Company: LICN
Filing Date: 2025-01-29
Form Type: 424B5
Source: 0001213900-25-007741
Chunk: 157

Company: Lichen International Ltd
Filing Date: 2025-01-29
Form: 424B5
Chunk 157
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 business
combination statute applicable to Delaware corporations whereby, unless the corporation has specifically elected not to be governed by
such statute by amendment to its certificate of incorporation, it is prohibited from engaging in certain business combinations with an
“interested shareholder” for three years following the date that such person becomes an interested shareholder. An interested
shareholder generally is a person or a group who or which owns or owned 15% or more of the target’s outstanding voting share within
the past three years. This has the effect of limiting the ability of a potential acquirer to make a two-tiered bid for the target in which
all shareholders would not be treated equally. The statute does not apply if, among other things, prior to the date on which such shareholder
becomes an interested shareholder, the Board of Directors approves either the business combination or the transaction which resulted in
the person becoming an interested shareholder. This encourages any potential acquirer of a Delaware corporation to negotiate the terms
of any acquisition transaction with the target’s Board of Directors. The Cayman Islands Companies Act has no comparable statute.
As a result, we cannot avail ourselves of the types of protections afforded by the Delaware business combination statute. However, although
Cayman Islands law does not regulate transactions between a company and its significant shareholders, as mentioned above the directors
have certain fiduciary duties including a duty to act bona fide in the best interests of the company. Our articles of association require
directors to disclose the nature of their interest in any contract or transaction at or prior to the Board of Directors’ consideration
of such contract or transaction and any vote thereon.

<div align='center'>39</div>

Dissolution; Winding up

Under the Delaware corporate law, unless the Board
of Directors approves the proposal to dissolve, dissolution must be approved by shareholders holding 100% of the total voting power of
the corporation. Only if the dissolution is initiated by the Board of Directors may it be approved by a simple majority of the corporation’s
outstanding shares. Delaware law allows a Delaware corporation to include in its certificate of incorporation a supermajority voting requirement
in connection with dissolutions initiated by the board. Under the Cayman Islands Companies Act, a company may be wound up by either an
order of the courts of the Cayman Islands or by a special resolution of its members or, if the company is unable to pay its debts as they
fall due, by an ordinary resolution of its shareholders. The court has authority to order winding