Company: FSTWF
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-044386
Chunk: 143

Company: FST Corp.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 10
Chunk 143
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 default on its contractual obligations resulting in financial loss to the Group. The Group’s credit risk
was mainly arising from bank deposits, trade receivables, other receivables, other financial assets, and refundable deposits. The Group
limits its credit risk by reviewing its counterparties’ financial condition and payment practices to minimize collection risks on
its accounts receivable.

Liquidity Risk

The Group manages liquidity
risk by monitoring and maintaining a level of cash deemed adequate to finance its operations and mitigate the effects of fluctuations
in cash flows. In addition, management monitors the utilization of bank borrowings and ensures compliance with loan covenants.

ITEM 12. DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES

A. Debt Securities

Not applicable.

B. Warrants and Rights

Upon the consummation of the
Business Combination, each warrant of SPAC outstanding immediately prior to the consummation of the Business Combination ceased to be
a warrant with respect to Class A ordinary shares and SPAC and be assumed by us and converted into a warrant of the Company entitling
the holder thereof to purchase one ordinary share at a price of $11.50 per share upon exercise. Each warrant will otherwise continue to
have, and be subject to, substantially the same terms and conditions as were applicable to such warrant of SPAC immediately prior to the
consummation of the Business Combination.

C. Other Securities

Not applicable.

D. American Depositary Shares

Not applicable.

PART II

ITEM 13. DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES

None.

ITEM 14. MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS
AND USE OF PROCEEDS

Material Modifications to the Rights of Security Holders

See “ Item 10 - Additional
Information - B. Memorandum and Articles of Association - Ordinary Shares” for a description of the rights of securities
holders, which remain unchanged.

Use of Proceeds

None.

ITEM 15. CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

Under the supervision and with
the participation of our management, including the Chief Executive Officer and Chief Financial Officer, we conducted an evaluation of
the effectiveness of our disclosure controls and procedures (as such term is defined in Rule 13a-15(e) and 15d-15(e) under
the Exchange Act) as of the end of the period covered by this Annual Report on Form 20-F. Based on this evaluation, our