Examples of VIE Entities in a sentence
The Class B Ordinary Shares shall not be converted into Class A Ordinary Shares, either on the Conversion Date or the Automatic Conversion Date if the Board of Directors resolves by way of a super majority vote of 75% of the members of the Board that such conversion shall, in their opinion, result in the Company and/or any of the VIE Entities failing to comply with any foreign ownership restrictions applicable to the Company.
As a result, we have entered into a series of agreements narrowly tailored to provide our Group with control over the VIE Entities and grant our Group the right to acquire the entire equity interest of the VIE Entities when and to the extent permitted by the PRC laws and regulations.Through the shareholdings and the Contractual Arrangements, we supervise and control the business operations of the VIE Entities and derive economic benefits from Tianrui Medical and the VIE Entities.
The Contractual Arrangements consist of the Structured Contracts which are entered into among Dehong Medical on one hand, and Tianrui Medical, the VIE Entities and the Relevant Shareholders (namely, Xx. Xxxx and Xx. Xxxxx), where appropriate, on the other hand.
As disclosed in the section headed “Contractual Arrangements” in this document, the business operations of the VIE Entities constitute a business restricted to foreign investment in the PRC, therefore, we cannot directly acquire the entire equity interest in the VIE Entities.
Pursuant to the Business Cooperation Agreements, Raily Beauty Consultation has the ownership of any and all intellectual property rights developed or created by the VIE Entities during the performance of the Business Cooperation Agreements.