Company: FEBO
Filing Date: 2025-05-14
Form Type: 20-F
Source: 0001641172-25-010075
Chunk: 45

Company: Fenbo Holdings Ltd
Filing Date: 2025-05-14
Form: 20-F
Item: Item 3
Chunk 45
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 respect to us on June 30, 2024 In
the future, we would lose our foreign private issuer status if: (i) more than 50% of our outstanding voting securities are owned by U. S.
residents; and (ii) a majority of our directors or executive officers are U. S. citizens or residents, or we fail to meet additional requirements
necessary to avoid the loss of foreign private issuer status. If we were to lose our foreign private issuer status, we would be required
to file with the SEC periodic reports and registration statements on U. S. domestic issuer forms, which are more detailed and extensive
than the forms available to a foreign private issuer. We would also have to comply with U. S. federal proxy requirements, and our officers,
directors and 10% shareholders would become subject to the short-swing profit disclosure and recovery provisions of Section 16 of the
Exchange Act. In addition, we would lose our ability to rely upon exemptions from certain corporate governance requirements under the
listing rules of Nasdaq. As a U. S. listed public company that is not a foreign private issuer, we would incur significant additional legal,
accounting and other expenses that we do not incur as a foreign private issuer.

We will incur significantly increased costs
and devote substantial management time as a result of the listing of our Ordinary Shares on the Nasdaq Capital Market.

We incur additional legal, accounting
and other expenses as a public reporting company, particularly after we cease to qualify as an emerging growth company. For example, we
are required to comply with the additional requirements of the rules and regulations of the SEC and Nasdaq rules, including applicable
corporate governance practices. Compliance with these requirements increases our legal and financial compliance costs and makes some activities
more time-consuming and costly. In addition, our management and other personnel will need to divert attention from operational and other
business matters to devote substantial time to these public company requirements. We cannot predict or estimate the number of additional
costs incur as a result of becoming a public company or the timing of such costs.

In addition, changing laws, regulations
and standards relating to corporate governance and public disclosure are creating uncertainty for public companies, increasing legal and
financial compliance costs, and making some activities more time-consuming. These laws, regulations and standards are subject to varying
interpretations, in many cases due to their lack of specificity, and, as a result, their application in practice may evolve over time
as new guidelines are provided by