Company: DDC
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-043916
Chunk: 198

Company: DDC Enterprise Ltd
Filing Date: 2025-05-15
Form: 20-F
Item: Item 19
Chunk 198
---
 the principal terms effective until March 31, 2022 summarized as follows:

1) Exclusive Consultancy and Service Agreement

WFOE and Weishi entered into an Exclusive Consultancy
and Service Agreement whereby WFOE is appointed as the exclusive service provider for the provision of management consulting, technical
support, intellectual property licensing and other relevant services to Weishi during the service period, which is 20 years and will
be automatically renewed for 20 years upon each expiration.

It is agreed that the WFOE shall be entitled to
substantially all of the economic benefits and bear all the risks of Weishi. Weishi shall pay WFOE on a quarterly basis a service fee,
which shall be equal to all the quarterly profit before tax and before the service fee after covering the deficit for prior years, if
any. WFOE has the discretion to adjust the basis of calculation of the service fee amount according to service provided to Weishi.

Weishi and its nominee shareholder shall accept
the service provided by the WFOE, cannot receive services from other third parties directly or indirectly, and shall not enter into any
transaction that may cause conflict with the agreement or negatively affect the interests under the agreement.

F-15

1. DESCRIPTION OF BUSINESS AND ORGANISATION(cont.)

2) Exclusive Option Agreement

The WFOE has exclusive right to purchase the equity
interests and assets in Weishi from the nominee shareholder and assets from Weishi, once or at multiple times at any time in part or in
whole, at the Company’s sole discretion.

The purchase price of equity interests shall be
the higher of the loan amount under the relevant loan agreement and the minimum price permitted by the local applicable laws. The purchase
price of assets shall be the higher of the carrying amount of the relevant assets and the minimum price permitted by the local applicable
laws. Pursuant to the contractual arrangement, Weishi and its nominee shareholder shall not terminate the exclusive purchase agreement
unilaterally in any event unless otherwise required by applicable laws.

3) Proxy Agreement

The WFOE has sole and exclusive power of attorney
to act on behalf of the nominee shareholder of Weishi with respect to all rights and matters concerning all equity interests held by such
nominee shareholder including exercising all of the nominee shareholder’s rights and voting rights; deciding the sale, transfer,
pledge or disposition of the shares of Weishi; representing the nominee shareholder to execute any resolutions and minutes as a nominee
shareholder (and director)