Company: RETO
Filing Date: 2025-05-09
Form Type: 20-F
Source: 0001213900-25-041195
Chunk: 76

Company: ReTo Eco-Solutions, Inc.
Filing Date: 2025-05-09
Form: 20-F
Item: Item 19
Chunk 76
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 common share without any action on the part of the holders, with par
value of the common shares of the Company changing from $0.01per share to $0.1per share.

On February 11, 2025, the Company’s board of directors approved
another combination of common shares on a ten-to-one basis (the “2025 Share Combination”). The Company’s common shares
began trading on a post-combination basis on March 7, 2025. As a result of the 2025 Share Combination, each ten pre-combination common
shares of the Company were automatically combined into one common share without any action on the part of the holders, with par value
of the common shares of the Company changing from $0.1per share to $1.0per share

The share number and share-related data in the
financial statements have been adjusted to reflect the above share combinations.

As of December 31, 2024 and 2023,1,931,264and120,519Class A common
shares, respectively, were issued and outstanding.

F-26

RETO ECO-SOLUTIONS, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTE 16 - SHAREHOLDERS’ EQUITY
(continued)

Equity Grants

On April 22, 2022, the Company’s board of
directors approved the issuance of an aggregate of1,025common shares to its employees for their services under the 2018 Share Incentive
Plan and also approved the issuance of an aggregate of3,000common shares to its employees, officers and directors for their
services under the 2021 Share Incentive Plan, both of which were registered under the registration statement on Form S-8 which was filed
with the SEC on April 26, 2022. The Company issued an aggregate of4,025common shares between May 9, 2022 and June 4, 2022 and recognized
share-based compensation expenses of $3,296,475related to the issuance.

On March 8, 2023, the Company’s board of
directors approved the issuance of an aggregate of5,000common shares to its employees, officers and directors for their services under
the 2022 Share Incentive Plan. For the year ended December 31, 2023, the Company recognized share-based compensation expenses of $2,100,