Topstrong Innovation announced the termination of its purchase of a 51.5488% stake in Xi'an Sidande Information Technology Co., Ltd. The company had previously approved the proposed cash purchase of the stake through its board of directors and the first extraordinary shareholders' meeting of 2026, and on August 20, 2026, approved the termination proposal after negotiating with the counterparty due to the actual circumstances of both parties and the current market environment. As of the announcement date, not all conditions for the equity transfer agreement to take effect had been met, and neither party is required to bear liability for breach of contract. On the same day, Topstrong Innovation disclosed its semi-annual report, showing operating revenue of 294 million yuan for the first half of 2026, down 36.19 percent year on year. Net profit attributable to shareholders of the listed company was 106 million yuan, up 1,678.13 percent year on year, with basic earnings per share of 0.51 yuan. As of the end of the reporting period, the company held a cumulative 6.22 percent stake in Hangju Technology, and the financial asset recognized a fair value change gain of 141 million yuan, which was the main reason for the significant increase in net profit for the period.
GuangDong Topstrong Living Innovation & Integration Co Ltd Class ATermination of stake purchase and revenue decline, though net profit surged due to fair value gains.
