Asian Tech Press (OCT 26) -- Koolearn Technology Holding (HKEX: 01797), a subsidiary of New Oriental Education & Technology Group (NYSE: EDU), announced that in accordance with new regulations and to ensure that the Group and its operations are in full compliance with all applicable legal and regulatory requirements, the Board of Directors of the Company has decided that the Group will cease to operate the subject-based off-campus tuition services provided to students from kindergarten to grade 9 (K-9) in Mainland China for the compulsory education level. The termination is expected to be effective by the end of November 2021.

K-9 business accounted for approximately 58% to 73% of Koolearn's K-12 education segment for the two fiscal years ending May 31, 2021, based on total revenue contribution.

On Sept. 13, Koolearn's K-12 segment, Dong Fang Youbo, focused on small-group interactive live classes, had decided to shut down.

Koolearn Technology's shares closed today down 3.46% at HK$5.02, giving the company a market capitalization of about HK$5 billion.