金山云美股招股说明书(2022-12-29版)

424B31tm2221644-6_424b3.htm424B3 TABLEOFCONTENTS FiledPursuanttoRule424(b)(3) RegistrationNo.333-260181 PROSPECTUSSUPPLEMENT (ToProspectusdatedOctober12,2021) KingsoftCloudHoldingsLimited OrdinaryShares KingsoftCorporationLimited,oneofourprincipalshareholders,islendingtotheDesignatedDealer(asdefinedin“DescriptionofLiquidityArrangements”)upto190,264,240ofourordinaryshares,US$0.001pershare,orapproximately5.0%ofourtotalordinarysharesissuedandoutstandingasofDecember15,2022,tofacilitatetheproposedlistingofourordinarysharesontheMainBoardofTheStockExchangeofHongKongLimited,ortheHongKongStockExchange,bywayofintroduction,ortheListing.OurordinaryshareswillbetradedontheHongKongStockExchangeunderthestockcode“3896.” TheordinarysharesbeinglentbyKingsoftCorporationLimitedwillbeusedbythedesignateddealerstocreateadditionalliquidityofourordinarysharesontheHongKongStockExchangethroughsalesatmarketpricesduringaperiodof90calendardaysfromandincludingthelistingdateofourordinarysharesontheHongKongStockExchange,whichisexpectedtobeonoraboutDecember30,2022,ortheListingDate(the“theDesignatedPeriod”).See“DescriptionofLiquidityArrangements.”TheordinarysharesarebeingregisteredherebyinconnectionwiththesaleofsuchsharestotheextentthattheyaresoldtoU.S.persons,asdefinedunderRegulationS,orfortheaccountorbenefitofU.S.persons. NeitherwenorKingsoftCorporationLimitedwillreceiveanyproceedsfromthelendingoftheordinarysharesbeingregisteredhereby,whichwillbesoldatprevailingmarketpricesatthetimeofsaleinliquiditytradesontheHongKongStockExchangeduringtheDesignatedPeriodwithdeliveryexpectedtooccurfromtimetotimeinaccordancewiththerulesoftheHongKongStockExchange. OurADSsarelistedontheNasdaqGlobalSelectMarket,orNasdaq,underthesymbol“KC.”EachADSrepresentsfifteenordinarysharesofKingsoftCloudHoldingsLimited.OnDecember28,2022,thelastreportedsalepriceoftheADSsonNasdaqwasUS$3.40perADS. InvestingintheADSsinvolvesahighdegreeofrisk.See“RiskFactors”beginningonpageS-28ofthisprospectussupplementandinanydocumentsincorporatedbyreferenceintothisprospectussupplementforadiscussionofcertainrisksthatshouldbeconsideredinconnectionwithaninvestmentinourordinaryshares. KingsoftCloudHoldingsLimitedisaCaymanIslandsholdingcompanywithnobusinessoperations.ItconductsitsoperationsinChinathroughitsPRCsubsidiariesandvariableinterestentities,ortheVIEs,andtheirsubsidiaries.However,weandourshareholdersdonotandarenotlegallypermittedtohaveanyequityinterestsintheVIEsascurrentPRClawsandregulationsrestrictforeigninvestmentincompaniesthatengageinvalue-addedtelecommunicationservices.Asaresult,weoperaterelevantbusinessesinChinathroughcertaincontractualarrangementswiththeVIEs.KingsoftCloudHoldingsLimitedisobligatedtoabsorblossesofthevariableinterestentitiesthatcouldpotentiallybesignificanttothevariableinterestentitiesthroughprovidingunlimitedfinancialsupporttothevariableinterestentitiesorisentitledtoreceiveeconomicbenefitsfromthevariableinterestentitiesthatcouldpotentiallybesignificanttothevariableinterestentitiesthroughtheexclusivetechnologyconsultingandservicefees.Asaresultofthesecontractualarrangements,KingsoftCloudHoldingsLimitedisdeterminedtobetheprimarybeneficiaryofthesevariableinterestentitiesonlyforaccountingpurposesandweconsolidatethesevariableinterestentitiesunderU.S.GAAP.Thisstructurealsoprovidescontractualexposuretoforeigninvestmentinsuchcompanies.Asofthedateofthisprospectussupplement,tothebestofourknowledge,ourdirectorsandmanagement,theVIEagreementshavenotbeentestedinacourtoflawinthePRC.TheVIEsareownedbycertainnomineeshareholders,notus.InvestorsinourADSsarepurchasingequitysecuritiesofaCaymanIslandsholdingcompanyratherthanequitysecuritiesissuedbyoursubsidiariesandtheVIEs.Investorswhoarenon-PRCresidentsmayneverdirectlyholdequityinterestsintheVIEsundercurrentPRClawsandregulations.Asusedinthisprospectussupplement,“we,” TABLEOFCONTENTS “us,”“ourcompany,”the“Company,”and“our”refertoKingsoftCloudHoldingsLimited,aCaymanIslandscompanyanditssubsidiaries.WerefertoZhuhaiKingsoftCloudandKingsoftCloudInformationastheVIEsinthecontextofdescribingtheiractivitiesandcontractualarrangementswithus. OurcorporatestructureinvolvesuniqueriskstoinvestorsintheADSs.In2019,2020and2021,theamountofrevenuesgeneratedbytheVIEsandthesubsidiariesoftheVIEsaccountedfor98%,97%and88%,respectively,ofourtotalnetrevenues.AsofDecember31,2019,2020and2021,totalassetsoftheVIEsandthesubsidiariesoftheVIEs,excludingamountsduefromothercompaniesintheGroup,equaledto69%,55%and44%ofourconsolidatedtotalassetsasofthesamedates,respectively.IfthePRCgovernmentdeemsthatourcontractualarrangementswiththeVIEsdonotcomplywithPRCregulatoryrestrictionsonforeigninvestmentintherelevantindustries,oriftheseregulationsortheinterpretationofexistingregulationschangeinthefuture,wecouldbesubjecttomaterialpenaltiesorbeforcedtorelinquishourinterestsinthoseoperationsorotherwisesignificantlychangeourcorporatestructure.WeandourinvestorsfacesignificantuncertaintyaboutpotentialfutureactionsbythePRCgovernmentthatcouldaffectthelegalityandenforceabilityofthecontractualarran