Core Viewpoint - The recent trend shows that multiple listed companies are terminating their share transfer agreements, likely in response to regulatory scrutiny regarding compliance with the new guidelines on share transfers [1] Group 1: Termination of Share Transfer Agreements - Ten listed companies have announced the termination of their share transfer agreements since May 2025, including notable firms such as TianNeng Heavy Industry and Aikelan [1] - The companies that have terminated their agreements include: - Jiafa Education, which planned to transfer 23.17 million shares (5.80% of total shares) to Qianyi Fund [2] - Dailesi New Materials, which intended to transfer 19.5 million shares (5.01% of total shares) to Huazhou No. 1 Fund at a price of 6.46 yuan per share [3] - Yuanwang Valley, which was set to transfer 37 million shares (5.00% of total shares) to Li Peng at a price of 4.89 yuan per share [4] - Shenli Environment, which aimed to transfer 13.31 million shares (5.00% of total shares) to Zhang Yu [5] - Chaojie Co., which planned to transfer 9.44 million shares (7.00% of total shares) to Wang Zhizheng at a price of 28.05 yuan per share [6] - Huilun Crystal, which intended to transfer 14.04 million shares (5.00% of total shares) to Jinyouyuan No. 1 [7] - Aikelan, which was set to transfer 4 million shares (5.00% of total shares) to Nanchuan Private Equity [8][9] - Feirongda, which planned to transfer 29 million shares (5.00% of total shares) to Yunnan International Trust [10] - Yitian Co., which intended to transfer 8.2 million shares (5.85% of total shares) to Zhang Jianfei [11] - TianNeng Heavy Industry, which was set to transfer 61.18 million shares (5.98% of total shares) to Chang'an Trust [12]

Core Viewpoint - The regulatory authorities are committed to strictly and swiftly punishing illegal share reductions, particularly those that disrupt the order of the capital market, reflecting a strong determination to maintain market integrity [1][2]. Regulatory Actions - The regulatory framework has been strengthened with the introduction of new rules aimed at regulating major shareholders' share reductions, including the prohibition of various circumvention methods [1][2]. - Since the implementation of the new share reduction regulations, there have been 101 penalties issued for illegal share reductions, primarily targeting executives and shareholders with over 5% holdings [2][3]. Impact on Market - The crackdown on illegal share reductions has shown effectiveness, with a 70% decrease in penalties compared to the same period in 2024, indicating improved regulatory enforcement [2]. - The swift handling of cases has created a deterrent effect, helping to maintain a healthy development of the securities market and protect the rights of small investors [3][4]. Recommendations for Improvement - The establishment of a big data warning system for share reduction behaviors is suggested to enhance real-time monitoring and regulatory efficiency [5]. - There is a call for joint liability for intermediaries involved in facilitating illegal share reductions, as well as the introduction of civil claims for damages related to illegal share reductions [5].