Core Viewpoint - Yiyi Co., Ltd. has terminated its plan to acquire 100% equity of Hangzhou Gaoye Family, a pet food brand, after four months of negotiations due to changes in the target company's operating conditions in 2025 [1][2]. Group 1: Acquisition Termination - The decision to terminate the acquisition was made during the fourth board meeting held on February 10, 2026, where the company signed a termination agreement with the transaction counterpart [1]. - The reason for the termination was attributed to changes in the operating conditions of the target company, particularly adjustments in sales strategies during the 2025 Double Eleven shopping festival [2]. Group 2: Business Performance - Yiyi Co., Ltd.'s main business focuses on the research, production, and sales of disposable hygiene products, with over 90% of revenue coming from these products, including pet hygiene items [2]. - In 2023, Hangzhou Gaoye Family reported revenue of 302 million yuan and a net profit of 3.08 million yuan, resulting in a net profit margin of only 1% [6]. - The company's revenue is projected to increase to 460 million yuan in 2024, with net profit rising to 18.30 million yuan and a net profit margin improving to 4% [6]. Group 3: Market Dynamics - The company has experienced significant sales growth during the Double Eleven festival, with online sales for its brands increasing over 120% year-on-year across various platforms [3][5]. - Despite high sales volumes, the company faces challenges with profitability, as high prices have not translated into high margins [5]. - A price war has intensified in the market, with competitors adopting new sales models that may increase costs and complicate long-term pricing strategies [7].
依依股份终止购买杭州高爷家100%股权