Company: SCAG
Filing Date: 2025-11-12
Form Type: 20-F
Source: 0001213900-25-109190
Chunk: 46

Company: Scage Future
Filing Date: 2025-11-12
Form: 20-F
Item: Item 3
Chunk 46
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”) in July 2014. SAFE Circular 37 requires PRC residents (including PRC individuals,
PRC corporate entities and foreign individuals that are deemed as PRC residents for foreign exchange administration purpose) to register
with SAFE or its local branch in connection with their establishment or control of an offshore entity established for the purpose of
overseas investment or financing with such PRC residents’ legally owned assets or equity interests in domestic enterprises or offshore
assets or interests. On February 13, 2015, SAFE issued Circular on Further Simplifying and Improving the Foreign Exchange Management
Policy on Direct Investment (the “ SAFE Circular 13”), effective on June 1, 2015, pursuant to which the power to accept
SAFE registration was delegated from local SAFE to local qualified banks where the assets or interest in the domestic enterprise was
located. In addition, its PRC individual shareholders must update their SAFE registrations when the offshore special purpose vehicle
undergoes material events relating to any change of basic information (including change of such PRC citizens or residents, name and operation
term), increases or decreases in investment amount, transfers or exchanges of shares, or mergers or divisions.

If any of our shareholders
who are PRC residents do not complete their registration with the local SAFE branches, the PRC Subsidiaries may be prohibited from distributing
their profits and proceeds from any reduction in capital, share transfer or liquidation to our Company, and we may be restricted in our
ability to contribute additional capital to PRC Subsidiaries. Moreover, failure to comply with the SAFE registration requirements described
above could result in liability under PRC laws for evasion of applicable foreign exchange restrictions. In addition, our shareholders
who are PRC entities shall complete their overseas direct investment filings according to applicable laws and regulations regarding the
overseas direct investment by PRC entities, including filings with MOFCOM, the NDRC, or their local branches based on the investment
amount, invested industry or other factors thereof.

We have requested that our
current shareholders and beneficial owners who, to our knowledge, are PRC residents complete the foreign exchange registrations and that
those who, to our knowledge, are PRC enterprises comply with outbound investment related regulations. However, we may not be fully aware
of the identities of beneficial owners who are PRC residents. We do not have control over our beneficial owners and cannot guarantee
that all of our beneficial owners who are PRC residents will comply with the requirements under Circular 37