Company: JL
Filing Date: 2025-05-20
Form Type: 20-F/A
Source: 0001213900-25-045507
Chunk: 4

Company: J-Long Group Ltd
Filing Date: 2025-05-20
Form: 20-F/A
Chunk 4
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ary”), which is located in Hong Kong. Our Ordinary Shares are securities of the Company and not those                
 of our Operating Subsidiary, JLHK. Therefore, investors in our Company are not acquiring equity interests in an operating company but      
 instead are acquiring interests in a Cayman Islands holding company and may never hold equity interests in our Hong Kong operating entity. |

Although the holding company structure may be usedto provide investors with exposure to foreign investment in China-based companies where Chinese law prohibits direct foreign investment in the operating companies, that purpose does not apply to our Company. We are engaged in the distribution in Hong Kong of reflective and non-reflective garment trims, which is neither a prohibited nor a restricted industry on the Negative List (2024) as promulgated by the National Development and Reform Commission (the “NDRC”) and the Ministry of Commerce pursuant to the Foreign Investment Law. Therefore, our holding company structure is not used to provide investors with exposure to foreign investment in China-based companies where Chinese law prohibits direct foreign investment in the operating companies. However, the PRC government may implement changes to the existing laws and regulations in the future, which may result in the prohibition or restriction of foreign investors from owning equity interests in our PRC operating subsidiary. The holding company structure involves unique risks to investors. As a holding company, we may rely on dividends from our Operating Subsidiary, JLHK, for cash requirements, including any payment of dividends to our shareholders. The ability of our Operating Subsidiary to pay dividends or make distributions to us may be restricted by laws and regulations applicable to it. In addition, if our Operating Subsidiary incurs debt on its own behalf, the instruments governing its debt may restrict its ability to pay dividends to us. Further, we are subject to risks due to uncertainty regarding the interpretation and the application of the PRC laws and regulations, including but not limited to, limitations on foreign ownership and regulatory review of overseas listings of PRC companies and the risk that Chinese regulatory authorities could disallow our holding company structure, which would likely result in a material change in our operations and/or a material change in the value of our securities, which could significantly decline or become worthless. See “Risk Factors — Risks Related to Doing Business in Hong Kong — All of our operations are in Hong Kong, a special administrative region of the PRC. Due to the long-arm provisions under the current PRC laws and regulations, the PRC government may exercise significant oversight and discretion over the conduct of