SHANGHAI, Feb. 21, 2022 /PRNewswire/ -- LAIX Inc.
("LAIX" or the "Company") (NYSE: LAIX), an artificial intelligence
(AI) company in China that creates
and delivers products and services to popularize English learning,
today announced that it plans to change the ratio of its American
Depositary Shares ("ADSs") to its Class A ordinary shares (the "ADS
Ratio"), par value US$0.001 per
share, from the current ADS Ratio of one (1) ADS to one (1) Class A
ordinary share to a new ADS Ratio of one (1) ADS to fourteen (14)
Class A ordinary shares. A post-effective amendment to the ADS
Registration Statement on Form F-6 will be filed with the SEC to
reflect the change in the ADS Ratio. The Company anticipates that
the change in the ADS Ratio will be effective on or about
March 4, 2022, subject to the
effectiveness of the post-effective amendment to the ADS
Registration Statement on Form F-6 on or before that date.
For LAIX's ADS holders, the change in the ADS Ratio will have
the same effect as a one-for-fourteen reverse ADS split. Each ADS
holder of record at the close of business on the date when the
change in ADS Ratio is effective will be required to surrender and
exchange every fourteen (14) existing ADSs then held for one (1)
new ADS. Deutsche Bank Trust Company Americas, as the depositary
bank for LAIX's ADS program, will arrange for the exchange of the
current ADSs for the new ones. LAIX's ADSs will continue to be
traded on the New York Stock Exchange under the symbol
"LAIX".
No fractional new ADSs will be issued in connection with the
change in the ADS Ratio. Instead, fractional entitlements to new
ADSs will be aggregated and sold by the depositary bank and the net
cash proceeds from the sale of the fractional ADS entitlements
(after deduction of fees, taxes and expenses) will be distributed
to the applicable ADS holders by the depositary bank. The change in
the ADS Ratio will have no impact on LAIX's underlying Class A
ordinary shares, and no Class A ordinary shares will be issued or
cancelled in connection with the change in the ADS Ratio.
As a result of the change in the ADS Ratio, the ADS trading
price is expected to increase proportionally, although the Company
can give no assurance that the ADS trading price after the change
in the ADS Ratio will be equal to or greater than fourteen times
the ADS trading price before the change.
About LAIX Inc.
LAIX Inc. ("LAIX" or the "Company") is an artificial
intelligence (AI) company in China
that creates and delivers products and services to popularize
English learning. Its proprietary AI teacher utilizes cutting-edge
deep learning and adaptive learning technologies, big data,
well-established education pedagogies and the mobile internet. LAIX
believes its innovative approach fundamentally transforms learning.
LAIX provides its products and services on demand via its mobile
apps, primarily its flagship "English Liulishuo" mobile app
launched in 2013. On the Company's platform, AI technologies are
seamlessly integrated with diverse learning content incorporating
well-established language learning pedagogies, gamified features
and strong social elements to deliver an engaging, adaptive
learning experience. LAIX provides a variety of courses inspired by
a broad range of topics and culture themes to make English learning
more interesting and is committed to offering a fun, interactive
learning environment to motivate and engage its users.
Safe Harbor Statement
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by terminology such as
"will," "expects," "anticipates," "aims," "future," "intends,"
"plans," "believes," "estimates," "confident," "potential,"
"continue" or other similar expressions. LAIX may also make written
or oral forward-looking statements in its periodic reports to the
Securities and Exchange Commission, in its annual report to
shareholders, in press releases and other written materials and in
oral statements made by its officers, directors or employees to
third parties. Statements that are not historical facts, including
but not limited to statements about LAIX's beliefs and
expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties, and a variety
of factors could cause actual results to differ materially from
those contained in any forward-looking statement, including but not
limited to the following: LAIX's goals and strategies; LAIX's
future business development, results of operations and financial
condition; the expected growth of the education market; LAIX's
ability to monetize the user base; fluctuations in general economic
and business conditions in China;
PRC governmental policies, laws and regulations relating to the
Company's industry; the potential impact of the COVID-19 to LAIX's
business operations and the economy in China and elsewhere generally; and assumptions
underlying or related to any of the foregoing. Further information
regarding these and other risks is included in the Company's
filings with the Securities and Exchange Commission. All
information provided in this press release is as of the date of the
press release, and the Company undertakes no duty to update such
information, except as required under applicable law.
For further information, please contact:
LAIX Inc.
Investor Relations
Email: ir@laix.com
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SOURCE LAIX Inc.