Company: XHG
Filing Date: 2025-09-09
Form Type: F-3
Source: 0001213900-25-086186
Chunk: 30

Company: XChange TEC.INC
Filing Date: 2025-09-09
Form: F-3
Chunk 30
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 subsidiaries, Alpha Mind HK
and Topone Consultants Limited, and the holding company, XChange TEC.INC, or the Non-PRC Entities, there is no restriction on foreign
exchange for such entities and they are able to transfer cash among these entities, across borders and to U.S. investors. Also, there
are no restrictions or limitations on the abilities of the Non-PRC Entities to distribute earnings from the businesses, including the
subsidiaries and/or the consolidated VIE, to XChange TEC.INC or from XChange TEC.INC to U.S. investors, as well as the ability to settle
amounts owed under the Contractual Arrangements. There are also no restrictions or limitations on the ability of Alpha Mind WFOE to settle
amounts owed under the Contractual Arrangements as both Alpha Mind WFOE and the VIE are incorporated in China and the amount to be settled
will be in RMB without foreign exchange control. For more details, see “Item 3 Key Information-D. Risk Factors-Risks Related to
Doing Business in China-PRC governmental control of currency conversion may limit our ability to utilize our net revenues effectively
and affect the value of your investment.”

We, XChange TEC.INC, are a Cayman Islands holding
company, and we may rely principally on dividends and other distributions on equity paid by our subsidiaries for cash and financing requirements
we may have, including the funds necessary to pay dividends and other cash distributions to our shareholders and service any debt we may
incur. If any of our subsidiaries incur debt on their own behalf in the future, the instruments governing the debt may restrict their
ability to pay dividends or make other distributions to us. As we conduct our operations in China primarily through our subsidiaries,
the VIE and its subsidiaries, our ability to pay dividends to the shareholders and to service any debt we may incur may depend upon dividends
paid by our subsidiaries and license and service fees paid by the VIE. Current PRC regulations permit Alpha Mind WFOE to pay dividends
to the Company only out of its accumulated profits, if any, determined in accordance with Chinese accounting standards and regulations.
Remittance of dividends by a wholly foreign-owned enterprise out of China is also subject to examination by the banks designated by SAFE.
In addition, our subsidiaries, the VIE and its subsidiaries in China are required to set aside at least 10% of their after-tax profits
each year, if any, to fund