Core Viewpoint - Neusoft Corporation has decided to terminate the proposed share issuance for asset acquisition and related fundraising due to a lack of consensus among parties involved and changes in market conditions since the initial planning of the transaction [1][3] Group 1: Transaction Details - The company initially planned to acquire a total of 57% equity in Simi Technology through cash payments and an additional 43% through share issuance to Neusoft Holdings [1] - The acquisition aimed to enhance Neusoft's digital service capabilities and create a digital economy service ecosystem [2] - The termination of the transaction was officially communicated during an investor briefing held on July 3 [1][3] Group 2: Business Performance and Strategy - Neusoft reported that its business operations remain stable, with healthy development across various sectors [4] - The company has initiated a significant strategic transformation aimed at improving operational performance and has launched an intelligent solution strategy focusing on AI and big data [4] - In 2024, Neusoft signed new contracts worth 678 million yuan in vertical AI applications and 233 million yuan in data value-related businesses, marking a year-on-year growth of 207% [5] Group 3: Market Environment and Future Outlook - The market environment and the actual situation of the target company have positively changed since the initial planning of the transaction [3] - Simi Technology has been expanding its client base, including notable companies like ByteDance and JD Group, and has seen continuous growth in contracts [3] - Neusoft aims to leverage the opportunities presented by the new wave of AI and data value realization to enhance its product offerings and order acquisition [4][5]