Company: MASK
Filing Date: 2025-06-24
Form Type: F-1
Source: 0001185185-25-000685
Chunk: 232

Company: 3 E Network Technology Group Ltd
Filing Date: 2025-06-24
Form: F-1
Chunk 232
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 as a PFIC under the current PFIC rules. We must make a separate determination each year
as to whether we are a PFIC, however, and there can be no assurance with respect to our status as a PFIC for our current taxable
year or any future taxable year. Depending on the amount of cash we raise in this offering, together with any other assets held for
the production of passive income, it is possible that, for our current taxable year or for any subsequent taxable year, more than
50% of our assets may be assets held for the production of passive income. We will make this determination following the end of any
particular tax year. In addition, because the value of our assets for purposes of the asset test will generally be determined based
on the market price of our Class A Ordinary Shares and because cash is generally considered to be an asset held for the production
of passive income, our PFIC status will depend in large part on the market price of our Class A Ordinary Shares and the amount of
cash we raise in this offering. Accordingly, fluctuations in the market price of the Class A Ordinary Shares may cause us to become
a PFIC. In addition, the application of the PFIC rules is subject to uncertainty in several respects and the composition of our
income and assets will be affected by how, and how quickly, we spend the cash we raise in this offering. We are under no obligation
to take steps to reduce the risk of our being classified as a PFIC, and as stated above, the determination of the value of our
assets will depend upon material facts (including the market price of our Class A Ordinary Shares from time to time and the amount
of cash we raise in this offering) that may not be within our control. If we are a PFIC for any year during which you hold Class A
Ordinary Shares, we will continue to be treated as a PFIC for all succeeding years during which you hold Class A Ordinary
Shares. If we cease to be a PFIC and you did not previously make a timely “mark-to-market” election as described below,
however, you may avoid some of the adverse effects of the PFIC regime by making a “purging election” (as described
below) with respect to the Class A Ordinary Shares.

If we are a PFIC for any taxable
year(s) during which you hold Class A Ordinary Shares, you will be subject to special tax rules with respect to any
“excess distribution” that you