Meten Edtech Education Group (NASDAQ:METX) shares jumped 14% on Thursday following the announcement the China-based education company will unveil an online higher education service for adults overseas from fall.
The company offers English language learning, and as per the announcement, enrolment will commence in places such as Wuhan, Beijing, and Guangzhou before expanding across the country from next spring. The development comes at the back of regulatory crackdowns in the country on various sectors such s tech and education companies.
Education firms have been feeling the impacts following the release of a new policy in July that banned educational learning institutions from raising cash via the stock listing and using foreign investment capital. However, METX has this in mind, and the company said that the service they unveiled is in line with Chinese regulations. Most importantly, the company has indicated that the services will offer a flexible learning schedule and friendly curriculum meant for people needing higher education degrees through foreign institutions.Therefore, METX is worth watching in the coming months.
Market Reaction:
On Thursday, METX stock gained 14.79% at $0.6162 with more than 44.57 million shares, compared to its average volume of 6.40 million shares. The stock has moved within a range of $0.6001 – 0.7400 after opening the trade at $0.6840.
