RYB Education's stock plunges after police find maltreatment of children involving 'sewing needles' [MarketWatch]
RYB Education, Inc. American depositary shares, each representing one Class A ordinary share (RYB)
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Source: MarketWatch
RYB Education's stock plunges after police find maltreatment of children involving 'sewing needles' Shares of China-based RYB Education Inc. RYB, -10.77% plunged 10% in premarket trade Wednesday, after the childhood education services company said a police investigation found maltreatment of children by a former female teacher. The company said the maltreatment involved the use of sewing needles to "discipline" children during post-lunch naptime at the RYB-operated kindergarten. Although the police said there has been no evidence of further misconduct, RYB said there have been additional parent complaints regarding RYB-branded kindergartens. The stock, which went public on Sept. 27 at an initial-public-offering price of $18.50, closed at a low of $16.45 last Friday, after the company said police started an investigation following allegations of "improper conduct." The stock has dropped 7.6% over the past month through Tuesday, while the Renaissance IPO ETF IPO, +0.00% has gained
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