Company: LICN
Filing Date: 2025-01-29
Form Type: 424B5
Source: 0001213900-25-007741
Chunk: 45

Company: Lichen International Ltd
Filing Date: 2025-01-29
Form: 424B5
Chunk 45
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 issue additional securities or obtain 
 additional financing in the future.                          |

As a result, an investor would likely find it
more difficult to trade, or to obtain accurate price quotations for, our securities if our securities are de-listed from Nasdaq. Delisting
would likely also reduce the visibility, liquidity and value of our securities, including as a result of reduced institutional investor
interest in our company, and may increase the volatility of our securities.

Risks Related to Our Corporate Structure

We are a holding company, and will rely on dividends paid by our subsidiaries for our cash needs. Any limitation on the ability of our subsidiaries to make dividend payments to us, or any tax implications of making dividend payments to us, could limit our ability to pay our parent company expenses or pay dividends to holders of our shares.

We are a holding company
with no material operation of our own. We may rely on dividends to be paid by our subsidiaries to fund our cash and financing requirements,
including the funds necessary to pay dividends and other cash distributions to our shareholders, to service any debt we may incur and
to pay our operating expenses. If any of our subsidiaries incurs debt on its own behalf in the future, the instruments governing the debt
may restrict its ability to pay dividends or make other distributions to us.

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

Our PRC subsidiary generates
primarily all of its revenue in Renminbi, which is not freely convertible into other currencies. As a result, any restriction on currency
exchange may limit the ability of our PRC subsidiary to use its Renminbi revenues to pay dividends to us. The PRC government may continue
to strengthen its capital controls, and more restrictions and substantial vetting process may be put forward by State Administration of
Foreign Exchange (the “SAFE”) for cross-border transactions falling under both the current account and the capital account.
Any limitation on the ability of our PRC subsidiary to pay dividends or make other kinds of payments to us could materially and adversely
limit our ability to grow, make investments or acquisitions that could be beneficial to our business, pay dividends, or otherwise fund