Company: SISI
Filing Date: 2025-02-18
Form Type: S-1
Source: 0001493152-25-007187
Chunk: 8

Company: SHINECO, INC.
Filing Date: 2025-02-18
Form: S-1
Chunk 8
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 procedures would not be rescinded. Any such failure would subject us to sanctions by the CSRC or other PRC regulatory authorities. These regulatory authorities may impose restrictions and penalties on the operations in China, significantly limit or completely hinder our ability to launch any new offering of our securities, limit our ability to pay dividends outside of China, delay or restrict the repatriation of the proceeds from future capital raising activities into China, or take other actions that could materially and adversely affect our business, results of operations, financial condition and prospects, as well as the trading price of our shares of common stock. Furthermore, the PRC government authorities may further strengthen oversight and control over listings and offerings that are conducted overseas. Any such action may adversely affect our operations and significantly limit or completely hinder our ability to offer or continue to offer securities to you and cause the value of such securities to significantly decline or be worthless. See “ Risk Factors—Risks Relating to Doing Business in China— The approval and/or other requirements of the CSRC or other PRC governmental authorities may be required in connection with an offering under PRC rules, regulations or policies, and, if required, we cannot predict whether or how soon we will be able to obtain such approval” on page 16 of this prospectus.

Shineco’s operating subsidiaries receive substantially all of the Company’s revenue in Renminbi, the legal currency of China (“RMB” or “Renminbi”). Under our current corporate structure, Shineco’s PRC subsidiaries have paid, and may continue to pay, some of Shineco’s expenses and Shineco has from time to time transferred cash to its subsidiaries to fund their operations. We do not maintain any written cash management policies and procedures that dictate how funds are transferred within our organization. For the fiscal years ended June 30, 2023 and 2024, and the six months ended December 31, 2023 and 2024, Shineco transferred to its subsidiaries and, during the fiscal years ended June 30, 2023 and 2024 and the six months ended December 31, 2023, also to the former VIEs, in the amount of US$200,000, US$0, US$0, and US$0, respectively, for general corporate purposes. For the fiscal years ended June 30, 2023 and 2024, and the six months ended December 31, 2023 and 2024, Shineco’s subsidiaries and, during the fiscal years ended