Company: LICN
Filing Date: 2025-04-29
Form Type: 20-F
Source: 0001213900-25-036244
Chunk: 9

Company: Lichen International Ltd
Filing Date: 2025-04-29
Form: 20-F
Item: Item 4
Chunk 9
---

to employees, directors and consultants to incentivize their performance and align their interests with ours. Under the 2023 Incentive
Plan, we are authorized to issue an aggregate of 3,000,000 Class A ordinary shares. On November 18, 2024, the Company issued 1,150,000
Class A ordinary shares of the Company under Company’s 2023 Incentive Plan to certain employees of the Company as compensation for
their continued service in the Company.

December 26, 2024 Registered Direct Offering

On December 26, 2024, the
Company entered into a securities purchase agreement (the “ First Closing Purchase Agreement”) with certain institutional investors
named thereto (the “ Purchasers”), pursuant to which the Company agreed to issue and sell, in a registered direct offering
( “ December 26 Registered Direct Offering”): (i) 10,433,333 shares of Class A ordinary shares (the “ Class A Ordinary
Shares”) of the Company, par value $0.00004 per share (the “ First Closing Shares”), at a purchase price of $0.14 per
share; and (ii) pre-funded warrants to purchase up to 9,566,667 Class A Ordinary Shares (the “ First Closing Pre-Funded Warrants”)
at a purchase price of $0.139 per First Closing Pre-Funded Warrant.

December 26 Registered Direct
Offering closed on December 27, 2024. The Company received approximately $2.8 million in gross proceeds from December 26 Registered Direct
Offering, before deducting placement agent fees and estimated offering expenses.

The First Closing Pre-Funded
Warrants were sold to the Purchasers, whose purchase of the First Closing Shares in December 26 Registered Direct Offering would otherwise
have resulted in the Purchasers, together with its affiliates and certain related parties, beneficially owning more than 9.99% of the
outstanding share capital of the Company following the consummation of December 26 Registered Direct Offering. Each First Closing Pre-Funded
Warrant represents the right to purchase one Class A Ordinary Share at an exercise price of $0.001 per share. The First Closing Pre-Funded
Warrants are exercisable immediately and may be exercised at any time until the First Closing Pre-Funded Warrants are exercised in full
(subject to the beneficial ownership limitation described above). As of the date of this report, the First Closing Pre-Funded Warrants