Company: WCT
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044576
Chunk: 60

Company: Wellchange Holdings Co Ltd
Filing Date: 2025-05-16
Form: 20-F
Item: Item 4A
Chunk 60
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 the purchase and prepayment for acquisition of intangible
assets of approximately US$437,874 and US$128,000, respectively, which represented the ERP software acquired from third party during the
year.

For the year ended December 31, 2024, net
cash used in investing activities was approximately US$2,832,115, mainly arising from the purchase of intangible assets of approximately
US$2,832,115, which represented the ERP software acquired from third party during the year.

Cash flows generated from (used in) financing
activities

Our cash flows generated from (used in) financing
activities primarily consisted of (i) repayment of bank borrowings; (ii) deferred offering costs; (iii) advances to a director;
(iv) repayment from a director; (v) repayment of related parties; and (vi) settlement of subscription receivables from
shareholders.

For the year ended December 31, 2022, net
cash generated from financing activities was approximately US$354,323, mainly arising from (i) net repayments from shareholders of
approximately US$1,022,037; and partially offset by (i) prepaid offering costs of approximately US$334,000; and (ii) net repayments
to related parties of approximately US$317,339.

For the year ended December 31, 2023, net
cash used in financing activities was approximately US$479,774, mainly arising from (i) repayment for bank borrowing of US$17,841,
(ii) prepayment of offering costs of US$346,090, (iii) advance to director of US$18,414; and (iv) repayment to related parties
of US$380,077; and partially offset by (i) repayment from a director of US$38,878; and (ii) settlement of subscription receivables
by shareholders of approximately US$243,770.

For the year ended December 31, 2024,
net cash generated from financing activities was approximately US$3,394,012, mainly arising from (i) proceed from initial
public offerings of US$4,019,673; and (ii) repayment from director of US$59,498 and partially offset by (i) repayment for bank
borrowing of US$64,966; and (ii) prepayment of offering costs of US$620,193.

Cash Flow Sufficiency

In order to meet the debt obligations and operating
needs of