Ambow Education Holding Ltd. fell to the lowest on record in New York after the Beijing-based education service provider’s Chief Financial Officer resigned and the company reported a first-quarter net loss.
Ambow Education tumbled 20 percent to $3.73 at the close of trading in New York, the lowest since the American depositary receipts started trading in August 2010. Trading was almost three times the stock’s three-month average daily volume, according to data compiled by Bloomberg.
In a statement yesterday, Ambow Education reported a $12.7 million net loss for the first quarter, compared with $2 million net income for the same period in 2011. In a separate statement, the Beijing-based company said Gareth Kung, who joined the company in December, resigned as the company’s finance chief, and that KJ Tan, vice-president of finance, was appointed as acting finance chief.
Ambow Education, in a filing to the Securities and Exchange Commission today, also said it will conduct an internal investigation in response to an allegation by a former employee of “financial impropriety and wrongful conduct” related to the 2008 acquisition of a training school.