Company: SCAG
Filing Date: 2025-11-12
Form Type: 20-F
Source: 0001213900-25-109190
Chunk: 225

Company: Scage Future
Filing Date: 2025-11-12
Form: 20-F
Item: Item 19
Chunk 225
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  Balance as of June 30, 2024                                           $                 3,560,518        $                 7,843,461        $                  8,076,013        19,479,992  
  Conversion into ordinary shares of the Company upon consummation                        ( 3,607,730                        ( 7,947,463                       ( 8,183,098      ( 19,738,291  
  Foreign exchange adjustment                                                             47,212           $                 104,002          $                    107,085           258,299  
  Balance as of June 30, 2025                                           $                 -                $                 -                $                          -                 -  

F-31

SCAGE
FUTURE

NOTES
TO CONSOLIDATED FINANCIAL STATEMENTS

(In
U. S. dollars, except for share and per share data, or otherwise noted)

  13.      CONVERTIBLE                          

Key
terms of the convertible redeemable preferred shares are as follows:

Conversion

Each
convertible redeemable preferred shares shall be convertible, at the option of the holder thereof, to such number of ordinary shares
on a one-for-one basis at any time after the issue date. The initial conversion price is the issuance price of convertible redeemable
preferred shares, subject to adjustment for (1) share splits and combinations, (2) ordinary share dividends and distributions, (3) other
dividends, (4) reorganizations, mergers, consolidations, reclassification, exchange, and substitution, and (5) for dilutive issuance.

Each
preferred share shall automatically be converted into ordinary shares, based on the then-effective conversion price for each convertible
redeemable preferred share, without the payment of any additional consideration, into fully-paid and non-assessable ordinary shares upon
the earlier of the closing of (a) the Qualified IPO, or (b) the date specified by written consent or agreement of holders within each
round of Convertible Redeemable Preferred Shares holding 50

Qualified
IPO is defined as a firm commitment underwritten public offering of the shares of Scage International in a PRC or international stock
exchange (including Shanghai Stock Exchange, Shenzhen Stock Exchange, Beijing Stock Exchange, Hong Kong Stock Exchange, New York Stock
Exchange (NYSE) and NASDAQ Stock Exchange.

Redemption

Upon
the occurrence of any of following circumstances (“ Redemption Triggering Event”):

  (a)      prior