First High-School Education Group, which operates private high schools and provides tutoring services in China, announced terms for its IPO on Tuesday.
The Kunming, China-based company plans to raise $75 million by offering 7.5 million ADS (33% insider) at a price range of $9.50 to $10.50. The company plans to raise an additional $4.5 million in a concurrent private placement to Ruihai Chuangfeng, a wholly-owned subsidiary of Haier Financial Leasing. At the midpoint of the proposed range, First High-School Education Group would command a market value of $289 million.
The company states that is the largest operator of private high schools in Western China and the third largest operator in all of China by student enrollment as of December 31, 2019. It has grown high school student enrollment at a 77% CAGR and number of high schools at a 41% CAGR from December 31, 2015 through December 31, 2019.
First High-School Education Group was founded in 2012 and booked $62 million in revenue for the 12 months ended September 30, 2020. It plans to list on the NYSE under the symbol FHS. The Benchmark Company, AMTD Global Markets, Valuable Capital, TF International, and Maxim Group LLC are the joint bookrunners on the deal.
