{"url_path":"/sec/forty/10-k/2026/item-12","section_key":"item-12","section_title":"Item 12 DESCRIPTION OF SECURITIES OTHER THAN","topic":"sec","document":{"doc_type":"20-F","doc_date":"2026-05-13","source_url":"https://www.sec.gov/Archives/edgar/data/1045986/0001213900-26-055948-index.html","accession_number":"0001213900-26-055948","cik":"0001045986","ticker":"FORTY","issuer_name":"FORMULA SYSTEMS (1985) LTD","edgar_url":"https://www.sec.gov/Archives/edgar/data/1045986/0001213900-26-055948-index.html","primary_entity_key":"0001045986","primary_entity_name":"FORMULA SYSTEMS (1985) LTD"},"word_count":452,"has_tables":true,"body_markdown":"**ITEM 12. DESCRIPTION OF SECURITIES OTHER THAN\nEQUITY SECURITIES**\n\n \n\n**A.**\n**Debt Securities**\n\n \n\nNot applicable.\n\n \n\n**B.**\n**Warrants and Rights**\n\n \n\nNot applicable.\n\n \n\n**C.**\n**Other Securities**\n\n \n\nNot applicable.\n\n \n\n172\n\n \n\n \n\n**D.**\n**American Depositary Shares**\n\n \n\n**Fees and charges payable by our\nADS holders**\n\n \n\nThe Bank of New York Mellon,\nwhich we refer to as the Depositary, serves as the depositary for our ADS program. Pursuant to the deposit agreement by and among our\ncompany, the Depositary and owners and holders of our ADSs, which we refer to as the Deposit Agreement, ADS holders may be required to\npay various fees to the Depositary. In particular, the Depositary may charge the following fees to any party depositing or withdrawing\nADSs, or to any party surrendering American Depositary Receipts (which we refer to as ADRs) that represent the ADSs, or to whom ADRs are\nissued (including, without limitation, issuance pursuant to a stock dividend or stock split declared by us or an exchange of stock involving\nthe ADRs or any deposited ADSs underlying the ADRs or a distribution of ADRs pursuant to a distribution of underlying shares), as applicable:\n\n \n\n \n●\ntaxes and governmental charges;\n\n \n\n \n●\nsuch registration fees as may from time to time be in effect for the registration of transfers of shares generally on our share register and applicable to transfers of shares to the name of the Depositary or its nominee or agent in connection with making deposits or withdrawals under the Deposit Agreement;\n\n \n\n \n●\nsuch cable, telex and facsimile transmission expenses as are expressly provided for in the Deposit Agreement;\n\n \n\n \n●\nsuch expenses as are incurred by the Depositary in the conversion of foreign currency;\n\n \n\n \n●\na fee of $5.00 or less per 100 ADSs (or portion thereof) for the execution and delivery of ADRs (including in connection with distributions of shares or rights by us) and in connection with the surrender of receipts and withdrawal of the underlying shares;\n\n \n\n \n●\na fee of $0.02 or less per ADS (or portion thereof) for any cash distribution made pursuant to the Deposit Agreement, including in connection with distributions of shares or rights;\n\n \n\n \n●\na fee for the distribution of securities in connection with certain distributions, such fee being in an amount equal to the fee for the execution and delivery of ADSs which would have been charged as a result of the deposit of such securities but which securities are instead distributed by the Depositary to ADR holders; and\n\n \n\n \n●\nany other charges payable by the Depositary or any of its agents in connection with the servicing of ADSs or other deposited securities underlying the ADRs.\n\n \n\n**Amounts received from the Depositary**\n\n \n\nWe do not receive any fees\ndirectly or indirectly from the Depositary.\n\n \n\n173\n\n \n\n \n\n**PART II**"}