Company: NOAH
Filing Date: 2025-04-24
Form Type: 20-F
Source: 0001410578-25-000852
Chunk: 26

Company: NOAH HOLDINGS LTD
Filing Date: 2025-04-24
Form: 20-F
Item: Item 3
Chunk 26
---
 to make additional capital contributions to our mainland China subsidiaries, which could materially and adversely affect our liquidity and our ability to fund and expand our business.
We are an offshore holding company conducting our operations in mainland China through our mainland China subsidiaries and Consolidated Affiliated Entities. We may make loans to our mainland China subsidiaries and Consolidated Affiliated Entities, or we may make additional capital contributions to our mainland China subsidiaries.
Any loans made by us to our mainland China subsidiaries are subject to mainland China’s regulations and foreign exchange loan registrations. For example, loans by us to our mainland China subsidiaries to finance their activities cannot exceed statutory limits, i.e., the difference between its total amount of investment and its registered capital, or certain amount calculated based on elements including capital or net assets, and the cross-border financing leverage ratio under the laws of mainland China, such statutory limits generally known as the macro-prudential management mode, and the loans must be registered with the local counterpart of the SAFE or filed with SAFE in its information system. We may also provide loans to the Consolidated Affiliated Entities or its subsidiaries or other domestic mainland China entities under the macro-prudential management mode. According to the Notice issued by the People’s Bank of China and the State Administration of Foreign Exchange on January 13, 2025, the macro-prudent adjustment parameter for cross-border financing has been increased to 1.75 from 1.5. Moreover, any medium or long-term loan to be provided by us to the Consolidated Affiliated Entities or its subsidiaries or other domestic mainland China entities must also be registered with the National Development and Reform Commission. We may also decide to finance our mainland China subsidiaries by means of capital contributions. These capital contributions must be recorded with the competent administration for market regulation.

21

On March 30, 2015, SAFE issued the Circular of the State Administration of Foreign Exchange on Reforming the Administrative Approach Regarding the Settlement of the Foreign Exchange Capital of Foreign-invested Enterprises, which took effect and replaced previous regulations from June 1, 2015, which has been amended by the Notice on Reforming and Regulating the Management Policies for Foreign Exchange Settlement under the Capital Account issued on June 9, 2016 and the Notice on Further Deepening the Reform to Facilitate Cross-border Trade and Investment issued on December 4, 2023. Pursuant to these regulations, up to 100% of foreign currency capital of a foreign-invested enterprise may be converted into RMB capital according to the actual operation,