<SEC-DOCUMENT>0001104659-25-016159.txt : 20250401
<SEC-HEADER>0001104659-25-016159.hdr.sgml : 20250401
<ACCEPTANCE-DATETIME>20250221163013
<PRIVATE-TO-PUBLIC>
ACCESSION NUMBER:		0001104659-25-016159
CONFORMED SUBMISSION TYPE:	CORRESP
PUBLIC DOCUMENT COUNT:		2
FILED AS OF DATE:		20250221

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			Recon Technology, Ltd
		CENTRAL INDEX KEY:			0001442620
		STANDARD INDUSTRIAL CLASSIFICATION:	OIL, GAS FIELD SERVICES, NBC [1389]
		ORGANIZATION NAME:           	01 Energy & Transportation
		EIN:				000000000
		STATE OF INCORPORATION:			E9
		FISCAL YEAR END:			0630

	FILING VALUES:
		FORM TYPE:		CORRESP

	BUSINESS ADDRESS:	
		STREET 1:		ROOM 601, 1 SHUI'AN SOUTH STREET
		STREET 2:		CHAOYANG DISTRICT
		CITY:			BEIJING
		STATE:			F4
		ZIP:			100012
		BUSINESS PHONE:		86 10 8494-5799

	MAIL ADDRESS:	
		STREET 1:		ROOM 601, 1 SHUI'AN SOUTH STREET
		STREET 2:		CHAOYANG DISTRICT
		CITY:			BEIJING
		STATE:			F4
		ZIP:			100012
</SEC-HEADER>
<DOCUMENT>
<TYPE>CORRESP
<SEQUENCE>1
<FILENAME>filename1.htm
<TEXT>
<HTML>
<HEAD>
     <TITLE></TITLE>
</HEAD>
<BODY STYLE="font: 10pt Times New Roman, Times, Serif">

<P STYLE="text-align: center; margin-top: 0; margin-bottom: 0">&nbsp;</P>

<P STYLE="text-align: center; margin-top: 0; margin-bottom: 0"><IMG SRC="tm2423311d4_img001.jpg" ALT=""></P>

<P STYLE="text-align: center; margin-top: 0; margin-bottom: 0">&nbsp;</P>

<P STYLE="text-align: left; margin-top: 0; margin-bottom: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Room 601, No. 1 Shui&rsquo;an South Street, Chaoyang
District</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Beijing 100012, People&rsquo;s Republic of China</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">February 21, 2025</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Robert Babula</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">John Cannarella</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Office of Energy &amp; Transportation</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Division of Corporation Finance</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">U.S. Securities and Exchange Commission</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">100 F Street, N.E.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Washington, D.C. 20549-4631</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><B>&nbsp;</B></P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
  <TR STYLE="vertical-align: bottom">
    <TD STYLE="width: 5%"><FONT STYLE="font-size: 10pt"><B>Re:</B></FONT></TD>
    <TD STYLE="width: 95%"><FONT STYLE="font-size: 10pt"><B>Recon Technology, Ltd</B></FONT></TD></TR>
  <TR STYLE="vertical-align: bottom">
    <TD>&nbsp;</TD>
    <TD><FONT STYLE="font-size: 10pt"><B>Form 20-F for the Fiscal Year ended June 30, 2024</B></FONT></TD></TR>
  <TR STYLE="vertical-align: bottom">
    <TD>&nbsp;</TD>
    <TD><FONT STYLE="font-size: 10pt"><B>File No. 001-34409</B></FONT></TD></TR>
  </TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Dear Mr. Babula and Mr. Cannarella:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In response to the comments set forth in your letter dated February
14, 2025, we are writing to supply additional information on the Form 20-F for the fiscal year ended June 30, 2024.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><U>Form 20-F for the Fiscal Year ended June 30, 2024</U></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><U>Note 6 &ndash; Loans to Third Parties, page F-23</U></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><B>1. We understand from your disclosure that
your loans to third parties are mainly used for short-term funding to support your external business partners, and bear interest ranging
from 6 to 15.6 percent. We note that you had 209 million RMB of loans to third parties as of June 30, 2024, which appears to have required
a material</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><B>deployment of capital, and we see that you
had 23 million RMB of interest income during 2024, which had a material impact on your statement of operations.</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><B>Please address the following points.</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><B>&nbsp;</B></P>

<TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; text-align: justify">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in; text-align: left"><FONT STYLE="font-family: Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif"><B>Identify
and describe your relationships with such external business partners, to include clarifying whether these are suppliers, customers, or
serve in some other capacity, explain your reasons for providing the funding, and clarify the extent to which the balance relates to
each category of partners.</B></FONT></TD>
</TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0in"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0in"></P>

<!-- Field: Page; Sequence: 1 -->
    <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 33%">&nbsp;</TD><TD STYLE="width: 34%; text-align: center"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->1<!-- Field: /Sequence --></TD><TD STYLE="width: 33%; text-align: right">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="break-before: page; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0in">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; text-align: justify">
<TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in; text-align: left"><FONT STYLE="font-family: Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif"><B>With
regard to any short-term funding provided to customers, please explain to us how this arrangement has been considered in evaluating the
recoverability of accounts receivable and estimating the allowance for doubtful accounts.</B></FONT></TD>
</TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><U>Response</U>: From fiscal 2021 to fiscal 2024,
the Company raised in excess of $50 million through a series of private placement and registered direct offerings. The net proceeds from
these offerings were initially held in the Company&rsquo;s bank checking accounts, as they had not yet been allocated to specific projects
or retained for future projects. In order to optimize the return on these otherwise idle funds, the Company strategically deployed a portion
of its capital through short-term loans to creditworthy third parties. This resulted in the generation of additional interest income for
the Company, and all the while, maintaining liquidity and minimizing risk exposure.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company&rsquo;s external partners subject
to such lending fall into three distinct categories:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0"></TD><TD STYLE="width: 22pt"><FONT STYLE="font-family: Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">Fully Independent Third Parties: These are arm&rsquo;s-length
transactions with unrelated entities, primarily in high-margin sectors such as supply chain finance. Such transactions require regular
review and approval by the Company&rsquo;s board of directors.</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0"></TD><TD STYLE="width: 22pt"><FONT STYLE="font-family: Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">Customers/Suppliers: Loans to certain long-term
partners are provided to strengthen long-term commercial relationships and support their working capital needs. Such transactions require
regular review and approval by the Company&rsquo;s board of directors.</FONT></TD></TR></TABLE>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0"></TD><TD STYLE="width: 22pt"><FONT STYLE="font-family: Symbol">&middot;</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">Strategic Partner: This partner is an entity
currently collaborating with the Company on an ongoing long-term industrial park operation project, which aligns with our strategic focus
on sustainable infrastructure development. Loans to these partners carry an interest rate of 6% and are tied to milestone-based agreements.
Such financial transactions are not a frequent occurrence, and each one requires the special approval of the Company&rsquo;s board of
directors.</FONT></TD></TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">The Company holds no equity ownership or controlling interest in any
of these partners.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">As of June 30, 2024, the outstanding loan balance of&nbsp;<B>RMB208.9</B>
million&nbsp;is allocated as follows:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
  <TR>
    <TD STYLE="width: 24%; border: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font-size: 10pt; color: #333333"><B>Partner Category</B></FONT></TD>
    <TD STYLE="width: 12%; border-top: #BFBFBF 1pt solid; border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font-size: 10pt; color: #333333"><B>Percentage</B></FONT></TD>
    <TD STYLE="width: 20%; border-top: #BFBFBF 1pt solid; border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font-size: 10pt; color: #333333"><B>Interest Rate</B></FONT></TD>
    <TD STYLE="width: 44%; border-top: #BFBFBF 1pt solid; border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font-size: 10pt; color: #333333"><B>Note</B></FONT></TD></TR>
  <TR>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; border-left: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: justify"><FONT STYLE="font-size: 10pt">Fully Independent Third Parties</FONT></TD>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: right"><FONT STYLE="font-size: 10pt">94.4%</FONT></TD>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt">
    <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">6%&ndash;12%</P>
    <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">(except for a RMB2 million loan bearing a monthly
    rate of 1.3%)</P></TD>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: justify"><FONT STYLE="font-size: 10pt">With a focus on securing short-term interest income, investments are made in selected companies from supply chain finance and high-margin emerging industries. These companies possess strong liquidity and can afford relatively substantial financing cost.</FONT></TD></TR>
  <TR>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; border-left: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: justify"><FONT STYLE="font-size: 10pt">Strategic Partner</FONT></TD>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: right"><FONT STYLE="font-size: 10pt">3.8%</FONT></TD>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font-size: 10pt">6%</FONT></TD>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: justify"><FONT STYLE="font-size: 10pt">The short-term loan is used to supplement the partner&rsquo;s working capital. The Company is negotiating with the partner on the methods and amounts of cooperation for the future construction and development of an industrial park project and has a full understanding of the specific situation of the project and its future cash flow generating ability. The funds and interest are recoverable.</FONT></TD></TR>
  <TR>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; border-left: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: justify"><FONT STYLE="font-size: 10pt">Customers</FONT></TD>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: right"><FONT STYLE="font-size: 10pt">1.8%</FONT></TD>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><FONT STYLE="font-size: 10pt">8%</FONT></TD>
    <TD STYLE="border-right: #BFBFBF 1pt solid; border-bottom: #BFBFBF 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: justify"><FONT STYLE="font-size: 10pt">Unsecured; supports customer&rsquo;s working capital needs.</FONT></TD></TR>
  </TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></P>

<!-- Field: Page; Sequence: 2 -->
    <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 33%">&nbsp;</TD><TD STYLE="width: 34%; text-align: center"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->2<!-- Field: /Sequence --></TD><TD STYLE="width: 33%; text-align: right">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="break-before: page; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Loans to fully independent third parties and customers and suppliers
are typically repaid within&nbsp;12 months&nbsp;and are classified as current assets.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">With respect to loans to customers and suppliers,
because the industry in which the Company operates is capital intensive and therefore always high demands for advance payments for working
capital, the Company from time to time will lend money to or borrow money from suppliers or customers for short-term working capital.
During fiscal year 2024, the Company collaborated with a customer to jointly serve an oil company and participated in certain projects
together. This customer has a strong ability to secure orders and often subcontracts a portion of these orders to the Company. In order
to support the working capital needs of the customer, the Company granted an unsecured loan of RMB3.6 million, taking into account the
customer&rsquo;s longstanding operational track record and positive reputation in the local markets. As of the reporting date, the loan
was outstanding and not yet due.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">With regard to the short-term funding provided
to the customer, the Company generally evaluates the amount and term of the loan, as well as what the Company has known about the customer&rsquo;s
income, business history and creditworthiness. As the amount of this short-term loan is well below the average income level of the customer
and the ongoing contracts that the customer has, we believe that the principal and interest on this loan will be recovered on a timely
basis and the Company has not provided for any allowance for this amount.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company&rsquo;s interest income of RMB23 million
for FY2024 was mainly derived from three sources: (1) 30.6% (RMB7.0 million) from low-risk bank deposits and structured financial instruments,
reflecting the temporary placement of capital awaiting project deployment; (2) 68.6% (RMB15.7 million) from loans to fully independent
third parties in high-margin sectors at interest rates ranging from 6% to 12%. The majority of this interest income is in line with the
Company&rsquo;s strong growth in fundraising and its strategy to generate incremental returns on idle capital during the pre-approval
phase of its new chemical recycling projects, while maintaining liquidity and mitigating risk through rigorous credit assessment and collateral
requirements; and (3) 0.6% (RMB0.14 million) from short-term unsecured loans to a customer in support of joint services to some oil industry
client.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center; text-indent: 20pt">*******</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 20pt">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 20pt"></P>

<!-- Field: Page; Sequence: 3 -->
    <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 33%">&nbsp;</TD><TD STYLE="width: 34%; text-align: center"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->3<!-- Field: /Sequence --></TD><TD STYLE="width: 33%; text-align: right">&nbsp;</TD></TR></TABLE></DIV>
    <DIV STYLE="break-before: page; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
    <!-- Field: /Page -->

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 20pt">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 20pt">The Company is hopeful that the foregoing answers
adequately address the Staff&rsquo;s questions and looks forward to answering any further questions the Staff may have. You may contact
me or the Company&rsquo;s attorney Anthony Basch (804.771.5725) with any further questions. In addition, the Company acknowledges that:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 20pt">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%">
  <TR STYLE="vertical-align: top">
    <TD STYLE="width: 48px">&nbsp;</TD>
    <TD STYLE="width: 48px"><FONT STYLE="font-family: Symbol; font-size: 10pt">&middot;</FONT></TD>
    <TD><FONT STYLE="font-size: 10pt">The Company is responsible for the adequacy and accuracy of the disclosure in the filing;</FONT></TD></TR>
  </TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 20pt; color: white">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%">
  <TR STYLE="vertical-align: top">
    <TD STYLE="width: 48px">&nbsp;</TD>
    <TD STYLE="width: 48px"><FONT STYLE="font-family: Symbol; font-size: 10pt">&middot;</FONT></TD>
    <TD><FONT STYLE="font-size: 10pt">Staff comments or changes to disclosure in response to staff comments do not foreclose the Commission from taking any action with respect to the filing; and</FONT></TD></TR>
  </TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 20pt; color: white">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%">
  <TR STYLE="vertical-align: top">
    <TD STYLE="width: 48px">&nbsp;</TD>
    <TD STYLE="width: 48px"><FONT STYLE="font-family: Symbol; font-size: 10pt">&middot;</FONT></TD>
    <TD><FONT STYLE="font-size: 10pt">The Company may not assert staff comments as a defense in any proceeding initiated by the Commission or any person under the federal securities laws of the United States.</FONT></TD></TR>
  </TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 20pt; color: white">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
  <TR STYLE="vertical-align: bottom">
    <TD STYLE="width: 53%">&nbsp;</TD>
    <TD STYLE="width: 47%"><FONT STYLE="font-size: 10pt">Sincerely,</FONT></TD></TR>
  <TR STYLE="vertical-align: bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom">
    <TD>&nbsp;</TD>
    <TD STYLE="border-bottom: black 1pt solid"><FONT STYLE="font-size: 10pt">/s/ Liu Jia</FONT></TD></TR>
  <TR STYLE="vertical-align: bottom">
    <TD>&nbsp;</TD>
    <TD><FONT STYLE="font-size: 10pt">Liu Jia</FONT></TD></TR>
  <TR STYLE="vertical-align: bottom">
    <TD>&nbsp;</TD>
    <TD><FONT STYLE="font-size: 10pt">Chief Financial Officer</FONT></TD></TR>
  </TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></P>

<!-- Field: Page; Sequence: 4; Options: Last -->
    <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1pt solid"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 33%">&nbsp;</TD><TD STYLE="width: 34%; text-align: center"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->4<!-- Field: /Sequence --></TD><TD STYLE="width: 33%; text-align: right">&nbsp;</TD></TR></TABLE></DIV>
    <!-- Field: /Page -->


<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>









</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>2
<FILENAME>tm2423311d4_img001.jpg
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 tm2423311d4_img001.jpg
M_]C_X  02D9)1@ ! 0$ 8 !@  #_VP!#  @&!@<&!0@'!P<)"0@*#!0-# L+
M#!D2$P\4'1H?'AT:'!P@)"XG("(L(QP<*#<I+# Q-#0T'R<Y/3@R/"XS-#+_
MVP!# 0@)"0P+#!@-#1@R(1PA,C(R,C(R,C(R,C(R,C(R,C(R,C(R,C(R,C(R
M,C(R,C(R,C(R,C(R,C(R,C(R,C(R,C+_P  1"  X ,4# 2(  A$! Q$!_\0
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MVYZ(OG1]H6VH6EV/]&NH92?[C@U\U?&W5GOO'LEMOS'9PA%'H3R?Z5Z-\&O
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(<T445S%'_]D!

end
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
