Company: JXG
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-043744
Chunk: 51

Company: JX Luxventure Group Inc.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 3
Chunk 51
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 principle, where RMB is to be converted into foreign currency
and remitted out of China to pay capital expenses such as the repayment of loans denominated in foreign currencies. As a result, we need
to obtain SAFE approval to use cash generated from the operations of our PRC subsidiaries to pay off their respective debt in a currency
other than Renminbi owed to entities outside China, or to make other capital expenditure payments outside China in a currency other than
Renminbi. The PRC government may at its discretion restrict access to foreign currencies for current account transactions in the future.
If the foreign exchange control system prevents us from obtaining sufficient foreign currencies to satisfy our foreign currency demands,
we may not be able to pay dividends in foreign currencies to our shareholders, including holders of the Common stock.

Certain PRC regulations may make it more difficult
for us to pursue growth through acquisitions.

Among other things, the Regulations on Mergers
and Acquisitions of Domestic Enterprises by Foreign Investors (“ M& A Rules”) and Anti-Monopoly Law of the People’s
Republic of China promulgated by the Standing Committee of the NPC which became effective in 2008 (“ Anti-Monopoly Law”), established
additional procedures and requirements that could make merger and acquisition activities by foreign investors more time-consuming and
complex. Such regulation requires, among other things, that State Administration for Market Regulation (SAMR) be notified in advance of
any change-of-control transaction in which a foreign investor acquires control of a PRC domestic enterprise or a foreign company with
substantial PRC operations, if certain thresholds under the Provisions of the State Council on the Standard for Declaration of Concentration
of Business Operators, issued by the State Council in 2008, are triggered. Moreover, the Anti-Monopoly Law requires that transactions
which involve the national security, the examination on the national security shall also be conducted according to the relevant provisions
of the State. In addition, PRC Measures for the Security Review of Foreign Investment which became effective in January 2021 require acquisitions
by foreign investors of PRC companies engaged in military-related or certain other industries that are crucial to national security be
subject to security review before consummation of any such acquisition. We may pursue potential strategic acquisitions that are complementary
to our business and operations.

Complying with the requirements of these regulations
to complete such transactions could be time-consuming, and any required approval processes, including obtaining approval or clearance
from the MOFCOM, may delay or