{"url_path":"/sec/ifbd/10-k/2026/item-7","section_key":"item-7","section_title":"Item 7 MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS**","topic":"sec","document":{"doc_type":"20-F/A","doc_date":"2026-06-12","source_url":"https://www.sec.gov/Archives/edgar/data/1815566/0001731122-26-000847-index.html","accession_number":"0001731122-26-000847","cik":"0001815566","ticker":"IFBD","issuer_name":"Infobird Co., Ltd","edgar_url":"https://www.sec.gov/Archives/edgar/data/1815566/0001731122-26-000847-index.html","primary_entity_key":"0001815566","primary_entity_name":"Infobird Co., Ltd"},"word_count":618,"has_tables":true,"body_markdown":"**ITEM 7. MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS**\n\n \n\n**A. Major Shareholders**\n\n \n\nPlease refer to Item 6.E.\n“Directors, Senior Management and Employees—Share Ownership.”\n\n \n\n**B. Related Party Transactions**\n\n \n\nDuring the last three years, we have engaged in\nthe following transactions with our directors, executive officers or persons known to us to beneficially own more than 5% of our outstanding\nshare capital and their affiliates, which we refer to as our related parties. The table below sets forth the major related parties and\ntheir relationships with the Company as of December 31, 2025, 2024 and 2023:\n\n \n\n**Name of related Party**\n \n**Relationship**\n\nBeijing Runmei advertising Co., LTD (“Runmei”)\n \nUnder control of the shareholder of Zhenxi Brand\n\nCRservices\n \nUnder control of the Chairman of the Board of Directors\n\n \n\n**Subscription receivable**\n\n \n\nAs of December 31, 2025 and 2024,\nthe balance of subscription receivable were both nil. Net proceeds of $1,184,676 were received on January 10, 2024 for the issuance of\ncommon shares to investors on December 28, 2023.\n\n \n\n**Due from related party**\n\n \n\nAs of December 31, 2025 and 2024,\nthe balance due from related parties are set out below:\n\n \n\n \n \nDecember 31, 2025\n \nDecember 31, 2024\n\n \n \n \n \n \n\nBeijing Runmei advertising Co., LTD*\n \n$\n—\n \n \n$\n247,328\n \n\nCRservices**\n \n \n—\n \n \n \n—\n \n\nTotal\n \n$\n—\n \n \n$\n247,328\n \n\n \n\n*\nThe balance due from Runmei was $247,328 as of December 31, 2024, which was borrowed for working capital use, non-interest bearing and payable upon demand. Following its full settlement on March 28, 2025, the balance due from Runmei was nil as of December 31, 2025.\n\n**\nThe balance due from CRservices was both nil as of December 31, 2025 and 2024, as the consideration of $1,279 for the Disposal of Infobird HK on August 11, 2023, was fully settled on April 10, 2024.\n\n \n\n**Due from discontinued operations, net**\n\n \n\nDue from discontinued operations,\nnet consist of the following:\n\n \n\n \n \nDecember 31, 2025\n \nDecember 31, 2024\n\n \n \n \n \n \n\nDue from discontinued operations\n \n$\n—\n \n \n$\n17,632,181\n \n\nAllowance for expected credit losses\n \n \n—\n \n \n \n(17,632,181\n)\n\nDue from discontinued operations, net\n \n$\n—\n \n \n$\n—\n \n\n** **\n\n****\n\n98\n\n \n\n** **\n\n****\n\nMovement of allowance for expected\ncredit losses consist of the following:\n\n \n\n \n \nDecember 31, 2025\n \nDecember 31, 2024\n\n \n \n \n \n \n\nBeginning balance\n \n$\n17,632,181\n \n \n$\n17,632,181\n \n\nWrite off\n \n \n(17,632,181\n)\n \n \n—\n \n\nEnding balance\n \n$\n—\n \n \n$\n17,632,181\n \n\n \n\nAfter the Company disposed the\ndiscontinued operation entities, those entities continued in the decline of the scale of operation and in the increase of operating losses,\nwhich made the collectability of the receivables in doubt. During the year 2023, the Company totally impaired the balance due from discontinued\noperations by amount of $17,632,181. Based on an analysis of the discontinued operation entities’ current situation, the Company\ndetermined that the due from discontinued operations were uncollectible. Consequently, the amount of $17,632,181 was written off in 2025.\n\n \n\n**Contractual Arrangements with the VIE and its Shareholders**\n\n \n\nSee “Item 4. Information\non the Company—A. History and Development of the Company.”\n\n \n\n**Policies and Procedures for Related Party Transactions**\n\n \n\nOur board of directors has created\nan audit committee which is tasked with review and approval of all related party transactions.\n\n \n\n**Employment Agreements, Director Agreements and\nIndemnification Agreements**\n\n \n\nWe have entered into employment\nagreements with each of our executive officers pursuant to which such individuals agreed to serve as our executive officers.\n\n \n\nWe have also entered into indemnification\nagreements with each of our executive officers and directors. Under these agreements, we have agreed to indemnify our directors and executive\nofficers against certain liabilities and expenses incurred by such persons in connection with claims made by reason of their being a director\nor officer of our company.\n\n \n\nWe have also entered into director\nagreements with each of our directors which agreements set forth the terms and provisions of their engagement.\n\n \n\n**C. Interests of Experts and Counsel**\n\n \n\nNot applicable."}