Core Viewpoint - The acquisition plan by GoerTek, a major player in the Apple supply chain, to acquire Mia Precision Technology and Changhong Industrial for HKD 10.4 billion has been officially terminated due to the inability to reach consensus on key terms between the parties involved [2][4][5]. Summary by Sections Acquisition Termination - GoerTek announced on October 17 that it would terminate the acquisition of 100% equity in Mia Precision Technology and Changhong Industrial, which was initially announced on July 23 [2][4]. - The termination was attributed to the failure of both parties to agree on critical transaction terms, leading to a decision to protect the interests of the company and its shareholders [4][5]. Financial Impact - Following the announcement of the acquisition termination, GoerTek's stock price fell by 5.08% on October 17 and further declined by 2.53% on October 20 [2]. - The termination of the acquisition is expected to delay GoerTek's efforts to enhance its scale and profitability in the precision components sector [2]. Historical Context - GoerTek faced significant challenges in the past, including a nearly 60% drop in net profit in 2022 after losing a major order from Apple due to production issues [2][7]. - The company has been striving to recover from this setback, with its net profit rebounding by 144.93% in 2022, although it still faces fluctuations in performance [7][9]. Business Strategy - GoerTek has been focusing on a customer-oriented strategy, with its top five clients accounting for 88.57% of total sales in 2024 [8]. - The company aims to diversify its revenue streams, particularly in the precision components business, which has shown growth potential despite being the smallest segment [11][12]. Future Prospects - The precision components business, which includes products like micro speakers and optical devices, is seen as a potential growth engine for GoerTek [12][13]. - Despite recent setbacks, GoerTek continues to invest in expanding its capabilities in the XR (extended reality) sector, collaborating with major companies to develop new technologies [14].