Transfer Coverage of China New Higher Education; Cut FVE to HKD 5.30; Shares Attractive

China New Higher Education, or CNHE, is the third-largest private higher education group in China by student enrolment. CNHE focuses on higher vocational education, and it strives to prepare students for quality employment. Its graduate employment rate reached 98% last year, 700 basis points higher than the national average. We think this helps CNHE achieve steady growth in student enrolment.