Company: CAAS
Filing Date: 2025-08-04
Form Type: 424B3
Source: 0001104659-25-073486
Chunk: 109

Company: China Automotive Systems, Inc.
Filing Date: 2025-08-04
Form: 424B3
Chunk 109
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 effected without
receipt of consideration by the Company, the administrator in its discretion make proportionate adjustments, which shall be final, binding
and conclusive.

Substitution of Awards. In the event of
a Corporate Transaction (including without limitation a Change of Control), each outstanding option shall be assumed or an equivalent
option or right shall be substituted by such successor corporation or a parent or subsidiary of such successor corporation (the “Successor
Corporation”), unless the Successor Corporation does not agree to assume the award or to substitute an equivalent option or right,
in which case such option shall terminate upon the consummation of the transaction. “Corporate Transaction” means a sale
of all or substantially all of the Company’s assets, or a merger, consolidation or other capital reorganization or business combination
transaction of the Company with or into another corporation, entity or person, or the direct or indirect acquisition (including by way
of a tender or exchange offer) by any person, or persons acting as a group, of beneficial ownership or a right to acquire beneficial
ownership of shares representing a majority of the voting power of the then outstanding shares of capital stock of the Company. “Change
of Control” means (1) a sale of all or substantially all of the Company’s assets, or (2) any merger, consolidation
or other business combination transaction of the Company with or into another corporation, entity or person, other than a transaction
in which the holders of at least a majority of the shares of voting capital stock of the Company outstanding immediately prior to such
transaction continue to hold (either by such shares remaining outstanding or by their being converted into shares of voting capital stock
of the surviving entity) a majority of the total voting power represented by the shares of voting capital stock of the Company (or the
surviving entity) outstanding immediately after such transaction, or (3) the direct or indirect acquisition (including by way of
a tender or exchange offer) by any person, or persons acting as a group, of beneficial ownership or a right to acquire beneficial ownership
of shares representing a majority of the voting power of the then outstanding shares of capital stock of the Company.

Termination and Amendment of the 2004 Stock Option Plan. The Board of Directors may at any time amend, alter, suspend or discontinue the Plan, but no amendment, alteration,
suspension or discontinuation (other than an adjustment pursuant to Capital Adjustments or Corporate Transaction) shall be made that
would materially and adversely affect the rights of