Company: MKDWW
Filing Date: 2025-04-03
Form Type: 20-F
Source: 0001641172-25-002607
Chunk: 141

Company: MKDWELL Tech Inc.
Filing Date: 2025-04-03
Form: 20-F
Item: Item 19
Chunk 141
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 2023 as a nonoperating shell company. MKD Technology Inc. (“ MKD
Taiwan”) was incorporated in Taiwan on September 26, 2006.

MKD,
through its subsidiary MKD Taiwan and MKD Taiwan’s subsidiaries (collectively, the “ Company”), primarily engages in
designing and manufacturing industrial embedded system and automotive electronics in Taiwan and mainland China.

Taiwan
Reorganization

MKD
Taiwan conducted a share offering in 2015 to investors in Taiwan to raise working capital. In December 2022, pursuant to requirements
from PRC regulators, certain working capital loans from the Company’s shareholder and director, Mr. Ming-Chao Huang, were capitalized
and converted into an equity interest of 42

In
May 2023, for the purpose of business combination, MKD Taiwan held a shareholders’ meeting to seek approval from the shareholders
of MKD Taiwan to, among others, (i) approve the business combination with Cetus Capital Acquisition Corp. (“ Cetus Capital”),
a blank check company incorporated in Delaware on June 7, 2022, (ii) approve the acquisition by share swap of MKD Taiwan by MKD BVI as
part of the reorganization for the business combination with Cetus Capital, and (iii) the acquisition of the remaining 42

Thereafter,
MKD Taiwan commenced a reorganization by way of share acquisition (the “ Taiwan Reorganization”), in which MKD BVI commenced
acquiring shares of MKD Taiwan directly from MKD Taiwan shareholders, in exchange for proportionate shares of MKD BVI which were issued
to MKD Taiwan shareholders. MKD BVI is a redomestication platform for MKD Taiwan shareholders to exchange their MKD Taiwan shares for
MKD BVI shares. Each MKD Taiwan shareholder who accepted the offer received one MKD BVI share for each MKD Taiwan share they held. The
Taiwan Reorganization was accounted for as a recapitalization transaction. As of December 31, 2024, MKD BVI owns approximately 62.36

Reverse
Recapitalization

On
June 20, 2023, MKD BVI entered into a business combination agreement (the “ Business Combination Agreement”) with (i) Cetus
Capital, (ii) MKD Taiwan, and (iii) Ming-Chia Huang, in his capacity as the representative of the shareholders of MKD Taiwan (the “ Shareholders’
Represent