Intueri shares slump to record low
Intueri Education Group shares slumped 25% to a record low of 3c amid signs Australian investors are trimming their holdings ahead of the private education provider's delisting from the ASX next month.
The company last updated the market on December 2, when it said it would receive an $A3.5 million payment from the Australian Department of Education and Training (DET) for 2015, but was still waiting to hear whether it will get a further $A6 million for 2016 and whether it can join that country's new student loan payment scheme.
A large percentage of students in Intueri's Australian businesses, Online Courses Australia (OCA) and Conwal & Associates, are funded through a scheme that helps either pay some or all of their fees, known as Vet Fee-Help.
The Australian government imposed a cap on the scheme this year, holding all providers to their 2015 revenue levels, and closed it to new students after the end of 2016.
Conwal has applied for provisional approval to join the new scheme in 2017, but that approval is uncertain, the company says.
Earlier this week, Australian substantial shareholder Challenger sold down its stake from 9.68% to 6.39%. This may be partly driven by Intueri's move to delist from the ASX, with shares on the ASX to be suspended from trading on January 10 and removed from the official list on January 17.
Intueri shares have now fallen 94% since the start of the year. It listed on May 2014 at $2.35. It now has a market capitalisation of just $4 million, according to Reuters data.