Company: BNRG
Filing Date: 2025-03-04
Form Type: 20-F
Source: 0001213900-25-020178
Chunk: 72

Company: Brenmiller Energy Ltd.
Filing Date: 2025-03-04
Form: 20-F
Item: Item 8
Chunk 72
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ITEM 8. FINANCIAL INFORMATION.

A. Consolidated Statements and Other Financial Information.

See “ Item 18. - Financial Statements.”

Legal Proceedings

From time to time, we may
be involved in various claims and legal proceedings relating to claims arising out of our operations. As of the date of this annual report,
we are not currently a party to any legal proceedings that, in the opinion of our management, are likely to have a material adverse effect
on our business. Regardless of outcome, litigation can have an adverse impact on us because of defense and settlement costs, diversion
of management resources and other factors.

Dividends

We have never declared or
paid any cash dividends on our Ordinary Shares and do not anticipate paying any cash dividends in the foreseeable future. Payment of cash
dividends, if any, in the future will be at the discretion of our board of directors and will depend on then-existing conditions, including
our financial condition, operating results, contractual restrictions, capital requirements, business prospects, and other factors our
board of directors may deem relevant.

The Companies Law imposes
further restrictions on our ability to declare and pay dividends. Under the Companies Law, we may declare and pay dividends only if, upon
the determination of our board of directors, there is no reasonable concern that the distribution will prevent us from being able to meet
the terms of our existing and foreseeable obligations as they become due. Under the Companies Law, the distribution amount is further
limited to the greater of retained earnings or earnings generated over the two most recent years legally available for distribution according
to our then last reviewed or audited financial statements, provided that the end of the period to which the financial statements relate
is not more than six months prior to the date of distribution, generally referred to as the Earnings Criteria. In the event that we do
not meet such earnings criteria, we may seek the approval of a court in order to distribute a dividend. The court may approve our request
if it is convinced that there is no reasonable concern that the payment of a dividend will prevent us from satisfying our existing and
foreseeable obligations as they become due, generally referred to as the Solvency Criteria.

However, under the New Exemptions,
an Israeli company whose shares are listed outside of Israel, is permitted to perform distribution in a way of repurchasing its own shares,
even if the Earnings Criteria is not met, without the need for court’s approval. The exemption is subject to certain conditions,
including