Company: VSA
Filing Date: 2025-11-13
Form Type: 424B5
Source: 0001213900-25-109735
Chunk: 126

Company: VisionSys AI Inc
Filing Date: 2025-11-13
Form: 424B5
Chunk 126
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 also the risk
disclosed in our Annual Report under “Item 3. Key Information — D. Risk Factors — Risks
Related to Doing Business in China — We are affected by the PRC Enterprise Income Tax Law, and we may be classified
as a mainland China ‘resident enterprise’ for mainland China enterprise income tax purposes. Such classification would likely
result in unfavorable tax consequences to us and our non-mainland China shareholders and have a material adverse effect on our results
of operations and the value of your investment.”

The legal system in mainland China embodies uncertainties which could limit the legal protections available to us or impose additional requirements and obligations on our business, and PRC laws, rules, and regulations can evolve quickly, which may materially and adversely affect our business, financial condition, and results of operations.

We conduct our business primarily through our PRC
subsidiaries and the VIEs and their subsidiaries in China. Our operations in mainland China are governed by PRC laws and regulations.
The legal system in mainland China is a civil law system based on statutes. Unlike common law systems, it is a system in which decided
legal cases may be of reference value but have less precedential value. The legal system in mainland China evolves rapidly, and the interpretations
of laws, regulations, and rules may contain uncertainties. These uncertainties could limit the legal protections available to us. In addition,
we cannot predict the effect of future developments in the PRC legal system, changes to existing laws or the interpretation or enforcement
thereof, or the preemption of local regulations by national laws. Such unpredictability towards our contractual, property (including intellectual
property) and procedural rights could adversely affect our business and impede our ability to continue our operations. Furthermore, any
litigation may be protracted and result in substantial costs and diversion of resources and management attention.

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In addition, new laws and regulations may be enacted
from time to time, and PRC laws, rules, and regulations can evolve quickly. Uncertainties exist regarding the interpretation and implementation
of current and any future PRC laws and regulations applicable to our businesses. In particular, the PRC government authorities may continue
to promulgate new laws, regulations, rules and guidelines with respect to a wide range of issues, such as anti-unfair competition and
antitrust, privacy and data protection, intellectual property, and other matters, which may result in additional obligations imposed on
us. Compliance with these laws, regulations, rules