Company: MASK
Filing Date: 2025-06-24
Form Type: F-1
Source: 0001185185-25-000685
Chunk: 94

Company: 3 E Network Technology Group Ltd
Filing Date: 2025-06-24
Form: F-1
Chunk 94
---
 PRC subsidiaries, limit our PRC subsidiaries’ ability to distribute profits
to us, or otherwise materially and adversely affect us.

In July 2014, SAFE has promulgated the Circular
on Relevant Issues Concerning Foreign Exchange Control on Domestic Residents’ Offshore Investment and Financing and Roundtrip Investment
Through Special Purpose Vehicles, or SAFE Circular 37, to replace the Notice on Relevant Issues Concerning Foreign Exchange Administration
for Domestic Residents’ Financing and Roundtrip Investment Through Offshore Special Purpose Vehicles, or SAFE Circular 75,
which ceased to be effective upon the promulgation of SAFE Circular 37. SAFE Circular 37 requires PRC residents (including PRC individuals
and PRC corporate entities as well as foreign individuals that are deemed as PRC residents for foreign exchange administration purpose)
to register with SAFE or its local branches in connection with their direct or indirect offshore investment activities. SAFE Circular
37 further requires amendment to the SAFE registrations in the event of any changes with respect to the basic information of the offshore
special purpose vehicle, such as change of a PRC individual shareholder, name and operation term, or any significant changes with respect
to the offshore special purpose vehicle, such as increase or decrease of capital contribution, share transfer or exchange, or mergers
or divisions. SAFE Circular 37 is applicable to our shareholders who are PRC residents and may be applicable to any offshore acquisitions
that we make in the future.

<div align='center'>47</div>

If any PRC shareholder who makes direct or indirect
investments in offshore SPVs fails to make the required registration or to update the previously filed registration, the subsidiaries
of such SPV in mainland China may be prohibited from distributing its profits or the proceeds from any capital reduction, share transfer
or liquidation to the SPV, and the SPV may also be prohibited from making additional capital contribution into its subsidiary in mainland
China. On February 13, 2015, the SAFE promulgated a Notice on Further Simplifying and Improving Foreign Exchange Administration Policy
on Direct Investment, or SAFE Notice 13, which became effective on June 1, 2015. Under SAFE Notice 13, applications for
foreign exchange registration of inbound foreign direct investment and outbound overseas direct investment, including those required under
the SAFE Circular 37, will be filed with qualified banks instead of the SAFE. The qualified banks will directly examine the
applications and accept registrations under the supervision of the SAFE.

We have requested our shareholders that we know
are