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Zhangmen Education Inc., a Shanghai, China-based online tutoring company, began to trade as a public company on the New York Stock Exchange under the symbol ZME after it announced its initial public offering on Tuesday.
The company raised a total of $41.7 million by selling more than 3.62 million shares at $11.5 per ADS. The offering is expected to close on June 10.
Shares of Zhangmen opened at $16.13, and hit a high of $20.52, up 78.43% from its offer price of $11.5 after its market debut Tuesday, giving the company a market cap of $3.235 billion. Shares closed Tuesday at $16.59, up nearly 44% from its offer price.
Zhangmen filed with the SEC to raise up to $100 million in an initial public offering on May 19. It planned to list on the NYSE under the symbol ZME.
The company reported RMB4,018.4 million (US$613.3 million) net revenues in 2020, marking a 50.6% increase from the previous year. That mainly comes from 544,813 paid student enrollments of its online one-on-one after-school tutoring in 2020.
Founded in 2014, Zhangmen offers online one-on-one tutoring for K-12 students as the main business, with small-class tutoring and early childhood education services as the supplements.