Stock price fell by over 16%! Core terms could not be agreed upon leading to the failure of the restructuring, Cape Cloud responds.

On February 25th, the stock price of Cape Cloud opened sharply lower. By midday, it had dropped by 16.45% to 120.82 yuan per share, cutting the stock price in half for the month. In terms of news, on the evening of February 24th, Cape Cloud announced the termination of a major asset restructuring plan that had been planned for six months. The company stated that since the planning of this major asset restructuring, they had actively organized the parties involved and various intermediaries to advance the work of this major asset restructuring. Due to changes in the market environment, the two parties were unable to reach a consensus on the core terms of the transaction. After thorough and careful study by the board of directors, the decision was made to terminate the major asset restructuring. In response to the failure of this restructuring, a journalist called Cape Cloud in the role of an investor. The company's receptionist admitted that due to the current high prosperity of the storage industry, the target company had overly high expectations for their own valuation, and the two parties could not reach an agreement on the transaction price. "In addition, the fundamental difficulties caused by the accumulation of their company's basic factors in the early stages for auditing and evaluation work." Despite the setback of this acquisition, the receptionist emphasized that the current trend of rising storage prices in the market confirms the correctness of the company's management's previous judgment of the industry, that is, the deep integration of storage and computing power is an important infrastructure for the development of AI. The overall strategic direction of the company's future development will not change, and it will continue to focus on the AI business.