Company: ATMCW
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004801
Chunk: 1561

Company: ALPHATIME ACQUISITION CORP
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 1561
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 a Business Combination that employs the use of these
types of control arrangements, these contractual arrangements may not be as effective in providing us with the same economic benefits,
accounting consolidation or control over a target business as would direct ownership due to limited implementation guidance provided
with respect to such regulations. If the government of the PRC finds that the agreements we entered into to acquire control of a target
business through contractual arrangements with one or more operating businesses do not comply with local governmental restrictions on
foreign investment, or if these regulations or the interpretation of existing regulations change in the future, we could be subject to
significant penalties or be forced to relinquish our interests in those operations.

If
we effect our initial business combination with a business located in the PRC, a substantial portion of our operations may be conducted
in the PRC, and a significant portion of our net revenues maybe derived from customers where the contracting entity is located in the
PRC. Accordingly, our business, financial condition, results of operations, prospects and certain transactions we may undertake may be
subject, to a significant extent, to economic, political and governmental and legal developments, laws and regulations in the PRC. For
instance, all or most of our material agreements may be governed by PRC law and we may have difficulty in enforcing our legal rights
because the system of laws and the enforcement of existing laws in PRC may not be as certain in implementation and interpretation as
in the United States. In addition, contractual arrangements we enter into with potential future subsidiaries and affiliated entities
or acquisitions of offshore entities that conduct operations through affiliates in the PRC may be subject to a high level of scrutiny
by the relevant PRC tax authorities. We may also be subject to restrictions on dividend payments after we consummate a Business Combination
and if we rely on dividends and other distributions from our operating company to provide us with cash flow and to meet our other obligations.

44

Contractual
arrangements we enter into with potential future subsidiaries and affiliated entities or acquisitions of offshore entities that conduct
operations through affiliates in the PRC may be subject to a high level of scrutiny by the relevant tax authorities.

Under
the laws of the PRC, arrangements and transactions among related parties may be subject to audit or challenge by the relevant tax authorities.
If any of the transactions we enter into with potential future subsidiaries and affiliated entities are found not to be on an arm’s-length
basis, or to result in an unreasonable reduction in tax under local law, the relevant tax authorities may