Chinese education billionaire loses $15 billion
Larry Chen is one of the richest people in the world.
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The former teacher, who became one of the world's richest people, Larry Chen, has lost his billionaire status under China's crackdown on education.
Chen's fortune, founder, chairman and CEO of Gaotou Tech Ido, has now fallen to $336 million, according to the Bloomberg Billionaires Index, after shares of his online educational services company plunged by nearly two-thirds on the New York Stock Exchange, last Friday, due to reports Regulatory reform in China.
On Saturday, China issued new regulations prohibiting companies that study the curriculum from making profits, raising capital or going public.
It is the latest blow to Chen, who has lost more than $15 billion of his fortune since late January, as Gaotou shares tumbled.
"(Gauto) will comply with regulations and fulfill its social responsibilities," Bloomberg reported.
And Chen was not the only one whose fortune fell due to the regulations, as the fortune of Tal Education Group CEO, Chang Bang Chen, fell by 2.5 billion dollars, to reach 1.4 billion dollars, after the company's shares plunged 71% on the New York Stock Exchange, on Friday.
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