ADDED
As of September 30, 2024, the last business day of the registrant s most recently completed second fiscal quarter, the aggregate market value of the common stock held by non-affiliates of the registrant was $ 4,140,177.33 , based on the closing price of $0.7089 for the registrant s common stock as quoted on the Nasdaq Capital Market on that date.
Shares of common stock held by each director, each officer and each person who owns 10% or more of the outstanding common stock have been excluded from this calculation in that such persons may be deemed to be affiliates.
The determination of affiliate status is not necessarily conclusive.
The registrant had 10,090,963 shares of its common stock outstanding as of June 29, 2025.
Chinese regulatory authorities could disallow our operating structure, which would likely result in a material change in our operations and/or the value of our common stock, par value $0.001 per share ( Common Stock ), including that it could cause the value of such securities to significantly decline or become worthless.
The business of our subsidiaries until the filing date of this Form 10K is not subject to cybersecurity review with the Cyberspace Administration of China, or CAC, given that: (i) our products and services are offered not directly to individual users but through our institutional customers; (ii) we do not possess a large amount of personal information in our business operations; and (iii) data processed in our business does not have a bearing on national security and thus may not be classified as core or important data by the authorities.
Pursuant to the fact sheet with respect to the Protocol released by the U.S Securities and Exchanges Commission (the SEC ), the PCAOB shall have independent discretion to select any issuer audits for inspection or investigation and the unfettered ability to transfer information to the SEC.
5 Our independent registered public accounting firm s audit documentation related to their audit reports included in this Form 10-K include audit documentation located in the PRC.
( YICG ), which was incorporated under the laws of the Republic of Seychelles and principally engaged in garment manufacture, where we agreed to acquire 100% of the equity interest in YICG and to issue two million five hundred thousand (2,500,000) restricted common shares of the Company to former owners of YICG (after giving effect to all subsequent share splits, combinations or similar transactions).
We conduct substantially all of our operations through our operating companies established in the PRC, primarily YX, our wholly owned subsidiary and its subsidiaries.
REMOVED
The aggregate market value of voting and non-voting common equity held by non-affiliates of the registrant as of June 28, 2023 was $ 26,924,702.4 , based on the last reported sale price of $0.72 per share.
As confirmed by our PRC counsel at the date of September 2, 2022, the business of our subsidiaries until our registration are not subject to cybersecurity review with the Cyberspace Administration of China, or CAC, given that: (i) our products and services are offered not directly to individual users but through our institutional customers; (ii) we do not possess a large amount of personal information in our business operations; and (iii) data processed in our business does not have a bearing on national security and thus may not be classified as core or important data by the authorities.
The delisting or the cessation of trading of our Ordinary Shares, or the threat of their being delisted or prohibited from being traded, may materially and adversely affect the value of your investment.
Our independent registered public accounting firm s audit documentation related to their audit reports included in this prospectus include audit documentation located in the PRC.
( YICG ), which was incorporated under the laws of the Republic of Seychelles and principally engaged in garment manufacture, where we agreed to acquire 100% of the equity interest in YICG and to issue five hundred million (500,000,000) restricted common shares of the Company to YICG.
We conduct substantially all of our operations through our operating companies established in the People s Republic of China, or the PRC, primarily Shenzhen Qianhai Yingxi Industrial Chain Service Co., Ltd.
We classify our businesses into three main segments : garment manufacturing, logistics services, and property management and subleasing.
As the COVID-19 pandemic is near an endemic, the Company ceased to operate in this business in the first quarter of 2023.
8 Our garment manufacturing business consists of sales made principally to wholesaler located in the PRC.
We conduct our garment manufacturing operations through five wholly owned subsidiaries, namely Dongguan Heng Sheng Wei Garments Co., Ltd ( HSW ), Dongguan Yushang Clothing Co., Ltd ( YS ), Shantou Yi Bai Yi Garment Co., Ltd ( YBY ), Zhuang Hao Jia (Dongguan) Decoration Engineering Co.,Ltd ( ZHJ ), and Dongguan Aotesi Garments Co., Ltd., ( AOT ) , which are located in the Guangdong province, China.