Common use of Operational Independence Clause in Contracts

Operational Independence. Although our Controlling Shareholders will retain a controlling interest in us after [REDACTED], we have full rights to make all decisions on, and to carry out, our own business operations independently. Our Company, through our subsidiaries, holds the licenses and qualifications necessary to carry on our current business, and has sufficient capital, facilities, technology and employees to operate the business independently from our Controlling Shareholders. We have access to third parties independently from and not connected to our Controlling Shareholders for sources of suppliers and customers. Our Directors are of the view that there is no operational dependence by us on our Controlling Shareholders, and our Group is able to operate independent from our Controlling Shareholders after the [REDACTED]. We have established our own finance department with a team of financial staff, who are responsible for financial control, accounting, reporting, group credit and internal control functions of the Company, independent from the Controlling Shareholders. We are able to make financial decisions independently and the Controlling Shareholders and their respective close associates do not intervene with our financial matters. We have also established an independent audit system, a standardized financial and accounting system and a complete financial management system. In addition, we are capable of obtaining financing from third parties at reasonable costs without relying on any guarantee or security provided by the Controlling Shareholders or their close associates (other than the Group). As of the Latest Practicable Date, there are no outstanding loans or guarantees provided by, or granted to, our Controlling Shareholders or their respective associates. Based on the above, our Directors are of the view that we are capable of carrying on our business independently of, and do not place undue reliance on the Controlling Shareholders and their respective close associates after the [REDACTED].

Operational Independence. Although our Controlling Shareholders will retain a controlling interest in us after [REDACTED], we have full rights to make all decisions on, and to carry out, our own business operations independently. Our Company, through our subsidiaries, holds the licenses and qualifications necessary to carry We do not rely on our current business, and has sufficient capital, facilities, technology and employees to operate the business independently from our Controlling Shareholders. We have access to third parties independently from and not connected to our Controlling Shareholders for sources of suppliers and customers. Our Directors are of the view that there is no operational dependence by us on our Controlling Shareholders, and our Group is able to operate independent from our Controlling Shareholders after the [REDACTED]. We have established our own finance department with a team of financial staff, who are responsible for financial control, accounting, reporting, group credit and internal control functions of the Company, independent from the Controlling Shareholders. We are able to make financial decisions independently and the Controlling Shareholders and their respective close associates do not intervene with for our financial mattersbusiness development, logistics, administration, finance, internal audit, information technology, sales and marketing, or company secretarial functions. We have also established our own departments specializing in these respective areas which have been in operation and are expected to continue to operate separately and independently from the Controlling Shareholders and their close associates. In addition, we have our own headcount of employees for our operations and management for human resources. We have independent access to suppliers and customers and an independent audit systemmanagement team to handle our day-to-day operations. We are also in possession of all relevant licenses, a standardized certificates, facilities and intellectual property rights necessary to carry on and operate our principal businesses and we have sufficient operational capacity in terms of capital and employees to operate independently. Based on the above, our Directors believe that we are able to operate independently of the Controlling Shareholders and their close associates. We have an independent financial system and make financial decisions according to our Group’s own business needs. We have internal control and accounting system systems and a complete financial management systeman independent finance department for discharging the treasury function. We do not expect to rely on the Controlling Shareholders and their close associates for financing after the [REDACTED] as we expect that our working capital will be funded by cash flows generated from operating activities, bank loans as well as the [REDACTED] from the [REDACTED]. In addition, we are capable of obtaining financing from third parties at reasonable costs Independent Third Parties without relying on any guarantee or security provided by the our Controlling Shareholders or their close associates (other than the Group)respective associates. As of the Latest Practicable Date, there are was no outstanding loans or guarantees guarantee provided by, or granted to, our the Controlling Shareholders or their respective associates. During the Track Record Period, we have received a series of [REDACTED] from third party investors independently. For details of the [REDACTED], please refer to the section headed “History, Development and Corporate Structure” in this Document. Based on the above, our Directors are of the view believe that we are capable of carrying on our business independently of, and do not place undue reliance on the Controlling Shareholders and their respective close associates after the [REDACTED].