HANGZHOU, China, July 26, 2021 /PRNewswire/ -- Youdao, Inc.
("Youdao" or the "Company") (NYSE: DAO), a leading intelligent
learning company in China, noted
that the General Office of the Communist Party of China Central
Committee and the General Office of the State Council jointly
issued a set of guidelines on July 24,
2021, aiming to ease the burden of excessive homework and
after-school tutoring for students receiving compulsory education
(the "Guidelines"). The Guidelines, among other things, require
that all institutions offering online after-school tutoring on
academic subjects in compulsory education be registered as
non-profit organizations, obtain approval from the relevant
regulatory authorities, and comply with various operational
requirements with respect to class hours, faculty qualifications,
tuition standards, advertising and others. In addition, the
Guidelines prohibit all such tutoring businesses from raising funds
through stock exchange listings or other capital-related
activities. Foreign investments in school curriculum-based tutoring
institutions through variable interest entity (VIE) arrangements,
mergers and acquisitions or otherwise are also prohibited. Listed
companies are banned from raising capital through equity offerings
to invest in businesses offering tutoring on academic subjects in
compulsory education. The Guidelines require that all businesses
that have already violated these rules take corrective measures as
appropriate.
Although the interpretation and implementation of the Guidelines
remain uncertain, we expect the Guidelines to have material impacts
on our K-12 course business, financial condition and corporate
structure. As we are currently exploring measures to comply with
the requirements in the Guidelines for our K-12 course business, we
will continue to seek guidance from regulatory authorities to
improve our operations in strict compliance with all laws and
regulations, fulfil our social responsibilities, provide our users
with high-quality, innovative products and services, and promote
the long-term development of China's education industry.
About Youdao, Inc.
Youdao, Inc. (NYSE: DAO) is a leading intelligent learning
company in China dedicated to
developing and using technologies to provide learning content,
applications and solutions to users of all ages. Building on the
popularity of its online knowledge tools such as Youdao Dictionary
and Youdao Translation, Youdao now offers online courses covering a
wide spectrum of age groups, subject matters, learning goals and
areas of interest. In addition, Youdao has developed a variety of
interactive learning apps and smart learning devices. Youdao was
founded in 2006 as part of NetEase, Inc. (NASDAQ: NTES; HKEX:
9999), a leading internet technology company in China. For more information, please visit:
http://ir.youdao.com.
Safe Harbor Statement
This press release contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. Statements that
are not historical facts, including statements about the Company's
beliefs and expectations, are forward-looking statements.
Forward-looking statements involve inherent risks and
uncertainties, and a number of factors could cause actual results
to differ materially from those contained in any forward-looking
statement. In some cases, forward-looking statements can be
identified by words or phrases such as "may," "will," "expect,"
"anticipate," "target," "aim," "estimate," "intend," "plan,"
"believe," "potential," "continue," "is/are likely to" or other
similar expressions. The Company may also make written or oral
forward-looking statements in its reports filed with, or furnished
to, the U.S. Securities and Exchange Commission, in its annual
reports to shareholders, in press releases and other written
materials and in oral statements made by its officers, directors or
employees to third parties. Statements that are not historical
facts, including statements about the Company's beliefs and
expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. Further
information regarding such risks, uncertainties or factors is
included in the Company's filings with the SEC. All information
provided in this press release is as of the date of this press
release, and the Company does not undertake any duty to update such
information, except as required under applicable law.
For investor and media inquiries, please
contact:
In China:
Jeffrey Wang
Youdao, Inc.
Tel: +86-10-8255-8163 ext. 89980
E-mail: IR@rd.netease.com
The Piacente Group, Inc.
Emilie Wu
Tel: +86-21-6039-8363
E-mail: youdao@thepiacentegroup.com
In the United States:
The Piacente Group, Inc.
Brandi Piacente
Tel: +1-212-481-2050
E-mail: youdao@thepiacentegroup.com
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SOURCE Youdao, Inc.