Company: SISI
Filing Date: 2025-03-13
Form Type: S-1/A
Source: 0001493152-25-010206
Chunk: 19

Company: SHINECO, INC.
Filing Date: 2025-03-13
Form: S-1/A
Chunk 19
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000 shares of our common stock in a private placement, or the Private Placement, at a purchase price of $2.18 per share, with aggregate gross proceeds of $32.7 million. In connection with the Private Placement, we agreed, among other things, to file with the SEC a registration statement covering the resale of the 15,000,000 shares of our common stock purchased by the Selling Stockholders.

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Asset Transfer and Dividend Distribution Among Shineco, its Subsidiaries, and the Former VIEs

Under our current corporate structure, Shineco’s PRC subsidiaries have paid, and may continue to pay, some of Shineco’s expenses and Shineco has from time to time transferred cash to its subsidiaries to fund their operations. We do not maintain any written cash management policies and procedures that dictate how funds are transferred within our organization. For the fiscal years ended June 30, 2023 and 2024, and the six months ended December 31, 2023 and 2024, Shineco transferred to its subsidiaries and, during the fiscal years ended June 30, 2023 and 2024 and the six months ended December 31, 2023, also to the former VIEs, in the amount of US$200,000, US$0, US$0, and US$0, respectively, for general corporate purposes. For the fiscal years ended June 30, 2023 and 2024, and the six months ended December 31, 2023 and 2024, Shineco’s subsidiaries and, during the fiscal years ended June 30, 2023 and 2024 and the six months ended December 31, 2023, the former VIEs, transferred to Shineco in the amount of US$0, US$0, US$0, and US$0, respectively. See our audited consolidated financial statements for the fiscal years ended June 30, 2023 and 2024 and the unaudited consolidated financial statements for the six months ended December 31, 2023 and 2024 incorporated by reference into this prospectus.

As of the date of this prospectus, none of our subsidiaries has made any dividends or distributions to Shineco and Shineco has not made any dividends or distributions to U.S. investors. We intend to keep any future earnings to finance the expansion of our business, and we do not anticipate that any cash dividends will be paid in the foreseeable future