Company: GCL
Filing Date: 2025-08-27
Form Type: DRS
Source: 0001213900-25-080905
Chunk: 45

Company: GCL Global Holdings Ltd
Filing Date: 2025-08-27
Form: DRS
Chunk 45
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challenges to positions asserted on income and withholding tax returns. We cannot be certain that the tax authorities will agree with
its interpretations of the applicable tax laws, or that the tax authorities will resolve any inquiries in its favor. To the extent the
relevant tax authorities do not agree with its interpretation, we may seek to enter into settlements with the tax authorities which may
require significant payments and may adversely affect its results of operations or financial condition. we may also appeal against the
tax authorities’ determinations to the appropriate governmental authorities, but we cannot be sure we will prevail. If our appeal
does not prevail, it may have to make significant payments or otherwise record charges (or reduce tax assets) that could adversely affect
its results of operations, financial condition and cash flows. Similarly, any adverse or unfavorable determinations by tax authorities
on pending inquiries could lead to increased taxation on us, that may adversely affect its business, financial condition and results
of operations and may also impact its reputation, including but not limited to tax and other regulatory authorities in Asia.

Companies and governmental agencies may restrict access to platforms, our website or the Internet generally, which could lead to the loss or slower growth of our gamer base.

Our gamers generally need
to access the Internet. Access to the Internet in a timely fashion is necessary to provide a satisfactory gamer experience to the gamers
of our games. Companies and governmental agencies could block access to any platform, our website, or the Internet generally, or could
limit the speed of data transmissions, for a number of reasons such as security or confidentiality concerns or regulatory reasons. In
addition, telecommunications companies may implement certain measures, such as increased cost or restrictions based on the type or amount
of data transmitted, that would impact gamers’ ability to access our games. If companies or governmental entities block or limit
such access or otherwise adopt policies restricting gamers from playing our games, our business could be negatively impacted and could
lead to the loss or slower growth of our gamer base.

Risks Related to the Company Operating in China

The uncertainties and quick change of the legal system in China with little advance notice could limit the legal protections available or impose additional requirements and obligations on our business operation in Hong Kong, which may materially and adversely affect our business, financial condition, and results of operations.

Although we are based in
Singapore and our major markets are in Southeast Asia, we have recently formed a wholly-owned subsidiary in Hainan province in China to
support our collaboration efforts with game developers and a game platform