China Beststudy Education Group (Beststudy Education) disclosed an inside information filing that outlines a plan to repurchase and cancel 30.00 million shares in the second half of 2026. The targeted tranche, currently held by the trustee of the company’s restricted share unit scheme and not yet granted to any participants, represents about 3.54% of the outstanding share capital as of the announcement date.
The board considers the prevailing market price to undervalue the company’s fundamentals and views the buyback as an opportunity to enhance shareholder returns. Management expects the cancellation of the shares to improve key per-share metrics, including net asset value and earnings, thereby reinforcing investor confidence.
According to the filing, the planned transaction is not anticipated to exert any material adverse effect on Beststudy Education’s operations, profitability, financial health, debt-servicing capacity, or public float requirements under the Hong Kong Listing Rules. The company also confirmed that its listing status will remain unaffected.
Implementation of the repurchase and cancellation is conditional on shareholder approval at an upcoming extraordinary general meeting and must comply with the Codes on Takeovers and Mergers and Share Buy-backs of Hong Kong. The company advised shareholders and potential investors to exercise caution when dealing in its shares until further details are released.