Company: NCL
Filing Date: 2025-11-24
Form Type: PRE 14A
Source: 0001575872-25-000718
Chunk: 31

Company: Northann Corp.
Filing Date: 2025-11-24
Form: PRE 14A
Chunk 31
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 American.

We are submitting this proposal
to our stockholders for approval in order to increase the trading price of our common stock to meet the minimum per share bid price requirement
for continued listing on the NYSE American. We believe increasing the trading price of our common stock may also assist in our capital-raising
efforts by making our common stock more attractive to a broader range of investors. Accordingly, we believe that the Reverse Split is
in our stockholders’ best interests.

Although we already conducted
a 1-for-8 reverse stock split of the Company’s common stock and Series A Preferred Stock on October 7, 2025, with the common stock
beginning trading on a split-adjusted basis on the NYSE American at the commencement of trading on October 8, 2025 under the Company’s
existing symbol “NCL,” our common stock may continue to be sold for a substantial period of time at a low price per share.
As a result, NYSE American may decide that we are not in compliance with the continued listing standard set forth in Section 1003(f)(v)
of the NYSE Company Guide .

The primary purpose of the
Reverse Split is to increase the per share price of our common stock in order to maintain the listing of our common stock on the NYSE
American. Accordingly, for these and other reasons discussed below, we believe that effecting the Reverse Split is in the Company’s
and our stockholders’ best interests. We believe proposing multiple ratios for the Reverse Split, rather than proposing that stockholders
approve a specific ratio at this time, provides the Board with the most flexibility to achieve the desired results of the Reverse Split.

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Failure to approve the Reverse
Split may potentially have serious, adverse effects on us and our stockholders. Our common stock could be delisted from the NYSE American
if our common stock continues to trade below the requisite $1.00 per share price needed to maintain our listing in accordance with the
bid price requirement. If our common stock is delisted from NYSE American, our common stock could then trade on the OTC Bulletin Board
or other small trading markets, such as the pink sheets, which are generally considered to be less efficient markets. In that event, our
common stock could trade thinly as a microcap or penny stock, adversely decrease to nominal levels of trading, and may be avoided by retail
and institutional investors, resulting in the impaired liquidity and increased transaction costs of trading in shares of our