On the evening of January 1st, Huanju announced the termination of the acquisition agreement for YY by Baidu's affiliated parties. The announcement stated that the company received a written notice from a Baidu affiliated company today. The notice aims to terminate the share purchase agreement dated November 16, 2020, under which Baidu will acquire YY. Although YY's sale to Baidu was largely completed on February 8, 2021, there are still some matters to be completed in the future. Baidu claims in the notice that it has exercised its right to terminate the share purchase agreement and effectively cancelled the transaction. The company is seeking legal advice and will consider all options for its disposal in response to the notice. The company explicitly reserves all rights.