Rise Education IPO rides on sector frenzy

Bain Capital looks to profit from the rising momentum of education stocks to sell part of its stake in the Beijing-based private tutorial company through an IPO in the US.

Four years after investing in Rise Education, private equity firm Bain Capital is looking to partially exit the investment as it kicks off a $154 million US initial public offering of the Chinese private education provider on Monday.

Initial terms show Bain is seeking an implied valuation of about $770 million on a pre-greenshoe basis for the private tutorial firm, or nearly six times its $130 million investment made in July 2013.

That eye-catching return underscores the rising demand for private tutoring as China’s middle class grows. In the stock market, demand for education stocks is equally high as most of them are reaching record levels of...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222