Reports that Amber Education has been sued for false takeovers

Nyse:ambo, an education and training agency listed on the U.S. stock market, is in trouble. The Beijing time February 28, the amber education share price fell sharply, up to the close of 16.67% reported 1.3 U.S. dollars, trading volume than the monthly 140,000 soared to 390,000. It is noteworthy that on the day of August 2010, amber Education fell below 10 U.S. dollar price, as of February 28, 2013, the close of 1.3 U.S. dollars, its shares have fallen nearly 90%, the market value of less than 100 million U.S. dollars. The stock price was a big deal, stemming from investor fraud in an acquisition of Amber Education. In this regard, the daily economic news reporter contacted the amber Education, but the company's relevant officials said the current temporary inconvenience to the interview. The industry is concerned that, once confirmed, investors ' fraud against the takeover will have a big impact on the amber education, which is a big takeover. Media reports: Amber suspected of false acquisition media reports, in Thursday Byronbrown and other investors are suing Amber, the 2008 Amber merger of the acquisition of the Changsha Auction School (Changshastudyschool), It is actually just a payment to buy the latter's name and revenue data for the former IPO. The prosecution quoted media reports as saying, "The acquisition of cash funds later in the form of some false software revenue back to Amber." In a report entitled "Amber Education was exposed to fake acquisition of false earnings to the U.S. listing", the process of the acquisition of the education of the first-class Changan school was alleged to be tricky. It is understood that in 2008, when Amber bought the school, a total of 52.282 million yuan in the acquisition of the "half of cash + half of the stock" model to achieve (of which the cash is 25 million yuan, plus the equivalent of 27.282 million yuan to be listed on the stock, equivalent to 1400560 common). But this 25 million yuan of cash, Changsha competition is not the school can be obtained. According to the agreement, the school should cooperate with Amber to "purchase" the teaching software from Amber's Amber online with the "acquisition" which is transferred each year, forming the revenue of the current sales software product of the amber online. At the same time, the school's annual revenue performance as an extracurricular training program is also included in the "total annual net revenue" of the amber education. After the successful launch of the Amber Education, the shares tumbled, while the school's original shareholders were firmly tethered to the 180-day lock-up period. After the lifting of the ban, the original value of 27.282 million yuan of equivalent stocks, its market value has shrunk sharply. This leads to the contradiction between some shareholding shareholders and the education of amber. Reporters to the authenticity of the situation to the amber side of the verification, but as of press has not yet received a reply. In the case of Amber Education, which specializes in mergers and acquisitions, the Changsha Auction School may just be the "tip of the iceberg" for many of Amber's acquisitions. Industry: Mergers and acquisitions are not known according to the education of the "prospectus" revealed, amber Education in the rounds of financing, from the beginning of 2008 to October 2009, the total use of more than 1.6 billion yuan (of which more than 1.2 billion yuan of cash plus equivalent to 400 million yuan to be listed in RMB)Stock), a nationwide selection of the top three quality education resources as a target acquisition, a total of 23 schools and training institutions. Most of these acquisitions are done by means of so-called "half cash + half stock". In response to investor questioning of amber education in mergers and acquisitions, insiders said the use of "half of the cash + half the stock" approach is no problem. Pearson bought the world in full cash, and Youku acquired potatoes by exchanging shares, while Microsoft [Weibo] proposed a 44.6 billion-dollar purchase of Yahoo in the form of "half cash + half stock" years ago. The securities themselves are of value and need to be negotiated by both parties. "But if that is true in the course of the merger (and" The Cash Money purchased was later reversed to Amber in the form of some false software revenue "). So Amber will have to flee the suspicion of manipulating revenues and financial fraud, and the SEC's intervention will be inevitable. Amber fraud, manipulation of the charges once established, the impact on investors will be huge. The industry insiders explained. For the 16.7% decline of 28th, I Li Ying wanted, a U.S. stock analyst, told the Daily Economic news reporter, from the public information point of view, there is no direct negative news of Amber. Amber's current stock price is less than two dollars, and a small price difference can lead to sharp fluctuations in share prices. In May 2012, the price of amber education was plunged by delaying the submission of the annual report. On July 5, after a net loss of 12.7 million U.S. dollars in the first quarter of fiscal year 2012, Amber Education suspended its earnings release. Li Ying wanted that the emergence of rumours such as Amber, the 8 law firms in the United States and many of the country's mergers and acquisitions agencies, has made it obvious that investors who have long failed to obtain an amber financial status report have been alarmed. In this connection, some industry analysts said that the most urgent need for Amber is to maintain a smooth and direct communication with capital markets and investors. If the company is still unable to respond to some of the doubts, it believes its share price will be depressed for some time.