Document:

Exhibit 10.8

 

 

Capital Increase Agreement

 

 

of

 

Beijing Pinxin Media Culture Co., Ltd.

 

Between

 

Liu Chengcheng

 

Beijing Xieli Zhucheng Financial Information Service Co., Ltd.

 

Tianjin Zhanggongzi Technology Partnership (Limited Partnership)

 

Suzhou Industrial Park Gebi Yinghe Venture Capital Partnership (Limited Partnership)

 

Beijing Gebi Lvzhou Angel Investment Center (Limited Partnership)

 

Jiaxing Xiaodu Neirong Equity Investment Partnership (Limited Partnership)

 

Hangzhou Jincun Investment Management Partnership (Limited Partnership)

 

Shenzhen Guohong NO.2 Enterprise Management Partnership (Limited Partnership)

 

Gongqingcheng Fenzhong Chuangxiang Information Technology Co., Ltd.

 

Beijing Pinxin Media Culture Co., Ltd.

 

and

 

Ningbo Meishan Baoshui Gangqu Tianhong Lvyan Investment Management Partnership (Limited Partnership)

 

Beijing Wentou Huyu Investment Co., Ltd.

 

[] 2017

Beijing, China

 

FOR DUE DILIGENCE ONLY

 

 

Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd.

 

The Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. (hereinafter referred to as “this Agreement” or the “Capital Increase Agreement” was signed by the following parties in Beijing, China on [] 2017:

 

Founder:

 

1.                                      Liu Chengcheng (hereinafter referred to as the “Founder”)

ID number: 320911198811194339

Address: No. 117, Group 1, Xinhuo Village, Yandu New District, Yancheng City, Jiangsu Province

 

Company Shareholders:

 

2.                                      Beijing Xieli Zhucheng Financial Information Service Co., Ltd. (hereinafter referred to as “Controlling Shareholder”)

Address: 5/F and 6/F, No. 34, Haidian Street, Haidian District, Beijing

Legal representative: Liu Chengcheng

 

3.                                      Tianjin Zhanggongzi Technology Partnership (Limited Partnership) (hereinafter referred to as “Zhang Gongzi”)

Address: 1102-072, 11th Floor, Block G1, TEDA MSD, Second Avenue, Tianjin Economic-Technological Development Area

Executive partner: Liu Chengcheng

 

Investor Shareholders:

 

4.                                      Suzhou Industrial Park Gebi Yinghe Venture Capital Partnership (Limited Partnership) (hereinafter referred to as “Gebi Yinghe”)

Address: Room 240, Building 19, Dongsha Lake Equity Investment Center, No. 183, Suhong East Road, Suzhou Industrial Park

Executive partner delegate: Zhu Lin

 

5.                                      Beijing Gebi Lvzhou Angel Investment Center (Limited Partnership) (hereinafter referred to as “Gebi Lvzhou”)

Address: Room 5430, Shenchang Building, No. 51 Zhichun Road, Haidian District, Beijing

Executive partner delegate: Jiang Tao 

 

2

 

6.                                      Jiaxing Xiaodu Neirong Equity Investment Partnership (Limited Partnership) (hereinafter referred to as “Xiaodu Investment”)

Address: Room 106-70, Dongfang Building, No. 100 Zhuyuan Road, Nanhu District, Jiaxing, Zhejiang

Executive partner delegate: Hu Hao

 

7.                                      Hangzhou Jincun Investment Management Partnership (Limited Partnership) (hereinafter referred to as “Jincun Investment”)

Address: Room 614, Guangxin Business Building, No. 58 Xintang Road, Jianggan District, Hangzhou

Executive partner delegate: Wang Huaping

 

8.                                      Shenzhen Guohong No.2 Enterprise Management Partnership (Limited Partnership) (hereinafter referred to as “Guohong No.2”)

Address: 18D, Tairan Jinsong Building, Tairan Avenue, Shatou Street, Futian District, Shenzhen

Executive partner delegate: Ma Zhiqiang

 

9.                                      Gongqingcheng Fenzhong Chuangxiang Information Technology Co., Ltd. (hereinafter referred to as “Fenzhong Chuangxiang”)

Address: Private Equity Fund Park, Gongqingcheng, Jiujiang, Jiangxi

Legal representative: Ding Xiaojing

 

The Company Increasing Capital:

 

10.                               Beijing Pinxin Media Culture Co., Ltd. (hereinafter referred to as “the Company”)

Address: 601, 6th Floor, 34 Haidian Street, Haidian District, Beijing

Legal representative: Liu Chengcheng

 

Investor Shareholders Subscribing for this Capital Increase:

 

11.                               Ningbo Meishan Baoshui Gangqu Tianhong Lvyan Investment Management Partnership (Limited Partnership) (hereinafter referred to as “Tianhong Lvyan”)

Address: Room 1248, Office Building 18, Business Center, Meishan Avenue, Beilun District, Ningbo, Zhejiang

Executive partner delegate: Sun Ning

 

3

 

12.                               Beijing Wentou Huyu Investment Co., Ltd. (hereinafter referred to as “Wentou Huyu”)

Address: Room 303, 3/F, Building 56, No.2 Jingyuan North Street, Beijing Economic-Technological Development Area, Beijing

Legal representative: Gao Haitao

 

(Gebi Yinghe, Gebi Lvzhou, Xiaodu Investment, Jincun Investment, Tianhong Lvyan, Guohong No.2, Fenzhong Chuangxiang and Wentou Huyu are collectively referred to as “Investor Shareholders”; the Controlling Shareholder and Zhang Gongzi are collectively referred to as “Company Shareholders”; the Controlling Shareholder, Zhang Gongzi, Gebi Yinghe, Gebi Lvzhou, Xiaodu Investment, Jincun Investment, Guohong No.2, and Fenzhong Chuangxiang are collectively referred to as “Existing Shareholders”; the Founder, Company Shareholders, Investor Shareholders and the Company are collectively referred to as “the parties” and individually referred to as a “party” in this Agreement)

 

4

 

Preface

 

A.                                    The Founder is a Chinese citizen who has a residence and has lived for a long time in China.

 

B.                                    Existing Shareholders are companies incorporated and validly existing under the laws of China.

 

C.                                    The Company is a limited liability company incorporated and validly existing under the laws of China. As of the date of signing this Agreement, the registered capital of the Company is RMB Eleven Million Five Hundred and Sixteen Thousand Six Hundred and Sixty-two (RMB11,516,662). The Company’s shareholding structure is listed below:

 

	
No.
    	
 
    	
Shareholder name
    	
 
    	
Holding registered
   capital
   (RMB)
    	
 
    	
Shareholding
   ratio
    	
 
    
	
1
    	
 
    	
Controlling Shareholder
    	
 
    	
8,000,000
    	
 
    	
69.46
    	
%
    
	
2
    	
 
    	
Zhang Gongzi
    	
 
    	
2,000,000
    	
 
    	
17.37
    	
%
    
	
3
    	
 
    	
Guohong No.2
    	
 
    	
749,997
    	
 
    	
6.51
    	
%
    
	
4
    	
 
    	
Fenzhong Chuangxiang
    	
 
    	
249,999
    	
 
    	
2.17
    	
%
    
	
5
    	
 
    	
Gebi Yinghe
    	
 
    	
233,334
    	
 
    	
2.03
    	
%
    
	
6
    	
 
    	
Jincun Investment
    	
 
    	
166,666
    	
 
    	
1.45
    	
%
    
	
7
    	
 
    	
Xiaodu Investment
    	
 
    	
83,333
    	
 
    	
0.72
    	
%
    
	
8
    	
 
    	
Gebi Lvzhou
    	
 
    	
33,333
    	
 
    	
0.29
    	
%
    
	
 
    	
 
    	
Total
    	
 
    	
11,516,662
    	
 
    	
100
    	
%
    

 

Pursuant to the terms and conditions of this Agreement, the parties agree that for this Capital Increase, Tianhong Lvyan will invest RMB Fifty-six Million (RMB 56,000,000) (hereinafter referred to as “Proceeds from Capital Increase Subscription of Tianhong Lvyan”) to the Company to subscribe for the newly registered capital of RMB Four Hundred Sixty Six Thousand Six Hundred and Sixty-six (RMB466,666) of the Company; Wentou Huyu will invest RMB Fourteen Million (RMB14,000,000) (hereinafter referred to as “Proceeds from Capital Increase Subscription of Wentou Huyu”), to subscribe for the newly registered capital of RMB One Hundred and Sixteen Thousand Six Hundred and Sixty-six (RMB116,666); Tianhong Lvyan and Wentou Huyu together will invest RMB Seventy Million (RMB70,000,000) to the Company (hereinafter referred to as “Proceeds from Capital Increase Subscriptions”).

 

5

 

The Company’s newly registered capital is RMB Five Hundred Eighty-three Thousand Three Hundred and Thirty-two (RMB583,332). The registered capital of the Company is increased from RMB Eleven Million Five Hundred and Sixteen Thousand Six Hundred and Sixty-two (RMB11,516,662) to RMB Twelve Million Ninety-nine Thousand Nine Hundred and Ninety-four (RMB12,099,994).

 

6

 

Text of the Agreement

 

In view of this, according to the relevant laws, regulations and normative documents of China, the parties reach unanimously agreement as follows through friendly negotiation:

 

1.              Definition

 

1.1                               Unless otherwise provided in this Agreement or the context of this Agreement otherwise requires, the following expressions have the following meanings in this Agreement:

 

	
“This Capital Increase” or “This Transaction”
    	
 
    	
shall mean the   Capital Increase Agreement proposed to be completed under this Agreement
    
	
 
    	
 
    	
 
    
	
“This   Agreement” or “the Capital Increase Agreement”
    	
 
    	
this Capital Increase Agreement, also including amendments,   supplements and adjustments and attachments to this   Agreement from time to time through negotiations of the parties.
    
	
 
    	
 
    	
 
    
	
“Founder”
    	
 
    	
has the meaning as   specified in the Preamble
    
	
 
    	
 
    	
 
    
	
“Controlling   Shareholder”
    	
 
    	
has the meaning as   specified in the Preamble
    
	
 
    	
 
    	
 
    
	
“Existing   Shareholders”
    	
 
    	
shall have the   meaning as defined in Preamble
    
	
 
    	
 
    	
 
    
	
“Tianhong   Lvyan”
    	
 
    	
has the meaning as   specified in the Preamble
    
	
 
    	
 
    	
 
    
	
“Wentou   Huyu”
    	
 
    	
has the meaning as   specified in the Preamble
    
	
 
    	
 
    	
 
    
	
“Guohong   No.2”
    	
 
    	
shall have the   meaning as defined in Preamble.
    
	
 
    	
 
    	
 
    
	
“Fenzhong   Chuangxiang”
    	
 
    	
shall have the   meaning as defined in Preamble.
    
	
 
    	
 
    	
 
    
	
“Jincun   Investment”
    	
 
    	
shall have the   meaning as defined in Preamble.
    
	
 
    	
 
    	
 
    
	
“Gebi   Yinghe”
    	
 
    	
has the meaning as   specified in the Preamble
    

 

7

 

	
“Gebi   Lvzhou”
    	
 
    	
has the meaning as   specified in the Preamble
    
	
 
    	
 
    	
 
    
	
“Xiaodu   Investment”
    	
 
    	
has the meaning as   specified in the Preamble
    
	
 
    	
 
    	
 
    
	
“Investor   Shareholders”
    	
 
    	
shall have the   meaning as defined in Preamble.
    
	
 
    	
 
    	
 
    
	
“Majority Shareholders”
    	
 
    	
the Investor Shareholders holding more than   two-thirds (inclusive) of the entire equity held by all Investor Shareholders after this Transaction.
    
	
 
    	
 
    	
 
    
	
“Preamble”
    	
 
    	
the part between   the title of this Agreement and the Preface of this Agreement.
    
	
 
    	
 
    	
 
    
	
“Preface”
    	
 
    	
the Preface of this Agreement.
    
	
 
    	
 
    	
 
    
	
“Party”   and “the Parties”
    	
 
    	
has the meaning as   specified in the Preamble.
    
	
 
    	
 
    	
 
    
	
“Third   Party”
    	
 
    	
any person other than the parties   to this Agreement.
    
	
 
    	
 
    	
 
    
	
“The   Company”
    	
 
    	
has the meaning as   specified in the Preamble
    
	
 
    	
 
    	
 
    
	
“Shareholders   Agreement”
    	
 
    	
the Shareholders Agreement of Beijing Pinxin Media   Culture Co., Ltd. with the same format and content as Annex I of this Agreement.
    
	
 
    	
 
    	
 
    
	
“Proceeds   from Capital Increase Subscriptions”
    	
 
    	
has the meaning as   specified in Preamble of this Agreement
    
	
 
    	
 
    	
 
    
	
“Newly   Registered Capital”
    	
 
    	
has the meaning as   specified in Preamble of this Agreement
    
	
 
    	
 
    	
 
    
	
“Capital   Increase Subscription Price”
    	
 
    	
has the meaning as   specified in Article 3.1.1 of this Agreement
    
	
 
    	
 
    	
 
    
	
“Delivery”
    	
 
    	
has the meaning as   specified in Article 4.1 of this Agreement
    
	
 
    	
 
    	
 
    
	
“Delivery   Date”
    	
 
    	
has the meaning as   specified in Article 4.1 of this Agreement
    

 

8

 

	
“Capital   Increase Transaction Documents”
    	
 
    	
has the meaning as   specified in Article 4.1.7 of this Agreement
    
	
 
    	
 
    	
 
    
	
“Business   Plan” 
    	
 
    	
has the meaning as   specified in Article 4.1.8 of this Agreement
    
	
 
    	
 
    	
 
    
	
“Disclosure   List”
    	
 
    	
has the meaning as   specified in Article 5.1 of this Agreement
    
	
 
    	
 
    	
 
    
	
“Board   of Directors” 
    	
 
    	
the Company’s board of directors.
    
	
 
    	
 
    	
 
    
	
“Industrial   and Commercial Administration”
    	
 
    	
the corresponding   industrial and commercial administrative department in China   responsible for the approval and registration of the establishment, change   (including but not limited to Capital Increase, equity transfer, etc.)   of the Company.
    
	
 
    	
 
    	
 
    
	
“Shareholder   Meeting”
    	
 
    	
shareholder   meetings of the Company.
    
	
 
    	
 
    	
 
    
	
“Related   Parties” 
    	
 
    	
For the purpose of   a specific person, (a) when it is a   natural person, the spouse of the person   and his immediate family members (whether blood relative or adopted) or any   trust established and maintained only for the benefit of the person, the spouse of the person and/or the immediate family   members; and (b) when it is any person,   the person indirectly or   indirectly controlling such specific person   through one or more media, controlled by such specific person or jointly controlled together   with such specific person.
    
	
 
    	
 
    	
 
    
	
“Interested   parties”
    	
 
    	
for any person, (a) the person   acting as a director, supervisor, manager (director and above) or a partner   or a company or organization   holding directly or indirectly no less than ten percent (10%) of any kind of   equity securities interests, (b) trust or other properties in which the person enjoys a substantial interest or in which the person acts as a trustee or holds a similar position, and   (c) any immediate family member or a collateral relative within three   generations of such person, the   spouse of such person or the   immediate family member or a collateral relative within three generations of   the spouse of such person.
    

 

9

 

	
“Qualified Initial Public   Offering”
    	
 
    	
shall mean the   listing and public offering of shares of the   Company at stock exchanges in China, the Hong Kong Special   Administrative Region or other internationally recognized stock exchanges   considered and approved by the general meeting of shareholders according to   the securities laws and regulations of the applicable jurisdiction(s). Unless   approved respectively in advance by Tianhong   Lvyan and Guohong No.2,   qualified initial public offering does not include the listing of the Company in the National Equities   Exchange and Quotations.
    
	
 
    	
 
    	
 
    
	
“Contract”
    	
 
    	
any agreement, arrangement,   commitment, stipulation, license, compensation, contract, instrument, lease,   permit, permission or binding memorandum of understanding (whether written or   not).
    
	
 
    	
 
    	
 
    
	
“Control”
    	
 
    	
(including the   meaning of the terms “Controlling”, “Controlled” and “Commonly Controlled   by”), for the purpose of any person,   the authority to directly or indirectly direct the person’s management or policies (related to operational   controls, financial controls or other controls), whether by holding   securities with voting rights, or by contract or   otherwise. 
    
	
 
    	
 
    	
 
    
	
“Subsidiaries”
    	
 
    	
the Company and other   non-natural person parties in which the Company   directly or indirectly holds over fifty percent (50%) of the voting rights.   As of the signing date of this Agreement, the list of the Company’s   subsidiaries is detailed in Appendix   I of this Agreement.
    
	
 
    	
 
    	
 
    
	
“Group   Company”
    	
 
    	
the Company and/or subsidiaries.
    

 

10

 

	
“Encumbrance”
    	
 
    	
(a) any   obligation, guarantee for the purpose of any person, or pledge, guarantee, mortgage, lien, security deed,   trust deed, retention of rights, security interest or other third party rights conferring any kind of   payment priority on it; (b) any easement or guarantee granting the use   or possession right to any person;   (c) any power of attorney, letter of authority, voting trust agreement,   equity interest, option, preemptive right, priority negotiation or refusal   right or transfer restrictions in favor of any person; (d) any unfavorable claims relating to   ownership, possession or use; encumbrance also includes agreements or   arrangements relating to the above.
    
	
 
    	
 
    	
 
    
	
“RMB”
    	
 
    	
the legal currency   of China.
    
	
 
    	
 
    	
 
    
	
“Person”
    	
 
    	
should be   interpreted as broadly as possible and should include individuals,   partnerships (including but not limited to limited partnerships), companies,   associated enterprises, joint stock limited companies, limited liability   companies, trusts, joint ventures or cooperative enterprises (including   Sino-foreign joint ventures and Sino-foreign cooperative enterprise),   non-corporate organizations and government   authorities.
    
	
 
    	
 
    	
 
    
	
“Applicable   Laws”
    	
 
    	
for the purpose of   any person, any constitution,   treaty, statute, laws, regulations, decrees, guidelines, rules, judgments,   common law rules, orders, edicts, rulings, injunctions, government approvals,   approvals, grants, licenses, permits, consents, instructions, requirements   that apply to such person or any   property or business thereof, whether it is effective on or after the date of   this Agreement or revised from time to time or re-enacted, or   other government restrictions of any government   authority or any similar government decrees, or decisions made by   it, or relevant provisions relating to the interpretation and implementation   of any of the foregoing.
    
	
 
    	
 
    	
 
    
	
“Taxes”
    	
 
    	
Any and all taxes   payable (including but not limited to any income tax, business tax, stamp   duty or other taxes, duties, charges, fees, deductions, fines or withholding   taxes imposed, collected or apportioned). “Tax   revenue” should also be interpreted accordingly.
    
	
 
    	
 
    	
 
    
	
“Litigation”
    	
 
    	
Any litigation,   prosecution, legal procedure, claim, arbitration or investigation.
    

 

11

 

	
“Loss”   
    	
 
    	
All direct or   indirect losses, liabilities, damages, deficiencies, value impairments,   litigation, debts, responsibilities, benefits, interests, fines, fees,   judgments or reconciliations of any nature or kind, including all related   costs and expenses, including but not limited to reasonable lawyer fees and   expenses, litigation fees, arbitration fees, reconciliation fees and   investigation fees of any kind or nature, whether it is legal or equitable,   known or unknown, foreseeable or unforeseeable.
    
	
 
    	
 
    	
 
    
	
“Known”
    	
 
    	
When something is   “known” to a person, it means something that is   actually known to such person. It should be something known after proper consultation and due diligence that   should be conducted by such person   as a prudent business person in   managing its business. Such due diligence includes appropriate consultation   with such person and the   management, directors, key employees and professional consultants (including   lawyers, accountants and consultants) of its related   parties.
    
	
 
    	
 
    	
 
    
	
“Business   Day”
    	
 
    	
any day when China’s banks usually operate   public-facing business (except for Saturdays, Sundays and statutory holidays   in China).
    
	
 
    	
 
    	
 
    
	
“Articles   of Association”
    	
 
    	
Articles of   Association of Beijing Pinxin Media Culture Co., Ltd. with the same   format and content as Annex II   of this Agreement.
    
	
 
    	
 
    	
 
    
	
“Confidential   Information”
    	
 
    	
has the meaning as   specified in Article 8.1 of this Agreement
    
	
 
    	
 
    	
 
    
	
“Government   Authority”
    	
 
    	
any government or   its political branch, whether at the federal, central, state, provincial,   municipal, or local level, and regardless of administrative, legislative, or   judicial nature, including any representative office, authority, council,   bureau, committee, court, department, or other institutions.
    
	
 
    	
 
    	
 
    
	
“Intellectual   Property Assets”
    	
 
    	
all patents,   patent applications, registered trademarks, service trademarks, trademark   applications, unregistered logos, trade names, registered designs,   unregistered design rights, domain names, copyrights, copyright registrations   and applications, and all other related rights, inventions, utility models,   appearance design, database and all related rights, all computer software   including all source code, object code, firmware, development tools, files,   records and data, including all storage media for any of the above contents,   formulation, design, commercial secrets, confidentialities, proprietary   information, proprietary rights, know-how and procedures, and all documents   relating to any of the above contents.
    

 

12

 

	
“Material   Adverse Effect”
    	
 
    	
material adverse   effect on the condition (financial condition or other) of a particular person, the assets associated with it,   the results of operations or prospects, or its business (currently or   intended to be carried out).
    
	
 
    	
 
    	
 
    
	
“China”
    	
 
    	
the People’s   Republic of China, but for the purposes of this Agreement, not including the   Hong Kong Special Administrative Region, the Macao Special Administrative   Region and Taiwan.
    
	
 
    	
 
    	
 
    
	
“Main   Business”
    	
 
    	
Internet   commercial media.
    
	
 
    	
 
    	
 
    
	
“Dispute”
    	
 
    	
has the meaning as   specified in Article 11.4.1 of this Agreement
    
	
 
    	
 
    	
 
    
	
“Arbitration   Commission”
    	
 
    	
has the meaning as   specified in Article 11.4.2 of this Agreement
    

 

1.2                               Interpretation. The term “this Agreement” means all of this Agreement and is not a clause, appendix, attachment or other part of this Agreement. Terms, appendices or attachments expressed in this Agreement shall be the corresponding terms, appendices or attachments in this Agreement, unless they are inconsistent with the subject matter or context.

 

1.3                               Headings. The headings of the terms are for convenience only and shall not affect the interpretation of this Agreement.

 

1.4                               References. References to the laws of China in this Agreement shall include any laws, regulations, legally binding policies or other supporting legislation in the region. References to the law shall include versions that have been revised or altered from time to time. References to this Agreement or any contract shall be construed as including the relevant contracts that may be amended, supplemented, altered or updated.

 

13

 

1.5                               Appendix and Annex. The appendices and annexes to this Agreement constitute an integral part of this Agreement and have the same legal effect as this Agreement.

 

2.                                      Pre-delivery Action

 

2.1                               Application for Intellectual Property Transfer. The Founder, the Controlling Shareholder and the Company undertake that before delivery, the Controlling Shareholder shall commence the legal process of registration change to register the “wow36kr” WeChat public account, the “36kr” Weibo account and all the intellectual property rights in Appendix II under the name of the Company.

 

2.2                               Changes to the ICP Certificate. The Founder, the Controlling Shareholder and the Company undertake that registration of the operating permit for value-added telecommunications services held by the Controlling Shareholder shall be changed to register it under the name of the Company before delivery.

 

2.3                               The obligations of the Founder, the Controlling Shareholder and the Company under Article 2.1, 2.2 shall only be deemed fulfilled after confirmation in writing by the Investor Shareholders.

 

3.                                      Capital Increase

 

3.1                               This Capital Increase.

 

3.1.1                     The parties agree that, subject to the fulfillment of the terms and conditions of this Agreement and other Capital Increase Transaction Documents, Tianhong Lvyan shall invest RMB Fifty-six Million (RMB56,000,000) in the Company to subscribe for the newly registered capital of the Company of RMB Four Hundred Sixty Six Thousand Six Hundred and Sixty-six (RMB466,666); Wentou Huyu shall invest RMB Fourteen Million (RMB14,000,000) in the Company to subscribe for the newly registered capital of the Company of RMB One Hundred and Sixteen Thousand Six Hundred and Sixty-six (RMB116,666). The subscription price for each RMB1 of the newly registered capital shall be RMB One Hundred and Twenty (RMB120) (hereinafter referred to as “Capital Increase Subscription Price”) and the premium portion of the Proceeds from Capital Increase Subscriptions paid by Tianhong Lvyan and Wentou Huyu shall be included in the capital reserve of the Company.

 

14

 

3.1.2                     The Proportion of Equity Interest after the Capital Increase is Completed. After the completion of the Capital Increase mentioned in the above Article 3.1.1, the Company’s shareholders and capital contribution ratio shall be as follows:

 

	
No.
    	
 
    	
Shareholder name
    	
 
    	
Holding registered
   capital
   (RMB)
    	
 
    	
Shareholding
   ratio
    	
 
    
	
1
    	
 
    	
Controlling Shareholder
    	
 
    	
8,000,000
    	
 
    	
66.116
    	
%
    
	
2
    	
 
    	
Zhang Gongzi
    	
 
    	
2,000,000
    	
 
    	
16.529
    	
%
    
	
3
    	
 
    	
Guohong No.2
    	
 
    	
749,997
    	
 
    	
6.198
    	
%
    
	
4
    	
 
    	
Tianhong Lvyan
    	
 
    	
466,666
    	
 
    	
3.857
    	
%
    
	
5
    	
 
    	
Fenzhong Chuangxiang
    	
 
    	
249,999
    	
 
    	
2.066
    	
%
    
	
6
    	
 
    	
Gebi Yinghe
    	
 
    	
233,334
    	
 
    	
1.928
    	
%
    
	
7
    	
 
    	
Jincun Investment
    	
 
    	
166,666
    	
 
    	
1.377
    	
%
    
	
8
    	
 
    	
Wentou Huyu
    	
 
    	
116,666
    	
 
    	
0.964
    	
%
    
	
9
    	
 
    	
Xiaodu Investment
    	
 
    	
83,333
    	
 
    	
0.689
    	
%
    
	
10
    	
 
    	
Gebi Lvzhou
    	
 
    	
33,333
    	
 
    	
0.275
    	
%
    
	
 
    	
 
    	
Total: 
    	
 
    	
12,099,994
    	
 
    	
100
    	
%
    

 

3.2                               Consent and Waiver. The Existing Shareholders agree to and approve the Capital Increase by Tianhong Lvyan and Wentou Huyu and the subscription for the Newly Registered Capital by Tianhong Lvyan and Wentou Huyu, and waive the pre-emptive right to the above Newly Registered Capital.

 

15

 

3.3                    Time of Payment of the Proceeds from Capital Increase Subscriptions. The parties agree that Tianhong Lvyan and Wentou Huyu shall pay the corresponding Proceeds from Capital Increase Subscriptions to the Company in full on the Delivery Date. On the day when Tianhong Lvyan and Wentou Huyu pay the Proceeds from Capital Increase Subscriptions in full, the Company shall immediately record Tianhong Lvyan and Wentou Huyu and the number and proportion of the shares of the Company held by them in the Company’s shareholder register, and issue the capital contribution certificates with official seal of the Company signed by the legal representative of the Company to Tianhong Lvyan and Wentou Huyu. From the Delivery Date, Tianhong Lvyan and Wentou Huyu shall be entitled to the rights as shareholders of the Company (including but not limited to the right of receiving the Company’s undistributed profits) in accordance with this Agreement and the Shareholder Agreement.

 

3.4                    Business License Update. Within ten (10) business days after Tianhong Lvyan and Wentou Huyu have paid the Company the full amount of the Proceeds from Capital Increase Subscriptions, the Company shall apply to the Industrial and Commercial Administration for registration of changes in the relevant corporate registration matters due to this Capital Increase (including the filing of the new shareholders of the Company, the Articles of Association and new members in the Board of Directors of the Company) and the update of the business license to reflect that Tianhong Lvyan and Wentou Huyu have paid for the Company’s Newly Registered Capital in accordance with this Agreement and became shareholders of the Company; the Existing Shareholders shall take all necessary actions and sign all necessary documents to assist the Company in completing the registration of changes for this Capital Increase by Tianhong Lvyan and Wentou Huyu.

 

4.              Capital Increase Delivery

 

4.1                    Conditions for Capital Increase Delivery. The obligation of Tianhong Lvyan and Wentou Huyu to pay the Proceeds from Capital Increase Subscriptions in accordance with Articles 3.1.1 and 3.3 of this Agreement (hereinafter referred to as “Delivery”) shall be subject to the fulfillment of following preconditions, unless Tianhong Lvyan and Wentou Huyu waive in writing. Delivery shall be conducted on a date agreed by the parties within ten (10) business days after all of the following preconditions are met or waived in writing, or such other date and time agreed by the parties in writing (hereinafter referred to as the “Delivery Date”), by the remote exchange of documents and signatures:

 

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4.1.1          Due Diligence. Tianhong Lvyan and Wentou Huyu have completed and passed due diligence (including but not limited to commercial due diligence, legal due diligence, and financial due diligence) on the Group Company, and the results of due diligence are satisfactory to Tianhong Lvyan and Wentou Huyu; the Founder, the Controlling Shareholder and the Company shall make their best efforts to cooperate with Tianhong Lvyan and Wentou Huyu in the above-mentioned due diligence, including but not limited to arranging customer meetings, providing relevant contracts, as well as legal documents and financial information of the Group Company; the Founder, the Controlling Shareholder and the Company have fully, truthfully and completely disclosed to Tianhong Lvyan and Wentou Huyu in writing the assets, liabilities, equity interests, external guarantees of the Group Company and all information related to this Capital Increase.

 

4.1.2          Representations and Warranties. The representations and warranties made by the Founder, the Controlling Shareholder and the Company in Appendix III to this Agreement are true, accurate and not misleading in all material respects on the Delivery Date; however, if a representation and warranty clearly refers to the condition on an earlier date before the Delivery Date, the representation and warranty shall be true, accurate and not misleading as of that earlier date.

 

4.1.3          Performance of Obligations. Existing Shareholders and the Company have properly performed and complied with all agreements, obligations and conditions that are required to be fulfilled or observed upon or before the Delivery contained in this Agreement and the Capital Increase Transaction Documents.

 

4.1.4          Approval, Consent and Waiver. Existing Shareholders and the Company shall have obtained all the approvals, consents and waivers required to complete this Capital Increase, including but not limited to the corresponding pre-emptive right that Existing Shareholders shall waive, and all permits, licenses, approvals, filings or consents of any government authority or regulatory authority or other persons (other than the industrial and commercial registration) (if any).

 

4.1.5          No Material Adverse Effects. From the date of signing this Agreement to the Delivery Date, the Group Company has not encountered any material adverse effect events.

 

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4.1.6          Contracts with Key Employees. The Company’s key employees (see Appendix V of this Agreement for the list of key employees) have signed employment agreements with the Company with the form and contents that are satisfactory to Tianhong Lvyan and Wentou Huyu, as well as confidentiality agreements, business strife limitation agreements and non-competition agreements.

 

4.1.7          Signing of the Capital Increase Transaction Documents. The parties shall have signed the Capital Increase Agreement, the Shareholders Agreement and the Articles of Association and all other ancillary documents required by applicable laws (hereinafter referred to as “Capital Increase Transaction Documents”) for the purpose of this Capital Increase.

 

If any government authority requires changes to any of the provisions of any Capital Increase Transaction Document upon submission of the Capital Increase Transaction Documents to the relevant government authority for registration, the parties shall promptly negotiate whether to make the required changes. No change shall have legal effect without the written consent of the parties.

 

4.1.8          Recognition of Future Business Plans by Tianhong Lvyan and Wentou Huyu. The Founder, the Controlling Shareholder and/or the Company shall have submitted to Tianhong Lvyan and Wentou Huyu the detailed research and development plan, promotion plan (hereinafter collectively referred to as “Business Plans”) and the Company’s budget plan for the next twelve (12) months after the completion of this Capital Increase, and the above Business Plans shall have been approved in writing by Tianhong Lvyan and Wentou Huyu.

 

4.1.9          Approval by Shareholder and Investment Committees. Tianhong Lvyan and Wentou Huyu have obtained approval from their respective shareholders and investment committees or similar organizations for this Capital Increase of the Company and all contents of the Capital Increase Transaction Documents.

 

4.1.10   Delivery Certificate. The Founder, the Controlling Shareholder and the Company should have delivered a duly signed delivery certificate to Tianhong Lvyan and Wentou Huyu to prove that all Delivery conditions set forth in Article 4.1 herein have been satisfied.

 

4.2                    Delivery Conditions of the Company, the Controlling Shareholder and the Founder. The obligations of the Company, the Controlling Shareholder and the Founder on the Delivery Date shall depend on the satisfaction of the following prerequisites on or before the delivery Date, unless otherwise waived by the Company, the Controlling Shareholder and the Founder in writing:

 

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4.2.1          Representations and Warranties. The representations and warranties made by Tianhong Lvyan and Wentou Huyu under this Agreement are true and accurate in all material respects on the Delivery Date; however, if a particular representation and warranty expressly states circumstances of an earlier date before the Delivery Date, the representation and warranty shall be true as of that earlier date.

 

4.2.2          Performance of Obligations. Tianhong Lvyan and Wentou Huyu have properly performed and complied with all agreements, obligations and conditions that are required to be fulfilled or observed upon or before the Delivery Date contained in this Agreement.

 

5.                           Representations and Warranties

 

5.1                    Representations and Warranties of the Company, the Controlling Shareholder and the Founder. The Company, the Controlling Shareholder and the Founder respectively represent and warrant to Tianhong Lvyan and Wentou Huyu:

 

5.1.1          In addition to the disclosures in Appendix IV to this Agreement (hereinafter referred to as the “Disclosure List”, such Disclosure List shall be deemed modification and restriction of the representations and warranties stipulated in Appendix III to this Agreement), the representations and warranties stipulated in Appendix III to this Agreement are true, accurate and not misleading on the date of signature of this Agreement and will be true, accurate and not misleading on the Delivery Date (except for representations and warranties specific to a particular date, and in such circumstances, such representations and warranties shall be true, accurate and not misleading at such date).

 

5.1.2          Enforceability. Upon signing of this Agreement and Delivery, it shall constitute its legal, valid and binding obligations and enforceability in accordance with its respective terms, unless it is subject to the following restrictions: (a) applicable bankruptcy, insolvency, restructuring or other general applicable laws relating to or affecting the exercise of the rights of creditors; and (b) the applicable results of legal remedies.

 

5.2                    Representations and Warranties of Tianhong Lvyan and Wentou Huyu. Tianhong Lvyan and Wentou Huyu hereby represent and warrant to the other parties that the following representations and warranties are true, accurate and not misleading as at the date of this Agreement, and are also true, accurate and not misleading as at the Delivery Date that:

 

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5.2.1          Legally Incorporated. They are formally incorporated and validly existing in accordance with the laws of their places of registration.

 

5.2.2          Authorization. They have all the necessary powers, authorizations and capabilities to sign and perform their obligations under this Agreement and the Capital Increase Transaction Documents proposed under this Agreement. This Agreement and the Capital Increase Transaction Documents proposed under this Agreement shall constitute the valid and binding obligations of Tianhong Lvyan and Wentou Huyu upon signing and delivery (documents that take effect only after approval by relevant government authority are subject to such approval) by Tianhong Lvyan and Wentou Huyu and shall be enforceable against Tianhong Lvyan and Wentou Huyu in accordance with the terms unless subject to the following restrictions: (a) applicable bankruptcy, insolvency, reorganization or other generally applicable laws concerning or affecting the exercise of rights of creditors; and (b) the applicable results of legal remedies.

 

6.                           Undertakings

 

6.1                    The Company, the Controlling Shareholder and the Founder make following undertakings to Tianhong Lvyan and Wentou Huyu respectively:

 

6.1.1          Use of the Proceeds from Capital Increase Subscriptions. They shall ensure that the Proceeds from Capital Increase Subscriptions are used for the execution of the Company’s business plans approved by the Company and Tianhong Lvyan and Wentou Huyu, and not for any other purpose than the Company’s main business. In particular the Proceeds from Capital Increase Subscriptions may not be used to repay the Company’s loans (including but not limited to the loans of RMB Seven Million One Hundred Twenty Three Thousand Five Hundred Twenty One and Thirty Eight Cents (RMB7,123,521.38) in total provided to the Company by the Controlling Shareholder pursuant to the 3 loan agreements signed with the Company on May 8, 2017 and June 5, 2017.

 

6.1.2          Registered Capital Contribution. They shall ensure that the Existing Shareholders contribute their subscribed capital in full and on time in accordance with the Articles of Association.

 

6.1.3          Prohibition of Non-main Business. They shall ensure that the Group Company shall only engage in the main business. Unless otherwise agreed in writing by the Investor Shareholders, the Group Company shall not engage in any business other than the main business.

 

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6.1.4          Non-competition. The Founder, the Controlling Shareholder and their related parties or interested parties shall not, before the earlier of the date when the Company complete the Qualified Initial Public Offering or the date Tianhong Lvyan and Wentou Huyu withdraw from the Company, directly or indirectly, alone, together with any other persons or through any other persons, in whatever form: (1) engage in any business related to the business of the Company; (2) conduct new investment (whether through equity or contractual manner) in any entity that engages in the business of the Company, engages in the same business as the Company or engages in business competing with the business of the Company (including research and development and production activities relating to the competing business); or (3) provide advice, assistance or funding to any competitive business.

 

For the purpose of the Qualified Initial Public Offering of the Company, the Founder, the Company, the Controlling Shareholder shall, at the request and the advice of the intermediaries employed to realize the Qualified Initial Public Offering of the Company or the Investor Shareholders, do their best on the disposal or restriction of the competing business and other related activities that they directly or indirectly own or participate in.

 

6.1.5          Key Employee Commitments. The Founder, the Controlling Shareholder, the Company shall ensure that the key employees listed in Appendix V of this Agreement are fully committed to the overall management and operation of the Group Company (unless the Board of Directors expressly dismisses their duties), and shall not engage in any business unrelated to the business of the Group Company.

 

The Founder, the Controlling Shareholder, the Company shall ensure that Feng Dagang, one of the key employees, will not engage in or be associated with or have interests in any business competing or associated with the business of the Group Company, before an earlier date between the date the Company completes the Qualified Initial Public Offering and the date the Investor Shareholders withdraw from the Company.

 

6.1.6          Non-soliciting. Neither the Founder nor the Controlling Shareholder shall persuade or encourage any employee of the Group Company to accept other employment, or to recruit any employee of the Group Company in other ways; or to provide any form of consultation, guidance, counsel, assistance or funding to any person engaged in a business that competes with the business of the Group Company.

 

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6.1.7          No Encumbrance. Unless otherwise approved in writing by the Investor Shareholders, the Company shall ensure that the Group Company continues to have good and transferable title to its property and assets and will not create any encumbrance on its property and assets. For its leased property and assets, the Company shall ensure that the Group Company complies with its lease contract as a party, and the Company shall ensure that the Group Company has and maintains a valid leasehold interest in the property and assets.

 

6.1.8          Obtaining Qualification Certificates. The Company shall obtain the necessary qualification certificates for engaging in the main business in accordance with the laws of China before December 31, 2019, including but not limited to the online publishing license, except where the competent authority confirms that the Company’s main business does not require that license.

 

6.1.9          Change of Business Scope of Huake Technology. The Company, the Controlling Shareholder and the Founder shall, before December 31, 2019, ensure that “organizing cultural and artistic exchange activities (excluding performance); market research; corporate planning; advertising design, production, agency and publication; hosting exhibitions and presentation activities” would be removed from the business scope of Huake Technology.

 

6.1.10   Transfer of the WeChat and Weibo Accounts. Within two (2) months after the Delivery Date, the Controlling Shareholder shall transfer the 36Kr WeChat official account (wow36kr) and 36kr Weibo account to the Company free of charge, change the registration to register them under the name of the Company, and all the articles, material library, message history, and followers and other contents of the WeChat and Weibo accounts shall be transferred to the Company.

 

6.1.11   Transfer of the Computer Software Copyright. The Controlling Shareholder shall change the registration of all computer software copyrights in Appendix II to register them under the name of the Company within three (3) months after the Delivery Date.

 

6.1.12   Transfer of Trademark Rights. The Controlling Shareholder shall change the registration of all trademark rights in Appendix II to register them under the name of the Company within fifteen (15) months after the Delivery Date.

 

6.1.13   Equity arrangement of shareholders of the Controlling Shareholder. The Company, the Controlling Shareholder and the Founder, and all shareholders of the Controlling Shareholder, shall issue a written document confirming whether to convert their respective equity/shares of the Controlling Shareholder into equity of the Company before December 31, 2019. If, at that time, all or part of the shareholders of the Controlling Shareholder decide to convert the equity/shares, it shall require prior written consent of the Investor Shareholders (which must include the respective prior written consent of Majority Investors, Tianhong Lvyan and Guohong No.2).

 

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If the equity held by the Investor Shareholders is diluted due to the equity/share conversion of the shareholders of the Controlling Shareholder, the Company shall issue a certain amount of newly registered capital to the Investor Shareholders and/or the Controlling Shareholder shall transfer a certain number of equity/shares of the Company to the Investor Shareholders free of charge to ensure that the equity interests of the Investor Shareholders are not subject to unfavorable effects, and all the rights of the shareholders of the Controlling Shareholder shall not be prioritized or preferential to the Investor Shareholders. Otherwise, the shareholders of the Controlling Shareholder shall not convert their equity/shares of the Controlling Shareholder. Taxes and fees (if any) imposed on the Investor Shareholders due to the free transfer and capital increase shall be borne by the Controlling Shareholder.

 

6.1.14   Protection of Intellectual Property Assets. The Company, the Controlling Shareholder and the Founder shall continue to take all reasonable measures to protect the intellectual property assets owned by the Group Company, including but not limited to carrying out the registration, filing, and application procedures for intellectual property rights such as trademarks, trade names, domain names, copyrights, computer software copyrights, utility models, appearance design and patents related to the main business.

 

6.1.15   Further Assurance. Before the Delivery Date, the Company, the Controlling Shareholder and the Founder shall jointly and severally (a) cooperate with Tianhong Lvyan and Wentou Huyu to provide all due diligence information required by Tianhong Lvyan and Wentou Huyu; (b) take all necessary or appropriate actions and other measures to complete the transaction proposed under this Agreement, including facilitating the fulfillment of the delivery preconditions specified in Article 4 of this Agreement as soon as practicable; and (c) sign and submit other agreements, certificates, instruments and documents necessary for the entry into force of the terms and objectives of this Agreement, and take or procure the taking of all actions for the purpose of achieving such purposes.

 

6.1.16   Additional Warranty. Unless required by this Agreement, the Company will not pass resolutions at the shareholders’ meeting or the Board of Directors on the matters listed in Article 9.1 and Article 10.3(1)-(17) of the Shareholders Agreement before the Delivery Date without prior written consent of Tianhong Lvyan and Wentou Huyu. However, the Group Company may conduct its respective business in the same way as before, and pass resolutions and sign contracts in the ordinary course of business.

 

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6.1.17   Compliance. At any time from the Delivery Date, unless Tianhong Lvyan and Wentou Huyu agree otherwise in writing, the Company shall use its reasonable business efforts to ensure that all actions of the Group Company comply with all applicable laws and shall maintain any and all major permits and licenses legal, valid and fully effective.

 

6.1.18   Exclusive Period. The Company, the Controlling Shareholder and the Founder agree, during the period from the date of this Agreement to an earlier date between (a) the Delivery Date and (b) the date of termination of this Agreement, without the prior written consent of Tianhong Lvyan and Wentou Huyu, the Company, the Controlling Shareholder and the Founder or any of their related person will not:

 

(1)                                 solicit, initiate, encourage or accept any of the following proposals or offers from any person: (a) any investment in the Group Company; (b) any acquisition of all or any part of the equity interests or assets of the Group Company; (c) acquisition, merger or other form of business combination of the Group Company or its main business; or (d) any capital restructuring, asset restructuring or other abnormal business transaction involving the Group Company or related to the Group Company; or

 

(2)                                 To sign any agreement, memorandum, letter of intent or similar legal document on the above matters, participate in any discussion, negotiation and other forms of exchanges, or to provide other persons with information related to the above matters, or to cooperate or assist with, or participate in, facilitate or encourage the effort or attempt made by any other person trying to carry out the above matters in any way.

 

The Company, the Controlling Shareholder and the Founder agree that, during the period from the date of signing of this Agreement to the earlier date between (a) the Delivery Date and (b) when this Agreement is terminated, the Company, the Controlling Shareholder and the Founder shall immediately cease or ensure any other related person to cease all existing discussions, conversations, negotiations and other forms of exchanges with any other person so far on the above matters; if any person puts forth any such proposal or offer, or any person has made any attempt or other contact, the Company, the Controlling Shareholder and the Founder shall immediately notify Tianhong Lvyan and Wentou Huyu and shall, in the notification sent to Tianhong Lvyan and Wentou Huyu, state clear in reasonable details on the identity of the person making the proposal, offer, attempt or contact, and the terms and conditions of such proposal, offer, attempt or other contact.

 

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7.                           Compensation

 

7.1                    The representations and warranties in Articles 5 of this Agreement and Appendix III and the undertakings in Article 6 of this Agreement shall continue to be in force after the Delivery Date.

 

7.2                    The Controlling Shareholder shall indemnify and defend other parties for and hold them harmless from all losses arising out of, in connection with, in relation to, or incidental to the direct or indirect breach of representations, warranties, undertakings or agreements made in this Agreement and the Capital Increase Transaction Document by the Controlling Shareholder.

 

7.3                    The Company and the Founder shall jointly and severally indemnify and defend other parties for and hold them harmless from all losses arising out of, in connection with, in relation to, or incidental to the direct or indirect breach of representations, warranties, undertakings or agreements made in this Agreement and the Capital Increase Transaction Documents by the Company, the Company Shareholders and the Founder.

 

7.4                    Tianhong Lvyan and Wentou Huyu shall indemnify and defend other parties for and hold them harmless from all losses arising out of, in connection with, in relation to, or incidental to the direct or indirect breach of representations, warranties, undertakings or agreements in this Agreement and the Capital Increase Transaction Document by Tianhong Lvyan and Wentou Huyu.

 

7.5                    Any of the Investor Shareholders shall severally but not jointly indemnify and defend other parties for and hold them harmless from all losses arising out of, in connection with, in relation to, or incidental to the direct or indirect breach of representations, warranties, undertakings or agreements made in this Agreement and the Capital Increase Transaction Documents by such Investor Shareholder.

 

7.6                    Tianhong Lvyan and Wentou Huyu shall not be liable for any losses, liabilities, responsibilities, obligations or debts of the Company (whether contractual or otherwise), any taxes or any other matters arising from or relating to events occurring prior to the Delivery Date, except due to the respective reasons of Tianhong Lvyan and Wentou Huyu where shareholders of each investor shall only bear the corresponding responsibility for the direct economic losses caused to the Company by themselves subject to their respective investment amount under this Agreement.

 

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7.7                    Notwithstanding the above, the Founder and the Controlling Shareholder agree to be liable for any losses, liabilities, responsibilities, obligations or debts of the Company (whether contractual or otherwise), any taxes or any other matters arising from or relating to events occurring prior to the Delivery Date (except for those due to reasons of Tianhong Lvyan and Wentou Huyu), unless disclosed in the disclosure list in Appendix IV of this Agreement (subject to Article 7.7 of this Agreement), and the Founder and the Controlling Shareholder shall first pay or bear such losses, liabilities, obligations, debts, taxes or responsibilities with its own funds, and save the Company from paying or bearing such losses, liabilities, obligations, debts, taxes or responsibilities. If the Company actually pays or bears such losses, liabilities, obligations, debts, taxes or responsibilities, at the request of Tianhong Lvyan and Wentou Huyu, the Founder and the Controlling Shareholder shall promptly reimburse the Company for the amount incurred.

 

7.8                    Notwithstanding the above, and regardless of whether it is disclosed in the disclosure list of Appendix IV of this Agreement, Tianhong Lvyan and Wentou Huyu shall have the right to seek joint indemnity from the Controlling Shareholder, the Founder for the losses caused to the Tianhong Lvyan and Wentou Huyu by the Company’s failure to obtain the necessary qualification certificates for the main business, including but not limited to the operating permit for value-added telecommunications services (ICP certificate) and the online publishing license.

 

7.9                    For any form of punishment imposed on the Company due to the Company’s failure to obtain the necessary qualification certificates for the main business, including but not limited to the operating permit for value-added telecommunications services (ICP certificate) and the online publishing license, at the request of Tianhong Lvyan and Wentou Huyu, the Founder and the Controlling Shareholder shall promptly reimburse the Company for the amount incurred and the losses suffered.

 

7.10             Notwithstanding the above, if the Controlling Shareholder fails to complete the transfer of the trademark rights, computer software copyrights, the WeChat and Weibo accounts in accordance with Articles 6.1.10, 6.1.11, 6.1.12 of this Agreement, and still fails to complete within the 60-day grace period given by the Tianhong Lvyan and Wentou Huyu, for each additional day, the Controlling Shareholder, the Company, and Founder shall pay the deferred performance penalty to the Tianhong Lvyan and Wentou Huyu based on Proceeds from Capital Increase Subscription at an interest rate of five over ten thousand per day. The payment of such deferred performance penalty shall not affect other joint liabilities for damages claimed by Tianhong Lvyan and Wentou Huyu based on the losses suffered. The Controlling Shareholder, the Company, and Founder shall be jointly and severally liable for the foregoing.

 

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8.                           Confidentiality and Prohibition of Disclosure

 

8.1                    Confidentiality. From the date of this Agreement, unless the parties unanimously agree otherwise, each party shall, and shall procure each person under the control of such party to, keep confidential the terms, conditions of this Agreement and any Capital Increase Transaction Documents under this Agreement and their existence, the identity of each party, and any other non-public information received from another party or prepared by such party only relating to this Agreement or the foregoing documents (hereinafter collectively referred to as “Confidential Information”); however, any party may disclose or permit the disclosure of confidential information: (a) to the extent required by applicable laws or any exchange rules; but such party shall, where practicable and to the extent permitted by applicable laws, promptly notify the other parties of the facts and (with the cooperation and reasonable efforts of the other parties) take all reasonable efforts to seek protective orders and confidential treatment or other appropriate remedies; in such cases, such party shall only provide that portion of the confidential information that is legally required to be disclosed, and shall make reasonable efforts to keep such information confidential within the reasonable requirements of any other parties; (b) for the purpose of performing its obligations in connection with this Agreement, to its managers, directors, employees, investors, partners, shareholders and professional advisers on a need-to-know basis, as long as such party informs each person who obtains any confidential information disclosed of the confidential nature of such confidential information, and such person promises to abide by the same confidentiality obligations regarding the confidential information as such party. For the avoidance of doubt, confidential information does not include the following: (i) information that the recipient has legally obtained before the disclosure by the disclosing party, and (ii) information known to the public not due to the disclosure by the recipient in violation of Article 8 of this Agreement; or (iii) information legally obtained by the recipient from a third party and the recipient does not know if the third party is violating any legal or contractual obligation of not disclosing that information to it.

 

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8.2                    Publication of Information. Without the prior written consent of the parties, the parties may not publish any information on this Agreement and any Capital Increase Transaction Documents and this Capital Increase through press conferences, meetings, advertisements, announcements, professional or industry publications, marketing materials, or otherwise.

 

9.                           Termination

 

9.1                    Termination of the Agreement. Subject to other terms of this Agreement, this Agreement and the transactions contemplated under this Agreement shall be terminated as agreed in writing by the parties. If the delivery is not completed within forty-five (45) business days from the date of this Agreement due to reasons of the Company, the Company Shareholders and the Founder (rather than inaction of government authorities, force majeure, reasons of the Guohong No.2 and Fenzhong Chuangxiang or other similar reasons), or the Company, the Existing Shareholders, and/or the Founder have material breaches under this Agreement or the Shareholders Agreement, Tianhong Lvyan and Wentou Huyu shall have the right to terminate this Agreement unilaterally after notifying the other parties in writing, and this Agreement shall be terminated immediately upon such a written notice by Tianhong Lvyan and Wentou Huyu, except for the liability for damages of the Existing Shareholders and/or the Company as set forth in Article 7 of this Agreement.

 

If the delivery is not completed within forty-five (45) business days from the date of this Agreement due to the reasons of Tianhong Lvyan and Wentou Huyu (rather than inaction of government authorities, force majeure, reasons of the Company and/or the Existing Shareholders or other similar reasons), the Company (and on behalf of the Controlling Shareholder, Zhang Gongzi and the Founder) and the Existing Shareholders shall have the right to terminate this Agreement unilaterally after notifying Tianhong Lvyan and Wentou Huyu in writing, and this Agreement shall be terminated immediately upon the such a written notice by the Company and the Existing Shareholders, except for the liability for damages of Tianhong Lvyan and Wentou Huyu as set forth in Article 7 of this Agreement.

 

9.2                    Effect of Termination. If this Agreement is terminated in accordance with the provisions of Article 9.1 above, this Agreement shall immediately be invalidated and cease to have effect. In order to avoid ambiguity, if Tianhong Lvyan and Wentou Huyu unilaterally terminate this Agreement pursuant to Article 9.1 above, Tianhong Lvyan and Wentou Huyu shall not assume any responsibility for their unilateral termination of this Agreement. Meanwhile, if the Company and the Existing Shareholders unilaterally terminate this Agreement pursuant to Article 9.1 above, the Company, Company Shareholders, the Founder, the Existing Shareholders shall not assume any responsibility for their unilateral termination of this Agreement.

 

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9.3                    Survival. Regardless of the contrary provisions of any terms, the provisions of Article 8 (Confidentiality and Prohibition of Disclosure), Article 9 (Termination), Article 10 (Cancellation of the Agreement), Article 11.3 (Applicable Laws), and Article 11.4 (Dispute Resolution) shall survive the expiration of the term or termination of this Agreement.

 

10.                    Cancellation of the Agreement

 

10.1             Cancellation of the Agreement. This Agreement may be cancelled when:

 

10.1.1   The parties to this Agreement agree to terminate this Agreement in writing;

 

10.1.2   Any party to this Agreement may cancel this Agreement by giving notice in writing to the other parties of this Agreement at least ten (10) business days in advance in the following circumstances:

 

(1)                                 The representations or warranties in this Agreement of any party to this Agreement are materially untrue, inaccurate or significantly omitted when the representations or warranties are made or on the Delivery Date;

 

(2)                                 Any party to this Agreement fails to fulfill the commitments, undertakings and obligations under this Agreement in accordance with the provisions of this Agreement, and fails to take effective remedial measures within thirty (30) days upon a written demand issued by the other parties to this Agreement.

 

10.2             Effect of the Cancellation of the Agreement.

 

10.2.1   After this Agreement is cancelled in accordance with the provisions of Article 10.1 above, this Agreement shall immediately become invalid.

 

10.2.2   After the cancellation of this Agreement, the parties to this Agreement shall return the considerations received under this Agreement from other parties in accordance with the principles of fairness, reasonableness, and good faith, and make the best attempt to restore the state of affairs before the signing of this Agreement.

 

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10.2.3   After the cancellation of this Agreement, all rights and obligations of the parties under this Agreement shall be terminated, except for the liability for damages of the parties as set forth in Article 7 of this Agreement.

 

10.3             Survival. Regardless of the contrary provisions of any terms, the provisions of Article 8 (Confidentiality and Prohibition of Disclosure), Article 9 (Termination), Article 10 (Cancellation of the Agreement), Article 11.3 (Applicable Laws), and Article 11.4 (Dispute Resolution) shall survive the cancellation of this Agreement.

 

11.                    Other Provisions

 

11.1             Binding Force; Transfer. No party may transfer any of its rights and/or obligations under this Agreement without the prior written consent of the other parties; however, Investor Shareholders shall have the right to transfer the rights, interests and obligations under this Agreement to their related parties without the consent of other parties. This Agreement shall be binding upon and inure to the benefit of the heirs, successors, executors, administrators, and transferees of the parties of this Agreement.

 

11.2             Costs. The parties shall each bear the taxes incurred in the execution and performance of this Agreement as required by laws of China. If the delivery under this Agreement fails to be completed due to reasons not attributable to any party, all costs incurred by the parties in the preparation, execution and performance of this Agreement shall be borne by each of the parties respectively.

 

11.3             Applicable Laws. This Agreement is governed by and construed in accordance with the law of China in all respects.

 

11.4             Dispute Resolution.

 

11.4.1   Any dispute, contradiction or claims (each referred to as a “dispute”) arising out of or relating to this Agreement, or the interpretation, violation, termination or validity of this Agreement shall first be resolved through negotiation by the parties to the dispute. The negotiation shall commence immediately upon the written notice requesting negotiation from any party to the other parties to the dispute.

 

11.4.2   If the dispute is not resolved within fifteen (15) days from the date of the notice, any party to the dispute may submit the dispute to the Beijing Arbitration Commission (hereinafter referred to as the “Arbitration Commission”) for arbitration application.

 

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11.4.3   Arbitration shall be conducted in Beijing under the auspices of the Arbitration Commission. The arbitral tribunal shall consist of three (3) arbitrators. The applicant shall select one (1) arbitrator, and the opposing party shall jointly select one (1) arbitrator. The two (2) arbitrators shall jointly select the third arbitrator as the chief arbitrator of the arbitral tribunal; if any member of the arbitral tribunal is not appointed within fifteen (15) days after the date of receipt of the arbitration notice issued by the Arbitration Commission, the relevant arbitrator shall be appointed by the director of the Arbitration Commission.

 

11.4.4   The arbitration proceedings shall be conducted in Chinese. The arbitral tribunal shall conduct arbitration in accordance with the arbitration rules enforced by the Arbitration Commission at the time of arbitration. However, in case of any contradiction between the rules and the provisions of Article 11.4 of this Agreement, including the provisions on the appointment of arbitrators, the provisions of Article 11.4 of this Agreement shall prevail.

 

11.4.5   The arbitrator shall resolve any disputes submitted by the parties in strict accordance with the substantive law of China; however, if the laws promulgated by China have no provision on a certain issue, the international legal principles and practices shall apply.

 

11.4.6   Any party to the arbitration shall cooperate with the other parties to the arbitration. Unless being subject to the confidentiality obligations of the party, the party shall fully disclose and allow the other party to fully access all information and documents required by the other party in connection with the arbitration proceedings.

 

11.4.7   Unless otherwise ruled by the arbitral tribunal, the arbitration fee shall be borne by the losing party.

 

11.4.8   In the event of any dispute and arbitration of the dispute, except for the matter under dispute, the parties shall continue to perform their respective obligations under this Agreement and shall have the right to exercise their rights under this Agreement.

 

11.4.9   The arbitral tribunal’s decision shall be final and binding on the parties, and the winning party may apply to the competent court for the enforcement of the decision.

 

11.4.10 Before the formation of the arbitral tribunal, each party has the right to apply for temporary injunctive relief from any competent court.

 

11.4.11 In the course of hearing the dispute by the arbitral tribunal, this Agreement shall continue to be performed except for the part that is under dispute and subject to arbitration.

 

31

 

11.5             Entire Agreement. This Agreement and the other Capital Increase Transaction Documents and its related appendices and schedules to be signed under this Agreement constitute the entire understanding and agreements between the parties on the subject matter under this Agreement and supersede all previous written or verbal understanding or agreements on the subject matters related to this Agreement. In order to avoid ambiguity, this Agreement does not waive, replace or rescind the obligations and responsibilities under the capital increase agreement signed by the Founder, the Company Shareholders, and the Company with other Investor Shareholders apart from Tianhong Lvyan and Wentou Huyu.

 

11.6             Notice. Except as otherwise provided in this Agreement, all notices, requests, waivers or other communications made under this Agreement shall be in writing and shall be deemed formally served in the following circumstances: (a) delivered by hand: the date indicated on the receipt signed by the person being notified and obtained by the notify party, address as listed in Appendix I to this Agreement; (b) delivered by registered mail: the 5th day from the date indicated on the receipt for domestic registration mail held by the notify party, address as listed in Appendix I to this Agreement; (c) facsimile transmission: the date of receiving a confirmation for successful transmission after sending to the number listed in Appendix I to this Agreement; (d) Express Mail Service: the third day from the date of the postmark on the delivery voucher held by the notify party, address as listed in Appendix I to this Agreement; or (e) E-mail: the date of successful sending displayed on the sender’s e-mail system.

 

To deliver communications under this Agreement in any of the above ways, the sending party shall immediately send each communication of notice under this Agreement to the receiving party by e-mail (e-mail address as listed in Appendix I to this Agreement) or by telephone at the same time.

 

If the service address or contact information of any party changes during the term of this Agreement, the changing party shall immediately notify other parties on the day of such change. When the disputes related to this Agreement are involved in arbitration or civil proceedings, and when any party changes its address, the party shall fulfill the notice obligation of service address change to the arbitration institution or the court. Any liability or loss arising from the failure to perform such notice obligation shall be borne by the changing party.

 

32

 

If any party to this Agreement fails to fulfill the notice obligation of service address change in the manners described above, the service address provided in Appendix I to this Agreement shall still be deemed valid. If the legal instruments are unable to be actually received by the parties or delivered by post due to reasons such as inaccurate service address provided or confirmed by the parties to this Agreement, failure to promptly notify other parties and the court pursuant to the procedure after changing the service address, or refusal to receive and sign the notice by the parties concerned or the designated recipient, the date of the notice being returned shall be deemed the date of service; if it is delivered directly, the date on which the service person records the on-the-spot circumstances on the service receipt shall be deemed the date of service; if the notice obligation of service address change is fulfilled, the service address after the change shall be the valid service address. The court, when serving by mail, may serve directly to the service address specified by the above-mentioned parties in this Agreement, and the court instruments served by mail shall be deemed legally served even if the party fails to receive such instruments served by the court.

 

The applicable scope of the service addresses stipulated in Appendix I to this Agreement includes documents such as notices, agreements when the parties to this Agreement are not resolving a dispute through litigation or arbitration procedures, and the service of relevant documents and legal instruments in the event of disputes arising from this Agreement. It also includes the first instance, second instance, retrial and enforcement procedures when the relevant dispute is subject to arbitration or civil proceedings.

 

When a dispute related to this Agreement is subject to arbitration or civil proceedings, if a party responds to the case and submit a confirmation of the service address directly to the arbitration institution or the court, and such confirmed address is inconsistent with the service address confirmed prior to the case, the service address confirmed and submitted to the arbitration institution and the court shall prevail (the manners and legal consequences of service stipulated herein shall also apply to such service address).

 

11.7             Modification and Waiver. Any terms of this Agreement shall only be modified with the written consent of the parties. Any modification or waiver that is in force under Article 11.7 of this Agreement shall be binding on all parties to this Agreement and its successors, inheritors, executors, administrators, and assignees of the parties to this Agreement.

 

11.8             Delay or Omission. Any party’s delay or omission to exercise the rights, powers or remedies granted to them due to other party’s breach or non-performance of this Agreement shall not prejudice such party’s rights, powers or remedies, nor shall it be deemed a waiver or default of such breach or non-performance or a similar breach or non-performance hereafter, nor shall it be deemed a waiver of any other breach or non-performance occurred before or after this. A waiver, permission, consent, or approval of breach or non-performance of any nature or characteristics of this Agreement, or a waiver of any of the terms or conditions of this Agreement, shall be made in writing and shall only be valid within the scope of such written provision. Any relief provided to any party under this Agreement according to law or otherwise shall be cumulative, rather than just selecting one of them.

 

33

 

11.9             Severability. In the event that any provision of this Agreement is invalid or unenforceable, such provision shall be construed to the practicable extent, to enable its execution and the completion of the transactions stipulated in this Agreement on substantially the same terms as previously stated. If no viable interpretation would allow the provision to be retained, it should be excluded from the remaining provisions of this Agreement, and the remaining provisions of this Agreement shall remain in full force, unless the excluded terms are crucial to the rights and interests intended to be enjoyed by the parties. In such circumstances, the parties shall make their best efforts to come up with a valid and enforceable replacement clause or agreement through negotiation in good faith to realize the parties’ intention at the time of entering into this Agreement to the greatest extent.

 

11.10      Joint Liability. The obligations of the Founder, Controlling Shareholder and the Company under this Agreement and other Capital Increase Transaction Documents are joint liabilities.

 

11.11      Non-joint Liability. The obligations of the Investor Shareholders under this Agreement and other Capital Increase Transaction Documents are not joint liabilities.

 

11.12      Non-violation. Any agreements or documents that should be entered into under this Agreement shall not violate the spirit and principles of this Agreement.

 

11.13      Language. This Agreement is executed in Chinese.

 

11.14      Counterparts. This Agreement may be executed in any number of texts. All texts are originals, but all texts together constitute a single document.

 

11.15      Priority of Authority. The authority of this Agreement is superior to that of the Articles of Association. In the event of a conflict between the provisions of the Articles of Association and this Agreement, the provisions of this Agreement shall prevail.

 

34

 

11.16      Entering into Force. This Agreement shall become effective on the date of official signature and seal (if applicable) by all the parties.

 

(There is no text below, next page is for signature)

 

35

 

(This is a signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have procured their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Liu Chengcheng

 

Signature:

 

 

Beijing Pinxin Media Culture Co., Ltd.

 

(Seal)

 

Legal representative:

 

 

Beijing Xieli Zhucheng Financial Information Service Co., Ltd.

 

(Seal)

 

Legal representative:

 

 

Tianjin Zhanggongzi Technology Partnership (Limited Partnership)

 

(Seal)

 

Executive partner delegate:

 

Signature page

 

36

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Suzhou Industrial Park Gebi Yinghe Equity Investment Partnership (Limited Partnership)

 

(Seal)

 

Executive partner delegate:

 

Signature page

 

 

(This is a signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have procured their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Beijing Gebi Lvzhou Angel Investment Center (Limited Partnership)

 

(Seal)

 

Executive partner delegate:

 

Signature page

 

 

(This is a signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have procured their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Jiaxing Xiaodu Neirong Equity Investment Partnership (Limited Partnership)

 

(Seal)

 

Executive partner delegate:

 

Signature page

 

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Hangzhou Jincun Investment Management Partnership (Limited Partnership)

 

(Seal)

 

Executive partner delegate:

 

Signature page

 

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Shenzhen Guohong No.2 Enterprise Management Partnership (Limited Partnership)

 

(Seal)

 

Executive partner delegate:

 

Signature page

 

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Gongqingcheng Fenzhong Chuangxiang Information Technology Co., Ltd.

 

(Seal) [Chopped: Gongqingcheng Fenzhong Chuangxiang Information Technology Co., Ltd. 3604820009040]

 

Legal representative: [signed]

 

Signature page

 

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Ningbo Meishan Baoshui Gangqu Tianhong Lvyan Investment Management Partnership (Limited Partnership)

 

(Seal)

 

Executive partner delegate:

 

Signature page

 

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Beijing Wentou Huyu Investment Co., Ltd.

 

(Seal)

 

Executive partner delegate:

 

Signature page

 

 

List of Appendices

 

	
Appendix   I
    	
List   of Subsidiaries
    
	
Appendix   II
    	
List   of Assets Proposed to be Transferred
    
	
Appendix   III
    	
Representations   and Warranties of the Company, the Controlling Shareholder and the Founder
    
	
Appendix   IV
    	
Disclosure   List
    
	
Appendix   V
    	
List   of Key Employees
    
	
Appendix   VI
    	
Address   for Notice
    

 

 

Appendix I

 

List of Subsidiaries

 

Tianjin 36 Hearts Technology Co., Ltd.

 

Beijing Point 72 Creative Interactive Media Culture Co., Ltd.

 

 

Appendix II

 

List of Proposed Transfer of Assets

 

I. Trademarks

 

KrTV (No. 15589656, Class 41), KrTV (No. 15589653, Class 9), KrTV (No. 15589654, Class 35), KrTV (No. 15589655, Class 38), KrTV (No. 15589657, Class 42), NEXT (No. 15309505, Class 9), NEXT (No. 15309505, Class 41), NEXT (No. 15309505, 42), WISE (No. 15589660, Class 38), WISE (No. 15360032, Class 41), WISE (No. 15589635, Class 42), WISE (No. 15589658, Class 9), 氪加 (No. 15113594, Class 9), 氪加 (No. 15113594, Class 16), 氪加 (No. 15113594, Class 35), 氪加 (No. 15113594, Class 36), 氪加(No. 15113594, Class 38), 氪加 (No. 15113594, Class 41), 氪加 (No. 15113594, Class 42), 氪加 (No. 15113594, Class 45), KRVIDEO (No. 16003572, Class 41), To B 行家说 (No. 20611356, Class 35), ToB 行家说 (No. 20611355, Class 38), To B 行家说 (No. 20611354, Class 41), KRLASS (No. 183013733, Class 35), KRLASS (No. 18301372, Class 38), KRLASS (No. 18301371, Class 41), KRLASS (No. 18301370, Class 42), KRLASS (No. 18301369, Class 43), KRLASS (No. 18301368, Class 45), KRLASS (No. 18301374, Class 9).

 

36kr (No. 16216719, Class 12) , 36kr (No. 16216728, Class 34), 36kr (No. 16216725, Class 24), 36kr (No. 16216721, Class 15), 36kr (No. 16216722, Class 17), 36kr (No. 16216724, Class 23), 36kr (No. 15589617, Class 7), 36kr (No. 15589615, Class 11), 36kr (No. 16216723, Class 22), 36kr (No. 16216726, Class 26), 36kr (No. 15589620, Class 3), 36kr (No. 16216727, Class 27), 36kr (No. 16216720, Class 13), 36kr (No. 15589619, Class 4), 36kr (No. 15589621, Class 2), 36kr (No. 15589622, Class 1), 36kr (No. 15589616, Class 10), 36kr (No. 15589618, Class 5), 36kr (No. 15323976, Class 20), 36kr (No. 15323974, Class 18), 36kr (No. 15024737, Class 9), 36kr (No. 15323973, Class 14), 36kr (No. 15360033, Class 16), 36kr (No. 15323988, Class 45), 36kr (No. 15323987, Class 40), 36kr (No. 15323986, Class 39), 36kr (No. 15323985, Class 37), 36kr (No. 15323984, Class 33), 36kr (No. 15323983, Class 32), 36kr (No. 15323982, Class 31), 36kr (No. 15323981, Class 30), 36kr (No. 15323980, Class 29), 36kr (No. 15323979, Class 28), 36kr (No. 15323978, Class 25), 36kr (No. 15323977, Class 21), 36kr (No. 15323975, Class 19), 36kr (No. 15323972, Class 8), 36kr (No. 15323971, Class 6), 36kr (No. 12901487, Class 36), 36kr (No. 12901617, Class 42), 36kr (No. 12901737, Class 43), 36kr (No. 13894004, Class 41), 36kr (No. 12901443, Class 35), 36kr (No. 13893969, Class 38)

 

36氪 (No. 15589614, Class 1), 36氪 (No. 15589613, Class 2), 36氪 (No. 15589612, Class 3), 36氪 (No. 15589611, Class 4), 36氪 (No. 15589610, Class 5), 36氪 (No. 15323953, Class 6), 36氪 (No. 15589609, Class 7), 36氪 (No. 15323954, Class 8), 36氪 (No. 15024738, Class 9), 36氪 (No. 15589608, Class 10), 36氪 (No. 15589607, Class 11), 36氪 (No. 15589606, Class 12), 36氪 (No. 15589605, Class 13), 36氪 (No. 15323955, Class 14), 36氪 (No. 15589604, Class 14) , 36氪 (No. 15589601, Class 15), 36氪 (No. 15113596, Class 16), 36氪 (No. 15589600, Class 17), 36氪 (No. 15323956, Class 18), 36氪 (No. 15323957, Class 19) , 36氪 (No. 15323958, Class 20), 36氪 (No. 15323959, Class 21), 36氪 (No. 15589599, Class 22), 36氪 (No. 15589598, Class 23), 36氪 (No. 15589597, Class 24), 36氪 (No. 15589596, Class 26), 36氪 (No. 15589595, Class 27), 36氪 (No. 15323961, Class 28), 36氪 (No. 15323962, Class 29), 36氪 (No. 15323963, Class 30), 36氪 (No. 15323964, Class 31), 36氪 (No. 15323965, Class 32), 36氪 (No. 15323966, Class 33), 36氪 (No. 15589594, Class 34), 36氪 (No. 9818949, Class 35), 36氪 (No. 12901505, Class 36), 36氪 (No. 15323967, Class 37), 36氪 (No. 13893962, Class 38), 36氪 (No. 15323968, Class 39), 36氪 (No. 15323969, Class 40), 36氪 (No. 13894014, Class 41), 36氪 (No. 12901772, Class 43), 36氪 (No. 15589592, Class 44), 36氪 (No. 15323970, Class 45)

 

 

II. Software Copyright

 

	
No.
    	
 
    	
Name of software
    	
 
    	
Registration
   number
    	
 
    	
First publication
   date
    
	
1
    	
 
    	
36氪 iOS client software V1.5
    	
 
    	
2014SR129852
    	
 
    	
January 1, 2013
    
	
2
    	
 
    	
36氪 media client software V1.5
    	
 
    	
2016SR264837
    	
 
    	
January 1, 2013
    
	
3
    	
 
    	
36氪 information publication platform
    	
 
    	
2016SR296841
    	
 
    	
August 28, 2016
    
	
4
    	
 
    	
36氪advertising platform
    	
 
    	
2016SR296866
    	
 
    	
August 28, 2016
    
	
5
    	
 
    	
36氪 multimedia showcase platform
    	
 
    	
2016SR296946
    	
 
    	
August 28, 2016
    
	
6
    	
 
    	
36氪SME service platform
    	
 
    	
2016SR298547
    	
 
    	
August 26, 2016
    
	
7
    	
 
    	
Internal reference information software for retail   owners
    	
 
    	
2017SR293448
    	
 
    	
March 14, 2017
    

 

III. 36Kr WeChat official account (wow36kr) and 36kr Weibo account, and all the articles, material library, message history, followers and other contents of such accounts

 

 

Appendix III

 

Representations and Warranties of the Company, the Controlling Shareholder and the Founder

 

1.                           Approval by the Regulatory Authority and Licenses

 

(1)                                 The Group Company has obtained all the licenses, consents and other permits and approvals required for its incorporation, valid existence and current business operations. The procedures are legal and compliant, and are in full force and effect. Moreover, the Group Company has completed within the statutory time limit the procedures of renewing or replacing licenses, consents and other permits and approvals that are about to expire.

 

(2)                                 All reports, declaration forms and materials on the existence and operation of the Group Company have been submitted or provided to the relevant government authorities as required by law or as a condition of any license, consent, permit or approval, except where omission of submission or provision will not have material adverse effects on the Group Company.

 

(3)                                 There are neither circumstances under which any license, consent, permit or approval necessary to continue the Group Company may be altered, revoked or not renewed, nor circumstances which may confer a right to alter or revoke, except for the circumstances under which the alterations, revocations or non-renewal will not have material adverse effects on the Group Company.

 

2.                           Capacity to Act

 

(1)                                 The Founder has sufficient civil rights and capacity to sign this Agreement and other Capital Increase Transaction Documents, fully fulfill all obligations under this Agreement and other Capital Increase Transaction Documents and complete transactions under this Agreement.

 

(2)                                 The Controlling Shareholder is a joint stock limited company duly incorporated and validly existing under the PRC laws. The Controlling Shareholder has all the necessary powers, authorization and capabilities to sign this Agreement and other Capital Increase Transaction Documents, and perform its obligations under this Agreement and the various Capital Increase Transaction Documents proposed under this Agreement.

 

Appendix III - 1

 

(3)                                 The Company is a limited liability company duly incorporated and validly existing under the PRC laws. The Company has all the necessary powers, authorization and capabilities to sign this Agreement and other Capital Increase Transaction Documents, and perform its obligations under this Agreement and the various Capital Increase Transaction Documents proposed under this Agreement.

 

(4)                                 This Agreement and other Capital Increase Transaction Documents shall constitute the legal, valid and binding obligations of the parties in accordance with their respective terms upon signing and delivery by them and shall be enforceable against the Founder, the Controlling Shareholder and the Company unless subject to the following restrictions: (a) applicable bankruptcy, insolvency, reorganization or other generally applicable laws concerning or affecting the exercise of rights of creditors; and (b) the applicable results of legal remedies.

 

(5)                                 The signing of this Agreement and other Capital Increase Transaction Documents and performance of obligations under this Agreement and other Capital Increase Transaction Documents by the Founder, the Controlling Shareholder and the Company will:

 

(i)                                     not result in the violation of any legal documents binding on them or the non-performance of obligations under such legal documents;

 

(ii)                                  not result in the violation of any order, judgment or decree of any court or government authority binding on them; and

 

(iii)                               not be detrimental to the legitimate interests of any third party.

 

Except where the above circumstances will not affect the performance of obligations under this Agreement.

 

3.                           Ownership

 

(1)                                 The Group Company is a limited liability company duly incorporated, existing and registered under the laws of its place of registration, and has the right and capacity to exercise all its civil rights as a corporate legal person.

 

(2)                                 As of the date of this Agreement, the registered capital of the Group Company has been effectively contributed and paid in accordance with the provisions of the Articles of Association, and there is no overdue or false capital contribution by shareholders.

 

Appendix III - 2

 

(3)                                 There is no trust, holding agency, option, pledge or other form of guarantee, equity donation or other encumbrance on the equity of the Group Company or any part thereof, and there are no agreements or undertakings to provide or create any of the foregoing, and no person claims to be entitled to any of the above rights.

 

(4)                                 There are no outstanding agreements or undertakings requesting the distribution, issuance or transfer of any equity in the Group Company, or that grant any person the right to request the distribution, issuance or transfer of any equity in the Group Company.

 

(5)                                 Except as disclosed to Tianhong Lvyan and Wentou Huyu, the Company has not established any other offices, branches, nor does it hold shares or have similar shareholder interests in other companies, affiliates and other social organizations; or directly or indirectly control, hold shares of or have interests in any other entities.

 

(6)                                 The Founder, the Controlling Shareholder and the Company have submitted to Tianhong Lvyan and Wentou Huyu or their representatives and consultants on the date of this Agreement copies of the current business license and other licenses of the Group Company and documents relating to the business operation of the Group Company and the Articles of Association. The above documents are complete, accurate, true and effective in all respects.

 

(7)                                 The Group Company has kept the books necessary for the company operation in accordance with applicable laws, which accurately record the matters in the books; the Group Company has not received any notice or allegation that any of the above records are incorrect or shall be rectified.

 

(8)                                 All documents that should be submitted by the Group Company to all relevant government authorities have been submitted properly, except where not submitting will not have material adverse effects on the Group Company.

 

4.                           Accuracy and Adequacy of Data

 

(1)                                 All information, documents and materials provided by the Founder, the Controlling Shareholder and the Company to Tianhong Lvyan and Wentou Huyu or their consultants are true, accurate and complete in all material respects, and there are no circumstances under which the failure to disclose any facts or matters to Tianhong Lvyan and Wentou Huyu or any of their consultants may cause any such information to be inaccurate or misleading in any such material respects due to any omission or ambiguity or any other reasons.

 

Appendix III - 3

 

(2)                                 The Founder, the Controlling Shareholder, and the Company have provided Tianhong Lvyan and Wentou Huyu or their consultants at their reasonable request all the necessary information within their grasp for Tianhong Lvyan and Wentou Huyu to decide whether to subscribe for the Company’s newly registered capital or not. The information, documents and materials relating to this Agreement provided by the Company, the Controlling Shareholder and/or the Founder to Tianhong Lvyan and Wentou Huyu do not contain misrepresentations of material facts, or omit any material facts which would cause representations in this Agreement or such disclosures to be misleading.

 

5.                           Accounts

 

(1)                                 In respect of the accounts of the Group Company:

 

(i)                                     They are prepared in accordance with the applicable laws and accounting principles generally recognized in the place of registration and adopted by companies operating businesses similar to those of the Group Company;

 

(ii)                                  They are complete and accurate in all respects, and the provisions for bad debts and doubtful debts, depreciation, depreciated and slow-moving inventory during any period as of or before the date of completion of its accounts are in accordance with the applicable accounting standards;

 

(iii)                               They are the true and fair reflection of the financial position of the Group Company, including but not limited to profits or losses; and

 

(iv)                              They are not subject to the effect of any special, extraordinary or non-recurring items, except for items explicitly disclosed in the accounts of the Group Company.

 

(2)                                 Except as disclosed to Tianhong Lvyan and Wentou Huyu, the Group Company do not have any significant liabilities (whether actual or contingent, with undetermined amount or in dispute) that are not fully disclosed or accrued in the accounts or unfulfilled capital commitments.

 

Appendix III - 4

 

6.                           Accounting Records

 

(1)                                 The Group Company has kept complete accounts, books, original accounts, financial and other records; these accounting records contain the latest data and complete and accurate details of the business activities of the Group Company, as well as all matters that shall be recorded as required by the Company Law of the People’s Republic of China, the Enterprise Accounting System of the People’s Republic of China and other applicable laws and regulations.

 

(2)                                 The Group Company owns or controls the accounts, books, original accounts, financial and other records as its property, and has not received any notice or allegation that any of the above records are incorrect or shall be rectified.

 

(3)                                 All transactions relating to the business of the Group Company have been correctly and timely recorded in the accounting records of the Group Company, and no substantial errors or deviations are included or reflected in these accounts, books, original accounts, financial and other records, and these records are sufficient to respectively truly and accurately reflect the financial position of the Group Company and to explain its transactions.

 

7.                           Events after the Incorporation of the Group Company

 

(1)                                 After the official incorporation date of the Group Company and before the Delivery Date, in addition to the disclosed information:

 

(i)                                     There is no material adverse change in the financial or operating conditions or prospects of the Group Company, and as far as it is known to the Founder and the Controlling Shareholder, there is no circumstances causing such changes.

 

(ii)                                  The Group Company has been conducting normal and customary operations and operating its business in the same way as usual (including in terms of nature and scope);

 

(iii)                               The Group Company has not acted as a financing agent of debts or other receivables, or sold or agreed to sell debts or other receivables;

 

(iv)                              The Group Company has not generated debts, warranties, guarantees, advances or receivables with a total value over RMB One Million (RMB1,000,000), except for the receivables generated from the course of normal business operations;

 

Appendix III - 5

 

(v)                                 The Group Company has not signed any guarantee agreement, nor has it assumed any guarantee liability for the debts and obligations of the Founder, the Controlling Shareholder, the Investor Shareholders and third parties, including but not limited to mortgage, pledge and warranty guarantees.

 

(vi)                              The Group Company has not generated receivables with a single-item value of over RMB One Million (RMB1,000,000) and a cumulative value of over RMB One Million (RMB1,000,000) outside the course of normal business operations;

 

(vii)                           No mortgage, pledge or other encumbrance has been created on any assets of the Group Company;

 

(viii)                        The Group Company has not issued any securities;

 

(ix)                              The Group Company has not experienced an increase in staff costs, except for those reasonably incurred according to the rules and regulations in force or relevant employment contracts;

 

(x)                                 The Group Company has not provided any loans to any director, supervisor, manager or other employee of the Founder, the Controlling Shareholder and the Group Company and their interested parties, except for advance travel expenses in accordance with the rules and regulations of the Group Company in the course of normal business operations;

 

(xi)                              The Group Company has not offered price reductions or discounts or rebates when providing services or provided services at prices below the cost that would have a material adverse effect on its profitability;

 

(xii)                           The Group Company has not altered the fiscal year.

 

(2)                                 The Group Company has not taken any actions that may lead to a violation of the undertakings in Article 7 of this Appendix.

 

8.                           Contracts and Undertakings

 

(1)                                 As of the Delivery Date, except for the disclosed information, the Group Company is not a party to any of the following, nor is it under any of the (current or future) legal liability:

 

(i)                                     Any guarantee, indemnity, guarantee relationship or letter of credit other than those in normal business activities;

 

Appendix III - 6

 

(ii)                                  Any contract or arrangement directly or indirectly restricting the freedom of the Group Company to operate its business anywhere in the world in manners deemed appropriate, or directly or indirectly restricting the ability of the Group Company to transfer all or any part of its business;

 

(iii)                               Any joint venture contract or arrangement, partnership rights or obligations for the purpose of sharing profits (however, for the avoidance of doubt, does not include arrangements that share fees or operating income on a case-by-case basis) or any other contract or arrangement relating to the involvement of the Group Company in any business together with any other person;

 

(iv)                              Any contract or arrangement involving matters not falling within the scope of the Group Company’s ordinary business, or business transactions or arrangements constituting a deviation from the usual model of the Group Company;

 

(v)                                 Any contract or arrangement in which any director, supervisor, manager or related party or interested party of the Group Company directly or indirectly have interests, except for employment agreements;

 

(vi)                              Any contract or arrangement that is not signed in the ordinary course of business and involves expenditure or income of the Group Company of over RMB One Million (RMB1,000,000) within any fiscal year;

 

(vii)                           Any contract or arrangement with related parties of the Group Company that is not signed in the ordinary course of business and involves payment or income of over RMB One Million (RMB1,000,000);

 

(viii)                        Any contract or arrangement that the Group Company is unable to terminate by giving a notice three (3) months or less in advance without being subject to any special compensation fees; or

 

(ix)                              Any contract or arrangement that may be terminated once delivery occurs or the ownership or control of the Group Company changes, or will be subject to material adverse effect because of such changes.

 

Appendix III - 7

 

(2)                                 As far as it is known to the Founder, the Controlling Shareholder and/or the Company, there is no significant contract to which the Group Company is a party that has been breached, become invalid or has reasons to be terminated, revoked, abolished or refused to be performed, and no such allegations are known, except in the case where the third party of the relevant contracts failed to make payment.

 

(3)                                 The Group Company does not have any tenders or bids or sales or service proposals that are still valid, significant to its business and, if accepted, will likely result in loss.

 

9.                           Authorization

 

In addition to authorizing employees to enter into regular trade contracts or engage in business operations and management activities customary for the Group Company, the Group Company has not granted or provided any person with any authorization or other power basis that is yet to be completed or remains in force to enter into any contract or undertaking on behalf of the Group Company.

 

10.                    Operations

 

Major customers or major suppliers of the Group Company have not ceased or indicated their intention to cease transactions with the Group Company, and as far as it is known to the Founder, the Controlling Shareholder and/or the Company, no major customer or major supplier of the Group Company may substantially reduce the transactions with the Group Company; as far as it is known to the Founder, the Controlling Shareholder and/or the Company, the signing or delivery of this Agreement and other Capital Increase Transaction Documents will not adversely affect the attitudes or actions of major customers and suppliers towards the Group Company.

 

The Group Company has complied with all applicable laws, regulations, government regulations and related permits and licenses in the course of business.

 

11.                    Arrangements among the Company, the Controlling Shareholder and the Founder

 

The Company has not agreed to provide guarantees or any collateral or indemnity for any debt or obligation of the Founder, the Controlling Shareholder, directors, supervisors or managers of the Company or any of their related parties or interested parties. The Founder, the Controlling Shareholder and their related parties or interested parties will cooperate with the Company in completing the Qualified Initial Public Offering, trying to solve the problem of horizontal competition with the Company to ensure that the Company’s Qualified Initial Public Offering is not affected.

 

Appendix III - 8

 

12.                               Bank Account and Borrowing

 

Except as disclosed to Tianhong Lvyan and Wentou Huyu,

 

(1)                                 The Group Company has no outstanding loaned capital, nor has it borrowed or agreed to borrow any money that has not been repaid or with unfulfilled borrowing obligations. It is not a party to any of the following and does not have any obligation related to any of the following:

 

(i)                                     Any loan agreement, bond, acceptance credit, money order, promissory note, finance lease, debt or inventory financing, discount or accounts receivable factoring arrangement or sale and leaseback arrangement; or

 

(ii)                                  Any other arrangement for the purpose of raising funds or providing funds or credit.

 

(2)                                 The Group Company does not hold any shares or securities not fully paid or with any incidental obligations, nor does it have any obligation related to the above shares or securities.

 

(3)                                 The Group Company has not lent or agreed to lend any money without receiving repayment and does not own interests in any existing or future debts.

 

(4)                                 The Group Company has not signed any mortgage, guarantee or indemnity contract that is invalid and unenforceable in accordance with its terms.

 

(5)                                 No event has occurred that would constitute any non-performance of or default on any terms of any loaned capital, borrowings, bonds or financing of the Group Company, or would render any third party the right to request repayment before the normal due date, and no other person has alleged that such an event has occurred.

 

(6)                                 The Group Company has not borrowed any money from any source of funds after the official incorporation date, except where borrowings are made in the ordinary course of business and do not constitute a material adverse effect on the production and operation of the Group Company.

 

(7)                                 The Group Company does not have any debts or accounts payable to the following persons/entities:

 

(i)                                     The Founder

 

Appendix III - 9

 

(ii)                                  The Controlling Shareholder

 

(iii)                               Directors, supervisors or managers of the Company; or

 

(iv)                              Related parties or interested parties of the above persons/entities.

 

13.                    Insolvency

 

(1)                                 No order requiring the liquidation of the Group Company has been made; no request for the liquidation of the Group Company has been submitted; no meeting for the purpose of reviewing the resolution of the liquidation of the Group Company has been convened; no such resolution has been passed.

 

(2)                                 No ruling on the bankruptcy of the Group Company has been made; no petition or application for such orders is made; no bankruptcy administrator relating to the Group Company has been appointed; no notice for the purpose of appointing a bankruptcy administrator relating to the Group Company has been issued or submitted; no step or procedure for the appointment of a bankruptcy administrator relating to the Group Company has been taken or carried out.

 

(3)                                 No receiver (including administrative receiver) related to all or any of the assets of the Group Company has been appointed.

 

(4)                                 No proposal on the formation of a debt restructuring agreement or similar arrangement between the Group Company and creditors has been made.

 

(5)                                 There is currently no valid moratorium for the Group Company, and no step or procedure for the purpose of obtaining such moratorium has been taken or carried out.

 

(6)                                 There is no event involving the Group Company that is similar to any of the above.

 

(7)                                 The Group Company is not insolvent or unable to repay its debts, nor does it cease repaying debts due.

 

(8)                                 No effective judgment, mediation paper or ruling on the Group Company is not fulfilled.

 

Appendix III - 10

 

14.           Litigation and Claims

 

(1)                                 As far as it is known to the Founder, the Controlling Shareholder and/or the Company, the Group Company, the Controlling Shareholder or the Founder and their respective related parties or interested parties are not involved in any pending lawsuits, arbitrations or other dispute resolution procedures or administrative or criminal proceedings that is affecting the major assets and business of the Group Company or this Capital Increase as plaintiffs, defendants or in other capacities. As far as it is known to the Founder, the Controlling Shareholder and/or the Company, there are no lawsuits, arbitrations or other dispute resolution procedures or administrative or criminal proceedings pending and filed by or against the Group Company, the Controlling Shareholder or the Founder and their respective related parties or interested parties, threatened by the Group Company or by others against the Group Company, the Controlling Shareholder and/or the Founder and their respective related parties or interested parties, or expected to be filed by or against the Group Company, the Controlling Shareholder and/or the Founder and their respective related parties or interested parties. As far as it is known to the Founder, the Controlling Shareholder and/or the Company, there are no facts or circumstances that could lead to any lawsuits, arbitrations, mediations or administrative or criminal proceedings.

 

(2)                                 As far as it is known to the Founder, the Controlling Shareholder and/or the Company, the Group Company, the Controlling Shareholder or the Founder and their respective related parties or interested parties has not received any written notice of any investigation or inquiry on matters of the Group Company, the Controlling Shareholder or the Founder and their respective related parties or interested parties by any government authority or other agencies currently or in the past, in particular but not limited to matters in environmental protection, public health, fire protection, safety, labor, taxation. The Founder, the Controlling Shareholder and the Company are not aware of any circumstances that would lead to such formal investigations or inquiries.

 

(3)                                 The Group Company has not committed any criminal, illegal, unlawful or unauthorized acts or breached any obligations or responsibilities in accordance with or arising out of regulations, contracts or other rules, nor does it have legal liabilities involving the above acts or breaches. And there is no unresolved claim against the Group Company, the Controlling Shareholder and/or the Founder and their respective related parties or interested parties, except for those without material adverse effects on the production and operation of the Group Company.

 

Appendix III - 11

 

(4)                                 The Group Company has not produced, sold or provided any products or services that fail to comply with all applicable laws, regulations or standards in material respects, or are defective or hazardous, or are not consistent with any relevant explicit representations or warranties.

 

15.                    Ownership and Status of Assets

 

(1)                                 The assets required by the Group Company in the course of business are included in its accounts.

 

(2)                                 The Group Company is the legal and beneficial owner of each asset (except for current assets that are sold, disposed of or used in the normal course of business) included in its accounts or acquired after the official incorporation date; there is no encumbrance on these assets, and each of the assets that may be possessed is owned by the Group Company.

 

(3)                                 The Group Company has the ownership of all intangible assets and fixed assets that are reflected as assets in its balance sheet, and there is no encumbrance, or attachment by courts. Such intangible assets and fixed assets are properly registered under the Group Company at the relevant registries of the government authority in accordance with the relevant laws and regulations if registration is feasible and necessary.

 

(4)                                 The Group Company has the whole, transferable title not subject to any encumbrance to the movable and immovable property and assets used in its business. The Group Company has paid all taxes and other related fees in full in accordance with applicable laws, and there is no default of payment or circumstances where supplementary payment of taxes or other fees is necessary.

 

(5)                                 All non-owned land, buildings and fixed assets currently used by the Group Company are leased under valid leases. All such leases are legal and valid. The Group Company has not violated the leases or been at fault under the leases.

 

(6)                                 There are no options, mortgages, pledges, liens (except for liens that are generated according to the law in the ordinary course of business) or other forms of guarantees or other encumbrances relating to, created on, or affecting all or part of the business or assets of the Group Company. And there are no agreements or undertakings providing or creating any of the above, and no person claims to be entitled to any of the above interests.

 

Appendix III - 12

 

(7)                                 All vehicles and office equipment used by the Group Company in relation to its business are normally repaired, maintained, and operated, and are available for use in the business of the Group Company.

 

16.                    Intellectual Property

 

(1)                                 The Group Company does not use any name other than the name displayed on its business license and “36Kr” or “36氪”.

 

(2)                                 The Group Company owns or has the right to use all intellectual property assets and business information that are currently used for the ordinary course of business or that are required to meet current plans and proposals.

 

(3)                                 All fees and steps for the renewal, application and other formal registration of intellectual property assets owned by the Group Company necessary for their maintenance, protection and enforcement have been paid or taken, or will be paid and taken as planned.

 

(4)                                 The intellectual property assets owned by the Group Company are valid, existing and enforceable and are not subject to any mortgage, encumbrance or other rights.

 

(5)                                 All licenses involving intellectual property assets and business information and contracts relating thereto entered into by the Group Company will not be terminated by this Capital Increase and/or a change in ownership or control of the Group Company.

 

(6)                                 As far as it is known to the Founder, the Controlling Shareholder and/or the Company, any third party has not violated any license or contract relating to any intellectual property assets currently used for business purposes.

 

(7)                                 The Group Company is not obligated to license, sublicense or carry out any transfer of any intellectual property assets or business information it owns or uses.

 

(8)                                 As far as it is known to the Founder, the Controlling Shareholder and/or the Company, no third party is infringing or has infringed or used without permission any intellectual property assets or business information owned or used by the Group Company.

 

(9)                                 The activities, business information and intellectual property assets of the Group Company do not constitute and has not constituted infringement or unauthorized use of intellectual property assets or business information of any third party.

 

Appendix III - 13

 

(10)                          The intellectual property assets and business information owned by the Group Company are not the subject of any litigation, objection or administrative proceeding.

 

(11)                          The confidential information owned by the Group Company has not been disclosed or otherwise permitted to be known to any third party without such third party performing confidentiality obligations.

 

(12)                          The Group Company is not a party to any confidentiality or other contract restricting the free use or disclosure of its business information, nor does it assume any obligation restricting the free use or disclosure of its business information that may have a material adverse effect on the business of the Group Company.

 

(13)                          The operation of the Group Company does not result in the payment of intellectual property royalties or similar payment obligations.

 

17.                    Information Technology

 

The information technology and domain names owned or used by the Group Company is not the subject of any litigations, dispute or claim; as far as it is known to the Founder, the Controlling Shareholder and/or the Company, there are no expected or likely litigations, disputes or claims relating to any information technology or domain names owned or used by the Group Company.

 

18.                    Employees

 

(1)                                 Since the official incorporation date of the Group Company, no significant changes have been made to the remuneration or other terms of employment of any manager of the Group Company.

 

(2)                                 The employees of the Group Company have not made any claims on any intellectual property assets relating to the business of the Group Company, and as far as it is known to the Founder, the Controlling Shareholder and/or the Company, no employee will make such a claim.

 

(3)                                 There are no unresolved or likely disputes among any member and any union or other organizations formed for similar purpose of the Group Company, and the Group Company is not a party to any collective bargaining agreement or other arrangements (whether or not binding).

 

(4)                                 The Group Company does not have any actions or circumstances in major violations of laws or regulations relating to labor, employment, social insurance and/or housing provident fund.

 

Appendix III - 14

 

(5)                                 As far as it is known to the Founder, the Controlling Shareholder and/or the Company, no employee or other personnel or former employee or other former personnel threaten to file against the Group Company, and no other person threaten to file against the Group Company for any employee or other personnel or former employee or other former personnel, claims involving any accident, injury, unpaid salary, overtime payment, severance payment, social security payment, leave or any other matters caused or incurred by the employment or hiring of such employee or other personnel or former employee or other former personnel by the Group Company, and there is no such claims pending.

 

19.                    Environmental Matters

 

(1)                                 The Group Company has legally obtained and holds all or any of the permits, consents, licenses, approvals, certificates and other authorizations necessary for its production and operations required under any applicable laws relating to environmental protection (“Environmental Protection Law”), and all or any of the terms and conditions under these authorizations required by the Environmental Protection Law, except where omission of such will not result in material adverse effects on the legal and normal operation of the Group Company;

 

(2)                                 The Group Company complies with and has always complied with the Environmental Protection Law in major respects;

 

(3)                                 As far as it is known to the Founder, the Controlling Shareholder and/or the Company, the Group Company has not received any form of information from any relevant authorities that it may or may be alleged to be in violation of the Environmental Protection Law;

 

(4)                                 As far as it is known to the Founder, the Controlling Shareholder and/or the Company, there are no legal proceedings or other litigations, claims or investigations against the Group Company with material adverse effects on the production and operation of the Group Company or relating thereto or otherwise in connection with the Environmental Protection Law, nor are there any pending or potential legal proceedings or other litigations, claims or investigations.

 

Appendix III - 15

 

(5)                                 As far as it is known to the Founder, the Controlling Shareholder and/or the Company, there are no facts or circumstances that could lead to actual or potential environmental liability for the Group Company;

 

(6)                                 The Group Company has not received any notice or notification of complaints or claims on any matters relating to environmental protection matter from any person;

 

(7)                                 The Group Company has not received any injunctions or similar remedies or orders from competent courts on any environmental matter or made any commitments to such courts.

 

20.                    Taxes

 

(1)                                 The Group Company has submitted all tax returns required by the relevant tax authorities in accordance with the law, and all such tax returns are complete and correct in all material respects. The Group Company has paid all the payable taxes (whether or not displayed on the tax returns) in accordance with the requirements of the relevant tax authorities as required by law, or has made appropriate provisions in its financial statements in accordance with the requirements of the relevant tax authorities as required by law. Any assets or property of the Group Company are not subject to tax guarantees enjoined to be provided by the relevant tax authorities, except for those relating to taxes outstanding and payable; the Group Company is in compliance with the requirements of the relevant tax authorities applicable to it or its business (including but not limited to, if any, the conditions for preferential tax treatment); and as far as it is known to the Founder, the Controlling Shareholder and/or the Company, no government or regulatory authority will impose or have reasons to impose any additional taxes on the Group Company during any period that a tax return has been filed or required to be filed. The Group Company has no:

 

(i)                                     dispute or claim on any tax liability that has been claimed or filed by any government or regulatory authority, or;

 

(ii)                                  warning about any reasonably expected tax liability dispute or claim as far as it is known to the Founder, the Controlling Shareholder, and/or the Company.

 

(2)                                 Provisions made in the accounts of the Group Company are sufficient for the deferred tax and are fully compliant with the accounting practices generally recognized in the place of registration and adopted by companies or organizations operating similar businesses.

 

Appendix III - 16

 

(3)                                 If all the facts and circumstances known to the Founder, the Controlling Shareholder and/or the Company are known facts and circumstances at the time of accounts preparation, the provisions for the deferred tax in the corresponding accounts shall not be more than the provisions already made.

 

21.                    Tax Returns, Disputes, Records and Requests

 

(1)                                 The Group Company has submitted and provided on its own or arranged others to submit and provide all applicable tax returns and all data required by any tax authority.

 

(2)                                 On the date of this Agreement, the Group Company has neither tax liability that is unresolved or expected to occur, in which the tax authority may recover any taxes (including fines or interest) from the Group Company, nor dispute or disagreement with any tax authority concerning any tax benefits to the Group Company, and there are no circumstances that will very likely lead to such disputes or disagreements.

 

22.                    Insurance

 

As far as it is known to the Founder, the Controlling Shareholder and/or the Company, all major assets of the Group Company that may and need to be insured according to industry practices (specifically real estate and vehicles, if any) have been insured in accordance with applicable laws and industry practices against risks that are usually insured against.

 

23.                    Incentive Mechanism

 

There are neither other stock option nor other similar performance-based incentive arrangements (including stock appreciation rights scheme) for employees (or former employees), directors (or former directors), supervisors (or former supervisors) or consultants (or former consultants) or contractors (or former contractors) of the Group Company, nor other similar arrangements that are affecting any of the above persons.

 

24.                    No State-owned Assets

 

The Group Company does not have any state-owned assets, and does not need to undergo any form of assessment of state-owned assets or obtain approval for disposal of state-owned assets in order to facilitate the completion of the transaction in accordance with the laws and regulations of China.

 

25.                    No Undisclosed Business

 

As of the Delivery Date, the business of the Group Company has not exceeded the business scope approved in its business license. The Group Company has not engaged in any business that is not disclosed to Tianhong Lvyan and Wentou Huyu.

 

Appendix III - 17

 

26.                    Compliant Business Practices

 

(1)                                 The Founder, the Controlling Shareholder and the Company acknowledge that the related parties of the Group Company and any other person acting on behalf of the above parties do not, whether or not related to transactions under this Agreement or related to other matters, (i) deliberately violate any applicable laws and orders; (ii) make any improper payments to government officials for business benefits or advantages.

 

(2)                                 The Founder, the Controlling Shareholder and the Company acknowledge that the Group Company and/or the related parties of the Group Company and any other person acting on behalf of the above parties does not take any actions that may violate the applicable Anti-corruption Laws which include but are not limited to: relevant anti-corruption and anti-commercial bribery laws and regulations of China, the United States Foreign Corrupt Practices Act of 1977 as amended, and the applicable anti-corruption laws of other countries (hereinafter referred to as “Anti-corruption Laws”). Any of the related parties of the Group Company and any other person acting on behalf of the above parties have never offered, paid, promised to pay or authorized to pay any money or anything of value to any government official taking office in any government authority or any entity (if the related party of the Group Company knew that all or part of such money or things of value would very likely be offered, given or promised to be given to any government official, either directly or indirectly). For the purposes of this article, government authority also includes any entity or enterprise owned or controlled by government authorities or international public organizations.

 

(3)                                 The Founder, the Controlling Shareholder and the Company acknowledge that the Group Company and/or the related parties of the Group Company and any other person acting on behalf of the above parties, for the following purposes: (i) influence any act or decision within the authority of the government official; (ii) induce the government official to perform any act or omission in respect of his/her statutory duties; (iii) obtain any improper advantage; (iv) obtain any government research grant or national special project; (v) assist the Group Company in obtaining or retaining business or introduce business to the Group Company; or (v) induce the government official to influence or interfere with acts or decisions of any government authorities, have never accepted, offered, paid, promised to pay, authorized to pay, or taken actions to procure the acceptance, offer, or payment of any money or anything of value to any government officials taking office in any government authority or any entity (if the related party of the Group Company knew that all or part of such money or things of value would very likely be offered, given or promised to be given any government official, either directly or indirectly).

 

Appendix III - 18

 

(4)                                 The Founder, the Controlling Shareholder and the Company acknowledge that the Group Company and/or the related parties of the Group Company and any other person acting on behalf of the above parties has not violated the principle of fair competition and employed means such as giving, receiving property or other benefits to obtain transaction opportunities or other economic benefits in business activities.

 

(5)                                 The Founder, the Controlling Shareholder, and the Company acknowledge that key employees of the Group Company have not held any administrative position in any government authority, university or other public institution, and have not taken advantage of their positions outside the Group Company to seek any improper benefits for the Group Company, including but not limited to obtaining transaction opportunities, government approvals, or government research grants for the Group Company.

 

(6)                                 No government official, government authority or entity currently has any direct or indirect interest in the Group Company, or any legal or beneficial interest in the Group Company and the Proceeds From Capital Increase Subscriptions paid to the Group Company by Tianhong Lvyan and Wentou Huyu under this Agreement.

 

(7)                                 The Group Company maintains and will maintain accurate and complete books and records in accordance with the applicable Anti-corruption Laws and generally recognized accounting principles.

 

Appendix III - 19

 

Appendix IV

 

Disclosure List

 

1. As of the date of issuance of this disclosure list, the owner of the “wow36kr” official WeChat account, the “36kr” Weibo account and the intellectual property in Appendix II is the Controlling Shareholder.

 

2. As of the date of issuance of this disclosure list, the owner of the trademark rights of “36氪” and “36kr” is the Controlling Shareholder. The Company uses the above trademark rights free of charge, and the Company has not signed a transfer agreement with the Controlling Shareholder.

 

3. On May 8, 2017 and June 5, 2017, the Controlling Shareholder signed the Loan Agreement with the Company and provided the Company with a loan of RMB7,123,521.38.

 

4. The relevant wages, social insurance and housing provident fund of individual employees of the Company who need to apply for work permits and sign labor contracts with the Controlling Shareholder are all borne by the Controlling Shareholder. After the Company has completed the application to become qualified for handling work permits, such employees will have theirs replaced.

 

 

Appendix V

 

List of Key Employees

 

	
Name
    	
 
    	
Position
    	
 
    	
Identification number
    
	
Feng Dagang
    	
 
    	
President
    	
 
    	
132801197810243614
    
	
Zhang Zhuo
    	
 
    	
Assistant President
    	
 
    	
110108198311236028
    
	
Li Yang
    	
 
    	
Chief Editor
    	
 
    	
210402197611192941
    
	
Ye Hongguang
    	
 
    	
Vice President of   Business Center
    	
 
    	
130206197910210016
    
	
Li Zheng
    	
 
    	
General Manager of   Brand Advertising
    	
 
    	
510781198201130075
    

 

 

Appendix VI

 

Address for Notice

 

For the purposes of the article on notice set forth in this Agreement, the original addresses of the parties are as follows:

 

To the Founder:

 

Liu Chengcheng

Address: 6th Floor, Haizhi Chuangtou, No.34 Haidian Street, Haidian District, Beijing, China

Recipient: Wang Jingyu

Phone: 010-59974030

Zip code: 100089

E-mail: wangjingyu@36kr.com

 

To the Company Shareholders:

 

Beijing Xieli Zhucheng Financial Information Service Co., Ltd.

Address: 6th Floor, Haizhi Chuangtou, No.34 Haidian Street, Haidian District, Beijing, China

Recipient: Wang Jingyu

Phone: 010-59974030

Zip code: 100089

E-mail: wangjingyu@36kr.com

 

Tianjin Zhanggongzi Technology Partnership (Limited Partnership)

Address: 6th Floor, Haizhi Chuangtou, No.34 Haidian Street, Haidian District, Beijing, China

Recipient: Wang Jingyu

Phone: 010-59974030

Zip code: 100089

E-mail: wangjingyu@36kr.com

 

To the Company

 

Beijing Pinxin Media Culture Co., Ltd.

Address: 6th Floor, Haizhi Chuangtou, No.34 Haidian Street, Haidian District, Beijing, China

Recipient: Wang Jingyu

Phone: 010-59974030

Zip code: 100089

E-mail: wangjingyu@36kr.com

 

 

To the Investor Shareholders

 

Suzhou Industrial Park Gebi Yinghe Venture Capital Partnership (Limited Partnership)

Address: Room 1508, Gopher Center, No.757 Mengzi Road, Huangpu District, Shanghai, China

Recipient: Xu Chen

Phone: 021-51601618

Fax: 021-56295805

Zip code: 200023

E-mail: ken@gobi.cn

 

Jiaxing Xiaodu Neirong Equity Investment Partnership (Limited Partnership)

Address: Pactera Building, Phase 2, Zhongguancun Software Park, 8 Dongbeiwang West Road, Haidian District, Beijing, China

Recipient: Liu Renjie

Phone: 18610451803

Zip code: 100193

E-mail: liurenjie@itv.baidu.com

 

Beijing Gebi Lvzou Angel Investment Center (Limited Partnership)

Address: Room 906, Block H, Phoenix Land Plaza, No.A5 Shuguang Xili, Beijing, China

Recipient: Jiang Tao

Phone: 86.10.8455.4115

Fax: 86.10.8455.4119

Zip code: 100028

E-mail: don@gobi.cn

 

 

Hangzhou Jincun Investment Management Partnership (Limited Partnership)

Address: Room 3211, 32nd Floor, Jintou Financial Building, No.2-6 Qingchun East Road, Jianggan District, Hangzhou

Recipient: Chen Chenjie

Phone: 0571-87225309

Fax:

Zip code: 310016

E-mail: chenchenjie@hzfi.cn

 

Shenzhen Guohong No.2 Enterprise Management Partnership (Limited Partnership)

Address: 9th Floor, Block A, Fairmount Tower, Wangjing, Chaoyang District, Beijing

Recipient: Zhang Shu

Phone: 18610053125

Zip code: 100102

E-mail: zhangshu@cpcfund.cn

 

Gongqingcheng Fenzhong Chuangxiang Information Technology Co., Ltd.

Address: 28th Floor, No. 369, Jiangsu Road, Changning District, Shanghai

Recipient: Lin Nan

Phone: 18621585219

E-mail: linnan@focusmedia.cn

 

 

Ningbo Meishan Baoshui Gangqu Tianhong Lvyan Investment Management Partnership (Limited Partnership)

Address: Room 1202, Block B, Global Trade Center, No.36 North Third Ring Road East, Dongcheng District, Beijing

Recipient: Wang Xi

Tel.: 18510249488

Zip code: 100010

Email: wangxi@thfund.com.cn

 

Beijing Wentou Huyu Investment Co., Ltd.

Address:

Recipient:

Tel.:

Zip code:

Email:

 

 

Annex I

 

Regarding the Shareholders Agreement of Beijing Pinxin Media Culture Co., Ltd.

 

 

Annex II

 

Articles of Association of Beijing Pinxin Media Culture Co., Ltd.

 

 

(This is a signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have procured their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Liu Chengcheng

Signature: [signed]

 

Beijing Pinxin Media Culture Co., Ltd.

(Seal) [Chopped: Beijing Pinxin Media Culture Co., Ltd. 1101081077300]

Legal representative: [signed]

 

Beijing Xieli Zhucheng Financial Information Service Co., Ltd.

(Seal) [Chopped: Beijing Xieli Zhucheng Financial Information Service Co., Ltd. 1101080814347]

Legal representative: [signed]

 

Tianjin Zhanggongzi Technology Partnership (Limited Partnership)

(Seal) [Chopped: Tianjin Zhanggongzi Technology Partnership (Limited Partnership)]

Executive partner delegate: [signed]

 

Signature page

 

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Shenzhen Guohong No.2 Enterprise Management Partnership (Limited Partnership)

(Seal) [Chopped: Shenzhen Guohong No.2 Enterprise Management Partnership (Limited Partnership) 4403041137861]

Executive partner delegate: [signed]

 

Signature page

 

 

(This is a signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have procured their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Beijing Gebi Lvzhou Angel Investment Center (Limited Partnership)

(Seal) [Chopped: Beijing Gebi Lvzhou Angel Investment Center (Limited Partnership) 1101080319389]

Executive partner delegate: [signed]

 

Signature page

 

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Hangzhou Jincun Investment Management Partnership (Limited Partnership)

(Seal) [Chopped: Hangzhou Jincun Investment Management Partnership (Limited Partnership) 3301040112941]

Executive partner delegate: [signed]

 

Signature page

 

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Gongqingcheng Fenzhong Chuangxiang Information Technology Co., Ltd.

(Seal) [Chopped: Gongqingcheng Fenzhong Chuangxiang Information Technology Co., Ltd. 3604820009040]

Legal representative: [signed]

 

Signature page

 

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Ningbo Meishan Baoshui Gangqu Tianhong Lvyan Investment Management Partnership (Limited Partnership)

(Seal) [Chopped: Ningbo Meishan Baoshui Gangqu Tianhong Lvyan Investment Management Partnership (Limited Partnership) 3302060231082]

Executive partner delegate: [signed]

 

Signature page

 

 

(This is a signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have procured their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Jiaxing Xiaodu Neirong Equity Investment Partnership (Limited Partnership)

(Seal) [Chopped: Jiaxing Xiaodu Neirong Equity Investment Partnership (Limited Partnership) 3304020025051]

Executive partner delegate:

 

Signature page

 

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Suzhou Industrial Park Gebi Yinghe Equity Investment Partnership (Limited Partnership)

(Seal) [Chopped: Suzhou Industrial Park Gebi Yinghe Equity Investment Partnership (Limited Partnership) 3205940045568]

Executive partner delegate: [signed]

 

Signature page

 

 

(This is signature page)

 

In view of this, individuals of the parties or the parties to the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. have promoted their respective officially authorized representatives to sign the Capital Increase Agreement of Beijing Pinxin Media Culture Co., Ltd. on the date stated at the beginning of the Agreement.

 

Beijing Wentou Huyu Investment Co., Ltd.

(Seal) [Chopped: Beijing Wentou Huyu Investment Co., Ltd. 1001760012816]

Executive partner delegate: [signed]

 

Signature pageExhibit 10.9

 

CONFIDENTIAL

 

SERIES D PREFERRED SHARE

 

SUBSCRIPTION AGREEMENT

 

dated as of

 

September 23, 2019

 

among

 

36Kr Holdings Inc.

 

Dagang Feng

 

Palopo Holding Limited

 

PARTIES LISTED ON SCHEDULE I

 

and

 

PARTIES LISTED ON SCHEDULE II

 

 

TABLE OF CONTENTS

 

	
 
    	
 
    	
 
    	
PAGE
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
ARTICLE 1
    	
 
    	
 
    
	
DEFINITIONS
    	
 
    	
1
    
	
 
    	
 
    	
 
    	
 
    
	
Section 1.01.
    	
Definitions
    	
 
    	
1
    
	
Section 1.02.
    	
Other Defined Terms
    	
 
    	
7
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
ARTICLE 2
    	
 
    	
 
    
	
PURCHASE   AND SALE OF SHARES
    	
 
    	
8
    
	
 
    	
 
    	
 
    	
 
    
	
Section 2.01.
    	
Subscription and Issuance of   Shares
    	
 
    	
8
    
	
Section 2.02.
    	
Closing
    	
 
    	
8
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
ARTICLE 3
    	
 
    	
 
    
	
REPRESENTATIONS   AND WARRANTIES OF THE WARRANTORS
    	
 
    	
8
    
	
 
    	
 
    	
 
    	
 
    
	
Section 3.01.
    	
Organization, Good Standing and   Qualification
    	
 
    	
8
    
	
Section 3.02.
    	
Capitalization
    	
 
    	
9
    
	
Section 3.03.
    	
Corporate Structure;   Subsidiaries
    	
 
    	
10
    
	
Section 3.04.
    	
Authorization
    	
 
    	
10
    
	
Section 3.05.
    	
Valid Issuance of Shares
    	
 
    	
10
    
	
Section 3.06.
    	
Consents; No Conflicts
    	
 
    	
10
    
	
Section 3.07.
    	
Restructuring
    	
 
    	
11
    
	
Section 3.08.
    	
Offering
    	
 
    	
11
    
	
Section 3.09.
    	
Compliance with Laws; Consents
    	
 
    	
11
    
	
Section 3.10.
    	
Tax Matters
    	
 
    	
12
    
	
Section 3.11.
    	
Financial Statements
    	
 
    	
12
    
	
Section 3.12.
    	
Liabilities
    	
 
    	
12
    
	
Section 3.13.
    	
Actions
    	
 
    	
12
    
	
Section 3.14.
    	
Material Contracts
    	
 
    	
12
    
	
Section 3.15.
    	
Title; Properties
    	
 
    	
14
    
	
Section 3.16.
    	
Intellectual Property Rights
    	
 
    	
14
    
	
Section 3.17.
    	
Labor and Employment Matters
    	
 
    	
14
    
	
Section 3.18.
    	
No Brokers
    	
 
    	
15
    
	
Section 3.19.
    	
Co-Founder Noncompetition
    	
 
    	
15
    
	
Section 3.20.
    	
Full Disclosure
    	
 
    	
15
    
	
Section 3.21.
    	
No Changes
    	
 
    	
15
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
ARTICLE 4
    	
 
    	
 
    
	
REPRESENTATIONS   AND WARRANTIES OF THE INVESTORS
    	
 
    	
16
    
	
 
    	
 
    	
 
    	
 
    
	
Section 4.01.
    	
Organization and Good Standing
    	
 
    	
16
    
	
Section 4.02.
    	
Authorization
    	
 
    	
16
    

 

i

 

	
Section 4.03.
    	
Consents; No Conflicts
    	
 
    	
16
    
	
Section 4.04.
    	
Financing
    	
 
    	
16
    
	
Section 4.05.
    	
Purchase for Own Account
    	
 
    	
16
    
	
Section 4.06.
    	
Restricted Securities
    	
 
    	
17
    
	
Section 4.07.
    	
No Brokers
    	
 
    	
17
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
ARTICLE 5
    	
 
    	
 
    
	
CONDITIONS   OF THE INVESTORS’ OBLIGATIONS TO CONSUMMATE THE CLOSING
    	
 
    	
17
    
	
 
    	
 
    	
 
    	
 
    
	
Section 5.01.
    	
Representations and Warranties
    	
 
    	
17
    
	
Section 5.02.
    	
Performance
    	
 
    	
17
    
	
Section 5.03.
    	
Authorizations
    	
 
    	
17
    
	
Section 5.04.
    	
Proceedings and Documents
    	
 
    	
17
    
	
Section 5.05.
    	
Register of Members
    	
 
    	
17
    
	
Section 5.06.
    	
Memorandum and Articles
    	
 
    	
17
    
	
Section 5.07.
    	
Transaction Documents
    	
 
    	
18
    
	
Section 5.08.
    	
Restructuring
    	
 
    	
18
    
	
Section 5.09.
    	
Employment Agreement,   Non-Competition, Non-Solicitation, IP Assignment and Confidentiality   Agreement
    	
 
    	
18
    
	
Section 5.10.
    	
No Material Adverse Effect
    	
 
    	
18
    
	
Section 5.11.
    	
Closing Certificate
    	
 
    	
18
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
ARTICLE 6
    	
 
    	
 
    
	
CONDITIONS   OF THE COMPANY’S OBLIGATIONS TO CONSUMMATE THE CLOSING
    	
 
    	
18
    
	
 
    	
 
    	
 
    	
 
    
	
Section 6.01.
    	
Representations and Warranties
    	
 
    	
18
    
	
Section 6.02.
    	
Performance
    	
 
    	
18
    
	
Section 6.03.
    	
Transaction Documents
    	
 
    	
18
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
ARTICLE 7
    	
 
    	
 
    
	
CONFIDENTIALITY   AND NON-DISCLOSURE
    	
 
    	
18
    
	
 
    	
 
    	
 
    	
 
    
	
Section 7.01.
    	
Confidentiality
    	
 
    	
18
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
ARTICLE 8
    	
 
    	
 
    
	
EXECUTORY   PERIOD COVENANTS
    	
 
    	
19
    
	
 
    	
 
    	
 
    	
 
    
	
Section 8.01.
    	
Restructuring
    	
 
    	
19
    
	
Section 8.02.
    	
Conduct of the Company
    	
 
    	
19
    
	
Section 8.03.
    	
Notice of Certain Events
    	
 
    	
19
    
	
Section 8.04.
    	
Access
    	
 
    	
19
    
	
Section 8.05.
    	
Most Favorable Rights
    	
 
    	
19
    
	
Section 8.06.
    	
Compliance with Laws
    	
 
    	
20
    
	
Section 8.07.
    	
Filing of Memorandum and   Articles
    	
 
    	
20
    
	
Section 8.08.
    	
Transfer of Trademarks
    	
 
    	
20
    

 

ii

 

	
 
    	
ARTICLE 9
    	
 
    	
 
    
	
TERMINATION
    	
 
    	
20
    
	
 
    	
 
    	
 
    	
 
    
	
Section 9.01.
    	
Termination
    	
 
    	
20
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
ARTICLE 10
    	
 
    	
 
    
	
INDEMNIFICATION
    	
 
    	
20
    
	
 
    	
 
    	
 
    	
 
    
	
Section 10.01.
    	
Survival
    	
 
    	
20
    
	
Section 10.02.
    	
Indemnification by Warrantors
    	
 
    	
21
    
	
Section 10.03.
    	
Notice of Claims
    	
 
    	
21
    
	
Section 10.04.
    	
Limitation of Liability
    	
 
    	
21
    
	
Section 10.05.
    	
Exclusive Remedy
    	
 
    	
22
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
ARTICLE 11
    	
 
    	
 
    
	
MISCELLANEOUS
    	
 
    	
22
    
	
 
    	
 
    	
 
    	
 
    
	
Section 11.01.
    	
Further Assurances
    	
 
    	
22
    
	
Section 11.02.
    	
Successors and Assigns
    	
 
    	
22
    
	
Section 11.03.
    	
Third-Party Beneficiaries
    	
 
    	
23
    
	
Section 11.04.
    	
Governing Law
    	
 
    	
23
    
	
Section 11.05.
    	
Dispute Resolution
    	
 
    	
23
    
	
Section 11.06.
    	
Notices
    	
 
    	
24
    
	
Section 11.07.
    	
Specific Performance
    	
 
    	
24
    
	
Section 11.08.
    	
Fees and Expenses
    	
 
    	
24
    
	
Section 11.09.
    	
Finder’s Fee
    	
 
    	
24
    
	
Section 11.10.
    	
Severability
    	
 
    	
25
    
	
Section 11.11.
    	
Amendments and Waivers
    	
 
    	
25
    
	
Section 11.12.
    	
No Waiver
    	
 
    	
25
    
	
Section 11.13.
    	
Delays or Omissions
    	
 
    	
25
    
	
Section 11.14.
    	
No Presumption
    	
 
    	
25
    
	
Section 11.15.
    	
Headings and Subtitles;   Interpretation
    	
 
    	
26
    
	
Section 11.16.
    	
Counterparts
    	
 
    	
26
    
	
Section 11.17.
    	
Entire Agreement
    	
 
    	
26
    
	
Section 11.18.
    	
Independent Nature of   Investors’ Obligations and Rights
    	
 
    	
26
    
	
 
    	
 
    	
 
    	
 
    
	
Schedules and Exhibits
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Schedule I
    	
List of the Investors
    	
 
    	
I-1
    
	
Schedule II
    	
List of Certain Group   Companies
    	
 
    	
II-1
    
	
Schedule III
    	
Address for Notices
    	
 
    	
III-1
    
	
Schedule IV
    	
Restructuring
    	
 
    	
IV-1
    
	
Schedule V
    	
List of Company’s   Related Parties
    	
 
    	
V-1
    
	
Schedule VI
    	
Disclosure Schedule
    	
 
    	
VI-1
    
	
Schedule VII
    	
Capitalization Table
    	
 
    	
VII-1
    
	
Schedule VIII
    	
List of Trademarks to   be Transferred
    	
 
    	
VIII-1
    

 

iii

 

	
Exhibit A
    	
Form of Second   Amended and Restated Memorandum and Articles of Association
    	
 
    	
A-1
    
	
Exhibit B
    	
Form of Amended   and Restated Shareholders Agreement
    	
 
    	
B-1
    
	
Exhibit C
    	
Form of Closing   Certificate
    	
 
    	
C-2
    

 

iv

 

SERIES D PREFERRED SHARE SUBSCRIPTION AGREEMENT

 

THIS SERIES D PREFERRED SHARE SUBSCRIPTION AGREEMENT (this “Agreement”) is made and entered into on September 23, 2019 by and among:

 

1.                                      36Kr Holdings Inc., an exempted company with limited liability incorporated under the Laws of the Cayman Islands (the “Company”),

 

2.                                      Mr. Dagang Feng (a PRC citizen, with ID number of 132801197810243614, the “Co-Founder”),

 

3.                                      Palopo Holding Limited, a business company incorporated under the Laws of the British Virgin Islands (the “Co-Founder Holdco”),

 

4.                                      each Person listed on Schedule I hereto (each, an “Investor” and collectively, the “Investors”), and

 

5.                                      each Person listed on Schedule II hereto.

 

Each of the parties to this Agreement is referred to herein individually as a “Party” and collectively as the “Parties”.

 

RECITALS

 

A.                                    The Group (as defined below) has conducted the Restructuring (as defined below), upon the completion of which, the Company has become the Controlling holding company of the Group (other than the Company).

 

B.                                    The Investors wish to invest in the Company by subscribing for Series D Preferred Shares to be issued by the Company pursuant to the terms and subject to the conditions of this Agreement, and the Company wishes to issue and sell Series D Preferred Shares to the Investors pursuant to the terms and subject to the conditions of this Agreement.

 

C.                                    The Parties desire to enter into this Agreement and make the respective representations, warranties, covenants and agreements set forth herein on the terms and conditions set forth herein.

 

WITNESSETH

 

NOW, THEREFORE, in consideration of the foregoing recitals, the mutual promises hereinafter set forth, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties intending to be legally bound hereto hereby agree as follows:

 

ARTICLE 1

DEFINITIONS

 

Section 1.01.                Definitions. The following terms shall have the meanings ascribed to them below:

 

“Accounting Standards” means generally accepted accounting principles in the United States in effect from time to time, applied on a consistent basis.

 

 

“Action” means any charge, claim, action, complaint, petition, investigation, appeal, suit, litigation, grievance, inquiry or other proceeding, whether administrative, civil, regulatory or criminal, whether at law or in equity, or otherwise under any applicable Law, and whether or not before any mediator, arbitrator or Governmental Authority.

 

“Affiliate” means, with respect to any Person, any other Person directly or indirectly Controlling, Controlled by, or under common Control with such Person.

 

“Business Day” means any day that is not a Saturday, Sunday, legal holiday or other day on which commercial banks are required or authorized by Law to be closed in the PRC, Hong Kong or the Cayman Islands.

 

“Lotus” means Lotus Walk Inc.

 

“Charter Documents” means, with respect to a particular legal entity, the articles of incorporation, certificate of incorporation, formation or registration (including, if applicable, certificates of change of name), memorandum of association, articles of association, bylaws, articles of organization, limited liability company agreement, trust deed, trust instrument, operating agreement, joint venture agreement, business license, or similar or other constitutive, governing, or charter documents, or equivalent documents, of such entity.

 

“Closing Date” means the date of the Closing.

 

“Company Owned IP” means any Intellectual Property owned by or exclusively licensed to any Group Company.

 

“Company Registered IP” means any Intellectual Property for which registrations are owned by or held in the name of, or for which applications have been made in the name of, any Group Company.

 

“Consent” means any consent, approval, authorization, release, waiver, permit, grant, franchise, concession, agreement, license, exemption or order of, registration, certificate, declaration or filing with, or report or notice to, any Person, including any Governmental Authority.

 

“Contract” means a contract, agreement, indenture, note, bond, loan, instrument, lease, mortgage, franchise, license, commitment, purchase order, and other legally binding arrangement, whether written or oral.

 

“Control” of a given Person means the power or authority, whether exercised or not, to direct the business, management and policies of such Person, directly or indirectly, whether through the ownership of voting securities, as trustee, personal representative or executive, by Contract, credit arrangement or otherwise. The terms “Controlled” and “Controlling” have meanings correlative to the foregoing.

 

“Equity Securities” means, with respect to any Person, any shares, any and all shares of capital stock, membership interests, units, profits interests, ownership interests, equity interests, registered capital, and other equity securities of such Person, and any right, warrant, option, call, commitment, conversion privilege, preemptive right or other right to acquire any of the foregoing, or security convertible into, exchangeable or exercisable for any of the foregoing, or any Contract providing for the acquisition of any of the foregoing, shares, awards, options, warrants, interests, rights under any equity appreciation, phantom equity, equity plans or similar plans or schemes with respect to such Person, and, with respect to the Company, shall include any Ordinary Shares, awards, options, warrants, interests, rights under the ESOP.

 

2

 

“ESOP” means (i) any equity incentive, purchase or participation plan, employee stock option plan or similar plan of the Company approved and adopted in accordance with the Shareholders Agreement, or (ii) the shares reserved and subject to item (i), as the case may be.

 

“Governmental Authority” means any government of any nation, federation, province, state or locality or any other political subdivision thereof, any entity, authority or body exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government, including any government authority, agency, department, board, commission or instrumentality of the PRC or any other country, or any political subdivision thereof, any court, tribunal or arbitrator, and any self-regulatory organization.

 

“Governmental Order” means any applicable order, ruling, decision, verdict, decree, writ, subpoena, mandate, command, directive, consent, approval, award, judgment, injunction or other similar determination or finding by, before or under the supervision of any Governmental Authority.

 

“Group Company” means each of the companies listed on Schedule II attached hereto, and each other entity whose financial statements are consolidated with those of any Group Company in accordance with the Accounting Standards, and “Group” refers to all of Group Companies collectively.

 

“Hong Kong” means the Hong Kong Special Administrative Region of the People’s Republic of China.

 

“Indebtedness” of any Person means, without duplication, each of the following of such Person: (i) all indebtedness for borrowed money, (ii) all obligations issued, undertaken or assumed as the deferred purchase price of property or services (other than trade payables incurred in the ordinary course of business), (iii) all reimbursement or payment obligations with respect to letters of credit, surety bonds and other similar instruments, (iv) all obligations evidenced by notes, bonds, debentures or similar instruments, including obligations so evidenced that are incurred in connection with the acquisition of properties, assets or businesses, (v) all indebtedness created or arising under any conditional sale or other title retention agreement, or incurred as financing, in either case with respect to any property or assets acquired with the proceeds of such indebtedness (even though the rights and remedies of the seller or bank under such agreement in the event of default are limited to repossession or sale of such property), (vi) all obligations that are capitalized (including capitalized lease obligations), (vii) all obligations under banker’s acceptance, letter of credit or similar facilities, (viii) all obligations to purchase, redeem, retire, defease or otherwise acquire for value any Equity Securities of such Person, (ix) all obligations in respect of any interest rate swap, hedge or cap agreement, and (x) all guarantees issued in respect of the Indebtedness referred to in clauses (i) through (ix) above of any other Person, but only to the extent of such Indebtedness guaranteed.

 

“Indemnifiable Loss” means, with respect to any Person, any action, claim, dispute, proceeding, cost, damage, deficiency, disbursement, expense, liability, loss, obligation, penalty, Taxes, settlement or judgment of any kind or nature imposed on or otherwise incurred or suffered by such Person, provided that the Indemnifiable Loss shall exclude any mental and emotional distress, and any speculative, consequential, exemplary or punitive damages.

 

3

 

“Intellectual Property” means any and all (i) patents, patent rights and applications therefor and reissues, reexaminations, continuations, continuations-in-part, divisions, and patent term extensions thereof, (ii) inventions (whether patentable or not), discoveries, improvements, concepts, innovations and industrial models, (iii) registered and unregistered copyrights, copyright registrations and applications, mask works and registrations and applications therefor, author’s rights and works of authorship (including artwork, software, computer programs, source code, object code and executable code, firmware, development tools, files, records and data, and related documentation), (iv) URLs, web sites, web pages and any part thereof, (v) technical information, know-how, trade secrets, drawings, designs, design protocols, specifications, proprietary data, customer lists, databases, proprietary processes, technology, formulae, and algorithms and other intellectual property, (vi) trade names, trade dress, trademarks, domain names, service marks, logos, business names, and registrations and applications therefor, and (vii) the goodwill symbolized, associated with or represented by the foregoing.

 

“Joint Venture Companies” means, collectively, 36Kr Global Holding (HK) Limited, (株式会社) 36Kr Japan and KRASIA PLUS PTE. LTD.

 

“Key Employee” means each of the Co-Founder, LIANG Jihong (with PRC ID Number 110107197302030369) and LI Yang (with PRC ID Number 210402197611192941).

 

“Knowledge” means, with respect to the Warrantors, the actual knowledge of the Warrantors after reasonable inquiry.

 

“Law” or “Laws” means any and all provisions of any applicable constitution, treaty, statute, law, regulation, ordinance, code, rule, or rule of common law, any governmental approval, concession, grant, franchise, license, agreement, directive, requirement, or other governmental restriction or any similar form of decision of, or determination by, or any interpretation or administration of any of the foregoing by, any Governmental Authority, in each case as amended, and any and all applicable Governmental Orders.

 

“Liabilities” means, with respect to any Person, all liabilities, obligations and commitments of such Person of any nature, whether accrued, absolute, contingent or otherwise, and whether due or to become due.

 

“Licenses” means (i) all licenses, sublicenses, and other Contracts to which any Group Company is a party and pursuant to which any third party is authorized to use, exercise or receive any benefit from any material Company IP, and (ii) all licenses, sublicenses and other Contracts to which any Group Company is a party and pursuant to which such Group Company is authorized to use, exercise, or receive any benefit from any material Intellectual Property of another Person, in each case except for (A) agreements involving “off-the-shelf” commercially available software, and (B) non-exclusive licenses to customers in the ordinary course of business consistent with past practice.

 

“Lien” means any claim, charge, easement, encumbrance, lease, covenant, security interest, lien, option, pledge, rights of others, or restriction (whether on voting, sale, transfer, disposition or otherwise), whether imposed by Contract, understanding, law, equity or otherwise.

 

4

 

“Majority Investors” means the Investors subscribing for 50% of the Shares hereunder.

 

“Material Adverse Effect” means any event, occurrence, fact, condition, change or development that has had or has or could reasonably be expected to have a material adverse effect on (i) the business, properties, assets, operations, results of operations, financial condition or Liabilities of the Group taken as a whole, with an adverse impact greater in value than 30% of the total net assets of the Group on a consolidated basis as of the Statement Date, or which cause the Company to be explicitly prohibited from conducting the principal business as presently being conducted, excluding any effect resulting from (A) changes in Accounting Standards or changes in the regulatory accounting requirements applicable to any industry in which the Group operates, (B) changes in the general economic or political conditions, (C) changes (including changes of applicable Laws) or conditions generally affecting the industry in which the Group operates, (D) acts of war, sabotage or terrorism or natural disasters, (E) the announcement or consummation of the transactions contemplated by the Transaction Documents, (F) any action taken (or omitted to be taken) at the request of any Investor or (G) any action taken by the Company that is required, contemplated or permitted pursuant to this Agreement, provided that any event, occurrence, fact, condition, change or development referred to in clause (B) through (D) immediately above shall be taken into account in determining whether a Material Adverse Effect has occurred or could reasonably be expected to occur to the extent that such event, occurrence, fact, condition, change or development has an adverse effect on the Group that is disproportionate to the effect on other similar companies operating in the same industry, (ii) the ability of the Warrantors to consummate the transactions contemplated by any of the Transaction Documents on a timely basis or to perform the obligations under the Transaction Documents, or (iii) the validity and the enforceability of this Agreement against the Warrantors.

 

“Memorandum and Articles” means the second amended and restated memorandum of association of the Company and the second amended and restated articles of association of the Company substantially in the form attached hereto as Exhibit A, to be adopted in accordance with applicable Law on or before the Closing pursuant to the terms of this Agreement and effective from the Closing Date.

 

“Ordinary Shares” means the Company’s ordinary shares, par value US$0.0001 per share.

 

“Permitted Liens” means (i) Liens for Taxes not yet delinquent or the validity of which are being contested in good faith and for which there are adequate reserves on the applicable financial statements, (ii) Liens disclosed on the Financial Statements, (iii) Liens incurred in the ordinary course of business, or (iv) other Liens which would not have a Material Adverse Effect.

 

“Person” means any individual, corporation, partnership, limited partnership, proprietorship, association, limited liability company, firm, trust, estate or other enterprise or entity.

 

“PRC” means the People’s Republic of China, but solely for the purposes of this Agreement and the other Transaction Documents, excluding Hong Kong, the Macau Special Administrative Region and the islands of Taiwan.

 

“Related Party” means, to the Knowledge of the Warrantors, (i) any shareholder that beneficially owns five percent (5%) or more of the share capital of any Group Company, (ii) any officer or director of any Group Company, any immediate family member of any of the foregoing in clauses (i) and (ii), and any Affiliate of any of the foregoing in clauses (i) and (ii), except for any other Group Company. The Company’s Related Parties include without limitation the Persons set forth on Schedule V.

 

5

 

“Restructuring” means the transactions and actions set forth in Schedule IV hereto.

 

“Securities Act” means the U.S. Securities Act of 1933, as amended.

 

“Series A-1 Preferred Shares” means the Series A-1 Preferred Shares of the Company, par value US$0.0001 per share, with the rights and privileges as set forth in the Memorandum and Articles.

 

“Series A-2 Preferred Shares” means the Series A-2 Preferred Shares of the Company, par value US$0.0001 per share, with the rights and privileges as set forth in the Memorandum and Articles.

 

“Series B-1 Preferred Shares” means the Series B-1 Preferred Shares of the Company, par value US$0.0001 per share, with the rights and privileges as set forth in the Memorandum and Articles.

 

“Series B-2 Preferred Shares” means the Series B-2 Preferred Shares of the Company, par value US$0.0001 per share, with the rights and privileges as set forth in the Memorandum and Articles.

 

“Series B-3 Preferred Shares” means the Series B-3 Preferred Shares of the Company, par value US$0.0001 per share, with the rights and privileges as set forth in the Memorandum and Articles.

 

“Series B-4 Preferred Shares” means the Series B-4 Preferred Shares of the Company, par value US$0.0001 per share, with the rights and privileges as set forth in the Memorandum and Articles.

 

“Series C-1 Preferred Shares” means the Series C-1 Preferred Shares of the Company, par value US$0.0001 per share, with the rights and privileges as set forth in the Memorandum and Articles.

 

“Series C-2 Preferred Shares” means the Series C-2 Preferred Shares of the Company, par value US$0.0001 per share, with the rights and privileges as set forth in the Memorandum and Articles.

 

“Series D Preferred Shares” means the Series D Preferred Shares of the Company, par value US$0.0001 per share, with the rights and privileges as set forth in the Memorandum and Articles.

 

“Shareholders Agreement” means the Amended and Restated Shareholders Agreement to be entered into by and among the parties named therein on or prior to the Closing, which shall be substantially in the form attached hereto as Exhibit B.

 

“Tax” means (i) in the PRC: (A) any national, provincial, municipal, or local taxes, charges, fees, levies, or other assessments, including, without limitation, all net income (including enterprise income tax and individual income withholding tax), turnover (including value-added tax, business tax, and consumption tax), resource (including urban and township land use tax), special purpose (including land value-added tax, urban maintenance and construction tax, and additional education fees), property (including urban real estate tax and land use fees), documentation (including stamp duty and deed tax), filing, recording, social insurance (including pension, medical, unemployment, housing, and other social insurance withholding), tariffs (including import duty and import value-added tax), and estimated and provisional taxes, charges, fees, levies, or other assessments of any kind whatsoever, (B) all interest, penalties (administrative, civil or criminal), or additional amounts imposed by any Governmental Authority in connection with any item described in clause (A) above, and (C) any form of transferee liability imposed by any Governmental Authority in connection with any item described in clauses (A) and (B) above and (ii) in any jurisdiction other than the PRC: all similar liabilities as described in clause (i)(A), (i)(B) and (i)(C) above.

 

6

 

“Tax Return” means any return, report or statement showing Taxes, used to pay Taxes, or required to be filed with respect to any Tax (including any elections, declarations, schedules or attachments thereto, and any amendment thereof), including any information return, claim for refund, amended return or declaration of estimated or provisional Tax.

 

“Transaction Documents” means this Agreement, the Shareholders Agreement, the Memorandum and Articles and each of the other agreements and documents delivered or otherwise required in connection with implementing the transactions contemplated by any of the foregoing.

 

“Warrantors” means, collectively, the Group Companies (except for the Joint Venture Companies), the Co-Founder and the Co-Founder Holdco.

 

Section 1.02.                Other Defined Terms. The following terms shall have the meanings defined for such terms in the Sections set forth below:

 

	
Agreement
    	
 
    	
Preamble
    
	
Arbitration Notice
    	
 
    	
Section 11.05(a)
    
	
Balance Sheet
    	
 
    	
Section 3.11
    
	
Closing
    	
 
    	
Section 2.02(a)
    
	
Company
    	
 
    	
Preamble
    
	
Company IP
    	
 
    	
Section 3.16(a)
    
	
Disclosure Schedule
    	
 
    	
Article 3
    
	
Dispute
    	
 
    	
Section 11.05(a)
    
	
Financial Statements
    	
 
    	
Section 3.11
    
	
Financing Terms
    	
 
    	
Section 7.01
    
	
HKIAC
    	
 
    	
Section 11.05(b)
    
	
HKIAC Rules
    	
 
    	
Section 11.05(b)
    
	
Indemnified Party
    	
 
    	
Section 10.03
    
	
Indemnifying Party
    	
 
    	
Section 10.03
    
	
Investor
    	
 
    	
Preamble
    
	
Material Contracts
    	
 
    	
Section 3.14(a)
    
	
Parties
    	
 
    	
Preamble
    
	
Purchase Price
    	
 
    	
Section 2.01
    
	
Shares
    	
 
    	
Section 2.01
    
	
Statement Date
    	
 
    	
Section 3.11
    

 

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ARTICLE 2

PURCHASE AND SALE OF SHARES

 

Section 2.01.                Subscription and Issuance of Shares. Subject to the terms and conditions of this Agreement, at the Closing (as defined below), each Investor, severally and not jointly, agrees to subscribe for and purchase, and the Company agrees to issue and sell to such Investor, that number of Series D Preferred Shares set forth opposite such Investor’s name on Schedule I attached hereto (the “Shares”), with each Investor to pay as consideration for such Shares the aggregate purchase price set forth opposite such Investor’s name on Schedule I attached hereto (the “Purchase Price”). The capitalization table of the Company immediately before and after the Closing is attached as Schedule VII hereto.

 

Section 2.02.                Closing.

 

(a)                   Closing. The consummation of the subscription and issuance of the Shares with respect to each Investor pursuant to Section 2.01 (the “Closing”) shall take place remotely via the exchange of documents and signatures as soon as practicable, but in no event later than five Business Days after all closing conditions specified in Article 5 and Article 6 hereof have been waived or satisfied (other than those conditions to be satisfied at the Closing, but subject to the satisfaction or waiver thereof at the Closing), or at such other time and place as the Company and the Investors shall mutually agree in writing.

 

(b)                   Deliveries by the Company at Closing. At the Closing, the Company shall deliver to each Investor (i) the updated register of members of the Company, certified by the registered agent of the Company as a true copy, reflecting the issuance to such Investor of the Shares being purchased by such Investor at the Closing, and (ii) copies of the certificate or certificates issued in the name of such Investor representing the Shares being purchased by such Investor at the Closing, with the duly executed original copies of which delivered to such Investor within ten (10) Business Days after the Closing.

 

(c)                    Deliveries by the Investors at Closing. At the Closing, each Investor shall pay its respective Purchase Price by wire transfer of immediately available funds in U.S. dollars to an account designated by the Company, provided that transfer instructions shall be delivered to each Investor at least five (5) Business Days prior to the Closing.

 

ARTICLE 3

REPRESENTATIONS AND WARRANTIES OF THE WARRANTORS

 

Subject to such exceptions as may be fairly and specifically set forth in the disclosure schedule delivered by the Warrantors to the Investors as of the date hereof (the “Disclosure Schedule”) as set forth in Schedule VI hereto (it being understood that an item disclosed in one section of the Disclosure Schedule shall be deemed to be disclosed with respect to any other section of the Disclosure Schedule where the reference of such item would be apparent), each of the Warrantors jointly and severally represents and warrants to the Investors, as of the date hereof and as of the Closing, that:

 

Section 3.01.                Organization, Good Standing and Qualification. Each Group Company is duly organized, validly existing and in good standing (or equivalent status in the relevant jurisdiction) under the Laws of the place of its incorporation or establishment and has all requisite power and authority to own its properties and assets and to carry on its business as now conducted and as proposed to be conducted, and to perform its obligations under each Transaction Document to which it is a party. Each Group Company is qualified to do business in each jurisdiction (or equivalent status in the relevant jurisdiction) in which it is currently transacting business, except where failure to be so qualified would not have a Material Adverse Effect.

 

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Section 3.02.                Capitalization.

 

(a)                                 Capitalization. (i) The authorized share capital of the Company is and immediately prior to the Closing shall be US$500,000 divided into (A) a total of 4,274,029,001 authorized Ordinary Shares, 176,843,000 of which shall be issued and outstanding, (B) a total of 65,307,000 authorized Series A-1 Preferred Shares, all of which shall be issued and outstanding, (C) a total of 101,261,000 authorized Series A-2 Preferred Shares, all of which shall be issued and outstanding, (D) a total of 250,302,000 authorized Series B-1 Preferred Shares, all of which shall be issued and outstanding, (E) a total of 14,593,000 authorized Series B-2 Preferred Shares, all of which shall be issued and outstanding, (F) a total of 56,105,000 authorized Series B-3 Preferred Shares, all of which shall be issued and outstanding, (G) a total of 20,982,000 authorized Series B-4 Preferred Shares, all of which shall be issued and outstanding, (H) a total of 164,876,000 authorized Series C-1 Preferred Shares, all of which shall be issued and outstanding, (I) a total of 12,545,000 authorized Series C-2 Preferred Shares, all of which shall be issued and outstanding, and (J) a total of 39,999,999 authorized Series D Preferred Shares, none of which shall be issued and outstanding. (ii) The authorized share capital of the Company immediately after the Closing shall be US$500,000 divided into (A) a total of 4,274,029,001 authorized Ordinary Shares, 176,843,000 of which shall be issued and outstanding, (B) a total of 65,307,000 authorized Series A-1 Preferred Shares, all of which shall be issued and outstanding, (C) a total of 101,261,000 authorized Series A-2 Preferred Shares, all of which shall be issued and outstanding, (D) a total of 250,302,000 authorized Series B-1 Preferred Shares, all of which shall be issued and outstanding, (E) a total of 14,593,000 authorized Series B-2 Preferred Shares, all of which shall be issued and outstanding, (F) a total of 56,105,000 authorized Series B-3 Preferred Shares, all of which shall be issued and outstanding, (G) a total of 20,982,000 authorized Series B-4 Preferred Shares, all of which shall be issued and outstanding, (H) a total of 164,876,000 authorized Series C-1 Preferred Shares, all of which shall be issued and outstanding, (I) a total of 12,545,000 authorized Series C-2 Preferred Shares, all of which shall be issued and outstanding, and (J) a total of 39,999,999 authorized Series D Preferred Shares, all of which shall be issued and outstanding.

 

(b)                           No Other Securities. Except as contemplated under the Transaction Documents or as in connection with the Restructuring, or as set forth in Section 3.02(b) of the Disclosure Schedule, (i) there are no other authorized or outstanding Equity Securities of any Group Company; (ii) no Equity Securities of any Group Company are subject to any preemptive rights, rights of first refusal (except to the extent provided by applicable Laws) or other rights to purchase such Equity Securities or any other rights with respect to such Equity Securities, and (iii) no Group Company is a party or subject to any Contract that affects or relates to the voting or giving of written consents with respect to, or the right to cause the redemption, or repurchase of, any Equity Security of such Group Company.

 

(c)                            Issuance and Status. Except as set forth in Section 3.02(c) of the Disclosure Schedule, all outstanding share capital or registered capital, as the case may be, of each Group Company have been duly and validly issued, are fully paid and nonassessable, and are free of any and all Liens (except for any restrictions on transfer under the Transaction Documents and applicable Laws). Except as contemplated under the Transaction Documents or as in connection with the Restructuring, or as set forth in Section 3.02(c) of the Disclosure Schedule, there are no (i) resolutions pending to increase the share capital or registered capital of any Group Company or cause the liquidation, winding up, or dissolution of any Group Company, nor has any distress, execution or other process been levied against any Group Company, (ii) dividends which have accrued or been declared but are unpaid by any Group Company, (iii) obligations, contingent or otherwise, of any Group Company to repurchase, redeem, or otherwise acquire any Equity Securities, or (iv) outstanding or authorized equity appreciation, phantom equity, equity plans or similar rights with respect to any Group Company.

 

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Section 3.03.                Corporate Structure; Subsidiaries. Section 3.03 of the Disclosure Schedule sets forth a structure chart showing the Group Companies, and indicating the ownership and Control relationships among the Group Companies upon the completion of the Restructuring, the nature of the legal entity which each Group Company constitutes and the jurisdiction in which each Group Company was organized. Except as set forth in Section 3.03 of the Disclosure Schedule, no Group Company owns or Controls, directly or indirectly, any Equity Security, interest or share in any other Person outside of the Group or is or was a participant in any joint venture, partnership or similar arrangement outside of the Group. No Group Company is obligated to make any investment in or capital contribution in or on behalf of any other Person.

 

Section 3.04.                Authorization. Each Warrantor has all requisite power and authority to execute and deliver the Transaction Documents to which it is a party and to carry out and perform its obligations thereunder. All actions on the part of each party to the Transaction Documents (other than the Investors) necessary for the authorization, execution and delivery of the Transaction Documents, the performance of all obligations of each such party, and, in the case of the Company, the authorization, issuance (or reservation for issuance), sale and delivery of the Shares, have been taken or will be taken prior to the Closing. Each Transaction Document has been duly executed and delivered by each party thereto (other than the Investors) and constitutes valid and legally binding obligations of such party, enforceable against such party in accordance with its terms, except (i) as limited by applicable bankruptcy, insolvency, reorganization, moratorium, and other Laws of general application affecting enforcement of creditors’ rights generally, and (ii) as limited by Laws relating to the availability of specific performance, injunctive relief, or other equitable remedies.

 

Section 3.05.                Valid Issuance of Shares. The Shares, when issued, delivered and paid for in accordance with the terms of this Agreement for the consideration expressed herein, will be duly and validly issued, fully paid and non-assessable, free from any Liens (except for any restrictions on transfer under applicable Laws and under the Transaction Documents). The issuance of the Shares is not subject to any preemptive rights, rights of first refusal or similar rights, other than those that have been duly waived in full or contemplated under the Transaction Documents.

 

Section 3.06.                Consents; No Conflicts. All Consents from or with any Governmental Authority or any other Person required in connection with the execution, delivery and performance of the Transaction Documents, and the consummation of the transactions contemplated by the Transaction Documents, in each case on the part of any party thereto (other than the Investors) have been duly obtained or completed (as applicable) and are in full force and effect. The execution, delivery and performance of each Transaction Document by each party thereto (other than the Investors) do not, and the consummation by each such party of the transactions contemplated thereby will not, with or without notice or lapse of time or both, (i) result in any violation of, be in conflict with, or constitute a default under any provision of any Charter Document of any Group Company, (ii) result in any violation of, be in conflict with, or constitute a default under, require any consent under any Governmental Order or any applicable Laws, (iii) result in any violation of, be in conflict with, or constitute a default in any material respect under, require any consent under, or give rise to any material right of termination, amendment, modification, acceleration or cancellation under, or give rise to any augmentation or acceleration of any material Liability of any Group Company under, any Material Contract, or (iv) result in the creation of any Lien upon any of the material properties or assets of any Group Company other than Permitted Liens.

 

10

 

Section 3.07.                Restructuring. All Consents from or with any Governmental Authority or with any other person in connection with the Restructuring have been obtained and all notifications or filings that may be required under the applicable Laws in connection with the Restructuring have been duly completed in accordance with the applicable Laws.

 

Section 3.08.                Offering. Subject to the accuracy of the Investors’ representations set forth in Article 4 of this Agreement, the offer, issuance and sale of the Shares are exempt from the qualification, registration and prospectus delivery requirements of the Securities Act and any other applicable securities Laws.

 

Section 3.09.                Compliance with Laws; Consents.

 

(a)                   Except as set forth in Section 3.09(a) of the Disclosure Schedule (provided that such exception has not had, and would not have any Material Adverse Effect), each Group Company is, and during the three years preceding the Closing Date has been, in compliance with all applicable Laws. None of the Group Companies has received any notice, letter, or oral communication from any Governmental Authority regarding any violation, or failure on the part of such entity to comply with, any applicable Laws in all material respects, or required any Group Company to undertake, or to bear material cost of, any remedial action of any nature.

 

(b)                   Except as set forth in Section 3.09(b) of the Disclosure Schedule (provided that such exception has not had, and would not have any Material Adverse Effect), all Consents from or with the relevant Governmental Authorities required in respect of the due and proper establishment and operations of each Group Company as now conducted have been duly obtained or completed in accordance with all applicable Laws in all material respects.

 

(c)                    No Group Company nor any director, agent, employee or any other person acting for or on behalf of any member of the Group Companies has at any time taken any action, directly or indirectly, in violation of the U.S. Foreign Corrupt Practices Act of 1977, as amended, or other applicable anti-bribery or anti-corruption laws (the “Anti-Bribery Laws”), and each Group Company conducts and has at all times conducted its business in compliance with Anti-Bribery Laws.

 

(d)                   Each Group Company complies and has at all times complied with all applicable economic and financial sanctions Laws and regulations of the United States of America, the United Kingdom, the European Union (or any Member State thereof), the United Nations and each other jurisdiction in which it operates or to which it is subject, including, without limitation those administered or enforced by the United States Department of Treasury’s Office of Foreign Assets Control or the United States Department of States.

 

(e)                    The Group Companies have no pending or potential liabilities arising from non-compliance of employment, social security and housing provident fund related legal requirements in excess of US$10,000 in total.

 

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Section 3.10.                Tax Matters.

 

(a)                   Except as set forth in Section 3.10(a) of the Disclosure Schedule, each Group Company has timely filed all Tax Returns that are required to have been filed by it with any Governmental Authority, except to the extent that any failure to do so would not have a Material Adverse Effect, and all such Tax Returns are accurate and complete in all material respects.

 

(b)                   Except as set forth in Section 3.10(b) of the Disclosure Schedule, each Group Company has timely paid all Taxes owed by it which are due and payable (whether or not shown on any Tax Return) and timely withheld and remitted to the appropriate Governmental Authority all Taxes which it is obligated to withhold and remit from amounts owing to any employee, creditor, customer or third party, except, in each case, to the extent that any failure to do so would not have a Material Adverse Effect.

 

Section 3.11.                Financial Statements. The unaudited consolidated balance sheet and statements of operations and cash flows for the Group Companies as of and for the year ended December 31, 2018 and the unaudited consolidated balance sheet (the “Balance Sheet”) and statements of operations and cash flows for the Group Companies as of and for the three months ended March 31, 2019 (the “Statement Date”) (collectively, the financial statements referred to above, the “Financial Statements”) shall be delivered to the Investors at request. The Financial Statements (i) have been prepared in accordance with the Accounting Standards applied on a consistent basis throughout the period involved, (ii) are based the books and records of the Group Companies, and (iii) fairly present in all material respects the financial condition and position of the Group Companies as of the dates indicated therein and the results of operations and cash flows of the Group Companies for the periods indicated therein, except in the case of unaudited financial statements for the omission of notes thereto and subject to normal year-end audit adjustments that are not expected to be material.

 

Section 3.12.                Liabilities. No Group Company has any material Liabilities of the type required to be disclosed on a balance sheet except for (i) Liabilities set forth in the Balance Sheet that have not been satisfied since the Statement Date, (ii) Liabilities incurred since the Statement Date in the ordinary course of the Group’s business consistent with its past practices. None of the Group Companies is a guarantor of any material Liabilities of any other Person (other than a Group Company).

 

Section 3.13.                          Actions. Except as set forth in Section 3.13 of the Disclosure Schedule, (i) there is no Action pending or, to the Knowledge of the Warrantors, threatened against or affecting any Group Company with respect to its businesses or proposed business activities, (ii) there is no judgment or award unsatisfied against any Group Company, nor is there any Governmental Order in effect and binding on any Group Company or their respective assets or properties, and (iii) there is no Action pending by any Group Company against any third party nor does any Group Company intend to commence any such Action, except, in each of (i), (ii) and (iii) above, as would not have a Material Adverse Effect.

 

Section 3.14.                Material Contracts.

 

(a)                   Section 3.14(a) of the Disclosure Schedule contains a complete and accurate list of all Material Contracts as of the date hereof. “Material Contracts” means, collectively, each Contract to which a Group Company or any of its properties or assets is bound or subject to (but excluding (i) any Contracts that have been fully performed by all parties thereto, with no continuing obligations whatsoever by any party thereto, and (ii) any Contracts that are in connection with the Restructuring) that:

 

12

 

(i)                           involves obligations (contingent or otherwise) or payments in excess of US$200,000 per annum,

 

(ii)                          involves Intellectual Property that is material to a Group Company (other than generally-available “off-the-shelf” shrink-wrap software licenses obtained by the Group on non-exclusive and non-negotiated terms), including without limitation, the Licenses,

 

(iii)                           restricts the ability of a Group Company to compete or to conduct or engage in any business or activity in any territory,

 

(iv)                          is with a Related Party,

 

(v)                         involves Indebtedness, an extension of credit, a guaranty, surety or assumption of any obligation or any secondary or contingent Liabilities, deed of trust, or the grant of a Lien, in each case in excess of US$200,000 ,

 

(vi)                          involves the lease, license, sale, use, disposition or acquisition of a material amount of assets or of a business,

 

(vii)                           involves the establishment, contribution to, or operation of a partnership, joint venture, alliance or similar entity,

 

(viii)                           is with any Government Authority (other than any Contract entered into in the ordinary course of business),

 

(ix)                          is the physical basis of the operation of the Group Companies legally, including but not limited to the lease agreement of the registered address and business address of each of the Group Companies; and

 

(x)                         is otherwise material to the Group Companies taken as a whole.

 

(b)                   Each Material Contract is a valid and binding agreement of the Group Company that is a party thereto, the performance of which does not and will not violate any applicable Law or Governmental Order, and is in full force and effect and enforceable against such Group Company and any other party thereto, except (A) as may be limited by applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement of creditors’ rights generally, and (B) as may be limited by laws relating to the availability of specific performance, injunctive relief or other remedies in the nature of equitable remedies. Each Group Company has duly performed all of its obligations under each Material Contract, and no breach or default, alleged breach or alleged default, or event which would (with the passage of time, notice or both) constitute a breach or default thereunder by such Group Company or, to the Warrantors’ Knowledge, by any other party thereto, has occurred. No Group Company has given notice (whether or not written) that it intends to terminate a Material Contract or that any other party thereto has breached, violated or defaulted under any Material Contract. No Group Company has received any notice (whether written or not) that it has breached, violated or defaulted under any Material Contract or that any other party thereto intends to terminate such Material Contract.

 

13

 

Section 3.15.                Title; Properties. Except as set forth in Section 3.15 of the Disclosure Schedule, each Group Company has good and valid title to, or in the case of leased property and assets have valid leasehold interests in, all of its respective material assets, whether real, personal, tangible or intangible (including those reflected in the Balance Sheet, together with all assets acquired thereby since the Statement Date, but excluding those that have been disposed of since the Statement Date in the ordinary course of business consistent with its past practice), in each case free and clear of all Liens, other than Permitted Liens. No Group Company has joint ownership, together with any other person which is not a Group Company, in respect of any material property or assets which are used in connection with the business of such Group Company.

 

Section 3.16.                Intellectual Property Rights.

 

(a)                   Company IP. Each Group Company owns or otherwise has sufficient rights to all Intellectual Property necessary and sufficient to conduct its business as currently conducted by such Group Company (the “Company IP”) without any conflict with or infringement of the rights of any other Person, except as would not have a Material Adverse Effect.

 

(b)                   IP Ownership. Except as disclosed in Section 3.16(b) of the Disclosure Schedule, all Company Registered IP is owned by and registered or applied for solely in the name of a Group Company, is valid and subsisting and has not been abandoned, and all necessary registration, maintenance and renewal fees with respect thereto and currently due have been satisfied. No Company Owned IP is subject to any proceeding or outstanding Governmental Order or settlement agreement or stipulation that (i) restricts in any manner the use, transfer or licensing thereof, or the making, using, sale, or offering for sale of any Group Company’s products or services, by any Group Company or (ii) may affect the validity, use or enforceability of such Company Owned IP, except, in each case of (i) and (ii) above, as would not have a Material Adverse Effect.

 

(c)                    Infringement, Misappropriation and Claims. No Group Company has violated, infringed or misappropriated in any material respect any Intellectual Property of any other Person, nor has any Group Company received any written notice alleging any of the foregoing, except to the extent that any such infringement or violation would not have a Material Adverse Effect. To the Knowledge of the Warrantors, no Person has violated, infringed or misappropriated any material Company IP of any Group Company, and no Group Company has given any written notice to any other Person alleging any of the foregoing.

 

(d)                   Protection of IP. Each Group Company has taken reasonable and appropriate steps to protect, maintain and safeguard material Company IP and made the applicable filings, registrations and payments of fees in all material respects in connection with the foregoing.

 

Section 3.17.                Labor and Employment Matters. Except as set forth in Section 3.17 of the Disclosure Schedule, each Group Company has complied with all applicable Laws related to labor or employment, including provisions thereof relating to wages, hours, working conditions, benefits, retirement, social welfare, equal opportunity and collective bargaining, except as would not have a Material Adverse Effect. There is not pending or, to the Knowledge of the Warrantors, threatened, any Action relating to the violation or alleged violation of any applicable Laws by any Group Company related to labor or employment, including any charge or complaint filed by an employee with any Governmental Authority or any Group Company.

 

14

 

Section 3.18.                No Brokers. Neither any Group Company, any Warrantor nor any of their respective Affiliates has any Contract with any broker, finder or similar agent with respect to the transactions contemplated by this Agreement or by any other Transaction Documents, and none of them has incurred any Liability for any brokerage fees, agents’ fees, commissions or finders’ fees in connection with any of the Transaction Documents or the consummation of the transactions contemplated therein.

 

Section 3.19.                Co-Founder Noncompetition. Except as set forth in Section 3.19 of the Disclosure Schedule, none of the Co-Founder and his Affiliates has, directly or indirectly, (i) engaged in or assisted others in engaging in any business that directly or indirectly compete with the business of the Company (“Restricted Business”) as of the Closing; (ii) had an interest in any Person that engages directly or indirectly in the Restricted Business in any capacity, including as a partner, shareholder, member, employee, director, principal, agent, trustee or consultant; or (iii) intentionally interfered in any material respect with the business relationships (whether formed prior to or after the date of this Agreement) between any Group Company and business partners of such Group Company. Notwithstanding the foregoing, the Co-Founder may own, directly or indirectly, solely as an investment, securities of any Person traded on any national securities exchange if such Co-Founder is not a controlling Person of, or a member of a group which controls, such Person and does not, directly or indirectly, own 1% or more of any class of securities of such Person.

 

Section 3.20.                Full Disclosure. No representation or warranty by the Warrantors in this Agreement and no statement contained in the Disclosure Schedules to this Agreement or any certificate or other document furnished or to be furnished to the Investors pursuant to the Transaction Documents contains any untrue statement of a material fact, or omits to state a material fact necessary to make the statements contained therein, in light of the circumstances in which they are made, not misleading.

 

Section 3.21.                No Changes. Since the Statement Date, except as set forth in Section 3.21 of the Disclosure Schedule, no Group Company has conducted:

 

(a)         any purchase, acquisition, sale, lease, disposal of or other transfer of any assets that are individually or in the aggregate material to its business, whether tangible or intangible, other than the purchase or sale of inventory in the ordinary course of business consistent with its past practice;

 

(b)         any waiver, termination, cancellation, settlement or compromise of a material and valuable right, debt or claim;

 

(c)          any incurrence, creation, assumption, repayment, satisfaction, or discharge of (a) any material Lien (other than Permitted Liens) or (b) any Indebtedness or guarantee, or the making of any loan or advance (other than that are incurred in the ordinary course of business consistent with its past practice);

 

(d)         any amendment to or waiver under any Charter Document;

 

(e)          any declaration, setting aside or payment or other distribution in respect of any share of any Group Company;

 

(f)           any material change in accounting methods or practices or any revaluation of any of its assets;

 

15

 

(g)          any agreement or commitment to do any of the things described in this Section 3.21.

 

ARTICLE 4

REPRESENTATIONS AND WARRANTIES OF THE INVESTORS

 

Each Investor hereby represents and warrants to the Company, severally and not jointly and with respect to itself only, as of the date hereof and as of the Closing, that:

 

Section 4.01.                Organization and Good Standing. Such Investor is duly organized, validly existing and in good standing under the Laws of the place of its incorporation or establishment.

 

Section 4.02.                Authorization. Such Investor has all requisite power and authority to execute and deliver the Transaction Documents to which it is a party and to carry out and perform its obligations thereunder. All actions on the part of such Investor (and, as applicable, its officers, directors and shareholders) necessary for the authorization, execution and delivery of the Transaction Documents to which it is a party, and the performance of all obligations of such Investor thereunder, have been taken or will be taken prior to the Closing. Each Transaction Document has been duly executed and delivered by such Investor (to the extent such Investor is a party), constitutes valid and legally binding obligations of such Investor, enforceable against such Investor in accordance with its terms, except (i) as limited by applicable bankruptcy, insolvency, reorganization, moratorium, and other Laws of general application affecting enforcement of creditors’ rights generally, and (ii) as limited by Laws relating to the availability of specific performance, injunctive relief, or other equitable remedies.

 

Section 4.03.                Consents; No Conflicts. All Consents from or with any Governmental Authority or any other Person required in connection with the execution, delivery and performance of the Transaction Documents, and the consummation of the transactions contemplated by the Transaction Documents, in each case on the part of such Investor, have been duly obtained or completed (as applicable) and are in full force and effect. The execution, delivery and performance of each Transaction Document by such Investor do not, and the consummation by such Investors of the transactions contemplated thereby will not, with or without notice or lapse of time or both, (i) result in any violation of, be in conflict with, or constitute a default under any provision of any Charter Document of such Investor, (ii) result in any violation of, be in conflict with, or constitute a default under, in any material respect, any Governmental Order or any applicable Laws, (iii) result in any violation of, be in conflict with, or constitute a default in any material respect under, or give rise to any material right of termination, amendment, modification, acceleration or cancellation under, or give rise to any augmentation or acceleration of any material Liability of such Investor, or (iv) result in the creation of any Lien upon any of the material properties or assets of such Investor.

 

Section 4.04.                Financing. Each Investor has, or will have prior to the Closing, sufficient cash, available lines of credit or other sources of immediately available funds to enable it to make payment of the Purchase Price and any other amounts to be paid by it hereunder.

 

Section 4.05.                Purchase for Own Account. The Shares will be acquired for such Investor’s own account, not as a nominee or agent, and not with a view to or in connection with the sale or distribution of any part thereof.

 

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Section 4.06.                Restricted Securities. Such Investor understands that (i) the Shares are restricted securities within the meaning of Rule 144 under the Securities Act and (ii) the Shares are not registered or listed publicly and must be held indefinitely unless they are subsequently registered or listed publicly or an exemption from such registration or listing is available.

 

Section 4.07.                No Brokers. Neither such Investor nor any of its Affiliates has any Contract with any broker, finder or similar agent with respect to the transactions contemplated by this Agreement or by any other Transaction Documents, and none of them has incurred any Liability for any brokerage fees, agents’ fees, commissions or finders’ fees in connection with any of the Transaction Documents or the consummation of the transactions contemplated therein.

 

ARTICLE 5

CONDITIONS OF THE INVESTORS’ OBLIGATIONS TO CONSUMMATE THE CLOSING

 

The obligations of each Investor to consummate the Closing under Article 2 of this Agreement are subject to the fulfillment, on or prior to the Closing, or waiver by such Investor, of the following conditions:

 

Section 5.01.                Representations and Warranties. Each of the representations and warranties of the Warrantors contained in Article 3 that are qualified by materiality or Material Adverse Effect shall be true and correct in all respects, and each of the representations and warranties of the Warrantors contained in Article 3 that are not qualified by materiality or Material Adverse Effect shall be true and correct in all material respects, in each case, when made and on and as of the Closing with the same effect as though such representations and warranties had been made on and as of the date of such Closing, except in either case for those representations and warranties that address matters only as of a particular date, which representations shall have been true and correct as of such particular date.

 

Section 5.02.                Performance. Each Warrantor shall have performed and complied with, in all material respects, all of its obligations and conditions contained in the Transaction Documents that are required to be performed or complied with by them on or before the Closing.

 

Section 5.03.                Authorizations. No provision of any applicable Laws shall prohibit the consummation of the Closing. The Warrantors shall have obtained all authorizations, approvals, waivers or permits of any Governmental Authority necessary for the consummation of all of the transactions contemplated by this Agreement and other Transaction Documents.

 

Section 5.04.                Proceedings and Documents. All corporate and other proceedings in connection with the transactions to be completed at the Closing and all documents incident thereto shall have been completed, and each Investor shall have received all such counterpart original or other copies of such documents as it may reasonably request.

 

Section 5.05.                Register of Members. The Company shall have delivered to the Investors a true copy of the Company’s updated register of members reflecting the Investor’s ownership of the shares as of the Closing.

 

Section 5.06.                Memorandum and Articles. The Memorandum and Articles shall have been duly adopted, and reasonable evidence thereof shall have been delivered to the Investors.

 

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Section 5.07.                Transaction Documents. Each of the parties to the Transaction Documents, other than the Investors, shall have executed and delivered such Transaction Documents to the Investors.

 

Section 5.08.                Restructuring. The Restructuring shall have been completed.

 

Section 5.09.                Employment Agreement, Non-Competition, Non-Solicitation, IP Assignment and Confidentiality Agreement. Each Key Employee shall have entered into an employment agreement and a non-competition, non-solicitation, IP assignment and confidentiality agreement or an agreement containing non-competition, non-solicitation, IP assignment and confidentiality provisions with the applicable Group Company, in form and substance reasonably satisfactory to the Investors.

 

Section 5.10.                No Material Adverse Effect. Since the date hereof and up until and including the Closing, there shall have been no Material Adverse Effect.

 

Section 5.11.                Closing Certificate. Each Investor shall have received a certificate executed and delivered by the chief financial officer of the Company to certify that the conditions specified in Section 5.01 and Section 5.02 of this Agreement have been fulfilled as of the Closing Date, substantially in the form and substance as attached hereto in Exhibit C.

 

ARTICLE 6

CONDITIONS OF THE COMPANY’S OBLIGATIONS TO CONSUMMATE THE CLOSING

 

The obligations of the Company to consummate the Closing under Article 2 of this Agreement, unless otherwise waived in writing by the Company, are subject to the fulfillment on or before the Closing of each of the following conditions:

 

Section 6.01.                Representations and Warranties. The representations and warranties of each Investor contained in Article 4 that are qualified by materiality shall be true and correct in all respects, and the representations and warranties of the Investors contained in Article 4 that are not qualified by materiality shall be true and correct in all material respects, in each case when made and on and as of the Closing with the same effect as though such representations and warranties had been made on and as of the date of the Closing, except in either case for those representations and warranties that address matters only as of a particular date, which representations shall have been true and correct as of such particular date.

 

Section 6.02.                Performance. Each Investor shall have performed and complied with, in all material respects, all obligations and conditions contained in this Agreement that are required to be performed or complied with by each Investor on or before the Closing.

 

Section 6.03.                Transaction Documents. Each of the Investors shall have executed and delivered to the Company each Transaction Document to which such Investor is a party.

 

ARTICLE 7

CONFIDENTIALITY AND NON-DISCLOSURE

 

Section 7.01.                Confidentiality. The terms and conditions of the Transaction Documents (collectively, the “Financing Terms”), including their existence, shall be considered confidential information and shall not be disclosed by any of the Parties to any other Person, except that (i) each Party, as appropriate, may disclose any of the Financing Terms to its current or bona fide prospective investors, employees, investment bankers, lenders, accountants and attorneys, in each case only where such Persons are under appropriate nondisclosure obligations; (ii) each Investor may disclose any of the Financing Terms to its fund manager, as applicable, and the employees thereof so long as such Persons are under appropriate nondisclosure obligations; and (iii) if any Party is requested or becomes legally compelled (including without limitation, pursuant to securities Laws) to disclose the existence or content of any of the Financing Terms in contravention of the provisions of this Section, such Party shall promptly provide the other Parties with written notice of that fact so that such other Parties may seek a protective order, confidential treatment or other appropriate remedy and in any event shall furnish only that portion of the information that is legally required and shall exercise reasonable efforts to obtain reliable assurance that confidential treatment will be accorded such information.

 

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ARTICLE 8

EXECUTORY PERIOD COVENANTS

 

Section 8.01.                Restructuring. The Company shall cause each of the Group Companies to use its commercially reasonable efforts to complete the Restructuring in accordance with the terms and conditions set forth in Schedule IV on or prior to the Closing.

 

Section 8.02.                Conduct of the Company. Between the date hereof and the Closing, except as in connection with the Restructuring or as the Majority Investors otherwise agree in writing, the Warrantors shall cause each of the Group Companies to conduct its businesses in the ordinary course consistent with past practice and to use its reasonable best efforts to preserve intact its business organizations and relationships with third parties. Without limiting the generality of the foregoing, from the date hereof until the Closing, except as in connection with the Restructuring or as the Majority Investors otherwise agree in writing, the Warrantors shall not permit any of the Group Companies to (i) take any action that would make any representation and warranty of the Company inaccurate at the Closing, (ii) merge or consolidate with any other Person or acquire a material amount of assets from any other Person, (iii) sell, purchase, assign, lease, transfer, pledge, encumber or otherwise dispose of any material asset except pursuant to existing Contracts or commitments or otherwise in the ordinary course consistent with past practice, or (iv) authorize, approve or agree to any of the foregoing.

 

Section 8.03.                Notice of Certain Events. If at any time before the Closing, any Warrantor comes to know of any material fact or event which is in any material way inconsistent with any of the representations and warranties made by the Warrantors in this Agreement, then the Warrantors shall promptly notify each of the Investors of such fact or event.

 

Section 8.04.                Access. Between the date hereof and the Closing, the Warrantors shall permit the Investors, or any representative thereof, to (a) visit and inspect the properties of the Group Companies, (b) inspect the contracts, books of account, records, ledgers, and other documents and data of the Group Companies, (c) discuss the business, affairs and finances of the Group Companies with officers and employees of the Group Companies, during regular working hours with reasonable prior notice to the Group Companies and in such a manner so as not to unreasonably interfere with their normal operations.

 

Section 8.05.                Most Favorable Rights. Each of the Warrantors warrants, acknowledges and undertakes to Lotus that, it has not agreed, and it will not agree, without the prior written consent of Lotus, to grant any terms in respect of the subscription of the Series D Preferred Shares or rights in the Company to any shareholders (other than the Lotus) representing less than 3% of the total share capital of the Company following the Closing that are more favorable to such shareholder than the terms applicable to Lotus.

 

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Section 8.06.                Compliance with Laws. As soon as reasonably practicable after the Closing, the Warrantors shall use their reasonable best efforts to cause the Group Companies to obtain, and maintain in good standing all licenses, permits, consents and authorizations required to be obtained by such Group Company under all applicable Laws necessary for the operation of their respective businesses, including without limitation, Network Cultural Business Permit (网络文化经营许可证), the Permit for Internet News and Information Services (互联网新闻信息服务许可证), Online Publishing Service License (网络出版服务许可证), and Permit for Internet Audio-Video Program Service (信息网络传播视听节目许可证).

 

Section 8.07.                Filing of Memorandum and Articles. Within fifteen (15) Business Days following the Closing, the Memorandum and Articles shall have been duly filed with the Registrar of Companies of the Cayman Islands.

 

Section 8.08.                Transfer of Trademarks. As soon as reasonably practicable after the Closing, the trademarks listed in Schedule VIII shall be transferred to the applicable Group Company.

 

ARTICLE 9

TERMINATION

 

Section 9.01.                Termination. This Agreement may be terminated prior to the Closing (i) by mutual written consent of the Parties, (ii) by either the Company, on the one hand, or any Investor, on the other hand, by written notice to the other, if the Closing has not been consummated by October 23, 2019, or (iii) by either the Company, on the one hand, or any Investor, on the other hand, by written notice to the other, if there has been a material misrepresentation or material breach of a covenant or agreement contained in this Agreement on the part of such Investor or the Warrantors, respectively, and such breach, if curable, has not been cured within thirty days of such notice, or (iv) by either the Company, on the one hand, or any Investor, on the other hand, by written notice to the other, if, due to change of applicable Laws, the consummation of the transactions contemplated hereunder would become prohibited under applicable Laws; provided that upon any Investor’s exercise of its termination rights in accordance with this Section 9.01, this Agreement shall stay valid and be binding upon on the Parties other than such Investor unless and until all the Investors or all the Parties (as applicable) exercise their termination rights under this Section 9.01. If this Agreement is so terminated as provided, this Agreement will be of no further force or effect except that the termination will not relieve any Party from any liability for any breach of this Agreement arising prior to the date of termination.

 

ARTICLE 10

INDEMNIFICATION

 

Section 10.01. Survival. The representations and warranties of the Warrantors and the Investors and their respective Affiliates contained in the Transaction Documents shall survive the Closing until the first anniversary of the Closing Date. The covenants and agreements of the Warrantors and the Investors and their respective Affiliates contained in the Transaction Documents shall survive the Closing until fully performed or discharged.

 

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Section 10.02. Indemnification by Warrantors. From and after the Closing, each of the Warrantors, jointly and severally, shall indemnify and hold harmless each Investor and its Affiliates and its and its Affiliates’ respective Representatives, together with their successors and permitted assigns, from and against any and all Indemnifiable Loss actually suffered by such Persons resulting from, arising out of or relating to: (i) any breach of any representation, or warranty of the Warrantors contained in this Agreement, (ii) the nonperformance, partial or total, of any agreement or covenant of the Warrantors contained in this Agreement; and (iii) the lack of requisite permits and licenses as set forth in Section 8.06.

 

Section 10.03. Notice of Claims. Any party seeking indemnification under this Article 10 (an “Indemnified Party”) shall, notify the party from whom indemnification is being sought (an “Indemnifying Party”) in writing within ten (10) days after the receipt of notice of the commencement of any Action against such Indemnified Party in respect of which indemnity may be sought from the Indemnifying Party under this Article 10. The omission of any Indemnified Party to so notify the Indemnifying Party of any such Action shall not relieve the Indemnifying Party from any liability which it may have to such Indemnified Party under this Article 10 or otherwise. In case any such Action shall be brought against any Indemnified Party, the Indemnifying Party shall be entitled to assume the defense thereof at its own expense, with counsel satisfactory to such Indemnified Party in its reasonable judgment; provided, however, that any Indemnified Party may, at its own expense, retain separate counsel to participate in such defense. Notwithstanding the foregoing, in any Action in which both the Indemnifying Party, on the one hand, and an Indemnified Party, on the other hand, are, or are reasonably likely to become, a party, such Indemnified Party shall have the right to employ separate counsel at the Indemnifying Party’s expense and to control its own defense of such Action if, in the reasonable opinion of counsel to such Indemnified Party, a conflict or potential conflict exists between the Indemnifying Party, on the one hand, and such Indemnified Party, on the other hand, that would make such separate representation advisable; provided, however, that the Indemnifying Party shall not be liable for the fees and expenses of more than one counsel to all Indemnified Parties.

 

Section 10.04. Limitation of Liability.

 

(a)                   Notwithstanding anything to the contrary contained in this Agreement, the maximum aggregate liability of the Warrantors to each Investor, as the case may be, in respect of all Indemnifiable Losses under this Agreement shall not exceed an amount equal to 100% of such Investor’s Purchase Price. None of the Parties shall have any liability for speculative, punitive, unforeseeable or consequential damages or lost profits resulting from any legal action or claim arising out of or relating to this Agreement.

 

(b)                   An Indemnifying Party shall not have liability under this Agreement for any Indemnifiable Losses unless the aggregate amount of Indemnifiable Losses incurred by the Indemnified Parties and indemnifiable thereunder exceeds US$100,000 and Indemnifying Parties shall be liable for all such amount of Indemnifiable Losses and not only the excess.

 

(c)                    The amount of any Indemnifiable Losses payable by the Indemnifying Party under this Agreement shall be net of any amounts actually recovered or recoverable by the Indemnified Party under applicable insurance policies or from any other Person alleged to be responsible therefor. If the Indemnifying Party has paid an amount in discharge of any claim under this Agreement and the Indemnified Party has been compensated in full for all Indemnifiable Losses it has suffered with respect to the subject matter of such claim, then to the extent the Indemnified Party subsequently recovers (whether by payment, discount, credit, relief, insurance or otherwise) from a third party a sum which further indemnifies or compensates the Indemnified Party (in whole or in part) in respect of the same loss or liability which is the subject matter of the claim such that the Indemnified Party’s recovery and retention of such amount would constitute double recovery, it shall as soon as reasonably practicable pay over such amount to the Indemnifying Party less all costs of recovery and Taxes with respect thereto.

 

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(d)      To the extent required by applicable Law, each Indemnified Party shall use commercially reasonable efforts to mitigate any Indemnifiable Losses for which the Indemnified Party makes claims under this Agreement. If such Indemnified Party mitigates its loss after the Indemnifying Party has paid the Indemnified Party under this Agreement in respect of that loss, the Indemnified Party must notify the Indemnifying Party and pay to the Indemnifying Party the extent of the value of the benefit to the Indemnified Party of that mitigation (less the Indemnified Party’s reasonable costs of mitigation) promptly after the benefit is received.

 

(e)       The Indemnified Party shall not be entitled to recover from the Indemnifying Party under this Agreement more than once in respect of the same Indemnifiable Losses suffered.

 

Section 10.05. Exclusive Remedy. Notwithstanding any other provisions contained herein, this Article 10 shall be the sole and exclusive monetary remedy of the Parties for any claim arising out of or resulting from this Agreement and the transactions contemplated hereby, except that no limitation or exceptions with respect to the obligations or liabilities on the Parties provided in the forgoing sections under this Article 10 shall apply to an Indemnifiable Loss incurred by any Indemnified Party arising due to the fraud, fraudulent misrepresentation, intentional breach, willful misconduct or gross negligence of an Indemnifying Party. Nothing in this Article 10 or elsewhere in this Agreement shall affect the Parties’ rights to specific performance or other equitable or non-monetary remedies with respect to the covenants and agreements in this Agreement or any of the other Transaction Documents or that are to be performed at or after the Closing.

 

ARTICLE 11

MISCELLANEOUS

 

Section 11.01. Further Assurances. Upon the terms and subject to the conditions herein, each of the Parties agrees to use its reasonable best efforts to take or cause to be taken all action, to do or cause to be done, to execute such further instruments, and to assist and cooperate with the other Parties hereto in doing, all things necessary, proper or advisable under applicable Laws or otherwise to consummate and make effective, in the most expeditious manner practicable, the transactions contemplated by this Agreement and the other Transaction Documents (it being understood that no Party shall be obligated to grant any waiver of any condition or other waiver hereunder).

 

Section 11.02. Successors and Assigns. Except as otherwise provided herein, the terms and conditions of this Agreement shall inure to the benefit of and be binding upon the respective successors and permitted assigns of the Parties hereto. This Agreement and the rights and obligations therein may not be assigned by any Party without the prior written consent of the other Parties.

 

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Section 11.03. Third-Party Beneficiaries. Nothing in this Agreement, express or implied, is intended to confer upon any party other than the Parties hereto or their respective successors and assigns any rights, remedies, obligations, or liabilities under or by reason of this Agreement, except as expressly provided in this Agreement.

 

Section 11.04. Governing Law. This Agreement shall be governed by and construed under the Laws of Hong Kong, without regard to principles of conflict of Laws thereunder.

 

Section 11.05. Dispute Resolution.

 

(a)      Any dispute, controversy or claim (each, a “Dispute”) arising out of or relating to this Agreement, or the interpretation, breach, termination, validity or invalidity thereof, shall be referred to arbitration upon the demand of either party to the dispute with notice (the “Arbitration Notice”) to the other.

 

(b)      The Dispute shall be settled by arbitration in Hong Kong by the Hong Kong International Arbitration Centre (the “HKIAC”) in accordance with the Hong Kong International Arbitration Centre Administered Arbitration Rules (the “HKIAC Rules”) in force when the Arbitration Notice is submitted in accordance with the HKIAC Rules.

 

(c)       There shall be three arbitrators, of whom one arbitrator shall be appointed by the claiming party(ies), one arbitrator appointed by the responding party(ies), and the third arbitrator shall be appointed by the two arbitrators designated by the parties. If a party(ies) fails to designate an arbitrator within thirty days after designation of an arbitrator by the other party(ies), the second arbitrator shall be appointed by the HKIAC Council. If the two arbitrators designated by the parties are unable to agree upon a third arbitrator within thirty days after the first two arbitrators are appointed, the third arbitrator shall be appointed by the HKIAC Council.

 

(d)      The arbitral proceedings shall be conducted in English. To the extent that the HKIAC Rules are in conflict with the provisions of this Section, including the provisions concerning the appointment of the arbitrators, the provisions of this Section shall prevail.

 

(e)       Each party to the arbitration shall cooperate with each other party to the arbitration in making full disclosure of and providing complete access to all information and documents requested by such other party in connection with such arbitral proceedings, subject only to any confidentiality obligations binding on such party.

 

(f)       The award of the arbitral tribunal shall be final and binding upon the parties thereto, and the prevailing party may apply to a court of competent jurisdiction for enforcement of such award.

 

(g)       The arbitral tribunal shall decide any Dispute submitted by the parties to the arbitration strictly in accordance with the substantive Laws of Hong Kong (without regard to principles of conflict of Laws thereunder) and shall not apply any other substantive Law.

 

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(h)      Any party to the Dispute shall be entitled to seek preliminary injunctive relief, if possible, from any court of competent jurisdiction pending the constitution of the arbitral tribunal.

 

(i)        During the course of the arbitral tribunal’s adjudication of the Dispute, this Agreement shall continue to be performed except with respect to the part in dispute and under adjudication.

 

(j)       Notwithstanding the foregoing in this Section 11.05, the Parties agree that each Party shall have the right, without posting any bond, to seek preliminary injunction, temporary restraining order or other temporary relief from any court of competent jurisdiction.

 

Section 11.06. Notices. Any notice required or permitted pursuant to this Agreement shall be given in writing and shall be given either personally or by sending it by next-day or second-day courier service, fax, electronic mail or similar means to the address of the relevant Party as shown on Schedule III (or at such other address as such Party may designate by fifteen days’ advance written notice to the other Parties to this Agreement given in accordance with this Section). Where a notice is sent by next-day or second-day courier service, service of the notice shall be deemed to be effected by properly addressing, pre-paying and sending by next-day or second-day service through an internationally-recognized courier a letter containing the notice, with a written confirmation of delivery, and to have been effected at the earlier of (i) delivery (or when delivery is refused) and (ii) expiration of two Business Days after the letter containing the same is sent as aforesaid. Where a notice is sent by fax or electronic mail, service of the notice shall be deemed to be effected by properly addressing, and sending such notice through a transmitting organization, with a written confirmation of delivery, and to have been effected on the day the same is sent as aforesaid, if such day is a Business Day and if sent during normal business hours of the recipient, otherwise the next Business Day. Notwithstanding the foregoing, to the extent a “with a copy to” address is designated, notice must also be given to such address in the manner above for such notice, request, consent or other communication hereunder to be effective.

 

Section 11.07. Specific Performance. The Parties hereto acknowledge and agree that irreparable harm may occur for which money damages would not be an adequate remedy in the event that any of the provisions of this Agreement were not performed in accordance with their specific terms or were otherwise breached. It is accordingly agreed that the Parties shall be entitled to injunctive relief to prevent breaches of this Agreement and to specifically enforce the terms and provisions of this Agreement.

 

Section 11.08. Fees and Expenses. Each Party hereto shall pay all of its own costs and expenses incurred in connection with the negotiation, execution, delivery and performance of this Agreement and other Transaction Documents and the transactions contemplated hereby and thereby; provided that, subject to the consummation of the Closing and in accordance with the term sheets entered into with certain Investors, the Company shall reimburse such Investors for their documented and reasonable fees and expenses incurred by them in connection with the negotiation of this Agreement and the other Transaction Documents and the consummation of the transactions contemplated hereby and thereby (including all business, legal and finance due diligence related expenses) for an amount up to a maximum of RMB200,000 in aggregate (unless otherwise provided in the term sheets).

 

Section 11.09. Finder’s Fee. Each Investor agrees, severally and not jointly, to indemnify and to hold harmless the Company and each other Investor from any liability for any commission or compensation in the nature of a finders’ fee (and the costs and expenses of defending against such liability or asserted liability) for which such Investor or any of its officers, partners, employees or representatives is responsible. Each Warrantor agrees, jointly and severally, to indemnify and hold harmless each Investor from any liability for any commission or compensation in the nature of a finders’ fee (and the costs and expenses of defending against such liability or asserted liability) for which the Company or any of its officers, employees or representatives is responsible.

 

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Section 11.10. Severability. In case any provision of the Agreement shall be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. If, however, any provision of this Agreement shall be invalid, illegal, or unenforceable under any applicable Law in any jurisdiction, it shall, as to such jurisdiction, be deemed modified to conform to the minimum requirements of such Law, or, if for any reason it is not deemed so modified, it shall be invalid, illegal, or unenforceable only to the extent of such invalidity, illegality, or limitation on enforceability without affecting the remaining provisions of this Agreement, or the validity, legality, or enforceability of such provision in any other jurisdiction.

 

Section 11.11. Amendments and Waivers. Any term of this Agreement may be amended, only with the written consent of all Parties hereto. Any amendment effected in accordance with this paragraph shall be binding upon each of the Parties hereto. The observance of any term of this Agreement may be waived (either generally or in a particular instance and either retroactively or prospectively) only with the written consent of the Party against whom such waiver is sought.

 

Section 11.12. No Waiver. Failure to insist upon compliance with any of the terms, covenants, or conditions hereof will not be deemed a waiver of such term, covenant, or condition, nor will any waiver or relinquishment of, or failure to insist upon compliance with, any right, power or remedy hereunder at any one or more times be deemed a waiver or relinquishment of such right, power or remedy at any other time or times.

 

Section 11.13. Delays or Omissions. No delay or omission to exercise any right, power or remedy accruing to any Party under this Agreement, upon any breach or default of any other Party under this Agreement, shall impair any such right, power or remedy of such non-breaching or non-defaulting Party nor shall it be construed to be a waiver of any such breach or default, or an acquiescence therein, or of or in any similar breach or default thereafter occurring; nor shall any waiver of any single breach or default be deemed a waiver of any other breach or default theretofore or thereafter occurring. Any waiver, permit, consent or approval of any kind or character on the part of any Party of any breach or default under this Agreement, or any waiver on the part of any Party of any provisions or conditions of this Agreement, must be in writing and shall be effective only to the extent specifically set forth in such writing.

 

Section 11.14. No Presumption. The Parties acknowledge that any applicable Law that would require interpretation of any claimed ambiguities in this Agreement against the Party that drafted it has no application and is expressly waived. If any claim is made by a Party relating to any conflict, omission or ambiguity in the provisions of this Agreement, no presumption or burden of proof or persuasion will be implied because this Agreement was prepared by or at the request of any Party or its counsel.

 

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Section 11.15. Headings and Subtitles; Interpretation. The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in construing or interpreting this Agreement. Unless a provision hereof expressly provides otherwise: (i) the term “or” is not exclusive; (ii) words in the singular include the plural, and words in the plural include the singular; (iii) the terms “herein”, “hereof”, and other similar words refer to this Agreement as a whole and not to any particular section, subsection, paragraph, clause, or other subdivision; (iv) the term “including” will be deemed to be followed by, “but not limited to”, (v) the masculine, feminine, and neuter genders will each be deemed to include the others; (vi) the terms “shall”, “will”, and “agrees” are mandatory, and the term “may” is permissive; (vii) the term “day” means “calendar day”, and “month” means calendar month, (viii) all references in this Agreement to designated “Sections” and other subdivisions are to the designated Sections and other subdivisions of the body of this Agreement, (ix) all references in this Agreement to designated Schedules and Exhibits are to the Schedules and Exhibits attached to this Agreement, (x) the phrase “directly or indirectly” means directly, or indirectly through one or more intermediate Persons or through contractual or other arrangements, and “direct or indirect” has the correlative meaning, (xi) references to laws include any such law modifying, re-enacting, extending or made pursuant to the same or which is modified, re-enacted, or extended by the same or pursuant to which the same is made, (xii) each representation, warranty, agreement, and covenant contained herein will have independent significance, regardless of whether also addressed by a different or more specific representation, warranty, agreement, or covenant, (xiii) all accounting terms not otherwise defined herein have the meanings assigned under the Accounting Standards, (xiv) pronouns of either gender or neuter shall include, as appropriate, the other pronoun forms, (xv) references to this Agreement, any other Transaction Documents and any other document shall be construed as references to such document as the same may be amended, supplemented or novated from time to time, and (xvi) all references to dollars or to “US$” are to currency of the United States of America and all references to RMB are to currency of the PRC (and each shall be deemed to include reference to the equivalent amount in other currencies).

 

Section 11.16. Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. Facsimile and e-mailed copies of signatures shall be deemed to be originals for purposes of the effectiveness of this Agreement.

 

Section 11.17. Entire Agreement. This Agreement and the other Transaction Documents, together with all schedules and exhibits hereto and thereto, constitute the full and entire understanding and agreement among the Parties with regard to the subjects hereof and thereof, and supersede all other agreements between or among any of the Parties with respect to the subject matters hereof and thereof.

 

Section 11.18. Independent Nature of Investors’ Obligations and Rights. The obligations of each Investor under this Agreement and the other Transaction Documents are several and not joint, and no Investor is responsible in any way for the performance or conduct of any other Investor in connection with the transactions contemplated hereby. Nothing contained herein or in any other Transaction Document, and no action taken by any Investor pursuant hereto or thereto, shall be or shall be deemed to constitute a partnership, association, joint venture, or joint group with respect to the Investors. Each Investor agrees that no other Investor has acted as an agent for such Investor in connection with the transactions contemplated hereby.

 

[Signature page follows]

 

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IN WITNESS WHEREOF, the parties hereto have executed, or have caused their respective duly authorized representatives to execute, this Agreement on the date and year first above written.

 

 

	
 
    	
36KR   HOLDINGS INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Liu Chengcheng
    
	
 
    	
 
    	
Name:
    	
LIU CHENGCHENG
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
36KR   HOLDING LIMITED
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Liu Chengcheng
    
	
 
    	
 
    	
Name:
    	
LIU CHENGCHENG
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
36KR   HOLDINGS (HK) LIMITED
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Liu Chengcheng
    
	
 
    	
 
    	
Name:
    	
LIU CHENGCHENG
    
	
 
    	
 
    	
Title:
    	
Director
    

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed, or have caused their respective duly authorized representatives to execute, this Agreement on the date and year first above written.

 

 

	
 
    	
BEIJING   DIAN QIER CREATIVE
    
	
 
    	
INTERACTIVE   MEDIA CULTURE
    
	
 
    	
CO., LTD.   (
    
	
 
    	
)
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Feng Dagang
    
	
 
    	
 
    	
Name:
    	
FENG DAGANG
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
TIANJIN   THIRTY-SIX HEARTS
    
	
 
    	
TECHNOLOGY   CO., LTD. (
    
	
 
    	
)
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Feng Dagang
    
	
 
    	
 
    	
Name:
    	
FENG DAGANG
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Beijing   Duoke Information Technology
    
	
 
    	
Co., Ltd.   ()
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Feng Dagang
    
	
 
    	
 
    	
Name:
    	
FENG DAGANG
    
	
 
    	
 
    	
Title:
    	
Director
    

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by their respective authorized officers as of the day and year first above written.

 

	
 
    	
36Kr   Global Holding (HK) Limited
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Feng Dagang
    
	
 
    	
 
    	
Name:
    	
FENG DAGANG
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
Beijing   Dake Information Technology
    
	
 
    	
Co., Ltd.   ()
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Feng Dagang
    
	
 
    	
 
    	
Name:
    	
FENG DAGANG
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
Tianjin   Duoke Investment Co., Ltd. (
    
	
 
    	
)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Feng Dagang
    
	
 
    	
 
    	
Name:
    	
FENG DAGANG
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
Tianjin   Dake Information Technology
    
	
 
    	
Co., Ltd.   ()
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Feng Dagang
    
	
 
    	
 
    	
Name:
    	
FENG DAGANG
    
	
 
    	
 
    	
Title:
    	
Director
    

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed, or have caused their respective duly authorized representatives to execute, this Agreement on the date and year first above written.

 

	
 
    	
ZHEJIANG   PINXIN TECHNOLOGY
    
	
 
    	
CO., LTD.   ()
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Lan Hao
    
	
 
    	
 
    	
Name:
    	
LAN HAO
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HANGZHOU   PINXIN
    
	
 
    	
ACCELERATION   TECHNOLOGY
    
	
 
    	
CO., LTD.   ()
    
	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Lan Hao
    
	
 
    	
 
    	
Name:
    	
LAN HAO
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
SICHUAN   THIRTY-SIX KE
    
	
 
    	
TECHNOLOGY   CO., LTD. (
    
	
 
    	
)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Lan Hao
    
	
 
    	
 
    	
Name:
    	
LAN HAO
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
JIANGSU   KUAIKE TECHNOLOGY
    
	
 
    	
CO., LTD.   ()
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Lan Hao
    
	
 
    	
 
    	
Name:
    	
LAN HAO
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
CHONGQING   DUOKE
    
	
 
    	
ACCELERATION   TECHNOLOGY
    
	
 
    	
CO., LTD.   (
    
	
 
    	
)
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Lan Hao
    
	
 
    	
 
    	
Name:
    	
LAN HAO
    
	
 
    	
 
    	
Title:
    	
Director
    

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed, or have caused their respective duly authorized representatives to execute, this Agreement on the date and year first above written.

 

 

	
 
    	
()   36KR JAPAN
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Feng Dagang
    
	
 
    	
 
    	
Name:
    	
FENG DAGANG
    
	
 
    	
 
    	
Title:
    	
Director
    

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed, or have caused their respective duly authorized representatives to execute, this Agreement on the date and year first above written.

 

 

	
 
    	
KRASIA   PLUS PTE. LTD.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Feng Dagang
    
	
 
    	
 
    	
Name:
    	
FENG DAGANG
    
	
 
    	
 
    	
Title:
    	
Director
    

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed, or have caused their respective duly authorized representatives to execute, this Agreement on the date and year first above written.

 

 

	
 
    	
/s/ Dagang Feng
    
	
 
    	
DAGANG   FENG
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
PALOPO   HOLDING LIMITED
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Feng Dagang
    
	
 
    	
 
    	
Name:
    	
FENG DAGANG
    
	
 
    	
 
    	
Title:
    	
Director
    

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed, or have caused their respective duly authorized representatives to execute, this Agreement on the date and year first above written.

 

 

	
 
    	
LOTUS   WALK INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Lin Chen
    
	
 
    	
 
    	
Name:
    	
Lin Chen
    
	
 
    	
 
    	
Title:
    	
Director
    

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed, or have caused their respective duly authorized representatives to execute, this Agreement on the date and year first above written.

 

 

	
 
    	
Nikkei Inc. ()
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Naotoshi Okada
    
	
 
    	
 
    	
Name:
    	
Naotoshi Okada
    
	
 
    	
 
    	
Title:
    	
President &   CEO
    

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed, or have caused their respective duly authorized representatives to execute, this Agreement on the date and year first above written.

 

	
 
    	
Krystal   Imagine Investments Limited
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Cheng wei
    
	
 
    	
 
    	
Name:
    	
CHENG WEI
    
	
 
    	
 
    	
Title:
    	
 Director
    

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed, or have caused their respective duly authorized representatives to execute, this Agreement on the date and year first above written.

 

	
 
    	
Red   Better Limited
    
	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	

    
	
 
    	
 
    	
Name:
    	
 
    
	
 
    	
 
    	
Title:
    	
 
    

 

[Signature Page to Share Subscription Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed, or have caused their respective duly authorized representatives to execute, this Agreement on the date and year first above written.

 

 

	
 
    	

    

 

[Signature Page to Share Subscription Agreement]

 

 

SCHEDULE I

 

LIST OF THE INVESTORS

 

	
 
    	
 
    	
 
    	
 
    	
Number of Series
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
D Preferred
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
Shares to be
    	
 
    	
Total Purchase
    	
 
    
	
Name
    	
 
    	
Jurisdiction
    	
 
    	
Purchased
    	
 
    	
Price Payable
    	
 
    
	
Lotus Walk Inc.
    	
 
    	
The British Virgin   Islands
    	
 
    	
20,000,000
    	
 
    	
US$
    	
12,000,000
    	
 
    
	
Nikkei Inc. (株式会社日本)   経済新聞社)
    	
 
    	
Japan
    	
 
    	
8,333,333
    	
 
    	
US$
    	
5,000,000
    	
 
    
	
Krystal Imagine Investments Limited
    	
 
    	
The British Virgin   Islands
    	
 
    	
5,000,000
    	
 
    	
US$
    	
3,000,000
    	
 
    
	
Red Better Limited
    	
 
    	
The British Virgin   Islands
    	
 
    	
3,333,333
    	
 
    	
US$
    	
2,000,000
    	
 
    
	
Homshin Innovations Ltd.
    	
 
    	
The British Virgin   Islands
    	
 
    	
3,333,333
    	
 
    	
US$
    	
2,000,000
    	
 
    
	
Total
    	
 
    	
—
    	
 
    	
39,999,999
    	
 
    	
US$
    	
24,000,000
    	
 
    

 

I-1

 

SCHEDULE II

 

LIST OF CERTAIN GROUP COMPANIES

 

(1)              36Kr Holdings Inc.;

 

(2)              36Kr Holding Limited;

 

(3)              36Kr Holdings (HK) Limited;

 

(4)              36Kr Global Holding (HK) Limited;

 

(5)              Beijing Duoke Information Technology Co., Ltd. (北京多氪信息科技有限公司);

 

(6)              Beijing Dian Qier Creative Interactive Media Culture Co., Ltd. (北京点七二创意互动传媒文化有限公司);

 

(7)              Tianjin Thirty-six Hearts Technology Co., Ltd. (天津三十六颗心科技有限公司);

 

(8)              Zhejiang Pinxin Technology Co., Ltd. (浙江品新科技有限公司);

 

(9)              Hangzhou Pinxin Acceleration Technology Co., Ltd. (杭州品新加速科技有限公司);

 

(10)       Sichuan Thirty-six Ke Technology Co., Ltd. (四川三十六氪科技有限公司);

 

(11)       Jiangsu Kuaike Technology Co., Ltd. (江苏快氪科技有限公司);

 

(12)       Beijing Dake Information Technology Co., Ltd. (北京大氪信息科技有限公司);

 

(13)       Tianjin Duoke Investment Co., Ltd. (天津多氪投资有限公司);

 

(14)       Tianjin Dake Information Technology Co., Ltd. (天津大氪信息科技有限公司);

 

(15)       Chongqing Duoke Acceleration Technology Co., Ltd. (重庆多氪加速信息科技有限公司);

 

(16)       株式会社 36Kr Japan; and

 

(17)       KRASIA PLUS PTE. LTD.

 

II-1

 

SCHEDULE III

 

ADDRESS FOR NOTICES

 

	
If to the Group Companies and the Co-Founder and   the Co-Founder Holdco:
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Address:
    	
 
    	
5/F, Tower A1, Junhao Central Park Plaza, No.
    
	
 
    	
 
    	
 
    	
 
    	
10 South Chaoyang Park Avenue, Chaoyang
    
	
 
    	
 
    	
 
    	
 
    	
District, Beijing, 100020, China
    
	
 
    	
 
    	
Tel:
    	
 
    	
010-59974030
    
	
 
    	
 
    	
Email:
    	
 
    	
wangjingyu@36kr.com
    
	
 
    	
 
    	
Attention:
    	
 
    	
Wang Jingyu
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
If to   Lotus:
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Address:
    	
 
    	
Building A1, 43 North Third Ring Road West,
    
	
 
    	
 
    	
 
    	
 
    	
Haidian District, Beijing
    
	
 
    	
 
    	
Tel:
    	
 
    	
+86 13439494729
    
	
 
    	
 
    	
Attention:
    	
 
    	
JI Yin
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
If to Nikkei   Inc. (株式会社日本経済新聞社):
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Address:
    	
 
    	
1-3-7 Otemachi, Chiyoda-ku, Tokyo 100-8066
    
	
 
    	
 
    	
 
    	
 
    	
Japan
    
	
 
    	
 
    	
Tel:
    	
 
    	
+81-80-8128-5155
    
	
 
    	
 
    	
Email:
    	
 
    	
tetsuji.santazono@nex.nikkei.com
    
	
 
    	
 
    	
Attention:
    	
 
    	
Tetsuji Santazono
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
If to   Krystal Imagine Investments Limited:
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Address:
    	
 
    	
No. 1 Block B, Shangdong Digital Valley, No.
    
	
 
    	
 
    	
 
    	
 
    	
8 Dongbeiwang West Road, Haidian District,
    
	
 
    	
 
    	
 
    	
 
    	
Beijing, China
    
	
 
    	
 
    	
Email:
    	
 
    	
Gaoji@didiglobal.com
    
	
 
    	
 
    	
Attention:
    	
 
    	
Jimmy Gao
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
If to   Red Better Limited
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Address:
    	
 
    	
Beijing Xiaomi Mobile Software Co., Ltd,
    
	
 
    	
 
    	
 
    	
 
    	
Block E/F, Shunshijiaye Pioneer Park, No. 66
    
	
 
    	
 
    	
 
    	
 
    	
Zhufang Road, Haidian District, Beijing
    
	
 
    	
 
    	
 
    	
 
    	
100085 China
    
	
 
    	
 
    	
Tel:
    	
 
    	
8618811352944
    
	
 
    	
 
    	
Email:
    	
 
    	
liyiwen@xiaomi.com
    
	
 
    	
 
    	
Attention:
    	
 
    	
Yiwen Li
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
If to   Homshin Innovations Ltd.
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Address:
    	
 
    	
03 Soon Lee St., #04-07 Pioneer Junction,
    
	
 
    	
 
    	
 
    	
 
    	
Singapore 627606
    
	
 
    	
 
    	
Tel:
    	
 
    	
+86 18611391555
    
	
 
    	
 
    	
Email:
    	
 
    	
dcsuyi@sina.cn
    
	
 
    	
 
    	
Attention:
    	
 
    	
Su Yi
    

 

III-1

 

SCHEDULE IV

 

RESTRUCTURING

 

1.              Establishment of Offshore Structure: to incorporate the Company, 36Kr Holding Limited, 36Kr Holdings (HK) Limited.

 

2.              Onshore Shareholders Reorganization: the onshore shareholders (including LIU Chengcheng, the Co-Founder, the direct and indirect investors of Beijing Duoke Information Technology Co., Ltd. (北京多氪信息科技有限公司) (“Beijing Duoke”)) to invest in the potential listing company offshore (and complete the registration under the Circular on Relevant Issues Concerning Foreign Exchange Control on Domestic Residents’ Offshore Investment and Financing and Roundtrip Investment Through Special Purpose Vehicles ( or SAFE Circular 37) and the overseas direct investment filing, in each case as applicable.

 

3.              Incorporation of the WFOE: in consideration of reorganization and taxes, the existing foreign investment company, Tianjin Duoke Investment Co., Ltd. (天津多氪投资有限公司) to incorporate the WFOE.

 

4.              Shareholding Structure Change of Beijing Duoke: Hanghzou Jincun Investment Management Partnership (L.P.) (杭州金存投资管理合伙企业(有限合伙)) and Jiaxing Xiaodu Content Equity Investment Partnership (L.P.) (嘉兴小度内容股权投资合伙企业(有限合伙) ) as the existing shareholders of Beijing Duoke shall transfer all of its equity interests in Beijing Duoke respectively to Wuhan Feixiang Automobile Electronics Industry Investment Partnership (L.P.) (武汉斐翔汽车电子产业投资合伙企业(有限合伙)) and complete the relevant registration with the Administration for Industry & Commerce, such registration has been completed.

 

5.              Frame Agreement: Beijing Duoke, the Company, Beijing Xieli Zhucheng Finance Information Services Co., Ltd. (北京协力筑成金融信息股份有限公司) (“Xieli”) and other relevant parties to execute the Frame Agreement of the Shareholders’ Rights in 36Kr Holdings Inc. (《关于 36Kr Holdings Inc. 之股东权利框架协议》) in respect of the shareholders’ rights in the Company entitled to the shareholders of Beijing Duoke and Xieli.

 

6.              Issuance of Shares Offshore: the Company to issue the shares to the parties as mentioned in the section 2 of this Schedule, the WFOE, Beijing Duoke and the shareholders thereof to execute the control documents.

 

IV-1

 

7.             The Group Chart after the Completion of Reorganization:

 

 

IV-2

 

(接上图)

 

 

IV-3

 

(接上图)

 

 

IV-4

 

SCHEDULE V

 

LIST OF COMPANY’S RELATED PARTIES

 

(1)         Beijing Chuangye Guangrong Information Technology Co., Ltd. (北京创业光荣信息科技有限责任公司);

 

(2)         Kr Space (Beijing) Information Technology Co., Ltd. (氪空间(北京)信息技术有限责任公司);

 

(3)         Beijing Xieli Zhucheng Finance Information Services Co., Ltd. (北京协力筑成金融信息服务股份有限公司);

 

(4)         Jiaxing Chuangke Business Information Consulting Co., Ltd.( 嘉兴创氪商务信息咨询有限公司);

 

(5)         FMM Network Technology Co., Ltd.( 饭美美网络科技(北京)有限公司);

 

(6)         Beijing Zhongdu Technology Co., Ltd.( 北京中渡科技有限公司)

 

V-1

 

SCHEDULE VI

 

DISCLOSURE SCHEDULE

 

September 23, 2019

 

This Disclosure Schedule is made and given pursuant to the SERIES D PREFERRED SHARE SUBSCRIPTION AGREEMENT, dated as of September 23, 2019 (the “Agreement”), by and among 36Kr Holdings Inc., an exempt company with limited liability incorporated under the laws of the Cayman Islands (the “Company”); each company listed on Schedule I of the Agreement; Mr. Dagang Feng (a PRC citizen, with ID number of 132801197810243614); Palopo Holding Limited, a business company with limited liability incorporated under the laws of the British Virgin Islands; and each Person listed on Schedule II of the Agreement. All capitalized terms used but not defined herein shall have the meanings as defined in the Agreement, unless otherwise provided. The section numbers below correspond to the section numbers of the representations and warranties in the Agreement; provided, however, that a disclosure set forth in any section or subsection of this Disclosure Schedule shall be deemed disclosure with respect to any other section or subsection of this Disclosure Schedule to the extent that it is reasonably apparent that such information is relevant to such other section or subsection, notwithstanding the inclusion or omission of any cross-reference to such other section or subsection.

 

Where the terms of an agreement, document, commitment or other disclosure item have been referenced, summarized or described in this Disclosure Schedule, such reference, summary or description does not purport to be a complete statement of the terms of such agreement, document, commitment or other disclosure item, and such disclosures are qualified in their entirety by the specific terms of such agreements or documents to the extent such agreements or documents have been made available to the Investors by electronic method or otherwise.

 

Headings have been inserted for convenience of reference only and shall to no extent have the effect of amending or changing the express descriptions of this Disclosure Schedule or the Agreement or the language of the provisions thereof.

 

The information set forth in this Disclosure Schedule is subject to the following qualifications:

 

(a) No disclosure in this Disclosure Schedule relating to any possible (but not actual) breach or violation of any contract, law or regulation shall be construed as an admission or indication that any such breach or violation exists or has actually occurred, and nothing in this Disclosure Schedule shall constitute an admission of any liability or obligation of any of the Warrantors to any third party or shall confer or give to any third party any remedy, claim, liability, reimbursement, cause of action or other right.

 

(b) This Disclosure Schedule and the information and disclosures contained herein are intended to qualify the representations and warranties relating to the Warrantors contained in the Agreement, shall not be deemed to expand in any way the scope or effect of any such representations and warranties, other than as specified or provided in the Agreement. Matters reflected in this Disclosure Schedule are not necessarily limited to matters required by the Agreement to be reflected herein.

 

VI-1

 

Section 3.02(b) — No Other Securities

 

(1) Equity Securities of the Group Companies:

 

	
Equity Securities
    
	
 
    
	
Name of Group
   Company
    	
 
    	
Jurisdiction
    	
 
    	
Share Capital
    
	
36Kr Holdings Inc.
    	
 
    	
Cayman Islands
    	
 
    	
1.         Immediately   after the Closing, the authorized share capital of the company shall be   US$500,000 divided into (A) a total of 4,274,029,001 authorized Ordinary   Shares, 176,843,000 of which shall be issued and outstanding, (B) a   total of 65,307,000 authorized Series A-1 Preferred Shares, all of which   shall be issued and outstanding, (C) a total of 101,261,000 authorized   Series A-2 Preferred Shares, all of which shall be issued and   outstanding, (D) a total of 250,302,000 authorized Series B-1 Preferred   Shares, all of which shall be issued and outstanding, (E) a total of   14,593,000 authorized Series B-2 Preferred Shares, all of which shall be   issued and outstanding, (F) a total of 56,105,000 authorized   Series B-3 Preferred Shares, all of which shall be issued and   outstanding, (G) a total of 20,982,000 authorized Series B-4   Preferred Shares, all of which shall be issued and outstanding, (H) a   total of 164,876,000 authorized Series C-1 Preferred Shares, all of   which shall be issued and outstanding, (I) a total of 12,545,000   authorized Series C-2 Preferred Shares, all of which shall be issued and   outstanding, and (J) a total of 39,999,999 authorized Series D   Preferred Shares, all of which shall be issued and outstanding.

2.         137,186,000   Ordinary Shares are reserved under the ESOP.
    
	
36Kr Holdings Limited
    	
 
    	
British Virgin Islands
    	
 
    	
As of the date hereof, the authorized capital of the   company is USD 50,000 divided into 50,000 ordinary shares of par value   USD1.00, 1 of which are issued and outstanding.
    
	
36Kr Holdings (HK) Limited
    	
 
    	
Hong Kong
    	
 
    	
As of the date hereof, 1 ordinary shares of par   value USD1.00 of the company is issued and outstanding.
    
	
Beijing Duoke Information Technology Co., Ltd.   (北   京多氪信息科技有限公   司) (“Beijing Duoke”)
    	
 
    	
PRC
    	
 
    	
As of the date hereof, the registered capital is   RMB12,099,994, and the paid-in capital is RMB12,099,994.
    
	
Beijing Dian Qier Creative Interactive Media Culture   Co., Ltd. (北京点七二创   意互动传媒文化有限公   司)
    	
 
    	
PRC
    	
 
    	
As of the date hereof, the registered capital is   RMB5,000,000, and the paid-in capital is RMB600,000.
    
	
Tianjin Thirty-six Hearts Technology Co., Ltd.   (天   津三十六颗心科技有限   公司)
    	
 
    	
PRC
    	
 
    	
As of the date hereof, the registered capital is   RMB5,000,000, and the paid-in capital is RMB100,000.
    

 

VI-2

 

	
Zhejiang Pinxin Technology Co., Ltd. (浙   江品新科技有限公司)
    	
 
    	
PRC
    	
 
    	
As of the date hereof, the registered capital is   RMB20,000,000, and the paid-in capital is RMB2,980,000.
    
	
Hangzhou Pinxin Acceleration Technology   Co., Ltd. (杭州品新加速   科技有限公司
    	
 
    	
PRC
    	
 
    	
As of the date hereof, the registered capital is   RMB5,000,000, and the paid-in capital is RMB1,500,000.
    
	
Sichuan Thirty-six Ke Technology Co., Ltd.   (四   川三十六氪科技有限公   司)
    	
 
    	
PRC
    	
 
    	
As of the date hereof, the registered capital is   RMB5,000,000, and the paid-in capital is RMB1,400,000.
    
	
Jiangsu Kuaike Technology Co., Ltd. (江   苏快氪科技有限公司)
    	
 
    	
PRC
    	
 
    	
As of the date hereof, the registered capital is   RMB30,000,000, and the paid-in capital is RMB4,900,000.
    
	
Chongqing Duoke Acceleration Technology   Co., Ltd. (重庆多氪加速   信息科技有限公司
    	
 
    	
PRC
    	
 
    	
As of the date hereof, the registered capital is   RMB5,000,000, and the paid-in capital is RMB1,490,000.
    
	
Beijing Dake Information Technology Co., Ltd.   (北   京大氪信息科技有限公   司) (“WFOE”)
    	
 
    	
PRC
    	
 
    	
As of the date hereof, the registered capital is   RMB350,000,000, and the paid-in capital is RMB 0.
    
	
Tianjin Duoke Investment Co., Ltd.   (天津多氪投资   有限公司)
    	
 
    	
PRC
    	
 
    	
As of the date hereof, the registered capital is   US$30,000,000, and the paid-in capital is RMB 0.
    
	
Tianjin Dake Information Technology Co., Ltd.   (天   津大氪信息科技有限公   司)
    	
 
    	
PRC
    	
 
    	
As of the date hereof, the registered capital is   US$50,000,000, and the paid-in capital is RMB 0.
    
	
36Kr Global Holding (HK) Limited
    	
 
    	
Hong Kong
    	
 
    	
As of the date hereof, 1 ordinary shares of par   value USD1.00 of the company is issued and outstanding.
    
	
株式会社 36Kr Japan
    	
 
    	
Japan
    	
 
    	
As of the date hereof, 200 株. of the company   is issued and outstanding.
    
	
KRASIA PLUS PTE. LTD.
    	
 
    	
Singapore
    	
 
    	
As of the date hereof, 43,333 ordinary shares of the   company and 23,332 preference shares are issued and outstanding. US$3,001 of the   registered capital has not been paid.
    

 

(2)         WFOE, Beijing Duoke and its shareholders have entered into the following Control Documents: (i) the Exclusive Business Cooperation Agreement (独家业务合作协议) dated as of August 2, 2019, entered into by and between the WFOE and Beijing Duoke, (ii) the Exclusive Call Option Agreement (独家购买权协议) dated as of August 2, 2019 entered into by and among the WFOE, Beijing Duoke, and the shareholders of Beijing Duoke, (iii) the Proxy Agreements (授权委托书) dated as of August 2, 2019 entered into by and among the WFOE, Beijing Duoke, and the shareholders of Beijing Duoke, and (iv) the Equity Pledge Agreement (股权质押协议) dated as of August 2, 2019 entered into by and among the WFOE, Beijing Duoke, and the shareholders of Beijing Duoke, each as may be amended from time to time.

 

(3)         A joint venture transaction regarding 36Kr Global Holding (HK) Limited is under discussion with Lotus Walk Inc. and following consummation of this joint venture transaction (the “Joint Venture Transaction”), 36Kr Holdings (HK) Limited will hold 49% shares and Lotus Walk Inc. will hold 51% shares of 36Kr Global Holding (HK) Limited.

 

VI-3

 

Section 3.02(c) — Issuance and Status

 

(1)         Beijing Duoke adopted a share incentive plan in December 2016, and as of the date hereof, 16.53% of the share capital of Beijing Duoke are held by the platform company for granting to the plan participants. Currently 36Kr Holdings Inc. intends to adopt a share incentive plan to replace the original onshore plan, and approximately 13.7186% of the ordinary shares of 36Kr Holdings Inc. (on an as converted basis) are anticipated to be held for award grants under the plan.

 

(2)         For the share capital of the Group Companies, please refer to Section 3.02(b) — No Other Securities.

 

Section 3.03 — Corporate Structure; Subsidiaries

 

(1)         Please refer to Appendix 3.03 attached hereto for a structure chart of the Group upon the completion of the Restructuring. For the jurisdiction of the Group Companies, please refer to the Section 3.02(b) — No Other Securities.

 

Section 3.09 — Compliance with Laws; Consents.

 

(1)         Beijing Duoke may be required to obtain a Permit for Internet News and Information Services (互联网新闻信息服务许可证), Online Publishing Service License (网络出版服务许可证), Permit for Spreading Audio-Visual Programs via Information Network (信息网络传播视听节目许可证) and Network Cultural Business Permit (网络文化经营许可证) for its operations of business in the PRC pursuant to applicable PRC Laws. Currently the Company is working with its PRC counsel in assessing the necessity for applying for these licenses.

 

(2)         Beijing Duoke’s actual business operating place is inconsistent with its registered domicile. Beijing Duoke has a branch in Chaoyang district with the address at Internal 1, Room (05)501, Floor 5, Building 1, Yard 10, South Chaoyang Park Road, Chaoyang District, Beijing (北京市朝阳区朝阳公园南路10号院1号楼5层(05)501内1)

 

(3)         Beijing Duoke has not filed the alternation in the investment to KRASIA PLUS PTE. LTD. with competent PRC governmental authorities.

 

Section 3.10 — Taxes

 

None.

 

Section 3.13 — Actions

 

None.

 

Section 3.14 — Material Contracts

 

Please refer to Appendix 3.14 hereto for the material contracts.

 

Section 3.15 — Title; Properties

 

Certain Group Companies have not filed housing tenancy registration.

 

Please refer to Section 3.16 — Intellectual Property Rights.

 

VI-4

 

Section 3.16 — Intellectual Property Rights

 

None.

 

Section 3.17 — Labor and Employment Matters

 

KRASIA PLUS PTE. LTD. has not paid social insurance for several employees.

 

Section 3.18 — No Brokers

 

The commissions will be paid to Plus China 株式会社 by the Company for introducing the investor.

 

Section 3.19 — Founder Noncompetition

 

None.

 

Section 3.21 — No Changes

 

Please refer to Section 3.02(b)(3) hereto.

 

VI-5

 

Appendix 3.03

 

Group Structure Chart

 

 

VI-6

 

 

VI-7

 

 

VI-8

 

Appendix 3.14

 

MATERIAL CONTRACTS

 

	
No.
    	
 
    	
Parties
    	
 
    	
Contract Name
    	
 
    	
Date
    
	
1
    	
 
    	
Beijing Duoke Information Technology Co., Ltd.   vs Beijing Chuangye Guangrong Information Technology Co., Ltd.
    	
 
    	
Data Sharing Agreement
    	
 
    	
28th June 2019
    
	
2
    	
 
    	
Beijing Duoke Information Technology Co., Ltd.   vs Beijing Chuangye Guangrong Information Technology Co., Ltd.
    	
 
    	
Data Services Agreement
    	
 
    	
28th June 2019
    
	
3
    	
 
    	
Beijing Duoke Information Technology Co., Ltd.   vs Jiaxing Chuangke Business Information Consulting Co., Ltd.
    	
 
    	
Online Advertising Services Agreement
    	
 
    	
2018
    
	
4
    	
 
    	
Beijing Duoke Information Technology Co., Ltd.   vs FMM Network Technology Co., Ltd.
    	
 
    	
Online Advertising Services Agreement
    	
 
    	
2018
    
	
5
    	
 
    	
Beijing Duoke Information Technology Co., Ltd.   vs Beijing Zhongdu Technology Co., Ltd.
    	
 
    	
Advertisement Displaying Services Agreement
    	
 
    	
2018
    
	
6
    	
 
    	
Beijing Duoke Information Technology Co., Ltd.   vs Shanghai jingyin Public Relations Co., Ltd.
    	
 
    	
Network Service framework Contract
    	
 
    	
2018
    
	
7
    	
 
    	
36Kr Holdings Inc.
    	
 
    	
(register address) (provide by the register agent)
    	
 
    	
/
    
	
8
    	
 
    	
36Kr Holding Limited
    	
 
    	
(register address) (provide by the register agent)
    	
 
    	
/
    
	
9
    	
 
    	
36Kr Holdings (HK) Limited
    	
 
    	
(register address) (provide by the register agent)
    	
 
    	
/
    
	
10
    	
 
    	
36Kr Global Holding (HK)
    	
 
    	
(register address) (provide by the register agent)
    	
 
    	
/
    
	
11
    	
 
    	
北京喜盟资产管理有限公司   vs Beijing Duoke Information Technology Co., Ltd.
    	
 
    	
Office Lease Contract (Room 01-04, F6, Building 1   )(Junhao)
    	
 
    	
12th Dec. 2017
    
	
12
    	
 
    	
北京喜盟资产管理有限公司   vs Beijing Duoke Information Technology Co., Ltd.
    	
 
    	
Office Lease Contract (Room 01-04, F6, Building 1   )(Junhao)
    	
 
    	
2017
    

 

VI-9

 

	
No.
    	
 
    	
Parties
    	
 
    	
Contract Name
    	
 
    	
Date
    
	
13
    	
 
    	
北京喜盟资产管理有限公司   vs Beijing Duoke Information Technology Co., Ltd.
    	
 
    	
Supplemental Agreement(Junhao)
    	
 
    	
/
    
	
14
    	
 
    	
Kr Space (Beijing) Information Technology   Co., Ltd.vs Beijing Duoke Information Technology Co., Ltd.
    	
 
    	
Housing Free Lease Contract (register address)
    	
 
    	
/
    
	
15
    	
 
    	
北京喜盟资产管理有限公司   Beijing Duoke Information Technology Co., Ltd.
    	
 
    	
Office Lease Contract (Room 01-04, F5, Building 1   )(Junhao)
    	
 
    	
1st Dec. 2018
    
	
16
    	
 
    	
北京世纪恒丰房地产开发有限公司   vs Beijing Duoke Information Technology Co., Ltd.
    	
 
    	
Lease Contract of Wentelai Center (F2)(for the auto   media sector)
    	
 
    	
10th May 2019
    
	
17
    	
 
    	
北京恒瑞永嘉资产管理有限公司   vs Beijing Duoke Information Technology Co., Ltd.
    	
 
    	
Lease Contract (Borui Room A17) (for the innovation   sector)
    	
 
    	
2019
    
	
18
    	
 
    	
上海桂程信息技术有限公司   Beijing Duoke Information Technology Co., Ltd.
    	
 
    	
Service Agreement (People’s Square, Shanghai)
    	
 
    	
July 2019
    
	
19
    	
 
    	
上海哈咖信息技术有限公司   Beijing Duoke Information Technology Co., Ltd.
    	
 
    	
Service Agreement (Wending Road, Shanghai)
    	
 
    	
2017
    
	
20
    	
 
    	
Beijing Duoke Information Technology   Co., Ltd.vs Beijing Dian Qier Creative Interactive Media Culture   Co., Ltd.
    	
 
    	
(register address) (free)
    	
 
    	
/
    
	
21
    	
 
    	
天津信星国际产业园管理有限公司   vs Tianjin Thirty-six Hearts Technology Co., Ltd.
    	
 
    	
(register address) (free)
    	
 
    	
/
    
	
22
    	
 
    	
杭州云栖小镇管理委员会   Zhejiang Pinxin Technology Co., Ltd.
    	
 
    	
Corporation Agreement (register address)
    	
 
    	
2019
    
	
23
    	
 
    	
浙江中大人地实业有限公司   Hangzhou Pinxin Acceleration Technology Co., Ltd.
    	
 
    	
Lease Contact (register address)(free)
    	
 
    	
25th March 2019
    
	
24
    	
 
    	
杭州西投鑫睿产业运营管理有限公   司 vs Hangzhou Pinxin Acceleration Technology Co., Ltd.
    	
 
    	
Lease Contract (Room 803, F8, Building 1,   Xitouchuangzhi Center)
    	
 
    	
2019
    
	
25
    	
 
    	
Individual (董强华) vs Siuchan   Thirty-six Ke Technology Co., Ltd.
    	
 
    	
(register address)
    	
 
    	
Apr. 2019
    
	
26
    	
 
    	
南京市建邺区高新科技投资集团有   限公司 vs Jiangsu Kuaike Technology Co., Ltd.
    	
 
    	
Residence Agreement (register address)
    	
 
    	
2019
    

 

VI-10

 

	
No.
    	
 
    	
Parties
    	
 
    	
Contract Name
    	
 
    	
Date
    
	
27
    	
 
    	
重庆高科集团有限公司、廖理   vs Chongqing Duoke Acceleration Technology Co., Ltd.
    	
 
    	
Three Parties Agreement (register address)
    	
 
    	
2019
    
	
28
    	
 
    	
Beijing Duoke Information Technology Co., Ltd.   vs Beijing Dake Information Technology Co., Ltd.
    	
 
    	
(register address)(free)
    	
 
    	
2019
    
	
29
    	
 
    	
Tianjin Duoke Investment Co., Ltd.
    	
 
    	
(register address)(free)
    	
 
    	
/
    
	
30
    	
 
    	
Tianjin Dake Information Technology Co., Ltd.
    	
 
    	
(register address)(free)
    	
 
    	
/
    
	
31
    	
 
    	
株式会社 36Kr Japan vs   積和不动 产株式会社
    	
 
    	
Bizsmart 契约书(Lease Contract)
    	
 
    	
19th July 2019
    
	
32
    	
 
    	
KRASIA PLUS PTE. LTD. vs Compass Group Holdings   Singapore Pte. Ltd.
    	
 
    	
Business Centre Services Agreement
    	
 
    	
1st April 2019
    
	
33
    	
 
    	
KRASIA PLUS PTE. LTD.
    	
 
    	
(register address) (provide by the company   secretary)
    	
 
    	
/
    
	
34
    	
 
    	
Bytedance (HK) Limited vs 36Kr Holdings (HK) Limited
    	
 
    	
Term Sheet (regarding 36Kr Global Holding (HK)   Limited)
    	
 
    	
 
    
	
35
    	
 
    	
Nikkei Inc.   株式会社日本経済新聞   社 vs Beijing Duoke Information Technology Co., Ltd.
    	
 
    	
Business Cooperation Agreement and its Supplemental Agreement
    	
 
    	
2019
    
	
36
    	
 
    	
ZHEJIANG PINXIN TECHNOLOGY CO., LTD. vs   杭州   氪意信息科技有限公司
    	
 
    	
JV agreement (regarding Hangzhou Pinxin Acceleration   Technology Co., Ltd.)
    	
 
    	
1st Mar. 2019
    
	
37
    	
 
    	
ZHEJIANG PINXIN TECHNOLOGY CO., LTD.vs   江苏   现代快报传媒有限公司
    	
 
    	
JV agreement (regarding Jiangsu Kuaike Technology   Co., Ltd.)
    	
 
    	
5th May 2019
    
	
38
    	
 
    	
ZHEJIANG PINXIN TECHNOLOGY CO., LTD.vs   四川   华文阳光科技有限公司
    	
 
    	
JV agreement (regarding Sichuan Thirty-six Ke   Technology Co., Ltd.)
    	
 
    	
5th May 2019
    
	
39
    	
 
    	
ZHEJIANG PINXIN TECHNOLOGY CO., LTD.vs   重庆   叁拾六氪信息科技有限公司
    	
 
    	
JV agreement (regarding Chongqing Duoke Acceleration   Technology Co., Ltd.)
    	
 
    	
24th July 2019
    
	
40
    	
 
    	
36Kr Holdings Inc. vs Kr Space (HK) Limited
    	
 
    	
Loan Contract
    	
 
    	
July 2019
    

 

VI-11

 

	
No.
    	
 
    	
Parties
    	
 
    	
Contract Name
    	
 
    	
Date
    
	
41
    	
 
    	
KRASIA PLUS PTE. LTD. Vs Beijing Duoke Information   Technology Co., Ltd.
    	
 
    	
Media promotion cooperation agreement
    	
 
    	
/
    
	
42
    	
 
    	
KRASIA PLUS PTE. LTD. Vs Beijing Duoke Information   Technology Co., Ltd.
    	
 
    	
Annual framework cooperation agreement
    	
 
    	
/
    
	
43
    	
 
    	
株式会社   36Kr Japan vs Japan Finance Corporation
    	
 
    	
借用証書   (loan certificate)
    	
 
    	
/
    
	
44
    	
 
    	
KRASIA PLUS PTE. LTD. vs 株式  会社   36Kr Japan
    	
 
    	
Loan Agreements
    	
 
    	
14th Dec.   2018 & 30th April   2019
    
	
45
    	
 
    	
株式会社36Kr   Japan vs Plus China 株式会社   vs Beijing Duoke Information Technology Co., Ltd.
    	
 
    	
Business cooperation agreement
    	
 
    	
2019
    
	
46
    	
 
    	
36Kr Global Holding (HK) Limited with relevant   parties (regarding 株式    会社 36Kr Japan’s investment)
    	
 
    	
書面株主総会同意書_定款変更な し/株式譲渡承認書類一式/株式譲  渡契約書/株式申込書 etc.
    	
 
    	
2019
    
	
47
    	
 
    	
36Kr Global Holding (HK) Limited with relevant   parties (regarding KRASIA PLUS PTE. LTD.’s investment)
    	
 
    	
SSA/SHA/SPA (Ma Cheng and Beijing 36KR)/SPA   (01VC)/Deed of Adherence (schedule 1 of the SPAs)/KRASIA Plus Pte. Ltd. —   DRIW/Addendum to the Shareholders Agreement/Letter of Consent and Waiver from   Shareholders/Share Transfer Form (01VC to Purchaser)/Share Transfer Form   (Beijing 36KR to Purchaser)/Share Transfer Form (Ma Cheng to Purchaser)/etc.
    	
 
    	
2018 &2019
    

 

VI-12

 

SCHEDULE VII

 

CAPITALIZATION TABLE

 

THE CAPITALIZATION TABLE IMMEDIATELY PRIOR TO THE CLOSING

 

	
Name
    	
 
    	
Type of Shares
    	
 
    	
Number of Shares
    	
 
    	
Percentage
    	
 
    
	
Founder   Parties (as defined in the Shareholders Agreement)
    	
 
    
	
36Kr Heros Holding Limited
    	
 
    	
Ordinary Shares
    	
 
    	
58,749,000
    	
 
    	
5.8749
    	
%
    
	
Palopo Holding Limited
    	
 
    	
Ordinary Shares
    	
 
    	
78,512,000
    	
 
    	
7.8512
    	
%
    
	
ESOP
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
ESOP (reserved)
    	
 
    	
Ordinary Shares
    	
 
    	
137,186,000
    	
 
    	
13.7186
    	
%
    
	
Ordinary   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
BLACK ANT GROUP INVESTMENT CO., LIMITED
    	
 
    	
Ordinary Shares
    	
 
    	
11,440,000
    	
 
    	
1.1440
    	
%
    
	
Firefly Spring Ltd.
    	
 
    	
Ordinary Shares
    	
 
    	
5,463,000
    	
 
    	
0.5463
    	
%
    
	
Head& Shoulders Global Investment Limited
    	
 
    	
Ordinary Shares
    	
 
    	
3,129,000
    	
 
    	
0.3129
    	
%
    
	
HappyCAI Limited
    	
 
    	
Ordinary Shares
    	
 
    	
19,550,000
    	
 
    	
1.9550
    	
%
    
	
Series A-1   Investor
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Beijing Jiuhe Yunqi Investment Center L.P. (北  京九合云起投资中心((有  限合伙))
    	
 
    	
Series A-1   Preferred Shares
    	
 
    	
65,307,000
    	
 
    	
6.5307
    	
%
    
	
Series A-2   Investor
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Tembusu Limited
    	
 
    	
Series A-2   Preferred Shares
    	
 
    	
101,261,000
    	
 
    	
10.1261
    	
%
    
	
Series B-1   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Neo TH Holdings Limited
    	
 
    	
Series B-1   Preferred Shares
    	
 
    	
28,674,000
    	
 
    	
2.8674
    	
%
    
	
Themisclio Limited
    	
 
    	
Series B-1   Preferred Shares
    	
 
    	
7,168,000
    	
 
    	
0.7168
    	
%
    
	
M36 Investment Limited
    	
 
    	
Series B-1   Preferred Shares
    	
 
    	
62,688,000
    	
 
    	
6.2688
    	
%
    
	
API (Hong Kong) Investment Limited
    	
 
    	
Series B-1   Preferred Shares
    	
 
    	
151,772,000
    	
 
    	
15.1772
    	
%
    
	
Series B-2   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Themisclio Limited
    	
 
    	
Series B-2   Preferred Shares
    	
 
    	
14,593,000
    	
 
    	
1.4593
    	
%
    
	
Series B-3   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Beijing Zhanjin Management Consulting Center L.P. (北京展金管理) 咨询中心(有限合伙))
    	
 
    	
Series B-3   Preferred Shares
    	
 
    	
29,417,000
    	
 
    	
2.9417
    	
%
    
	
Beijing Yunli Hefeng Management Consulting Center   L.P. (北京云力和风    管理咨询中心(有限合
    	
 
    	
Series B-3   Preferred Shares
    	
 
    	
26,688,000
    	
 
    	
2.6688
    	
%
    
	
Series B-4   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
SPRIGHT KR CO. LIMITED
    	
 
    	
Series B-4   Preferred Shares
    	
 
    	
14,606,000
    	
 
    	
1.4606
    	
%
    
	
Hongtu Capital Investment Limited
    	
 
    	
Series B-4   Preferred Shares
    	
 
    	
6,376,000
    	
 
    	
0.6376
    	
%
    
	
Series C-1   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Runzhi HK Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
18,320,000
    	
 
    	
1.8320
    	
%
    
	
Oasis Angel (HK) Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
2,617,000
    	
 
    	
0.2617
    	
%
    
	
Falcon Investment Holdings Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
19,628,000
    	
 
    	
1.9628
    	
%
    
	
China Prosperity Capital Alpha Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
58,884,000
    	
 
    	
5.8884
    	
%
    
	
Nova Compass Investment Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
19,628,000
    	
 
    	
1.9628
    	
%
    
	
Greentech Tianhong Investment Holding Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
36,639,000
    	
 
    	
3.6639
    	
%
    
	
Sparkle Roll Culture & Entertainment   Development Ltd (耀莱文娱发展有限公    司)
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
9,160,000
    	
 
    	
0.9160
    	
%
    
	
Series C-2   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
China Prosperity Capital Alpha Limited
    	
 
    	
Series C-2   Preferred Shares
    	
 
    	
12,545,000
    	
 
    	
1.2545
    	
%
    
	
Total
    	
 
    	
 
    	
 
    	
1,000,000,000
    	
 
    	
100.0000
    	
%
    

 

VII-1

 

THE CAPITALIZATION TABLE IMMEDIATELY AFTER THE CLOSING

 

	
Name
    	
 
    	
Type of Shares
    	
 
    	
Number of Shares
    	
 
    	
Percentage
    	
 
    
	
Founder   Parties (as defined in the Shareholders Agreement)
    	
 
    
	
36Kr Heros Holding Limited
    	
 
    	
Ordinary Shares
    	
 
    	
58,749,000
    	
 
    	
5.6489
    	
%
    
	
Palopo Holding Limited
    	
 
    	
Ordinary Shares
    	
 
    	
78,512,000
    	
 
    	
7.5492
    	
%
    
	
ESOP
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
ESOP (reserved)
    	
 
    	
Ordinary Shares
    	
 
    	
137,186,000
    	
 
    	
13.1909
    	
%
    
	
Ordinary   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
BLACK ANT GROUP INVESTMENT CO., LIMITED
    	
 
    	
Ordinary Shares
    	
 
    	
11,440,000
    	
 
    	
1.1000
    	
%
    
	
Firefly Spring Ltd.
    	
 
    	
Ordinary Shares
    	
 
    	
5,463,000
    	
 
    	
0.5253
    	
%
    
	
Head & Shoulders Global Investment Limited
    	
 
    	
Ordinary Shares
    	
 
    	
3,129,000
    	
 
    	
0.3009
    	
%
    
	
HappyCAI Limited
    	
 
    	
Ordinary Shares
    	
 
    	
19,550,000
    	
 
    	
1.8798
    	
%
    
	
Series A-1   Investor
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Beijing Jiuhe Yunqi Investment Center L.P. ( 北京九合云起投资中心(有限合    伙))
    	
 
    	
Series A-1   Preferred Shares
    	
 
    	
65,307,000
    	
 
    	
6.2795
    	
%
    
	
Series A-2   Investor
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Tembusu Limited
    	
 
    	
Series A-2   Preferred Shares
    	
 
    	
101,261,000
    	
 
    	
9.7366
    	
%
    
	
Series B-1   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Neo TH Holdings Limited
    	
 
    	
Series B-1   Preferred Shares
    	
 
    	
28,674,000
    	
 
    	
2.7571
    	
%
    
	
Themisclio Limited
    	
 
    	
Series B-1   Preferred Shares
    	
 
    	
7,168,000
    	
 
    	
0.6892
    	
%
    
	
M36 Investment Limited
    	
 
    	
Series B-1   Preferred Shares
    	
 
    	
62,688,000
    	
 
    	
6.0277
    	
%
    
	
API (Hong Kong) Investment Limited
    	
 
    	
Series B-1   Preferred Shares
    	
 
    	
151,772,000
    	
 
    	
14.5935
    	
%
    
	
Series B-2   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Themisclio Limited
    	
 
    	
Series B-2   Preferred Shares
    	
 
    	
14,593,000
    	
 
    	
1.4032
    	
%
    
	
Series B-3   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Beijing Zhanjin Management Consulting Center L.P. (北京展金管理  咨询中心(有限合伙))
    	
 
    	
Series B-3   Preferred Shares
    	
 
    	
29,417,000
    	
 
    	
2.8286
    	
%
    
	
Beijing Yunli Hefeng Management Consulting Center   L.P. (北京云力和风    管理咨询中心(有限合    伙))
    	
 
    	
Series B-3   Preferred Shares
    	
 
    	
26,688,000
    	
 
    	
2.5662
    	
%
    
	
Series B-4   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
SPRIGHT KR CO. LIMITED
    	
 
    	
Series B-4   Preferred Shares
    	
 
    	
14,606,000
    	
 
    	
1.4044
    	
%
    
	
Hongtu Capital Investment Limited
    	
 
    	
Series B-4   Preferred Shares
    	
 
    	
6,376,000
    	
 
    	
0.6131
    	
%
    
	
Series C-1   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Runzhi HK Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
18,320,000
    	
 
    	
1.7615
    	
%
    
	
Oasis Angel (HK) Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
2,617,000
    	
 
    	
0.2516
    	
%
    
	
Falcon Investment Holdings Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
19,628,000
    	
 
    	
1.8873
    	
%
    
	
China Prosperity Capital Alpha Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
58,884,000
    	
 
    	
5.6619
    	
%
    
	
Nova Compass Investment Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
19,628,000
    	
 
    	
1.8873
    	
%
    
	
Greentech Tianhong Investment Holding Limited
    	
 
    	
Series C-1   Preferred Shares
    	
 
    	
36,639,000
    	
 
    	
3.5230
    	
%
    
	
Sparkle Roll Culture & Entertainment   Development Ltd (耀莱文娱发展有限公    司)
    	
 
    	
Series C-1 Preferred   Shares
    	
 
    	
9,160,000
    	
 
    	
0.8808
    	
%
    
	
Series C-2   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
China Prosperity Capital Alpha Limited
    	
 
    	
Series C-2   Preferred Shares
    	
 
    	
12,545,000
    	
 
    	
1.2063
    	
%
    
	
Series D   Investors
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Lotus Walk Inc.
    	
 
    	
Series D Preferred   Shares
    	
 
    	
20,000,000
    	
 
    	
1.9231
    	
%
    
	
Nikkei Inc. (株式会社日本    経済新聞社)
    	
 
    	
Series D Preferred   Shares
    	
 
    	
8,333,333
    	
 
    	
0.8013
    	
%
    
	
Krystal Imagine Investments Limited
    	
 
    	
Series D Preferred   Shares
    	
 
    	
5,000,000
    	
 
    	
0.4808
    	
%
    
	
Red Better Limited
    	
 
    	
Series D Preferred   Shares
    	
 
    	
3,333,333
    	
 
    	
0.3205
    	
%
    
	
Homshin Innovations Ltd.
    	
 
    	
Series D Preferred   Shares
    	
 
    	
3,333,333
    	
 
    	
0.3205
    	
%
    
	
Total
    	
 
    	
 
    	
 
    	
1,039,999,999
    	
 
    	
100.0000
    	
%
    

 

VII-2

 

SCHEDULE VIII

 

LIST OF TRADEMARKS TO BE TRANSFERRED

 

	
No.
    	
 
    	
Class
    	
 
    	
Registration
   No.
    	
 
    	
Trademark
    	
 
    	
Name of
   Applicant
    
	
1
    	
 
    	
16
    	
 
    	
15360033
    	
 
    	
36Kr
    	
 
    	
Xieli Zhucheng
    
	
2
    	
 
    	
41
    	
 
    	
13894004
    	
 
    	
36Kr
    	
 
    	
Xieli Zhucheng
    
	
3
    	
 
    	
42
    	
 
    	
12901617
    	
 
    	
36Kr
    	
 
    	
Xieli Zhucheng
    
	
4
    	
 
    	
44
    	
 
    	
16216729
    	
 
    	
36Kr
    	
 
    	
Xieli Zhucheng
    
	
5
    	
 
    	
45
    	
 
    	
15323988
    	
 
    	
36Kr
    	
 
    	
Xieli Zhucheng
    
	
6
    	
 
    	
16
    	
 
    	
15113596
    	
 
    	
36氪
    	
 
    	
Xieli Zhucheng
    
	
7
    	
 
    	
41
    	
 
    	
13894014
    	
 
    	
36氪
    	
 
    	
Xieli Zhucheng
    
	
8
    	
 
    	
42
    	
 
    	
25290607
    	
 
    	
36氪
    	
 
    	
Xieli Zhucheng
    
	
9
    	
 
    	
42
    	
 
    	
18301357
    	
 
    	
36氪
    	
 
    	
Xieli Zhucheng
    
	
10
    	
 
    	
44
    	
 
    	
15589592
    	
 
    	
36氪
    	
 
    	
Xieli Zhucheng
    
	
11
    	
 
    	
45
    	
 
    	
15323970
    	
 
    	
36氪
    	
 
    	
Xieli Zhucheng
    
	
12
    	
 
    	
16
    	
 
    	
22439429
    	
 
    	
WISE
    	
 
    	
Xieli Zhucheng
    

 

 

EXHIBIT A

 

FORM OF SECOND AMENDED AND RESTATED MEMORANDUM AND ARTICLES OF ASSOCIATION

 

A-1

 

EXHIBIT B

 

FORM OF AMENDED AND RESTATED SHAREHOLDERS AGREEMENT

 

B-1

 

EXHIBIT C

 

FORM OF CLOSING CERTIFICATE

 

SEPTEMBER  , 2019

 

Pursuant to Section 5.11 of Series D Preferred Share Subscription Agreement dated September  , 2019, by and among 36Kr Holdings Inc. (the “Company”), the Investors listed on Schedule I thereto and certain other parties thereto (the “Agreement”), the chief financial officer of the Company, hereby certifies on behalf of the Company that the conditions specified in sections 5.1 and 5.2 of the Agreement have been fulfilled as of the date first written above.

 

	
By:
    	
 
    	
 
    
	
Name:
    	
 
    	
 
    
	
Title:
    	
CFO
    	
 
    

 

C-2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00300-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00300-of-00352.parquet"}]]