Common use of PRC Regulations Clause in Contracts

PRC Regulations. Except as described in the Registration Statement and the Pricing Disclosure Package, each of the Company and Subsidiaries has taken or is in the process of taking all reasonable steps (to the extent required of the Company and each such Subsidiary under PRC laws and regulations) to comply with, and to ensure compliance by each of (i) its principal shareholders as disclosed in the Registration Statement and the Pricing Disclosure Package, and (ii) any other persons known to the Company that are required to comply (in connection with their interests in the Company) with applicable rules and regulations of the relevant PRC governmental agencies (including, without limitation, the Ministry of Commerce, National Development and Reform Commission and the State Administration of Foreign Exchange) relating to overseas investment by PRC residents and citizens or overseas listing by offshore special purpose vehicles controlled directly or indirectly by PRC companies and individuals, such as the Company (the “PRC Overseas Investment and Listing Regulations”), including, without limitation, requesting such persons to complete any registration and other procedures required under applicable PRC Overseas Investment and Listing Regulations. Each of the Company’s principal shareholders has submitted all materials to apply for registration. When a PRC resident fails to complete registration as required, the relevant Foreign Exchange Bureau may order the shareholder to correct the act, give a warning thereon and impose a fine of not more than RMB 300,000 in the case of an institution or RMB 50,000 in the case of an individual.