British Pearson buys 294 million dollars for global IELTS

Xinhua News (Reporter Liu Lanlan Shen Yu Green) Training institutions Global IELTS announced yesterday that the company has been the British Pearson Group acquisition, the total transaction amount of about 294 million U.S. dollars.　　Global IELTS will retire from Nasdaq after the deal is completed. According to the agreement, Pearson buys all of the global IELTS shares at $11.006 per share, representing 4 common shares per ADS, at a premium of 105% over the company's Friday closing price.　　The merger is expected to be completed by the end of 2011. Global IELTS, one of China's largest chain of foreign language training institutions, was traded on Nasdaq last OCTOBER 8 with a price of $10.5 per ADS. Its share price has fallen for more than a year since its close of $5.37 in Friday, down nearly 50% from its IPO.　　Zhong Zhixin, a U.S. stock analyst, believes that the global IELTS management may think that its company's share price is low, the volume is small, without the attention of the U.S. capital markets, to make the decision to privatize the market. The British Pearson Group is the international publishing media giant, the Financial Times Group's parent company, which has acquired Shanghai Ventolin Education, Dell (Weibo) English and Wall Street English training brands in China.　　Zhong Zhixin said that the acquisition in the short term for the new Oriental IELTS Training business is very small, in the long run, if Pearson can be global IELTS and other training brand effective integration, or will have a certain impact on the business of the new Oriental. The results of the second quarter of Global IELTS showed operating profit slipped from 9.7 million yuan in the same period last year to 1 million yuan, down 89.7% per cent year-on-year.