Company: NCL
Filing Date: 2025-12-04
Form Type: DEF 14A
Source: 0001575872-25-000744
Chunk: 52

Company: Northann Corp.
Filing Date: 2025-12-04
Form: DEF 14A
Chunk 52
---
7,000,000 shares,
respectively, to a designee to be designated by Asia Resource.

The first tranche of the Asia Resource Shares (i.e., 8,000,000 shares)
shall be delivered by the Company within five business days after both of the Company’s stockholders and NYSE American approve the
issuance of the Asia Resource Shares. Asia Resource should deliver the Platform within three business days after certain conditions set
forth in the Development Agreement are satisfied, including but not limited to the issuance of the first tranche of the Asia Resource
Shares. The second tranche of the Asia Resource Shares (i.e., 7,000,000 shares) shall be delivered by the Company within five business
days after delivery of the Platform. Asia Resource represented and warranted, amongst others, that neither Asia Resource nor its designee
is an affiliate of the Company, and that the Asia Resource Shares are being acquired for investment purposes only, without a view to distribution,
and in compliance with all applicable securities laws.

The Asia
Resource Shares shall be issued pursuant to the exemption from registration provided by Section 4(a)(2) of the Securities Act. The Asia
Resource Shares shall constitute restricted securities and will bear a restrictive legend as set out under the Development Agreement.

For a further description of the
Development Agreement, see the Development Agreement filed as Exhibit 10.2 to the Company’s current report on Form 8-K filed on
November 24, 2025.

Why Approval is Needed and Proposed Use of Funds

Our common stock is currently
listed on the NYSE American. We are subject to Section 713(a) of the NYSE Company Guide, which requires stockholder approval when the
sale, issuance, or potential issuance by the issuer of common stock (or securities convertible into common stock) equal to 20% or more
of presently outstanding stock for less than the Minimum Price. For purposes of this Section 713, “Minimum Price” means a
price that is the lower of the official closing price immediately preceding the signing of the binding agreement or the average official
closing price for the five trading days immediately preceding the signing of the binding agreement. The commentary .02 to the Section
713 states that the exemption from stockholder approval provided for in Section 713(a) for a transaction priced at or above the Minimum
Price is available only for transactions in which the issuer is selling securities for cash at or above the Minimum Price.

The 15,000,000 shares issuable