Core Viewpoint - The acquisition plan by GoerTek, involving a total amount of 9.5 billion RMB (approximately 10.4 billion HKD), has been unexpectedly terminated after nearly three months of planning due to failure to reach consensus on key terms between the parties involved [2][4][5]. Acquisition Details - GoerTek announced the termination of the acquisition of 100% equity in Mega Precision Technology Limited and Channel Well Industrial Limited on October 17, citing that the parties could not agree on critical terms after extensive due diligence and negotiations [2][4][5]. - The acquisition was initially disclosed on July 23, 2025, with the aim of enhancing GoerTek's competitiveness in the precision components sector and deepening vertical integration capabilities [4][6]. Financial Impact - GoerTek stated that the termination of the acquisition would not adversely affect its operational performance or financial status, and no legal liabilities would arise from this decision [3][5]. Market Reaction - Following the announcement of the acquisition, GoerTek's stock price rose significantly, peaking above 40 RMB with an increase of over 70%, although it has recently experienced a decline [3][4]. Strategic Direction - Despite the termination of the acquisition, GoerTek reaffirmed its commitment to its long-term strategic goals, focusing on internal growth and diversified investments to enhance company value and shareholder returns [6][7]. - The company emphasized its strategy of "precision components + smart hardware systems," which has shown positive results, with the precision components segment achieving a revenue of 7.604 billion RMB, a year-on-year increase of 20.54% [6][8]. Ongoing Initiatives - Concurrently, GoerTek is pursuing other strategic initiatives, including a significant transaction by its subsidiary GoerTek Optics, which aims to enhance its core competitiveness in micro-nano optical devices [7]. - GoerTek Microelectronics is also preparing for an IPO in Hong Kong, having submitted its application to the stock exchange, with projected revenues of 4.536 billion RMB for the fiscal year 2024 [8].