NEW YORK, May 12, 2022 (GLOBE NEWSWIRE) -- Abraham, Fruchter & Twersky LLP announces that it has filed a class action lawsuit seeking to represent purchasers of First High-School Education Group Co., Ltd. (NYSE: FHS) American Depositary Shares (“ADSs”) in or traceable to FHS’s March 2021 initial public offering (the “IPO”). Filed on May 11, 2022, the FHS class action lawsuit, titled Dagan Investments LLC v. First High-School Education Group Co., Ltd., No. 22-cv-03831 (S.D.N.Y.), alleges violations of the Securities Act of 1933 by FHS, certain of its executives and directors, the IPO’s underwriters and others.
If you would like to discuss this class action lawsuit or obtain more information about your rights, please contact AF&T by contacting Sean M. Handron-O’Brien at SHandronobrien@aftlaw.com or by calling (212) 279-5050.
FHS operates private high schools in Western China. On or around March 11, 2021, FHS conducted its initial public offering (the “IPO”), issuing 7.5 million American depository shares (“ADSs”) priced at $10.00 per ADS.
In the week before the IPO, March 4, 2021 through March 11, 2021, China held its annual “Two Sessions” parliamentary meetings, at which China government leaders had proposed stringent regulations governing the for-profit tutoring industry in China. On July 23, 2021, China unveiled further regulatory restrictions for the education sector in China, banning companies that teach the school curriculum from making profits, raising capital or going public.
By May 10, 2022, FHS ADSs closed below $1 per ADS – more than 90% below the price at which FHS ADSs were sold to the investing public a little more than one year previously. At the time of the filing of this complaint, the price of FHS ADSs has remained significantly below the IPO price.
Abraham, Fruchter & Twersky, LLP is a law firm based in New York and maintaining an office in California. The firm’s attorneys have extensive experience litigating on behalf of shareholders in class action litigations involving corporate misconduct and has been ranked as a leading plaintiffs’ securities litigation firm in the 2020 survey by ISS Securities Class Action Services. Please visit www.aftlaw.com for more information.
Contact Information:
Sean M. Handron-O’Brien
Abraham, Fruchter & Twersky LLP
Phone: (212) 279-5050
Email: SHandronobrien@aftlaw.com
