Company: GCL
Filing Date: 2025-03-17
Form Type: DRS
Source: 0001213900-25-024502
Chunk: 135

Company: GCL Global Holdings Ltd
Filing Date: 2025-03-17
Form: DRS
Chunk 135
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 required to maintain a policy
of insurance issued by an insurer for an amount not less than the applicable amount stated in the Employees’ Compensation Ordinance
(Chapter 282 of the Laws of Hong Kong) (the “ECO”) in respect of work-related injuries. According to the ECO,
the insured amount shall be not less than HK$100,000,000 per event if a company has no more than 200 employees.

Regulations Related to Anti-competition

The Competition Ordinance (Chapter 619 of the Laws
of Hong Kong) (i) prohibits conduct that prevents, restricts or distorts competition in Hong Kong; (ii) prohibits mergers that
substantially lessen competition in Hong Kong; and (iii) provides for incidental and connected matter.

The first conduct rule prohibits anti-competitive
agreements, practices and decisions. It provides that an undertaking must not (i) make or give effect to an agreement; (ii) engage
in a concerted practice; or (iii) as a member of an association of undertakings, make or give effect to a decision of the association,
if the object or effect of the agreement, concerted practice or decision is to prevent, restrict or distort competition in Hong Kong.
Serious anti-competitive conduct includes (i) fixing, maintaining, increasing or controlling the price for the supply of goods or
services; (ii) allocating sales, territories, customers or markets for the production or supply of goods or services; (iii) fixing,
maintaining, controlling, preventing, limiting or eliminating the production or supply of goods or services; and (iv) bid-rigging.

The second conduct rule prohibits the abuse of market
power. It provides that an undertaking that has a substantial degree of market power in a market must not abuse such power by engaging
in conduct that has as its object or effect the prevention, restriction or distortion of competition in Hong Kong. This conduct may in
particular, constitute an abuse of such market power if it involves predatory behavior towards competitors or limiting production, markets
or technical development to the prejudice of consumers. Matters that may be taken into consideration when determining whether an undertaking
has a substantial degree of market power in a market include (i) the market share of the undertaking; (ii) the undertaking’s
power to make pricing and other decisions; and (iii) any barriers to entry to competitors into the relevant market.

The first conduct rule and the second conduct rule
apply to all sectors of the Hong Kong economy