Company: SCAG
Filing Date: 2025-01-06
Form Type: 424B3
Source: 0001213900-25-001215
Chunk: 7

Company: Scage Future
Filing Date: 2025-01-06
Form: 424B3
Chunk 7
---
 to its shareholders and warrant holders and to service any debt it may incur will depend upon dividends paid by Scage International and its subsidiaries. As of the date of this proxy statement/prospectus, no cash generated from Nanjing Scage and its PRC subsidiaries has been used to fund operations of Scage International or its non -PRCsubsidiaries. In the future, cash proceeds raised from overseas financing activities may be transferred by PubCo through its subsidiaries outside China to its PRC subsidiaries via capital contribution and shareholder loans, as the case may be. Its PRC subsidiaries will pay dividends to their offshore shareholder to meet the capital needs of PubCo’s business operations out of the PRC. For details about the applicable PRC regulations and rules relating to such cash transfers through PubCo, Scage International and their respective subsidiaries and the associated risks, see “Risk Factors—Risks Related to Doing Business in China.” PubCo is and, following the Business Combination, will be an “emerging growth company” as that term is used in the Jumpstart Our Business Startups Act of 2012, as amended, and, as such, may elect to comply with certain reduced public company reporting requirements in future reports after the consummation of the Business Combination. PubCo is also a “foreign private issuer” as defined in the Exchange Act, and will be exempt from certain rules under the Exchange Act that impose certain disclosure obligations and procedural requirements for proxy solicitations under Section 14 of the Exchange Act. PubCo’s officers, directors and principal shareholders will be exempt from the reporting and “short -swing” profit recovery provisions under Section 16 of the Exchange Act. Moreover, PubCo will not be required to file periodic reports and financial statements with the U.S. Securities and Exchange Commission as frequently or as promptly as U.S. companies whose securities are registered under the Exchange Act. In addition, as a company incorporated in the Cayman Islands, PubCo is permitted to adopt certain home country practices in relation to corporate governance matters that differ significantly from the corporate governance standards of the Nasdaq Stock Market. PubCo currently intends to follow Cayman Islands corporate governance practices in lieu of the corporate governance standards of the Nasdaq Stock Market that listed companies must, among others: (1) have a compensation committee or a nominating and corporate governance committee consisting entirely of independent directors, and (2) have regularly scheduled executive sessions with only independent directors each year. As a result, PubCo’s shareholders may not have the same protection afforded to shareholders of