Original title: Digital China announces abandonment of takeover Education
Beijing News (reporter Lu Yifu) on November 9, Shenzhou Digital announced that the company's ninth board of directors at its seventh meeting considered and adopted the "Bill on Terminating Major Asset Restructuring" and decided to abandon the acquisition of Guangdong Kaixing Education Technology Co., Ltd. (hereinafter referred to as "Kaixing Education").
Shenzhou Digital said in the announcement that due to the long time of the major asset restructuring, in the process of continuing to promote the major asset restructuring, the trading parties failed to reach agreement on the core terms. From the perspective of safeguarding the rights and interests of all shareholders, especially small and medium-sized shareholders, and the interests of the company, after research, Shenzhou Digital decided to terminate this major asset reorganization, and promised to terminate this major asset reorganization within one month from the date, the company will no longer plan major asset reorganization.
On September 26, the China Securities Regulatory Commission (CSRC) Mergers and Acquisitions Commission of listed companies examined the issue of digital acquisition education in Shenzhou. It was concluded that the application documents did not adequately disclose the sustained profitability and compliance of the underlying assets and did not conform to the Regulations on the Management of Major Assets Restructuring of Listed Companies (CSRC Decree No. 127). Forty-three relevant provisions, therefore, the acquisition failed.
However, at that time, Shenzhou Digital did not completely abandon the acquisition. In the announcement on October 22, the company said that after careful study, the Board agreed to continue to promote the major asset restructuring in view of the better quality of the assets, strong profitability and development prospects of the education.
For the impact of the termination of the major asset restructuring, Shenzhou Digital said that this will not have a significant negative impact on the company's development strategy, business planning and production and operation, nor will it affect the company's future strategic planning to further expand the company's industry. "In the future, the company will actively seek the possibility of expansion through mergers and acquisitions, seek new profit growth points, and enhance the comprehensive competitiveness of the company on the basis of doing well the existing main business."
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