Core Viewpoint - Mengwang Technology Group Co., Ltd. has decided to terminate the acquisition of assets due to a contractual dispute that led to the freezing of shares held by the transaction counterparty, which does not meet regulatory requirements [1][5][6]. Group 1: Termination of Acquisition - The company announced the termination of the acquisition of 100% equity in Hangzhou Bicheng Digital Technology Co., Ltd. for a transaction price of 1.28 billion yuan and a fundraising amount not exceeding 830 million yuan [5]. - The termination was prompted by a court summons received by Hangzhou Chengxiang, resulting in the freezing of 10.51 million shares of the target company, which significantly impacts the transaction [5][6]. - This situation reflects a broader trend where other companies, such as Guozhong Water, have also had to terminate acquisitions due to similar equity issues [7]. Group 2: Financial Performance - Mengwang Technology has reported continuous losses over the years, with revenues of 3.175 billion yuan, 4.157 billion yuan, 5.234 billion yuan, and 4.404 billion yuan from 2021 to 2024, and net profits of -238 million yuan, -722 million yuan, -1.822 billion yuan, and 42 million yuan during the same period [9]. - In the first half of this year, the company generated revenue of 1.539 billion yuan, a year-on-year decrease of 33.89%, while the net profit attributable to shareholders was 9.2399 million yuan, a slight increase of 0.05% [9]. - Despite expectations of profitability in 2024, the performance in the first half of 2025 is projected to decline again, raising concerns about the company's ability to recover from its financial difficulties [9].