July 26, 2021
/PRNewswire/ -- Zhangmen Education Inc. ("Zhangmen" or the
"Company") (NYSE: ZME), a leading online education company in
China focused on providing
personalized online courses to K-12 students, 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 school curriculum 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, or 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 school curriculum. 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 existing business operations and corporate
structure. As we are currently exploring measures to comply
with the requirements in the Guidelines, we will continue to
improve our operations in strict compliance with all laws and
regulations, fulfil our social responsibilities, provide our users
with high-quality services, and promote the long-term development
of China's education industry.
About Zhangmen Education Inc.
Zhangmen Education Inc. (NYSE: ZME) is a leading online
education company in China focused on providing
personalized online courses to K-12 students. The Company's core
course offerings encompass one-on-one and small-class after-school
tutoring services covering all core K-12 academic subjects, with an
established portfolio of well-recognized online education brands
including Zhangmen One-on-One, Zhangmen Small
Class, Zhangmen Kids and Xiaoli.
Leveraging its high-quality teaching talents with localized
insights, data-driven localized educational content and powerful
technology infrastructure, the Company provides a personalized and
results-driven learning experience to students across different
regions. Over the years, the Company has successfully garnered wide
recognition in the industry and established "Zhangmen" as a trusted
online education brand. For more information, please
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SOURCE Zhangmen Education Inc.