17 Education & Technology Group Inc. Announces Pricing of Initial Public Offering

BEIJING, China, Dec. 04, 2020 (GLOBE NEWSWIRE) -- 17 Education & Technology Group Inc. (NASDAQ: YQ) (“17EdTech” or the “Company”), a leading education technology company in China with an “in-school + after-school” integrated model, announced today the pricing of its initial public offering of 27,400,000 American Depositary Shares (“ADSs”), with two ADSs representing five class A ordinary shares of the Company, at a public offering price of US$10.50 per ADS. The ADSs are expected to begin trading on the Nasdaq Global Select Market on December 4, 2020 under the ticker symbol “YQ.” The offering is expected to close on December 8, 2020, subject to customary closing conditions.

The Company has granted the underwriters an option, exercisable within 30 days from the date of the final prospectus, to purchase up to an aggregate of 4,110,000 additional ADSs. The total gross proceeds of the offering, before deducting underwriting discounts and commissions and offering expenses payable by 17EdTech, are expected to be approximately US$287.7 million if the underwriters do not exercise their over-allotment option, and approximately US$330.9 million if the underwriters choose to exercise their over-allotment option in full.

Morgan Stanley & Co. LLC, Goldman Sachs (Asia) L.L.C., and BofA Securities, Inc. are acting as joint bookrunners for the offering. China Renaissance is acting as a co-bookrunner. Tiger Brokers is acting as a co-manager for the offering.

17EdTech’s registration statement relating to the offering has been filed with, and declared effective by, the U.S. Securities and Exchange Commission. This press release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. This press release is being issued pursuant to and in accordance with Rule 134 under the Securities Act of 1933, as amended.

The offering of the securities is made only by means of a prospectus forming a part of the effective registration statement. A copy of the final prospectus relating to the offering may be obtained, when available, by contacting the following underwriters:

(1) Morgan Stanley & Co. LLC, Attention: Prospectus Dept., 180 Varick Street, 2nd floor, New York, New York 10014, or by telephone at +1 (866) 718-1649, or by email at prospectus@morganstanley.com

(2) GOLDMAN SACHS & CO. L.L.C., 200 WEST STREET, NEW YORK, NY 10282-2198 ATTENTION: PROSPECTUS DEPARTMENT (1-866-471-2526), E-MAIL: PROSPECTUS-NY@GS.COM

(3) BofA Securities, Inc., Attention: Prospectus Department, NC1-004-03-43, 200 North College Street, 3rd Floor, Charlotte, NC 28255, or by email at dg.prospectus_requests@bofa.com

About 17 Education & Technology Group Inc.
17 Education & Technology Group Inc. is a leading education technology company in China with an “in-school + after-school” integrated model. The Company provides a smart in-school classroom solution that delivers data-driven teaching, learning and assessment products to teachers, students and parents, covering over 70,000 K-12 schools in the first half of 2020.

Leveraging the Company’s in-school leadership, 17EdTech offers online K-12 large-class after-school tutoring services that complement students’ in-school learning. Powered by its integrated model and technology, 17EdTech’s online K-12 large-class after-school tutoring courses stand out in terms of its unique approach to personalization, realized through a data-driven understanding of individual students’ in-school performance, as well as district-level localized insights.

For more information, please visit: https://ir.17zuoye.com   

Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar statements. Statements that are not historical facts, including statements about 17EdTech’s beliefs and expectations, are forward-looking statements. Among other things, the description of the public offering in this announcement contain forward-looking statements. 17EdTech may also make written or oral forward-looking statements in its periodic reports to the SEC, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: 17EdTech’s growth strategies; its future business development, financial condition and results of operations; its ability to continue to attract and retain users, convert non-paying users into paying users and increase the spending of paying users, the trends in, and size of, China’s online education market; its expectations regarding demand for, and market acceptance of, its products and services; its expectations regarding its relationships with business partners; general economic and business conditions; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in 17EdTech’s filings with the SEC. All information provided in this press release is as of the date of this press release, and 17EdTech does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

For investor and media inquiries, please contact:

17 Education & Technology Group Inc. 
Mr. Raymond Huang
E-mail: ir@17zuoye.com

Christensen
In China
Mr. Eric Yuan
Phone: +86-138-0111-0739
E-mail: Eyuan@christensenir.com

In US
Ms. Linda Bergkamp
Phone: +1-480-614-3004
E-mail: lbergkamp@christensenir.com


Source: 17 Education & Technology Group Inc.



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