Core Viewpoint - Huali Co., Ltd. has terminated its acquisition plan for a 51% stake in Zhongke Huilian Technology Co., Ltd. due to a lack of consensus on key transaction terms among the parties involved [1] Group 1: Acquisition Details - The acquisition plan was initially disclosed on October 29, with Huali intending to purchase the stake in cash, which would make Zhongke Huilian a subsidiary [1] - Huali emphasized that the termination of the acquisition will not have a significant adverse impact on its production, financial status, or future development strategy [1] Group 2: Business Context - Huali Co., Ltd. has a diverse business portfolio including home building materials, smart water management, membrane filtration materials, and industrial digitalization [2] - Zhongke Huilian specializes in intelligent interaction and decision-making software, particularly in the government sector with its "Smart Government Model Generation Algorithm" [2] Group 3: Future Outlook - Huali remains committed to pursuing acquisition opportunities and will continue to focus on its strategic goals through internal development and diversified investment [3] - Following the announcement, Huali's stock rose by 4.87%, bringing its total market capitalization to 4.5 billion [3]

Group 1 - The company reported a strong mid-year performance with a revenue of 533 million and a year-on-year growth of 40.05% [1] - The net profit after deducting non-recurring items reached 16.51 million, reflecting a 64.15% increase compared to the previous year [1] - The core business in home building materials saw significant improvements in production efficiency and product quality through technological innovations [1] Group 2 - The smart water business has become a key growth driver for the company, with successful expansion into western markets [2] - The core product "S7 series integrated equipment water plant" features intelligent and modular advantages, enhancing the company's technological capabilities [2] - New patented technologies and software copyrights have been developed, addressing industry pain points and supporting business expansion [2]