SEC Company Response from SHARING ECONOMY INTERNATIONAL INC. (CIK 0000819926) — Feb 26, 2020
SHARING ECONOMY INTERNATIONAL INC. (CIK 0000819926)
Date: Feb. 26, 2020 · CIK: 0000819926 · Accession: 0001213900-20-004793
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File numbers found in text: 001-34591
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CORRESP
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filename1.htm
Law
Offices of Thomas E. Puzzo, PLLC
3823
44th Ave. NE
Seattle,
Washington 98105
Telephone:
+1 (206) 522-2256
E-mail:
tpuzzo@msn.com
February
26, 2020
VIA
E-MAIL ATTACHMENT
Office
of Technology
United
States Securities and Exchange Commission
100
F Street, NE
Washington, DC 20549
Re:
Sharing
Economy International Inc.
Preliminary
Information Statement on Schedule 14C
Filed
January 31, 2020
File
No. 001-34591
Dear
Sir or Madam:
We
submit the information in this letter, on behalf of our client, Sharing Economy International Inc., a Nevada corporation (the
“Company”), in response to the letter of the staff (the “Staff”) of the Securities and Exchange Commission
(the “Commission”) dated January 8, 2020. Reference is made to the Information Statement on Schedule 14C filed on
January 31, 2020 (the “Schedule 14C”).
The
Company filed Amendment No. 1 to the Schedule 14C on February 26, 2020.
The
staff’s comments are reproduced in bold italics in this letter, and the Company’s responses to the staff’s comments
follow each staff comment.
Preliminary
Information Statement on Schedule 14C
General
1.
It appears that this increase in authorized shares of common stock is related to your share exchange agreement with Peak Equity
International Limited and all of the Peak Equity International Limited shareholders. Therefore, please revise your information
statement to provide the information required by Items 13 and 14 of Schedule 14A. Alternatively, provide a detailed legal analysis
of why you believe you are not required to provide some or all of this information. See Note A of Schedule 14A.
Company
response: Securities Exchange Act Rule 12b-23 allows for incorporation by reference, and, at the top of page 8 of the Schedule
14C, the Company incorporated its Current Report on Form 8-K, filed with the Commission on January 3, 2020, which included the
information required by Items 13 and 14 of Schedule 14A.
Amendment
No. 1 to Current Report on Form 8-K, filed with the Commission on February 10, 2020, has been incorporated by reference into Amendment
No. 1 on the Schedule 14C.
Additionally,
the Commission’s Manual of Publicly Available Telephone Interpretations, Item 41 (Schedule 14A, Item 13), states “A
proxy statement seeking shareholder approval of an increase in authorized common shares and the elimination of an authorized but
unissued class of preferred stock would not require the inclusion or incorporation of financial statements. See Item 13, Instruction
1 of Schedule 14A.”
Information
on Consenting Stockholders, page 2
2.
You disclose that the 182,305,462 shares held by the consenting stockholder constitutes approximately 90.8% of the issued and
outstanding shares of Sharing Economy’s common stock. It appears that 182,305,462 shares constitutes 72.9% of your 250,000,000
issued and outstanding shares, which is what you disclose in the table on page 2. Please revise your disclosure to be consistent.
Company
response: The Company has revised its disclosure on page 2 in compliance with this comment.
Security
Ownership of Certain Beneficial Owners and Management, page 2
3.
Currently, your beneficial ownership table disclosure appears to assume the issuance of the remaining shares to be issued pursuant
to the Peak Equity share exchange agreement and gives effect to the proposed amendment to your articles of incorporation that
will increase your number of shares of common stock authorized for issuance to 7.45 billion. Since these shares have not yet been
issued and the amendment to your articles has not yet taken effect, please also provide separate beneficial ownership disclosure
based on your current number of shares of common stock that are issued and outstanding and authorized for issuance.
Company
response: The Company confirms that on page 2, (i) the beneficial ownership table does not assume the issuance of the remaining
shares, and (ii) the beneficial ownership disclosure is based on the Company’s current number of shares of common stock
that are issued and outstanding and authorized for issuance.
Executive
Compensation, page 3
4.
Please update all of your executive compensation disclosure for fiscal year 2019.
Company
response: The Company has updated its executive compensation disclosure on page 3 in compliance with this comment.
I.
Amendment to the Articles of Incorporation..., page 6
5.
The table you provide in this section discloses that you will have 6,950,000,000 shares of common stock authorized and reserved
for issuance after the amendment to your articles to increase your number of authorized shares. Please reconcile this amount with
your other disclosure on page 6 and elsewhere that indicates that you are still obligated to issue 7,018,360,787 shares of common
stock pursuant to the Peak Equity share exchange agreement.
Company
response: The Company has revised its disclosure on page 6 in compliance with this comment.
6.
Please revise to disclose the dilutive effect of the increase in authorized shares of common stock and the issuance of the shares
of common stock that you are obligated to issue pursuant to the Peak Equity share exchange agreement. Include disclosure in this
section that provides the exact amounts of the dilutive effect of this issuance on earnings per share and the book value per share
of your common stock. In addition, revise to include the percentage by which the existing stockholders´ ownership will decrease
upon this issuance.
Company
response: The Company has added disclosure on page 7 in compliance with this comment.
7.
Please include a form of the planned amendment to your articles of incorporation with your next filing.
Company
response: The Company has attached its Certificate of Amendment to its Articles of Incorporation as Appendix A.
Very
truly yours,
LAW
OFFICES OF THOMAS E. PUZZO, PLLC
/s/
Thomas E. Puzzo
Thomas
E. Puzzo