Company introduction

The company is a Chinese provider of private education services from preschool to grade 12. It has been operating private schools in Chengdu for over 15 years. As of the last practicable date, the company had established and operated five pre-school schools up to twelfth grade schools and one university. As of October 31, 2015, the number of students enrolled in pre-school education to the 12th grade of the company was about 18,345, and the number of university students enrolled was about 14,237. According to Frost & Sullivan's report, based on the number of students enrolled, the company is at the forefront of the highly fragmented private basic education industry in southwestern China, with a market share of 0.43%. As of 2012, 2013, the year ended December 31, 2014, and the six months ended June 30, 2015, the company's revenue split was approximately RMB 502.06 million, RMB 554.72 million, RMB 626.01 million, and RMB 364.82 million; during the same period, the net profit division of the company belonging to the owners of the parent company was approximately RMB 66.48 million, RMB 37.30 million, RMB 79.12 million, RMB 79.12 million and RMB 7544 million Renminbi.

Assumed use of proceeds

Assuming that no over-allotment rights were exercised, the net proceeds from the sale of shares were estimated to be approximately HK$1,834.5 million based on the median sale price of HK$2.55 per share.