Company: SCAG
Filing Date: 2025-01-06
Form Type: 424B3
Source: 0001213900-25-001215
Chunk: 133

Company: Scage Future
Filing Date: 2025-01-06
Form: 424B3
Chunk 133
---
 are developing Andromeda, Andromeda+and Sky Turtle, which we have released sample cars in 2024 and plan to official launch the models in 2025. If our product variety and release cycles do not meet customer expectations, or if our vehicles cannot be produced on our projected timelines and cost and volume targets in collaboration with vehicle manufacturers, our future sales will be adversely affected. As we will primarily depend on a limited number of models for the foreseeable future, any particular model that is not well -receivedby the market could materially and adversely affect our sales, and consequently, our business, results of operations and financial condition. Manufacturing in collaboration with partners is subject to risks. We partner with Xuzhou Construction Machinery Group Co., Ltd. (“XCMG”) and C&C Trucks Co., Ltd. for the manufacturing of our trucks. Collaboration with third parties for the manufacturing of vehicles is subject to certain operational risks that may be beyond our control. We could experience production and delivery delays if 38 our contract manufacturers do not meet agreed -upontimelines or experience capacity constraints. The production volume could fall short of our expectations if our contract manufacturers encounter financial difficulties or operational challenges. We may also have disputes with contract manufacturers. In addition, we and our brand image could be affected by adverse publicity or public sentiment regarding our contract manufacturers, whether or not such publicity or public sentiment is related to their collaboration with us. Furthermore, while we are involved in each step of the supply chain and manufacturing process, we rely on our contract manufacturers to uphold our quality standards, and therefore, we cannot assure you that we will successfully maintain quality standards. If the contract manufactures fail to maintain necessary approvals or certificates for vehicle manufacturing or for the manufacturing of specific products or fail to obtain new approvals or certificates for our future products, we could experience product supply interruption and may involve in disputes with contract manufacturers and/or our customers, which could have a material impact on our business. See “Regulations Applicable to Scage International’s Business—Regulations Relating to Manufacturing New Energy Commercial Vehicles and Compulsory Product Certification.” If we are unable to renew the agreements with our existing contract manufacturers or enter into agreements with alternative partners on acceptable terms and conditions, we may need to significantly enhance our own production capacity. This shift brings substantial uncertainty regarding our capability and the timetable to achieve it. Transitioning to new third -partymanufacturers, or increasing our own capacity, might be more time -consumingand costly than expected, especially ensuring that the vehicles produced meet our