Company: KMRK
Filing Date: 2025-06-05
Form Type: F-1/A
Source: 0001213900-25-051459
Chunk: 75

Company: K-TECH SOLUTIONS CO LTD
Filing Date: 2025-06-05
Form: F-1/A
Chunk 75
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) may adversely affect the market price of our Class A Shares, if a market for them develops. Volatility in our Class A Share price may subject us to securities litigation. The market for our Class A Shares may have, when compared to seasoned issuers, significant price volatility and we expect that our Class A Share price may continue to be more volatile than that of a seasoned issuer for the indefinite future. In the past, plaintiffs have often initiated securities class action litigation against a company following periods of volatility in the market price of its securities. We may, in the future, be the target of similar litigation, which could result in substantial costs and liabilities and could divert management’s attention and resources. Our Class A Shares are expected to initially trade under $5.00 per Class A Share and thus would be known as a penny stock. Trading in penny stocks has certain restrictions and these restrictions could negatively affect the price and liquidity of our Class A Shares. Our Class A Shares are expected to initially trade below $5.00 per Class A Share. As a result, our Class A Shares would be known as a “penny stock”, which is subject to various regulations involving disclosures to be given to you prior to the purchase of any penny stock. The SEC has regulations which generally define a “penny stock” to be any equity security that has a market price of less than $5.00 per Share, subject to certain exceptions. Depending on market fluctuations, our Class A Shares could be considered as a “penny stock.” A penny stock is subject to rules 39 that impose additional sales practice requirements on brokers/dealers who sell these securities to persons other than established Members and accredited investors. For transactions covered by these rules, the broker/dealer must make a special suitability determination for the purchase of these securities. In addition, a broker/dealer must receive the purchaser’s written consent to the transaction prior to the purchase and must also provide certain written disclosures to the purchaser. Consequently, the “penny stock” rules may restrict the ability of broker/dealers to sell our Class A Shares, and may negatively affect the ability of holders of our Class A Shares to resell them. These disclosures require you to acknowledge that you understand the risks associated with buying penny stocks and that you can absorb the loss of your entire investment. Penny stocks generally do not have a very high trading volume. Consequently, the price of the stock is often volatile and you may not be able to buy or sell the stock when you want to. If we fail to meet applicable listing requirements