Chinese Edtech Firm Zuoyebang Eyes IPO in the US, Aiming to Raise $500 Million

April 21, 2021 4:43 am

Beijing (PingWest)—The Chinese online tutoring platform Zuoyebang is considering an initial public offering in the US, aiming to raise at least $500 million, Bloomberg reported, citing people with knowledge of the matter.

The Beijing-based ed-tech startup is working with advisers on potential listing matters and may conduct an IPO as soon as possible in the second half of this year, said the report.

Prior to this, the company has recruited a senior executive from Nasdaq-listed Joyy to become its chief financial officer as the high-flying startup prepares for an initial public offering.

Zuoyebang offers online courses, live lessons, and homework help for kindergarten to 12th-grade students, and claims about 170 million monthly active users, about 50 million of whom use the service each day. In comparison, there were about 200 million K-12 students in 2019 in China, according to the Ministry of Education.

Founded in 2015, Zuoyebang has raised at least $3.4 billion from investors such as SoftBank Vision Fund, Goldman Sachs Group and Sequoia Capital China.