Puxin Limited announced that it is evaluating opportunities to expand its existing business by entering into the fast-food chain restaurants business in China. The Company possesses a strong integration capability and expects that its Puxin Business System, which covers 3,000 management modules, would allow it to optimize the operating system and business performance of existing restaurants. The Company also expects that its involvement will support the restaurants to improve customers traffic by opening new locations around or inside the Company's schools.

No assurance can be provided that the Company will complete a transaction in the identified industry.