By Chris Wack

GSX Techedu Inc. shares were up 10% to $67.34 after the company said certain investors have agreed to purchase through a private placement $870 million of newly issued Class A ordinary shares.

The Chinese after-school tutoring service provider said the placement represents 6.2% of its total outstanding shares.

The private placement is expected to be closed in December.

Write to Chris Wack at chris.wack@wsj.com

(END) Dow Jones Newswires

12-07-20 1013ET