Company: VSA
Filing Date: 2025-11-13
Form Type: 424B5
Source: 0001213900-25-109735
Chunk: 40

Company: VisionSys AI Inc
Filing Date: 2025-11-13
Form: 424B5
Chunk 40
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 to time), legal obligations or industry standards may result
in governmental enforcement actions, litigation, fines and penalties or adverse publicity, could require us or our clients to change our
or their business practices and could cause our clients to lose trust in us.

Risks Related to Our Corporate Structure

We may rely on dividends and other distributions on equity paid by our subsidiary in mainland China to fund any cash and financing requirements we may have. To the extent cash or assets in the business is in mainland China or Hong Kong or a mainland China or Hong Kong entity, the funds or assets may not be available to fund operations or for other use outside of mainland China or Hong Kong as we and our subsidiary are subject to certain restrictions with respect to paying dividends or otherwise transferring any of their cash or assets offshore, and any such restriction limitation on the ability of our subsidiaries in mainland China to make payments to us could have a material and adverse effect on our ability to conduct our business.

We are a holding company, and we may rely on dividends
and other distributions on equity paid by our subsidiary in mainland China for our cash and financing requirements, including the funds
necessary to pay dividends and other cash distributions to our shareholders and service any debt we may incur. If these subsidiaries incur
debt on their own behalf in the future, the instruments governing the debt may restrict their ability to pay dividends or make other distributions
to us. In addition, to the extent cash or assets in the business is in mainland China or Hong Kong or a mainland China or Hong Kong entity,
the funds or assets may not be available to fund operations or for other use outside of mainland China or Hong Kong as we and our subsidiaries
are subject to certain restrictions with respect to paying dividends or otherwise transferring any of their cash or assets offshore, and
there is no assurance the PRC government will not intervene in or impose restrictions on the ability of us, our subsidiaries, and the
consolidated variable interest entities to transfer cash (or assets).

Under laws and regulations of mainland China,
our wholly foreign-owned subsidiaries in mainland China may pay dividends only out of their respective accumulated profits as determined
in accordance with accounting standards and regulations of mainland China. In addition, a mainland China enterprise is required to set
aside at least 10% of its accumulated after-tax profits each year, if any, to fund certain statutory reserve funds, until the aggregate
amount of such fund reaches 50% of its registered capital.

Any limitation on the ability of our subsidiaries
in mainland China to pay dividends or