On July 22, 2025, TCTM Kids IT Education Inc. sold its subsidiaries, Kids IT Education Inc. and Tarena Hong Kong Limited, for just $1 due to significant financial losses amounting to $80.4 million in 2024. This divestment aims to improve the company's financial health, potentially increasing stockholders' equity from -$247 million to $3.6 million, as they shift focus towards AI-driven healthcare solutions.