Company: FSTWF
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-044386
Chunk: 41

Company: FST Corp.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 4
Chunk 41
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 and major shareholders (holding 10% or more of the outstanding shares)
were not permitted to transfer all their shares to FST Corp., as required by the FST Restructuring. Therefore, if Femco remained a Taiwanese
public company, the FST Restructuring could not be completed.

To facilitate the FST Restructuring, the board of directors of Femco
resolved on December 15, 2023, to de-register Femco from the Taiwan Stock Market. The de-registration was approved by the
Taipei Exchange and became effective on January 4, 2024.

The termination of Femco’s Taiwan Public Company status was adopted
by shareholders’ resolution at Femco’s extraordinary general meeting on February 6, 2024. On February 15, 2024,
Femco submitted an application to the SFB to terminate its Taiwan Public Company status. This termination was approved by the SFB and
took effect on February 27, 2024.

Competitive Strengths

Distinguished Proprietary KBS Brand

The
KBS brand has been widely accepted and well received by the golf players of all levels, from top professional players to
recreational players. As of December 31, 2024, 27 PGA players were using KBS brand shafts in their professional competitions.
The Company has also developed long-term collaboration relationships with major international golf club brands, through which
the Company may, at the clients’ selection, supply KBS brand shafts to be incorporated as a part of the client’s
clubs.

The Company believes that the competitiveness of its KBS brand is largely
attributable to the Company’s unwavering commitment to a player-centric focus in product development. As a supplier to PGA
players, the Company employs a dedicated team catering exclusively to the needs of PGA professional players, including customizing each
club shaft based on the player’s specific requirements and feedback. This approach ensures that the shafts conform to the player’s
unique characteristics, which improves his performance, stability and shot-to-shot consistency. The endorsement by PGA players further
improves the brand visibility and increases sales of KBS brand shafts.

The industry recognition and customer acceptance have propelled the
Company to become a leading supplier of golf shafts. The KBS business has been ranked by the National Golf Foundation in 2023 as among
the top 100 businesses in the golf industry. By diversifying its sales channels and fostering strong consumer following and loyalty, the