generated in the PRC.
Accordingly, economic, political and legal developments in the PRC would significantly affect our combined company’s business, financial
condition, results of operations and prospects. Policies, regulations, rules, and the enforcement of laws of the PRC government can have
significant effects on economic conditions in the PRC and the ability of businesses to operate profitably. Our combined company’s
ability to operate profitably in the PRC may be adversely affected by changes in policies by the PRC government, including changes in
laws, regulations or their interpretation, particularly those dealing with the Internet, including censorship and other restriction on
material which can be transmitted over the Internet, security, intellectual property, money laundering,