Company: WCT
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044576
Chunk: 121

Company: Wellchange Holdings Co Ltd
Filing Date: 2025-05-16
Form: 20-F
Item: Item 19
Chunk 121
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, to rationalize
the structure of the Company and its subsidiaries (collectively, the “ Group”) in preparation for the listing of the Company’s
shares, the Company became the holding company of the Group on August 30, 2023, which involved (i) the incorporation of the
Company on July 13, 2023 and allotment ofoneordinary share to Mapcal Limited, a third party, and transfer theoneordinary share
to Mr. Shek Kin Pong at par value of US$1; (ii) incorporation of Victory Hero on August 14, 2023 by the Company; (iii) the
acquisition ofoneordinary share of the Company from Mr. Shek Kin Pong by Power Smart at par value of US$1; (iv) the allotment
of889ordinary shares of the Company to Power Smart by the Company for the transfer of the entire equity interest in Wching HK,
originally wholly-owned by Mr. Shek Kin Pong, by Victory Hero, on August 28, 2023; and (v) further allotment of45,35and30ordinary shares of the Company to Ocean Serene Holdings Limited (“ Ocean Serene”), Paramount Fortune Capital Limited
(“ Paramount Fortune”) and Prestige Leader Success Limited (“ Prestige Leader”) at a consideration of US$99,724,
US$77,563and US$66,483, respectively, in cash on August 30, 2023. After the Group Reorganization as of August 30, 2023, Power
Smart, Ocean Serene, Paramount Fortune and Prestige Leader are holding89%,4.5%,3.5% and3.0% of equity interest in the Company. The
Company, together with its wholly-owned subsidiaries, are effectively controlled by the same Controlling Shareholder, Mr. Shek Kin
Pong, i. e., ultimately held as to100% and89% by the Controlling Shareholder before and after the Group Reorganization, respectively,
and therefore the Group Reorganization is considered as a recapitalization of entities under common control.

F-8

WELLCHANGE HOLDINGS COMPANY LIMITED

1. ORGANIZATION AND BUSINESS OVERVIEW(cont.)

The consolidation of the Company and its
subsidiaries has been accounted for at historical cost. No amount is recognized in respect of goodwill or excess of acquirer’s interest
in the net fair value of acquiree’s identifiable assets, liabilities and contingent liabilities over