Company: LICN
Filing Date: 2025-04-29
Form Type: 20-F
Source: 0001213900-25-036244
Chunk: 12

Company: Lichen International Ltd
Filing Date: 2025-04-29
Form: 20-F
Item: Item 4
Chunk 12
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ceeds raised from the sale. The Company also agreed to reimburse the Placement Agent at closing for legal and other expenses incurred
by them in connection with December 29 Registered Direct Offering in an amount not to exceed $50,000.

Trial Operation of AI Large-Scale Model

In
December 2024, the Company announced that the AI large-scale model it has co-developed with JD Technology(JDT) is scheduled
to commence its formal trial operation at the end of December. In October 2024, the Company entered into a cooperation framework agreement
with JDT at the JD headquarters in Beijing. JD Technology (JDT) is a business group under JD. com, with a focus on serving governmental
and corporate clients through technology. According to the agreement, Lichen China will develop a new AI large-scale model for finance,
taxation, and law with JDT leveraging the Company’s existing AI technologies alongside JDT’s extensive development capabilities.

Integration with DeepSeek Optimization Framework

In
January 2025, the Company announcedits plans to integrate the DeepSeek optimization framework into its existing Lichen Financial
and Taxation AI Model. This integration is expected to significantly enhance the AI’s capabilities in handling complex financial
and taxation tasks, offering more efficient and accurate solutions to its users.

The DeepSeek optimization
framework, known for its advanced multi-modal generation, efficient computation, and long-context processing capabilities, will be integrated
into Lichen China’s AI architecture to improve its performance in various financial and taxation scenarios. The integration is scheduled
to be completed by the end of Q2 2025, with a trial phase set to begin in early March 2025.

January 28, 2025 Registered Direct Offering

On January 28, 2025, Lichen
China Limited (the “ Company”) entered into a securities purchase agreement (the “ Purchase Agreement”) with certain
institutional investors named thereto (the “ Purchasers”), pursuant to which the Company agreed to issue and sell, in a registered
direct offering (“ January 28 Registered Direct Offering”): (i) 20,933,333 shares of Class A ordinary shares (the “ Class
A Ordinary Shares”) of the Company, par value $0.00004 per share (the “ Shares”), at a purchase price of $0.08 per share;
and (ii) pre-funded warrants to purchase up to 21,566,667 Class A Ordinary Shares (the “ Pre-Funded Warrants”) at a purchase
price