Company: RETO
Filing Date: 2025-05-09
Form Type: 20-F
Source: 0001213900-25-041195
Chunk: 78

Company: ReTo Eco-Solutions, Inc.
Filing Date: 2025-05-09
Form: 20-F
Item: Item 19
Chunk 78
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leed Investment Holding Ltd. (“ MIHL”). Pursuant to the agreement, MIHL agreed to provide
strategy, due diligence, business expansion and optimization services in exchange for2,000common shares, which were issued on March
8, 2023. Share-based compensation is amortized over the service period. For the year ended December 31, 2023, the Company recognized share-based
compensation expenses of $840,000.

On September 25, 2023, the Company entered into
a consulting service agreement with SevenBull, Inc. (“ SevenBull”), pursuant to which the Company agreed to issue20,000common
shares of the Company to the consulting firm as consideration for its business consulting services. The Company issued20,000common shares
valued at $1,131,200based on the fair market price of the Company’s common shares, at $56.6per share on October 3, 2023. For the
year ended December 31, 2023, the Company recognized share-based compensation expenses of $1,131,200.

On September 6, 2024, the Company entered into a consulting service
agreement with Jaash Investment Limited (“ Jaash Investment”), pursuant to which the Company agreed to issue126,857common
shares of the Company to the consulting firm as consideration for its business consulting services. The Company issued126,857common
shares valued at $2,067,766based on the market price of the Company’s common shares on September 6, 2024. For the year ended December
31, 2024, the Company recognized the related share-based compensation expenses of $2,067,766.

F-27

RETO ECO-SOLUTIONS, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTE 16 - SHAREHOLDERS’ EQUITY
(continued)

Acquisition of REIT Mingde

On December 27, 2021, the Company entered into
an acquisition agreement to acquire100% equity interest in REIT Mingde and its subsidiaries from two unrelated parties for a consideration
of $1,569,000(or RMB10million). REIT Mingde, through its subsidiaries, is primarily engaged in providing roadside assistance
services and software development services. The acquisition was completed on December 28, 2021. In lieu of cash consideration of RMB10million,
the Company issued an aggregate of2