Company: SCAG
Filing Date: 2025-01-06
Form Type: 424B3
Source: 0001213900-25-001215
Chunk: 142

Company: Scage Future
Filing Date: 2025-01-06
Form: 424B3
Chunk 142
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 operations and financial condition. If any of products that we collaborated in developing and selling are or are alleged to be defective, we may be required to participate in a recall involving such products. A recall claim brought against us or a product liability claim brought against us in excess of our available insurance may have a material adverse effect on our business. Developments in alternative technology improvements in the internal combustion engine may adversely affect the demand for trucks that we collaborated in developing. Significant developments in alternative technologies, such as advanced diesel, ethanol, or compressed natural gas or improvements in the fuel economy of the internal combustion engine, may materially and adversely affect our business and prospects in ways we do not currently anticipate. Any failure by us to develop new or enhanced technologies or processes, or to react to changes in existing technologies, could materially delay our development and introduction of new and enhanced NEV trucks in collaboration with vehicle manufacturers, which could result in the loss of competitiveness of trucks that we collaborated in developing, decreased revenue and a loss of market share to competitors. Our research and development efforts may not be sufficient to adapt to changes in NEV technology. As technologies change, we plan to upgrade or adapt trucks that we collaborated in developing and introduce new models in order to continue to provide trucks with the latest technology. Increases in costs, disruption of supply or shortage of raw materials, particularly lithium-ion battery cells, could harm our business. We may experience increases in the cost or a sustained interruption in the supply or shortage of raw materials. Any such increase or supply interruption could materially negatively impact our business, prospects, results of operations and financial condition. We, together with vehicle manufacturers that we collaborate with, use various raw materials including aluminum, steel, carbon fiber, non -ferrousmetals (such as copper), and cobalt. The prices for these raw materials fluctuate depending on market conditions and global demand, and could adversely affect our business, results of operations and financial condition. For instance, we are exposed to multiple risks relating to price fluctuations for lithium -ioncells. These risks include: •the inability or unwillingness of current battery manufacturers to build or operate battery cell manufacturing plants to supply the numbers of lithium -ioncells required to support the growth of the NEV industry as demand for such cells increases; •disruption in the supply of cells due to quality issues or recalls by the battery cell manufacturers; and •an increase in the cost of raw materials, such as cobalt, used in lithium -ioncells. Any disruption in the supply of battery cells or fuel cells