Company: NEGG
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001213900-25-036055
Chunk: 161

Company: Newegg Commerce, Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 16G
Chunk 161
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Item 16G. Corporate Governance

Newegg Commerce, Inc. (previously known as “ Lianluo
Smart Limited”) was incorporated as an international business company under the International Business Companies Act, 1984, in the
British Virgin Islands on July 22, 2003.

We are a foreign private issuer within the meaning
of the rules under the Exchange Act. As such we are exempt from certain provisions of the securities rules and regulations in the United
States that are applicable to U. S. domestic issuers. As a foreign private issuer, the information we are required to file with or furnish
to the SEC will be less extensive and less timely compared to that required to be filed with the SEC by U. S. domestic issuers. In addition,
as a company incorporated in the British Virgin Islands, we are permitted to adopt certain home country practices in relation to corporate
governance matters that differ significantly from the Nasdaq Listing Rules. We rely on home country practice to be exempted from some
of Nasdaq’s corporate governance requirements. For instance, unlike the requirements of Nasdaq, we are not required, under the BVI
Business Companies Act, 2004, as amended (the “ Companies Act”), to have our board consist of a majority of independent directors,
nor are we required to have a compensation committee or a nominating and corporate governance committee consisting entirely of independent
directors or have regular executive sessions with only independent directors each year. These practices may afford less protection to
shareholders than they would enjoy if we complied fully with the Nasdaq Listing Rules.

Item 16H. Mine Safety Disclosure