Beijing-based online education services company Ambow Education Holding Ltd is again seeking to go public on the New York Stock Exchange (NYSE) after it got delisted in 2014 due to delinquency in filing annual reports with the Securities and Exchange Commission (SEC).
Data from Nasdaq points out that Ambow’s offer amount is at $5 million. The company first listed on the US main board in 2010.
Backed by Australia’s Macquarie Capital, Ambow established in 2000 to address the growing demand in the Chinese market for quality higher education, resulting in graduates securing attractive jobs.
Based on its prospectus filed at the SEC in Washington, Ambow intends to use the net proceeds to upgrade and expand schools and learning centers, teacher training programmes and R&D of its educational content and to fund its working capital needs.
The NYSE Regulation Inc in 2014 delisted Ambow’s American Depositary Shares (ADSs) since it failed to file with the SEC its annual report or Form 20-F for the fiscal years ended December 31, 2012, and December 31, 2013.
Ambow reported its net revenues in the first three months of 2017 were RMB76.8 million, a 12.4 per cent increase from RMB68.3 million for the first quarter of 2016. The increase was mainly driven by higher student enrollment for the 2016-2017 academic year in the Company’s K-12 schools from the fall semester in 2016.
Gross profit was RMB26.0 million, a 3.2 per cent increase from RMB25.2 million for the first quarter of 2016. Gross profit margin was 33.9 per cent, compared with 36.9 per cent for the same period of 2016. The decline was mainly due to an increase in performance-based compensation for teaching faculties in the first quarter 2017, the company said.