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SEC Filings

8-K
SEVEN STARS CLOUD GROUP, INC. filed this Form 8-K on 09/08/2017
Entire Document
 

 

 

Additionally, assuming full milestones are met for the previously announced SVG Performance Guarantee, Sun Seven Stars/SSGCG could ultimately control approximately 50.9% of the outstanding fully diluted voting power (further details of the SVG Performance Guarantee can be found in the February 1, 2017 press release issued by SSC {linked here}, or in the Company's SEC filing under Form 8K).

 

Sun Seven Stars Impetus for Distribution:

 

As the Company’s dollar revenues continue to expand and the regional sources of those revenues become more globally and cross-border based, it is SSC’s intention to move its headquarters from China to the US in the near future to align with these growth trends. Mr. Wu’s Sun Seven Stars’ distribution of shares from a China-based holding structure to offshore minority shareholders of Sun Seven Stars/SSGCG, is consistent with the Company’s evolution as well as its planned change of headquarters.

 

In addition, according to the State Administration of Taxation (SAT) and the Ministry of Finance, a Chinese shareholder may be taxed currently on its proportionate share of undistributed profits of a Controlled Foreign Company (“CFC”) located in certain low-tax jurisdictions, where there are no valid business reasons for the decision not to distribute the profits. A CFC is defined as a non-Chinese company controlled by China tax residents (which may include both companies and individuals, each of which must hold a 10% or greater voting share and which jointly must own 50% or more of the shares) through direct or indirect share ownership. Therefore, the Distribution of shares from Sun Seven Stars/SSGCG to its current minority shareholders offers a more beneficial tax structure on its proportionate share of any potential future Seven Stars Cloud’s consolidated but undistributed profits.

  

About Seven Stars Cloud Group, Inc. (http://corporate.sevenstarscloud.com/)

 

Seven Stars Cloud Group, Inc. (NASDAQ: SSC) is aiming to be a leading Intelligent Industrial Internet (3I) platform, creating a fintech-powered, supply chain solution simplified for commercial enterprises. There are 2 Engines that drive our business platform: 1. VPaaS - Supply Chain Management for key industry sectors and leaders including but not limited to Big Commodities, Cross-Border Trade, Consumer Electronics & Energy; 2. Digital Finance Solutions - Supply Chain Finance underwritten by our Global Cornerstone Funds and Tokenization and Exchange Platforms, which include FINRA and SEC-regulated: Index Exchanges, Initial Coin Offering / Tokenization, ETFs and Derivatives. Both Engines and their various arms will run on 'BASE' technology and infrastructure (Blockchain, Artificial Intelligence, Supply Chain & Exchanges) to power a closed trade ecosystem for buyers and sellers designed to eliminate transactional middlemen and create a more direct and margin- expanding path for principals.