Company: SDAWW
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001213900-25-036086
Chunk: 49

Company: SunCar Technology Group Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 3
Chunk 49
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 PRC laws and regulations, our corporate structure and arrangements are not subject to CRSC’s approval
under the M& A Rules because Haiyan Trading was incorporated as a wholly foreign owned enterprise which is mainly controlled by a HK
individual. However, there remains uncertainty as to how the M& A Rules will be interpreted or implemented in the context of an overseas
offering and listing the potential impact such modified or new laws and regulations will have on the daily business operation of the PRC
Operating Entities. We cannot assure you that relevant PRC government agencies, including the CSRC, would reach the same conclusion as
we do. The PRC regulatory authorities may in the future promulgate laws, regulations or implementing rules that requires SunCar and its
subsidiaries, including the PRC Operating Entities, to obtain regulatory permission or approval from Chinese authorities to continue listing
in the U. S. If it is determined that CSRC permission or approval is required for the continuous listing on the Nasdaq, we may face sanctions
by the CSRC or other PRC regulatory agencies for failure to obtain or delay in obtaining CSRC permission or approval. These sanctions
may include fines and penalties on our operations in China, limitations on our operating privileges in China, restrictions on or prohibition
of the payments or remittance of dividends by our subsidiaries in China, or other actions that could have a material and adverse effect
on our business, financial condition, results of operations, reputation and prospects, as well as the trading price of our ordinary shares.
In addition, if the CSRC or other regulatory agencies later promulgate new rules or explanations requiring that we obtain their permissions
or approvals for the continuous listing on the Nasdaq, we may be unable to obtain a waiver of such permission or approval requirements,
if and when procedures are established to obtain such a waiver, which may cause delay or even inability to execute the Transaction.

On February 17, 2023, the
China Securities Regulatory Commission (“ CSRC”) promulgated the Provisional Measures on the Administration of Overseas Securities
Offering and Listing by Domestic Companies (“ Provisional Measures”), effective March 31, 2023. These Provisional Measures
require domestic companies seeking to offer or list securities overseas, both directly and indirectly, to fulfill filing procedures with
the CSRC. Indirect offering or listing refers to offerings made under the name of an overseas entity by a Chinese entity which has its
main business activities in China. Under these Provisional Measures, Chinese entities