NEW YORK, July 28, 2021 /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of Tarena International, Inc. ("Tarena" or the "Company") (NASDAQ: TEDU). Such investors are advised to contact Robert S. Willoughby at [email protected] or 888-476-6529, ext. 7980.
The investigation concerns whether Tarena and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
On April 30, 2019, Tarena filed a Form NT 20-F Notification of inability to timely file a Form 20-F for the fiscal year ended December 31, 2018 with the U.S. Securities and Exchange Commission ("SEC"). The Company stated that the delay in filing the Form 20-F was due, in part, to, "the independent audit committee of the registrant's board of directors . . . conducting a review of certain issues identified during the course of the audit of the registrant's financial statements for the year ended December 31, 2018, including issues related to the registrant's revenue recognition."
On this news, Tarena's American depositary share ("ADS") price fell $0.06 per ADS, or 1.2%, to close at $5.02 per ADS on May 1, 2019.
Then, on May 17, 2019, Tarena filed a Form 6-K with the SEC announcing that it "received a notification letter from Nasdaq Listing Qualifications [. . .] stating that the Company was not in compliance with Nasdaq Listing Rule 5250(c)(1) due to its failure to timely file its Annual Report on Form 20-F for the year ended December 31, 2018."
On this news, Tarena's ADS price fell $0.19 per ADS, or 4.8%, to close at $3.73 per ADS on May 20, 2019.
On July 24, 2019, Tarena filed a Form 6-K with the SEC providing an update on the audit committee's independent review of the Company's financial statements, stating in relevant part that the Company "expects that its historical disclosure of its financial results and audited financial statements for its fiscal year ended December 31, 2017, as well as the financial results and audited financial statements for periods prior to 2017, may need to be restated and should not be relied upon, pending the completion of the Independent Audit Committee Review."
On this news, Tarena's ADS price fell $0.08 per ADS, or 4.7%, to close at $1.63 per ADS on July 25, 2019.
Finally, on November 1, 2019, Tarena filed a Form 6-K announcing results of its independent investigation, in which Tarena disclosed, among other things, that the investigation had revealed inaccuracies in the Company's revenues and expenses, conflicts of interest and related party transactions, and interference with external audit processes. Accordingly, Tarena advised that its financial statements from 2014 through 2018 could not be relied upon and would need to be restated.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
Robert S. Willoughby
888-476-6529 ext. 7980
SOURCE Pomerantz LLP