- Beijing has become the first major city requiring all after-school education companies to become non-profits, according to announcements from the companies.
- Companies are unlikely to be shut down, but may have to sell core assets and look for new businesses to take advantage of their core skills and technologies.
- The flatlining might actually be considered a somewhat good thing, as it ends a period of steady declines that have seen most companies’ shares lose 85% or more of their value since the start of the year.
For further details see:
Education Crackdown Creates 'Zombie Companies' In Need Of Transformation