ChinaEdu Corporation Completes Privately Negotiated and Open Market Share Repurchases

  ChinaEdu Corporation Completes Privately Negotiated and Open Market Share
                                 Repurchases

PR Newswire

BEIJING, Feb. 7, 2013

BEIJING, Feb. 7, 2013 /PRNewswire/ -- ChinaEdu Corporation (NASDAQ: CEDU)
("ChinaEdu" or the "Company"), a leading online educational services provider
in China, announced today that it has completed privately negotiated
transactions with Columbia Pacific Advisors, LLC, Lake Union Capital
Management, LLC, New Vernon Investment Management LLC and associates, HC
PRCEDU LLC, Pretty Wisdom Management Ltd. and J. Steven Emerson. In aggregate,
the Company repurchased 5,467,902 American Depositary Shares ("ADSs"), each
representing three (3) ordinary shares of ChinaEdu, at a purchase price of
$5.60 per ADS (or $1.87 per ordinary share).

The Company also completed privately negotiated transactions with Bessemer
Venture Partners VI Institutional L.P., Bessemer Venture Co-Investment L.P.
and Bessemer Venture Partners VI L.P., repurchasing 2,202,709 ordinary shares
(equivalent of 734,236 ADSs) at a purchase price of $1.87 per ordinary share
(equivalent to $5.60 per ADS). In addition to the above privately negotiated
transactions, the Company also repurchased 277,316 ADSs from the open market
at $5.60 per ADS. The total purchase price of these share repurchases was
approximately $36.3 million, which was financed by a bank loan and the
Company's own capital. The shares repurchased by the Company represented
approximately 36% of the Company's total ordinary shares issued and
outstanding.

ChinaEdu's executive chairman Julia Huang commented, "Today's successful
completion of the stock repurchase reflects the board of directors' continued
confidence in the Company's near and long term financial and operating goals
as well as its continued commitment to enhancing stockholder value. Other
factors being equal, the stock repurchase will increase the Company's earnings
per share."

The board of directors of ChinaEdu authorized the repurchases and the
obtainment of financing given ChinaEdu's current financial and operating
performance, available capital surplus, future prospects, current market
conditions and other strategic planning considerations.

About ChinaEdu

ChinaEdu Corporation is an educational services provider in China,
incorporated as an exempted limited liability company in the Cayman Islands.
Established in 1999, the Company's primary business is to provide
comprehensive services to the online degree programs of leading Chinese
universities. These services include academic program development, technology
services, enrollment marketing, student support services and finance
operations. The Company's other lines of businesses include the operation of
private primary and secondary schools, online interactive tutoring services
and providing marketing, support for international and elite curriculum
programs and online learning community for adult students.

The Company believes it is the largest service provider to online degree
programs in China in terms of the number of higher education institutions that
are served and the number of student enrollments supported. The Company
currently has entered into collaborative alliances with 12 universities,
ranging from 10 to 50 years in length. The Company has also entered into
technology agreements with 6 universities. Besides, ChinaEdu performs
recruiting services for 22 universities through nationwide learning center
network.

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of
the Private Securities Litigation Reform Act of 1995, including certain plans,
expectations, goals, and projections, which are subject to numerous
assumptions, risks, and uncertainties. Forward-looking statements involve
known and unknown risks, uncertainties and contingencies, many of which are
beyond our control which may cause actual results, levels of activity,
performance or achievements to differ materially from any future results,
levels of activity, performance or achievements expressed or implied by such
forward-looking statements. The Company's actual results could differ
materially from those contained in the forward-looking statements due to a
number of factors, including those described under the heading "Risk Factors"
in the Company's Annual Report on Form20-F for the year ended December31,
2011, and in documents subsequently filed by the Company from time to time
with the Securities and Exchange Commission. Unless required by law, the
Company undertakes no obligation to (and expressly disclaim any such
obligation to) update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise.

For investor and media inquiries, please contact:

Helen Plummer
Senior Investor Relations Coordinator
ChinaEdu Corporation
Phone: +1 908-442-9395
E-mail: helen@chinaedu.net

Simon Mei
Chief Financial Officer
ChinaEdu Corporation
Phone: +86 10 84187301
E-mail: simon@chinaedu.net

SOURCE ChinaEdu Corporation

Website: http://ir.chinaedu.net/index.html
 
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