Hygon Information Technology Co., Ltd. (688041.SH) recently announced that its board of directors has decided to terminate the absorption merger with Sugon (603019.SH).
In the announcement, Hygon Information Technology stated that since the initiation of the transaction, the company and relevant parties have actively advanced the work related to the merger. However, due to the substantial scale of the transaction and the involvement of multiple stakeholders, the process of finalizing the major asset restructuring plan has been prolonged. Given that the market environment has changed significantly since the planning of the transaction began, the conditions for implementing the major asset restructuring are not yet mature. To effectively safeguard the long-term interests of the listed company and its investors, and after friendly negotiations, thorough research, and careful deliberation with all relevant parties involved in the transaction, the company has decided to terminate the transaction based on prudent considerations.
Hygon Information Technology further emphasized that the company has maintained strong industrial synergy and cooperation with Sugon over the long term, and the termination of this major asset restructuring will not affect their continued collaboration in the future.