51Talk Online Education announced that the company will change the ratio of its American depositary shares, or ADSs, to Class A ordinary shares from one ADS representing 15 Class A ordinary shares to one ADS representing 60 Class A ordinary shares. The intention of the ADS ratio change is to prepare the company for a contemplated transfer of the listing of its ADSs from the New York Stock Exchange to the Nasdaq Capital Market. The management of the company believes that the Nasdaq Capital Market is a more suitable listing venue to reflect the shift of the company’s business focus from China’s K-12 online education market to the emerging international K-12 online education market. For the company’s ADS holders, the change in the ADS Ratio will have the same effect as a one-for-four reverse ADS split.
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