Yi Wang, Zheren Hu, Hui Lin and PCIL IV Limited made a preliminary non-binding proposal letter to acquire remaining 60.6% stake in LAIX Inc. (NYSE:LAIX) for $34.2 million on August 4, 2021. Yi Wang, Zheren Hu, Hui Lin and PCIL IV Limited entered into a definitive agreement to acquire remaining 60.6% stake in LAIX Inc. on June 17, 2022. As per terms of transaction, Buyer will pay $1.13 per share. As of April 28, 2022, Yi Wang, Zheren Hu, Hui Lin and PCIL IV Limited received an preliminary non-binding proposal letter to acquire remaining 60.6% stake in LAIX Inc. (NYSE:LAIX) for $4.1 million. As per revised terms of transaction, Buyer will pay $0.1357 per share. Yi Wang, Zheren Hu and Hui Lin collectively own approximately 39.8% of LAIX Inc. The funding for the acquisition of the publicly held shares will be provided by equity capital arranged by the Reporting Persons. As of August 6, 2021, Board of Directors has formed a special committee consisting of two independent directors, Li-Lan Cheng, who will serve as the chairman of the Special Committee, and Min (Jenny) Zhang, to evaluate and consider the previously announced preliminary non-binding proposal letter dated August 4, 2021. In the event that the Merger Agreement is terminated by LAIX Inc., LAIX Inc. will pay a termination fee in the amount of $68,000. In case of termination in certain circumstances, buyers will pay a termination fee in the amount of $136,000. The transaction is subject to customary closing conditions and  is currently expected to close in the second half of 2022.

Houlihan Lokey (China) Limited acted as financial advisor while David T. Zhang and Rongjing Zhao of Kirkland & Ellis and Harney Westwood & Riegels acted as legal advisor to the special committee of LAIX's Board of Directors. Peter X. Huang of Skadden, Arps, Slate, Meagher & Flom LLP, Maples and Calder (Hong Kong) LLP and Simpson Thacher & Bartlett LLP acted as legal advisors to the buyers. Houlihan Lokey (China) Limited acted as fairness opinion provider to the special committee of directors of LAIX. Houlihan Lokey (China) Limited acted as financial due diligence provider to LAIX. Houlihan Lokey is entitled to a fixed fee of $550,000, 150,000 of which became payable upon the earlier of the execution by the Company of the Merger Agreement or the delivery of Houlihan Lokey's opinion.