Company: PAVS
Filing Date: 2025-08-04
Form Type: 20-F
Source: 0001929980-25-000590
Chunk: 162

Company: Paranovus Entertainment Technology Ltd.
Filing Date: 2025-08-04
Form: 20-F
Item: Item 18
Chunk 162
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 by BW                       Trading and providing e-commerce solutions  
  Hainan Paranovous Technology Co., Ltd((“ Paranovus Hainan”)                       PRC                June 17, 2024          N/a                 100% by Paranovous HK            Entertainment                               
  Happiness (Shunchang) E-commerce Co., Ltd (“ Happiness Shunchang”) *              PRC                July 11, 2023          N/a                 100% by Happiness Hong Kong      Investment                                  
  Fuzhou Happiness Enterprise Management Consulting Co., Ltd *                      PRC                December 15, 2020      N/a                 100% by Happiness Shunchang      Management and consulting service           
  Taochejun (Fujian) automobiles Co., Ltd *                                         PRC                April 27, 2021         N/a                 61% by Happiness Shunchang       Automobile sales                            
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  On July 5, 2024, the Company transferred the 100% of the equity interests of Happiness Hong Kong and its subsidiaries to a third party by the strategic decision.  
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  F-8                
  Table of Contents  

Going Concern

The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. The Company incurred a net loss of US$8,305,429during the financial year ended March 31, 2025 and recorded a cash outflow from operating activities of US$2,669,456for the year ended March 31, 2025, as of that date, the Company’s accumulated deficit was amounted to US$70,262,448as of March 31, 2025. These factors raise substantial doubt about the Company’s ability to continue as a going concern.

Notwithstanding the above, the Company continues to have a reasonable expectation that adequate resources to continue in operation through disposing the entity with losses and the newly acquired BW with positive cash contributions for at least the next 12 months and that the going concern basis of preparation for these finance statement remains appropriate based on the following factors:

To sustain its ability to support the Company's operating activities, the Company considered supplementing its sources of funding through the following:

  The Company plans to initiate At-The-Market(ATM)