BEIJING, Oct. 17, 2013 /PRNewswire/ -- ChinaEdu Corporation (NASDAQ: CEDU) ("ChinaEdu" or the "Company"), a leading online educational services provider in China, today announced that on October 14th the Company conducted a search at the Beijing Administration of Industry and Commerce concerning Beijing Hongcheng Education Technology Limited, which is a variable interest entity ("VIE") of ChinaEdu, as part of the Company's regular review of its corporate structure. The search revealed that a 28% equity share of the VIE (the "Share") held by Xueshan Yang, who is a nominee shareholder of the Company, was frozen by Beijing's First Intermediate People's Court (the "Court") under a Notice to Assist in Enforcement (the "Notice"). It was held in the Notice that civil judgments regarding two loan contract disputes between the Beijing Xisi Branch of China Construction Bank Corporation and Xueshan Yang have taken effect, and pursuant to relevant regulations of Civil Procedural Law of the People's Republic of China, the Share held by Xueshan Yang was frozen and can not be pledged, sold, transferred, deregistered or changed in any manner between April 25, 2013 and April 24, 2015. The Company contacted the Court and such fact was confirmed by the Court's judge who filed the notice with the Beijing Administration of Industry and Commerce.

Based on information obtained by the Company, the fact that the Share had been pledged to the Company before such Notice was filed and the fact that Xueshan Yang was a nominee shareholder who had entered into a series of contractual arrangements with the Company and provided any and all power of attorney and shareholder rights to the Company before the Notice, management does not believe the freezing of the above mentioned nominee shareholder's equity in the VIE will cause any material impact to the operations of the Company.

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 13 universities, ranging from 15 to 50 years in length. The Company has also entered into technology agreements with 8 universities. Besides, ChinaEdu performs recruiting services for 23 universities through a 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 Form 20-F for the year ended December 31, 2012, 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 8418-7301
E-mail: simon@chinaedu.net

SOURCE ChinaEdu Corporation

Copyright 2013 PR Newswire

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