Core Viewpoint - The acquisition of Cokai Electronics by Silin Jie has been terminated due to changes in market conditions and the complexity of the transaction, which involved multiple parties and a lengthy review process [1][5]. Group 1: Acquisition Details - Silin Jie announced the termination of the major asset restructuring plan to acquire Cokai Electronics, which was intended to be executed through a combination of share issuance and cash payment [1]. - The acquisition was initially proposed in September 2024, aiming to purchase 71% of Cokai Electronics from 23 parties [2]. - Cokai Electronics faced challenges in its IPO attempt, leading to its shift towards an acquisition strategy after its IPO application was withdrawn in April 2024 [2]. Group 2: Financial Performance and Valuation - In 2024, Silin Jie reported a net profit of 0.15 billion RMB, reflecting a year-on-year increase of 69.99%, while Cokai Electronics achieved a net profit of 1.00 billion RMB, which was six times higher than Silin Jie [3]. - The valuation of Cokai Electronics dropped significantly from 56.71 billion RMB during its IPO application to 18.52 billion RMB in the asset evaluation report, a decrease of 38.19 billion RMB [4]. Group 3: Market and Strategic Considerations - The acquisition raised concerns regarding the potential for synergy between the two companies, as their core businesses and customer bases were significantly different [3]. - Silin Jie primarily focuses on consumer electronics testing equipment, heavily reliant on the Apple supply chain, while Cokai Electronics has a high customer concentration, with over 99% of its revenue coming from its top five clients [3].