SunCar Technology Group (SDA) Registration Filing summary

Company overview and business model

• Leading cloud-based provider of digitalized enterprise auto services and auto eInsurance in China, serving over 1,400 enterprise clients and collaborating with 47,000+ third-party service providers as of December 31, 2023.

• Operates a multi-tenant, cloud-based platform offering B2B automotive services and digital insurance solutions, with a growing SaaS product line targeting service providers.

• Facilitates auto eInsurance sales through a network of 64,000+ external sales partners and partnerships with 85 insurance companies, including the top 10 in China.

• Business model leverages synergies between auto services and insurance, with cross-utilization of networks and technology to drive growth.

• Corporate structure is a Cayman Islands holding company with operations primarily in China, exposing it to unique regulatory and operational risks.

Financial performance and metrics

• Reported revenue of $282.4 million in 2022 and $363.7 million in 2023, reflecting significant year-over-year growth.

• No cash transfers, dividends, or distributions occurred between the holding company and subsidiaries, or to U.S. investors, during the reporting periods.

• For the foreseeable future, earnings are intended for R&D, new product development, and capacity expansion, with no plans to declare dividends.

Use of proceeds and capital allocation

• All shares offered are for resale by the selling securityholder; the company will not receive any proceeds from these sales.

• Proceeds from the offering will go to the selling securityholder, not to the company.