Neusoft's asset acquisition plan progresses, faces uncertainty

Neusoft Corporation (SSE:600718) is proceeding with its plan to acquire a 43% stake in Shanghai Surecom Information Technology via a share issuance and raise supporting funds, though finalization faces uncertainties. The company recently approved the cash acquisition of the remaining 57% stake in Shanghai Surecom. While agreements related to the cash acquisition have been signed, the audit and due diligence for the 43% share purchase is still underway, and negotiations with counterparties are ongoing. The deal requires further board and shareholder approvals, as well as regulatory clearance, and its completion is not guaranteed. Neusoft cautions investors to review the risk factors outlined in its previous filings.