Document:

Share Purchase Agreement, dated December 24, 2004

 Exhibit 4.4 
 Share Purchase Agreement 
 NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC. 
 SHARE PURCHASE AGREEMENT 
 December 24, 2004 

 TABLE OF CONTENTS 
  

			
	 	  	Page
	 1. Purchase and Sale of Shares
	  	1
	 1.1 Sale and Issuance of Series A Preferred Shares
	  	1
	 1.2 Closing
	  	2
		
	 2. Representations and Warranties of the Sellers, GroupCo and the Founders
	  	2
	 2.1 Organization, Good Standing and Qualification
	  	3
	 2.2 Capitalization and Voting Rights of the Company
	  	3
	 2.3 Capitalization and Voting Rights of GroupCo
	  	5
	 2.4 Capitalization and Voting Rights of the Subsidiary
	  	5
	 2.5 Subsidiaries
	  	5
	 2.6 Organization of the PRC Entities
	  	6
	 2.7 Authorization
	  	7
	 2.8 Valid Issuance of Preferred and Common Shares
	  	7
	 2.9 Governmental Consents
	  	7
	 2.10 Offering
	  	8
	 2.11 Litigation
	  	8
	 2.12 Employment Agreements
	  	8
	 2.13 Intellectual Property
	  	9
	 2.14 Compliance with Other Instruments
	  	10
	 2.15 Agreements and Actions
	  	10
	 2.16 Related-Party Transactions
	  	12
	 2.17 Permits
	  	12
	 2.18 Environmental and Safety Laws
	  	12
	 2.19 Manufacturing, Marketing and Development Rights
	  	12
	 2.20 Disclosure
	  	13
	 2.21 Registration Rights
	  	13
	 2.22 Corporate Documents
	  	13
	 2.23 Title to Property and Assets
	  	13
	 2.24 Financial Statements
	  	14
	 2.25 Changes
	  	14
	 2.26 Employee Benefit Plans and Employee Agreements
	  	15
	 2.27 Labor Agreements and Actions; Employee Compensation
	  	17
	 2.28 Tax Returns, Payments and Elections
	  	18
	 2.29 Insurance
	  	18
	 2.30 Minute Books
	  	19
	 2.31 Brokers
	  	19
	 2.32 Significant Customers and Suppliers
	  	19
	 2.33 Ownership of Shares
	  	19
		
	 3. Representations and Warranties of the Investors
	  	19
	 3.1 Authorization
	  	19
	 3.2 Purchase Entirely for Own Account
	  	19
	 3.3 Disclosure of Information
	  	20

  

 i 

			
	 3.4 Investment Experience
	  	20
	 3.5 Accredited Investor; Non-US Investor
	  	20
	 3.6 Further Limitations on Disposition
	  	20
		
	 4. Conditions of Investors’ Obligations at the Closing
	  	21
	 4.1 Representations and Warranties
	  	21
	 4.2 Performance
	  	21
	 4.3 Compliance Certificates
	  	21
	 4.4 Qualifications
	  	21
	 4.5 Proceedings and Documents
	  	21
	 4.6 Secretary’s Certificate
	  	22
	 4.7 Board of Directors
	  	22
	 4.8 Opinion of Counsel to the Sellers
	  	22
	 4.9 Investors’ Rights Agreement
	  	22
	 4.10 First Refusal and Co-Sale Agreement
	  	22
	 4.11 Voting Agreement
	  	22
	 4.12 Indemnification Agreements
	  	22
	 4.13 Corporate Records
	  	22
	 4.14 Confidentiality and Non-Compete Agreements
	  	22
	 4.15 Intellectual Property
	  	22
	 4.16 Restructuring Plan
	  	23
		
	 5. Conditions of the Company’s, GroupCo’s and the Founders’ Obligations at Closing
	  	23
	 5.1 Representations and Warranties
	  	23
	 5.2 Payment of Purchase Price
	  	23
	 5.3 Qualifications
	  	23
		
	 6. Affirmative Covenants of the Company
	  	23
	 6.1 Preservation of Existence
	  	23
	 6.2 Related Party Transactions
	  	24
	 6.3 Fundamental Changes
	  	24
	 6.4 Tax
	  	25
	 6.5 Indemnification by the Company
	  	25
	 6.6 Use of Proceeds
	  	26
	 6.7 Insurance Policies
	  	26
	 6.8 Board of Directors Seat
	  	26
	 6.9 Restructuring Plan
	  	26
	 6.10 GroupCo Distributions
	  	26
		
	 7. Miscellaneous
	  	27
	 7.1 Survival of Warranties; Limitation of Liability
	  	27
	 7.2 Successors and Assigns
	  	27
	 7.3 Governing Law
	  	27
	 7.4 Counterparts
	  	27
	 7.5 Titles and Subtitles
	  	28
	 7.6 Notices
	  	28
	 7.7 Finder’s Fee
	  	28

  

 ii 

			
	 7.8 Expenses
	  	28
	 7.9 Amendments and Waivers
	  	29
	 7.10 Severability
	  	29
	 7.11 Aggregation of Shares
	  	29
	 7.12 Entire Agreement
	  	29
	 7.13 Arbitration
	  	29

  

			
	SCHEDULE A	  	Schedule of Investors
	SCHEDULE B	  	Schedule of Founders
	SCHEDULE 2.6(a)	  	Schedule of PRC Entities
	SCHEDULE 2.6(c)	  	Schedule of Capitalization of PRC Entities
	SCHEDULE 4.14	  	Schedule of Parties to Confidentiality and Non-Compete Agreement
		
	EXHIBIT A	  	Second Amended and Restated Memorandum of Association
	EXHIBIT A-1	  	Second Amended and Restated Articles of Association
	EXHIBIT B	  	List of Shareholders
	EXHIBIT C	  	Investors’ Rights Agreement
	EXHIBIT D	  	First Refusal and Co-Sale Agreement
	EXHIBIT E	  	Voting Agreement
	EXHIBIT F	  	Restructuring Plan
	EXHIBIT G	  	Form of Employment Agreement
	EXHIBIT H	  	Escrow Agreement
	EXHIBIT I	  	Opinion of BVI Counsel for the Company
	EXHIBIT J	  	Opinion of PRC Counsel for the Company
	EXHIBIT K	  	Form of Confidentiality and Non-Compete Agreement
	EXHIBIT L	  	PFIC Annual Information Statement

  

 iii 

 NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC. 
 SHARE PURCHASE AGREEMENT 
 THIS SHARE PURCHASE AGREEMENT (the “Agreement”) is made as of the 24th day of December, 2004, by and among New Oriental Education & Technology Group Inc., an International Business Company under the laws of the
British Virgin Islands (the “Company”), Capital River Group Limited, an International Business Company under the laws of the British Virgin Islands (“Capital River Group” and, together with the Company, the
“Sellers”), the investors (severally and not jointly, listed on Schedule A hereto, each of which is herein referred to as an “Investor” and collectively as the “Investors”), Beijing New
Oriental Education and Technology (Group) Co., Ltd. (“GroupCo”) and the founders listed on Schedule B hereto (each of which is herein referred to as a “Founder” and collectively as the
“Founders”). 
 THE PARTIES HEREBY AGREE AS FOLLOWS: 
  

	1.	Purchase and Sale of Shares. 

 1.1 Sale and
Issuance of Series A Preferred Shares. 
 (a) The Company shall adopt and file with the Registrar of Companies in
the British Virgin Islands on or before the Closing (as defined below in Section 1.2) the Amended and Restated Memorandum of Association in the form attached hereto as Exhibit A (the “Restated Memorandum”) and the
Amended and Restated Articles of Association in the form attached hereto as Exhibit A-1 (the “Restated Articles”). 
 (b) On or prior to the Closing, the Company shall have authorized (i) the sale and issuance to the Investors of 11,111,111 shares of its Series A Preferred Shares (as defined below in Section 2.2(a))
and (ii) the issuance of the Common Shares to be issued upon conversion of the Series A Preferred Shares (the “Conversion Shares”). The Series A Preferred Shares and the Conversion Shares shall have the rights, preferences,
privileges and restrictions set forth in the Restated Memorandum and the Restated Articles. 
 (c) Subject to the terms and
conditions of this Agreement and the Escrow Agreement (as defined below), each Investor agrees, severally and not jointly, to purchase at the Closing and the Company agrees to sell and issue to each Investor at the Closing that number of Series A
Preferred Shares set forth opposite such Investor’s name on Schedule A hereto for US$2.025 per share (the “Series A Purchase Price”). 
 (d) Subject to the terms and conditions of this Agreement, each Investor agrees, severally and not jointly, to purchase at the Closing
and Capital River Group agrees to sell to each Investor at the Closing that number of Common Shares set forth opposite such Investor’s name on Schedule A hereto for US$1.8116 per share (the “Common Purchase Price” and,
together with the Series A Purchase Price, the “Purchase Price”). 
  

 1 

 1.2 Closing. The purchase and sale of the Series A Preferred Shares shall take
place at the offices of Gunderson Dettmer Stough Villeneuve Franklin & Hachigian, LLP (“Gunderson Dettmer”), 220 West 42nd Street, 20th Floor, New York, New York, at 10:00 A.M. (local time), on December 24, 2004, or at
such other time and place as the Company and Investors agree upon orally or in writing (which time and place are designated as the “Closing”). At the Closing (a) Capital River Group shall deliver to each Investor certificates
representing the Common Shares that such Investor is purchasing against payment of the purchase price therefor by wire transfer and (b) the Company shall deliver to each Investor certificates representing the Series A Preferred Shares that such
Investor is purchasing against payment of the purchase price therefor by wire transfer to the Escrow Agent (as defined below). 
 1.3 At the Closing, the Company, the Investors and Codan Trust Company (Cayman) Limited (the “Escrow Agent”) shall enter into an Escrow Agreement (the “Escrow Agreement”) with terms substantially consistent
with those in the form on Exhibit H. As used herein, the term “Escrow Deposit” shall mean the payments to be made by the Investors into escrow pursuant to Section 1.2(b). The Escrow Deposit shall be deposited with the Escrow
Agent pursuant to Section 1.2(b) as security for the establishment of the Management WFOE, the Tech WFOE and the Investment WFOE (each as defined in the Restructuring Plan attached hereto as Exhibit F (the “Restructuring Plan”)
and the execution of Share Pledge Agreements between each shareholder of GroupCo and the Management WFOE pursuant to Section 3 of the Restructuring Plan within one hundred twenty (120) days of the date hereof (the “Escrow
Obligations”) and the Escrow Agent shall hold, invest, disburse and otherwise deal with the Escrow Deposit pursuant to the terms and conditions set forth in the Escrow Agreement. 
 The Company and the Investors agree that the Escrow Agent shall release the Escrow Deposit as follows: (a) promptly following, and in
any event within five (5) business days of, receipt of written instructions from Tianyuan Law Office in the form of the certificate attached as Exhibit A of the Escrow Agreement, the Escrow Agent will release the Escrow Deposit to the Company,
(b) upon receipt of joint instructions from the Investors and the Company in the form of the certificate attached as Exhibit B to the Escrow Agreement the Escrow Agent will release the Escrow Deposit to the Investors or the Company as indicated
in the certificate, (c) on the one year anniversay of the Closing, the Escrow Agent will release any remaining portion of the Escrow Deposit to the Investors so long as there is no ongoing good faith dispute between the Company and the
Investors regarding disbursement of the Escrow Deposit, and (d) in the event there is a good faith dispute between the parties at such time, upon the the resolution of such dispute, the Escrow Agent will release any remaining portion of the
Escrow Deposit pursuant to an executed agreement signed by the Company and the Investors that resolves such dispute, all in accordance with the Escrow Agreement. The Investors and the Company shall pursue the resolution of any dispute in good faith
and as promptly as practicable. 
  

	2.	Representations and Warranties of the Sellers, GroupCo and the Founders. The Sellers, GroupCo and the Founders (severally and not jointly) hereby represent and warrant to
each Investor that, except as set forth on the disclosure letter of even date herewith (the “Disclosure Letter”) furnished to each Investor and special counsel for the Investors, which exceptions shall be deemed to be
representations and warranties as if made hereunder: 

  

 2 

 2.1 Organization, Good Standing and Qualification. 
 (a) The Company is an international business company duly organized, validly existing and in good standing under the laws of British
Virgin Islands and has all requisite corporate power and authority to carry on its business as now conducted and as currently proposed to be conducted. To the Company and the Founders’ knowledge, the Company is duly qualified to transact
business and is in good standing in each jurisdiction in which the failure to so qualify would have a material adverse effect on the business or properties of the Company. 
 (b) GroupCo is a limited liability company duly organized, validly existing and in good standing under the laws of the People’s
Republic of China (the “PRC”) and has all requisite corporate power and authority to carry on its business as now conducted and as currently proposed to be conducted. To the Company’s, GroupCo’s and the Founders’
knowledge, GroupCo is duly qualified to transact business and is in good standing in each jurisdiction in which the failure to so qualify would have a material adverse effect on the business or properties of the Company. 
 (c) New Oriental Education Corporation (the “Subsidiary”) is a wholly-owned subsidiary of the Company and is duly
established and validly existing under all applicable laws, ordinances, rules and regulations, as well as judicial interpretations and decisions, of British Columbia. The Subsidiary has full corporate power and authority to (i) enter into the
agreements to which it is a party, to carry out its obligations thereunder and to consummate the transactions contemplated thereby, and all such agreements have been duly authorized by all necessary corporate action on the part of the Subsidiary,
(ii) to possess all governmental licenses, permits, authorizations and approvals necessary to enable it to own, operate, lease or otherwise hold its respective properties and assets now owned, operated, leased or otherwise held by it and
(iii) to carry on its respective business as it is currently conducted and proposed to be conducted as of the date hereof. To the Company and the Founders’ knowledge, the Subsidiary is duly qualified to transact business and is in good
standing in each jurisdiction in which the failure to so qualify would have a material adverse effect on the business or properties of the Subsidiary. True and complete copies of the articles of association of the Subsidiary, in effect on the date
hereof, have been made available by the Company to the Investors. True and complete copies of all shareholder consents of the Subsidiary have been made available by the Company to the Investors. 
 2.2 Capitalization and Voting Rights of the Company. The authorized capital of the Company consists of: 
 (a) Preferred Shares. Eleven Million One Hundred Eleven Thousand One Hundred Eleven (11,111,111) Preferred Shares, par value
$0.01 (the “Preferred Shares”), all of which have been designated Series A Preferred Shares (the “Series A Preferred Shares”) and all of which may be sold pursuant to this Agreement. The rights, privileges
and preferences of the Series A Preferred Shares will be as stated in the Restated Memorandum and the Restated Articles. 
 (b) Common Shares. 150,000,000 Common Shares, par value $0.01 (the “Common Shares”), of which 100,000,000 are issued and outstanding. 
  

 3 

 (c) The outstanding securities of the Company are owned by the security holders in the
numbers specified in Exhibit B hereto. 
 (d) The outstanding capital shares of the Company are all duly and
validly authorized and issued, fully paid and nonassessable, and were issued in accordance with all applicable securities laws, rules and regulations, or pursuant to valid exemptions therefrom. 
 (e) Except for (i) the conversion privileges of the Series A Preferred Shares to be issued under this Agreement and (ii) the
rights provided in Section 2.4 of that certain Investors’ Rights Agreement in the form attached hereto as Exhibit C (the “Investors’ Rights Agreement”), there are not outstanding any options, warrants,
rights (including conversion or preemptive rights) or agreements for the purchase or acquisition from the Company of its capital shares. In addition, the Company has reserved an additional eleven million eleven hundred eleven thousand one hundred
eleven (11,111,111) Common Shares for purchase upon exercise of options to be granted in the future under the Company’s Option Plan (the “Option Plan”). Except for as disclosed in Disclosure Letter and except for the
Voting Agreement (as defined below in Section 2.7 hereof), the Company is not a party or subject to any agreement or understanding, and, to the Company’s and the Founders’ knowledge, there is no agreement or understanding between any
persons and/or entities, which affects or relates to the voting or giving of written consents with respect to any security or by a director of the Company. 
 (f) All outstanding securities of the Company, including, without limitation, all outstanding capital shares of the Company, all capital
shares of the Company issuable upon the conversion or exercise of all convertible or exercisable securities and all other securities that the Company is obligated to issue, are subject to a one hundred eighty (180) day “market
stand-off” restriction upon an initial public offering of the Company’s securities pursuant to Section 4 of the Right of First Refusal and Co-Sale Agreement (as defined in Section 2.7 hereof). 
 (g) The Disclosure Letter sets forth a complete list of each security of the Company owned by any officer, director or, in the
Company’s reasonable belief, key employee of the Company, the Subsidiary or any of the PRC Entities (as defined in Section 2.5 hereof), or by any affiliate or any member of the immediate family of any such individual, together with a
description of the material terms of the vesting provisions and, to the Company’s and the Founders’ knowledge, the rights of first refusal and rights of repurchase applicable to each such security other than, in each case, those vesting
provisions and first refusal and repurchase rights set forth in the Ancillary Agreements (as defined in Section 2.7 hereof). Except as set forth in the Ancillary Agreements, no share plan, share purchase, share option or other agreement or
understanding between the Company and any holder of any securities or rights exercisable or convertible for securities provides for acceleration or other changes in the vesting provisions or other terms of such agreement or understanding as the
result of the occurrence of any event, other than the passage of time. 
  

 4 

 2.3 Capitalization and Voting Rights of GroupCo. 
 (a) The registered capital of GroupCo totals RMB50,000,000 (the “GroupCo Equity”). The rights and privileges of the
GroupCo Equity will be as stated in GroupCo’s articles of association, as amended and restated. 
 (b) The outstanding
equity interests of GroupCo are owned by the security holders in the numbers specified in Exhibit B hereto. 
 (c) The GroupCo Equity is all duly and validly authorized and issued and fully paid, and was issued in accordance with all applicable securities laws, rules and regulations, or pursuant to valid exemptions therefrom. 
 (d) Except as set forth in the Disclosure Letter, GroupCo is not a party or subject to any agreement or understanding, and, to the
Company’s and GroupCo’s knowledge, there is no agreement or understanding between any persons and/or entities, which affects or relates to the voting or giving of written consents with respect to any security or by a director of GroupCo,
except as set forth on the Disclosure Letter. 
 2.4 Capitalization and Voting Rights of the Subsidiary. 

(a) The issued and outstanding capital of the Subsidiary totals C$250,000 (the “Equity”), all of which is contributed
to, and held by, the Company. The rights and privileges of the Equity will be as stated in the Subsidiary’s articles of association, as amended and restated. 
 (b) The Subsidiary is wholly owned by, and is the only subsidiary of, the Company. The Company is the sole legal and beneficial owner of
the entire issued share capital of the Subsidiary, there being no other share or loan capital in the Subsidiary or any share or loan capital under option (actual, contingent or otherwise) to purchase or subscribe. 
 (c) The Equity is all duly and validly authorized and issued and fully paid, and was issued in accordance with all applicable securities
laws, rules and regulations, or pursuant to valid exemptions therefrom. 
 (d) Neither the Subsidiary nor the Company is a
party or subject to any agreement or understanding, and, to the Company’s knowledge, there is no agreement or understanding between any persons and/or entities, which affects or relates to the voting or giving of written consents with respect
to any security or by a director of the Subsidiary, except for the Voting Agreement further described in Section 4.12 hereof. 
 2.5 Subsidiaries. Other than the Subsidiary and the PRC Entities (as defined in Section 2.6 hereof), the Company does not presently own or control, directly or indirectly, any interest in any other corporation, association, or
other business entity. The Company is not a participant in any joint venture, partnership, or similar arrangement, other than with respect to the PRC Entities. 
  

 5 

 2.6 Organization of the PRC Entities. 
 (a) Except where otherwise indicated on Schedule 2.6(a), each of the parties set forth on Schedule 2.6(a) hereto (the “PRC
Entities”) is a limited liability company duly established and validly existing under the laws of the PRC (the “PRC Laws”). Each of the PRC Entities has all requisite corporate power and authority to enter into the
agreements to which it is a party, to carry out its obligations thereunder and to consummate the transactions contemplated thereby, and all such agreements have been duly authorized by all necessary corporate action on the part of each of the
respective PRC Entities. 
 (b) Except as set forth in the Disclosure Letter, each of the PRC Entities has full corporate
power and authority to possess all governmental licenses, permits, authorizations and approvals necessary to enable it to own, lease or otherwise hold its respective properties and assets and own, operate or lease the properties and assets now
owned, operated or leased by it and to carry on its respective business as it is currently conducted and proposed to be conducted as of the date hereof. True and complete copies of the articles of association of each of the PRC Entities, each as in
effect on the date hereof, have been made available by the Company to the Investors. True and complete copies of all shareholder consents of each of the PRC Entities have been made available by the Company to the Investors. Except as set forth in
the Disclosure Letter, each of the PRC Entities is duly qualified to do business in each jurisdiction where the nature of its respective business or the ownership or leasing of its respective properties make such qualification necessary. 

(c) Schedule 2.6(c) hereto lists the capitalization for each of the PRC Entities and sets forth a true and complete list of all
direct and indirect subsidiaries of each of the PRC Entities, including details such as its name, type of entity, the jurisdiction and date of its organization and its registered capital, the number and type of its issued and outstanding shares or
similar ownership interests and the current ownership of such shares or similar ownership interests. The registered capital of each of the PRC Entities has been fully paid and is non-assessable. 
 (d) The equity interests of each of the PRC Entities were duly and validly issued and were issued in accordance with all applicable laws,
rules and regulations or pursuant to exemptions therefrom. Except as set forth in the Disclosure Letter, the equity interests in each of the PRC Entities are not subject to or issued in violation of any purchase option, call option, right of first
refusal, preemptive right, subscription right or any similar right under any PRC Law, the articles of association or any contract to which any of the PRC Entities is a party or otherwise bound. There are not any bonds, debentures, notes or other
indebtedness of any of the PRC Entities having the right to vote (or convertible) into, or exchangeable for, securities having the right to vote) on any matters on which holders of equity interests of any PRC Entity may vote. Except in connection
with Restructuring, there are no voting trusts, shareholder agreements, proxies or other agreements or understandings in effect with respect to the voting or transfer of any of the equity interests to which any PRC Entity is a party or is otherwise
bound. 
 (e) Other than the subsidiaries of each of the PRC Entities listed in the Disclosure Letter, there are no other
corporations, partnerships, joint ventures, associations or other entities in which any of the PRC Entities owns, of record or beneficially, any direct or indirect equity or other interest or any right (contingent or otherwise) to acquire the same.

  

 6 

 (f) There are no options, warrants, convertible securities, subscriptions or other
rights, agreements, arrangements or commitments of any character relating to the equity interests of any subsidiary of any of the PRC Entities or obligating any of the PRC Entities to issue or sell any portion of the equity interests of, or any
other interest in, any such subsidiary. 
 (g) Except as set forth in the Disclosure Letter, no order has been made or
petition presented or resolution passed for the winding up of any of the PRC Entities, and no distress, execution or process has been levied against any of the PRC Entities or any of its property. 
 (h) None of the PRC Entities are insolvent or unable to pay its debts and there is no unfulfilled decree or court order outstanding
against any of the PRC Entities. 
 2.7 Authorization. All corporate action on the part of the Sellers and their
respective officers, directors, shareholders and affiliates necessary for the authorization, execution and delivery of this Agreement, the Investors’ Rights Agreement, that certain First Refusal and Co-Sale Agreement in the form attached hereto
as Exhibit D (the “First Refusal and Co-Sale Agreement”) and that certain Voting Agreement in the form attached hereto as Exhibit E (the “Voting Agreement”, and together with the
Investors’ Rights Agreement and the Right of First Refusal and Co-Sale Agreement, the “Ancillary Agreements”), the performance of all obligations of the Company hereunder and thereunder, and the authorization, issuance (or
reservation for issuance), sale and delivery of the Series A Preferred Shares and Common Shares being sold hereunder and the Conversion Shares has been taken or will be taken prior to the Closing, and this Agreement and the Ancillary Agreements
constitute valid and legally binding obligations of the Company and the Founders, enforceable in accordance with their respective terms, except (a) as limited by applicable bankruptcy, insolvency, reorganization, moratorium, and other laws of
general application affecting enforcement of creditors’ rights generally, (b) as limited by laws relating to the availability of specific performance, injunctive relief, or other equitable remedies, and (c) to the extent the
indemnification provisions contained in the Investors’ Rights Agreement may be limited by applicable foreign, United States or state securities laws. 
 2.8 Valid Issuance of Preferred and Common Shares. The Series A Preferred Shares and Common Shares being purchased by the Investors hereunder, when issued, sold and delivered in accordance with the terms of
this Agreement for the consideration expressed herein, will be duly and validly issued, fully paid, and nonassessable, and will be free of restrictions on transfer other than restrictions on transfer under this Agreement and the Ancillary Agreements
and under applicable state and United States securities laws. The Conversion Shares have been duly and validly reserved for issuance and, upon issuance in accordance with the terms of the Restated Articles, will be duly and validly issued, fully
paid, and nonassessable and will be free of restrictions on transfer other than restrictions on transfer under this Agreement and the Ancillary Agreements and under applicable foreign and United States securities laws. 
 2.9 Governmental Consents. No consent, approval, order or authorization of, or registration, qualification, designation,
declaration or filing with, any United States, local or foreign governmental authority on the part of the Company, GroupCo the Subsidiary or any of the PRC Entities is required in connection with the consummation of the transactions contemplated by
this Agreement, except (a) the filing of the Restated Articles with the Registrar of Companies of the British Virgin Islands ; (b) such other post-closing filings as may be required in the United States; or (c) any approvals or
filings required by PRC governmental authorities pursuant to the Restructuring Plan. 
  

 7 

 2.10 Offering. Subject in part to the truth and accuracy of each Investor’s
representations set forth in Section 3 of this Agreement the offer, sale and issuance of the Series A Preferred Shares as contemplated by this Agreement are exempt from the registration requirements of any applicable foreign or United
States securities laws. 
 2.11 Litigation. Except as set forth in the Disclosure Letter there is no material action,
suit, proceeding or investigation pending or, to the Seller’s, Company’s, GroupCo’s and the Founders’ knowledge, currently threatened in writing against the Seller, the Company, the Subsidiary, GroupCo, any of the PRC Entities or
any of the Founders nor is the Seller, Company, GroupCo or any of the Founders aware that there is any basis for the foregoing. The foregoing includes, without limitation, actions, suits, proceedings or investigations pending or threatened in
writing (or any basis therefor known to the Seller, the Company, GroupCo or any of the Founders) involving the prior employment of any of the Company’s, GroupCo’s, the Subsidiary’s or any of the PRC Entities’ employees, and
either (a) their use in connection with the Company’s, GroupCo’s, the Subsidiary’s or any of the PRC Entities’ businesses of any information or techniques allegedly proprietary to any of their former employers, or
(b) their obligations under any agreements with prior employers. None of the Seller, the Company, GroupCo, the Subsidiary or any of the Founders is a party or subject to the provisions of any order, writ, injunction, judgment or decree of any
court or government agency or instrumentality. There is no action, suit, proceeding or investigation by the Seller, the Company, the Subsidiary, GroupCo or any of the PRC Entities currently pending or that the Seller, the Company, GroupCo, the
Subsidiary or any of the PRC Entities intends to initiate 
 2.12 Employment Agreements. Each present employee and
officer of the Company, GroupCo, the Subsidiary and the PRC Entities has executed an employment agreement in substantially the forms provided to special counsel for the Investors, except where the failure to do so would not have a material adverse
effect on the business and conditions of the Company. The Founders and each senior employee (as reasonably determined by the Investors) of the Company, GroupCo and the Subsidiary has executed an Employment Agreement in the form attached hereto as
Exhibit G. Each consultant of the Company has executed a Consulting Agreement in substantially the form provided to special counsel to the Investors except where the failure to do so would not have a material adverse effect on the business
and conditions of the Company. None of the Company, GroupCo or any of the Founders is aware that any of the Company’s, GroupCo’s or the Subsidiary’s current or former employees, officers or consultants are in violation thereof, and
the Company and GroupCo will use its diligent efforts to prevent any such violation. 
  

 8 

 2.13 Intellectual Property. Except as set forth on the Disclosure Letter, the
Company and the Subsidiary have sufficient title and ownership of or licenses to, or can obtain on commercially reasonable terms, all patents, trademarks, service marks, trade names, domain names, copyrights, trade secrets, information, proprietary
rights and processes (the “Intellectual Property”) necessary for or currently used in the business of the Company, GroupCo, the Subsidiary and each of the PRC Entities as now conducted and as currently proposed to be conducted
without, to the Company’s, GroupCo’s and the Founders’ knowledge with respect to patents, trademarks, service marks and trade names only (but without having conducted any special investigation or patent or trademark search), any
violation or infringement of, or other conflict with, the rights of others. The Disclosure Letter contains a complete list of patents and pending patent applications and registrations and applications for trademarks, copyrights and domain names of,
or exclusively licensed to, the Company or its affiliates. Other than pursuant to the employment agreement previously provided to special counsel to the Investors and except as set forth in the Disclosure Letter, there are no outstanding options,
licenses, agreements, claims, encumbrances or shared ownership of interests of any kind relating to anything referred to above in this Section 2.13 that is to any extent owned by or licensed to the Company, GroupCo, the Subsidiary or any of the
PRC Entities, nor is the Company, GroupCo, the Subsidiary or any of the Founders bound by or a party to any options, licenses, agreements, claims or encumbrances of any kind with respect to the Intellectual Property of any other person or entity,
except, in either case, for intercompany agreements between the Company, GroupCo, the Subsidiary and the PRC Entities, standard end-user, object code, internal-use software license and support/maintenance agreements or as set forth in the Disclosure
Letter. None of the Company, GroupCo, the Subsidiary, any of the PRC Entities or any of the Founders has received any communications alleging that the Company, GroupCo, the Subsidiary, any of the PRC Entities or any of the Founders has violated or,
by conducting its business as currently proposed, would violate any of the patents, trademarks, service marks, trade names, copyrights or trade secrets or other proprietary rights of any other person or entity and none of the Company, GroupCo or any
of the Founders is aware of any reasonable basis for such an allegation or of any reason to believe that such an allegation may be forthcoming. None of the Company, GroupCo or any of the Founders is aware that any of the Company’s,
GroupCo’s, the Subsidiary’s or any of the PRC Entities’ employees are obligated under any contract (including licenses, covenants or commitments of any nature) or other agreement, or subject to any judgment, decree or order of any
court or administrative agency, that would interfere with the use of his or her best efforts to promote the interests of the Company, GroupCo or the Subsidiary or that would conflict with the Company’s, GroupCo’s, the Subsidiary’s or
any of the PRC Entities’ businesses as presently conducted or as currently proposed to be conducted. Neither the execution nor delivery of this Agreement or the Ancillary Agreements, nor the carrying on of the Company’s, GroupCo’s or
the Subsidiary’s businesses by the employees of the Company, GroupCo, the Subsidiary or any of the PRC Entities, nor the conduct of the Company’s, GroupCo’s, the Subsidiary’s or any of the PRC Entities’ business as currently
proposed, will, to the Company’s, GroupCo’s and the Founders’ knowledge, conflict with or result in a breach of the terms, conditions or provisions of, or constitute a default under, any contract, covenant or instrument under which
any of such employees is now obligated. None of the Company, GroupCo or any of the Founders believes it is or will be necessary to utilize any inventions of any of the Company’s, GroupCo’s, the Subsidiary’s or any of the PRC
Entities’ employees (or people the Company, GroupCo, the Subsidiary or any of the PRC Entities currently intend to hire) made prior to or outside the scope of their employment by the Company, GroupCo, the Subsidiary or any of the PRC Entities
except where the failure to utilize such inventions would not have a material adverse effect on the business or prospects of the Company, GroupCo, the Subsidiary or any of the PRC Entities amounting individually or in the aggregate to $500,000 or
more (a “Material Adverse Effect”). 
  

 9 

 2.14 Compliance with Other Instruments. The Company is not in violation or default
of any provision of (i) its Restated Articles, (ii) any judgment, order, writ, decree or material contract to which it is a party or by which it is bound, or (iii) to the Company’s, GroupCo’s and the Founders’
knowledge, any provision of any United States, local or foreign statute, rule or regulation applicable to the Company, which, with respect to clauses (ii) and (iii), default or violation would have a Material Adverse Effect. GroupCo is not in
violation or default of any provision of (i) its articles of association, as amended and restated, (ii) any judgment, order, writ, decree or material contract to which it is a party or by which it is bound, or (iii) to the
Company’s, GroupCo’s and the Founders’ knowledge, any provision of any PRC Law applicable to GroupCo, which, with respect to clauses (ii) and (iii), default or violation would have a Material Adverse Effect. The Subsidiary is not
in violation or default of any provision of (i) its articles of association, as amended and restated, (ii) any judgment, order, writ, decree or material contract to which it is a party or by which it is bound, or (iii) to the
Company’s, GroupCo’s and the Founders’ knowledge, any provision of any PRC Law applicable to the Subsidiary, which, with respect to clauses (ii) and (iii), default or violation would have a Material Adverse Effect. None of the
PRC Entities is in violation or default of any provision of (i) articles of association, as amended and restated, (ii) any judgment, order, writ, decree or material contract to which it is a party or by which it is bound, or (iii) to
the Company’s, GroupCo’s and the Founders’ knowledge, any provision of PRC Law applicable to the Company, including, without limitation, those relating to telecommunication, internet content providers, advertising and ticketing
business, occupational health, safety and the environment which, with respect to clauses (ii) and (iii), default or violation would have a Material Adverse Effect. None of the Company, GroupCo, the Subsidiary or any of the PRC Entities have
received any written notice from any regulatory body or authority that the Company, GroupCo, the Subsidiary or any of the PRC Entities has committed any criminal, illegal or unlawful act or any violation of or default with respect to any ordinance,
statute, regulation, order, decree or judgment of any court of government agency of relevant jurisdiction which, if committed by the Company, GroupCo, the Subsidiary or any of the PRC Entities may have a Material Adverse Effect. The execution,
delivery and performance of this Agreement and the Ancillary Agreements, and the consummation of the transactions contemplated hereby and thereby will not result in any such violation or default or be in conflict with or constitute, with or without
the passage of time and giving of notice, either a default under any such provision, judgment, order, writ, decree or material contract or an event that results in the creation of any lien, charge or encumbrance upon any assets of the Company,
GroupCo, the Subsidiary or any of the PRC Entities or the suspension, revocation, impairment, forfeiture, or non-renewal of any material permit, license, authorization, or approval applicable to the Company, GroupCo, the Subsidiary or any of the PRC
Entities their respective businesses or operations or any of their respective assets or properties. 
 2.15 Agreements and
Actions. 
 (a) Except for agreements explicitly contemplated hereby and by the Ancillary Agreements, including without
limitation, all employment agreements and proprietary information and inventions agreements entered into by the Company, GroupCo or the Subsidiary and set forth on the Disclosure Letter, and except as otherwise set forth in the Disclosure Letter,
there are no agreements, understandings or proposed transactions between the Company, GroupCo, the Subsidiary, any of the PRC Entities and their respective officers, directors, affiliates or any affiliate thereof. 
  

 10 

 (b) Except as set forth in the Disclosure Letter there are no agreements,
understandings, instruments, contracts, proposed transactions, judgments, orders, writs or decrees to which the Company, GroupCo, the Subsidiary or any of the PRC Entities is a party or by which such party is bound that may involve
(i) obligations (contingent or otherwise) of, or payments to such party in excess of, RMB 10,000,000 per annum, or (ii) any license of any patent, copyright, trade secret or other proprietary right to or from the Company, GroupCo, the
Subsidiary or any of the PRC Entities (other than the license to the Company, GroupCo, the Subsidiary or any of the PRC Entities of standard, generally commercially available, “off-the-shelf” third party products that are not and will not
to any extent be part of, or influence development of, or require payment with respect to, any product, service or intellectual property offering of the Company, GroupCo, the Subsidiary or any of the PRC Entities), or (iii) provisions
materially restricting or affecting the development, manufacture or distribution of the Company’s, GroupCo’s, the Subsidiary’s or any of the PRC Entities’ products or services, or (iv) indemnification by the Company,
GroupCo, the Subsidiary or any of the PRC Entities with respect to infringements of proprietary rights. 
 (c) Except as set
forth in Disclosure Letter, none of the Company, GroupCo, the Subsidiary or any of the PRC Entities has (i) declared or paid any dividends or authorized or made any distribution upon or with respect to any class or series of its capital shares,
(ii) incurred any indebtedness for money borrowed or any other liabilities individually in excess of $150,000 or, in the case of indebtedness and/or liabilities individually less than $150,000, in excess of $150,000 in the aggregate other than
trade payables, (iii) made any loans or advances to any person, other than ordinary advances for travel expenses, or (iv) sold, exchanged or otherwise disposed of any of its assets or rights, other than the sale of its inventory in the
ordinary course of business. 
 (d) For the purposes of subsections (b) and (c) above, all indebtedness,
liabilities, agreements, understandings, instruments, contracts and proposed transactions involving the same person or entity (including persons or entities the Company has reason to believe are affiliated therewith) shall be aggregated for the
purpose of meeting the individual minimum dollar amounts of such subsections. 
 (e) Neither the Company nor any of its
affiliates has engaged during the past two years in any discussion (i) with any representative of any corporation or corporations regarding the consolidation or merger of the Company, GroupCo, the Subsidiary or any of the PRC Entities with or
into any such corporation or corporations, (ii) with any corporation, partnership, association or other business entity or any individual regarding the sale, conveyance or disposition of all or substantially all of the assets of the Company,
GroupCo, the Subsidiary or any of the PRC Entities or a transaction or series of related transactions in which more than fifty percent (50%) of the voting power of the Company, GroupCo, the Subsidiary or any of the PRC Entities is disposed
of, or (iii) regarding any other form of acquisition, liquidation, dissolution or winding up of the Company, GroupCo, the Subsidiary or any of the PRC Entities. 
  

 11 

 2.16 Related-Party Transactions. Except as set forth in Disclosure Letter, no
employee, officer, director or shareholder of the Company, GroupCo or the Subsidiary (a “Related Party”) or member of such Related Party’s immediate family, or any corporation, partnership or other entity in which such Related
Party is an officer, director or partner, or in which such Related Party has significant ownership interests or otherwise controls, is indebted to the Company, GroupCo or the Subsidiary, nor is the Company, GroupCo or the Subsidiary indebted (or
committed to make loans or extend or guarantee credit) to any of them other than (a) for payment of salary for services rendered, (b) reimbursement or advances for reasonable expenses incurred on behalf of the Company, GroupCo or the
Subsidiary, and (c) for other standard employee benefits made generally available to all employees (including Share Option agreements outstanding under any shares plan approved by the Company’s Board of Directors (the “Board of
Directors”) and share purchase agreements approved by the Board of Directors). Except as set forth in the Disclosure Letter, to the Company’s, GroupCo’s and the Founders’ knowledge, none of such persons has any direct or
indirect ownership interest in any firm or corporation with which the Company, GroupCo or the Subsidiary is affiliated or with which the Company, GroupCo or the Subsidiary has a business relationship, or any firm or corporation that competes with
the Company or the Subsidiary, except that employees, officers, or directors of the Company, GroupCo and the Subsidiary and members of such Related Parties’ immediate families may own shares in publicly traded companies that may compete with
the Company, GroupCo or the Subsidiary. To the knowledge of the Company, GroupCo and the Founders, no Related Party or member of their immediate family is directly or indirectly interested in any material contract with the Company or the Subsidiary
other than pursuant to the Restructuring Plan. 
 2.17 Permits. Except as set forth in the Disclosure Letter, each of
the Company, GroupCo, the Subsidiary and the PRC Entities has all franchises, permits, licenses, and any similar authority necessary for the conduct of its respective business as now being conducted by it, the lack of which could materially and
adversely affect the respective business, properties, prospects or financial condition of the Company, GroupCo, the Subsidiary or any of the PRC Entities, and each of the Company and the Founders believes in good faith that the Company, GroupCo, the
Subsidiary and each of the PRC Entities can obtain, without undue burden or expense, any similar authority for the conduct of the business of the Company, GroupCo, the Subsidiary and each of the PRC Entities as planned to be conducted. 

2.18 Environmental and Safety Laws. To the Company’s, GroupCo’s and the Founders’ knowledge, none of the Company,
GroupCo, the Subsidiary or any of the PRC Entities’ is in material violation of any applicable statute, law or regulation relating to the environment or occupational health and safety, and to the Company’s, GroupCo’s and the
Founders’ knowledge, no material expenditures are or will be required in order to comply with any such existing statute, law or regulation. 
 2.19 Manufacturing, Marketing and Development Rights. Except as set forth in Disclosure Letter, none of the Company, GroupCo, the Subsidiary or any of the PRC Entities has granted rights to manufacture,
produce, assemble, license, market, or sell their respective products to any other person and is not bound by any agreement that affects the Company’s, GroupCo’s, the Subsidiary’s or any of the PRC Entities exclusive rights to
develop, manufacture, assemble, distribute, market or sell their respective products. 
  

 12 

 2.20 Disclosure. The Company has fully provided each Investor with all the
information that such Investor has requested in connection with deciding whether to purchase the Series A Preferred Shares. None of this Agreement (including the Disclosure Letter), any of the Ancillary Agreements, or any statements or certificates
made or delivered in connection herewith or therewith contains any untrue statement of a material fact or omits to state a material fact necessary to make the statements herein or therein not misleading in light of the circumstances under which they
were made. No part of any document or information provided to the Investors throughout the course of the parties’ communications and negotiations leading up to the Closing was provided with any intention to mislead the Investors and the
Company, GroupCo and the Founders have each acted in good faith and with due and careful consideration in providing such documents and information, and believing the same to be true in all material aspects at the time of provision of such documents
and information. 
 2.21 Registration Rights. Except as provided in the Investors’ Rights Agreement, none of the
Company, GroupCo, the Subsidiary or any of the PRC Entities has granted or agreed to grant any registration rights, including piggyback rights, to any person or entity. 
 2.22 Corporate Documents. Except for amendments necessary to satisfy the representations, warranties or conditions contained in
this Agreement (the form of which amendments has been approved by the Investors) and in connection with the Restructuring Plan, the Restated Articles, the articles of association of GroupCo, the articles of association of the Subsidiary and the
articles of association of each of the PRC Entities are in the form previously provided to special counsel for the Investors. 
 2.23 Title to Property and Assets. Except as set forth in the Disclosure Letter, each of the Company, GroupCo, the Subsidiary and the PRC Entities has good and marketable title to its property and assets free and clear of all
mortgages, liens, loans and encumbrances, except such encumbrances and liens that arise in the ordinary course of business and do not materially impair the ownership or use of such property or assets by the Company, the Subsidiary or any of the PRC
Entities, as the case may be. With respect to the property and assets it leases, each of the Company, GroupCo, the Subsidiary and the PRC Entities is in material compliance with such leases and holds a valid leasehold interest free of any liens,
claims or encumbrances. None of the Company, GroupCo or the Subsidiary owns or currently holds any right, by contract or otherwise, to acquire any real property. Except as set forth in Disclosure Letter, none of the Company, GroupCo, the Subsidiary
or any of the PRC Entities currently holds a leasehold interest or any right, by contract or otherwise, to acquire a leasehold interest in the United States. 
  

 13 

 2.24 Financial Statements. GroupCo has delivered to each Investor its un-audited
consolidated financial statements (balance sheet and income and cash flow statements, including notes thereto) at December 31, 2003 and for the fiscal year then ended, and its un-audited consolidated financial statements (balance sheet and
income statement) as at and for the nine-month period ended September 30, 2004 (the “Financial Statements”). The Financial Statements have been prepared in accordance with the People’s Republic of China generally accepted
accounting principles (“PRC GAAP”) applied on a consistent basis throughout the periods indicated and with each other, except that the unaudited consolidated Financial Statements may not contain all footnotes required by PRC GAAP.
The Financial Statements fairly present the financial condition and operating results of GroupCo as of the dates, and for the periods, indicated therein, subject in the case of the unaudited Financial Statements to normal year-end audit adjustments.
Except as set forth in the Financial Statements, GroupCo has no material liabilities, contingent or otherwise, other than (i) liabilities incurred in the ordinary course of business subsequent to September 30, 2004 (the “Financial
Statement Date”) and (ii) obligations under contracts and commitments incurred in the ordinary course of business and not required under PRC GAAP to be reflected in the Financial Statements, which, in both cases, individually or in the
aggregate, are not material to the financial condition or operating results of GroupCo. Except as disclosed in the Financial Statements, GroupCo is not a guarantor or indemnitor of any indebtedness of any other person, firm or corporation. GroupCo
maintains and will continue to maintain a standard system of accounting established and administered in accordance with PRC GAAP. 
 2.25 Changes. Except as set forth in the Disclosure Letter, since the Financial Statement Date there has not been: 
 (a) any change in the assets, liabilities, financial condition or operating results of the Company, GroupCo, the Subsidiary or any of the PRC Entities from that reflected in the Financial Statements, except changes in the ordinary course of
business that have not been, in the aggregate, materially adverse; 
 (b) any damage, destruction or loss, whether or not
covered by insurance, materially and adversely affecting the assets, properties, financial condition, operating results, prospects or business of the Company, GroupCo, the Subsidiary and the PRC Entities as a whole (as such businesses are currently
conducted and are proposed to be conducted); 
 (c) any waiver by the Company, by GroupCo, by the Subsidiary or by any of the
PRC Entities of a valuable right or of a material debt owed to it; 
 (d) any satisfaction or discharge of any lien, claim or
encumbrance or payment of any obligation by the Company, GroupCo, the Subsidiary or any of the PRC Entities, except in the ordinary course of business and that is not material to the assets, properties, financial condition, operating results or
business of the Company, GroupCo, the Subsidiary and the PRC Entities as a whole (as such businesses are currently conducted and are proposed to be conducted); 
 (e) any material change or amendment to a material contract or arrangement by which the Company, GroupCo, the Subsidiary, any of the PRC
Entities or any of their respective assets or properties is bound or subject; 
 (f) any material change in any compensation
arrangement or agreement with any employee, officer, director or shareholder; 
 (g) any sale, assignment or transfer of any
patents, trademarks, copyrights, trade secrets or other intangible assets; 
  

 14 

 (h) any resignation or termination of employment of any key officer of the Company, the
Subsidiary or any of the PRC Entities; and none of the Company, GroupCo or any of the Founders knows of the impending resignation or termination of employment of any such officer or key employee; 
 (i) receipt of notice that there has been a loss of, or material order cancellation by, any major customer of the Company, by GroupCo, by
the Subsidiary or by any of the PRC Entities; 
 (j) any mortgage, pledge, transfer of a security interest in, or lien,
created by the Company, GroupCo, the Subsidiary or by any of the PRC Entities, with respect to any of their respective material properties or assets, except liens for taxes not yet due or payable and liens that arise in the ordinary course of
business and do not materially impair the Company’s, GroupCo’s, the Subsidiary’s or any of the PRC Entities’ ownership or use of such property or assets and purchase money mortgages and leased equipment; 
 (k) any loans or guarantees made by the Company, GroupCo, the Subsidiary or any of the PRC Entities to or for the benefit of their
respective employees, officers or directors, or any members of their immediate families, other than travel advances and other advances made in the ordinary course of its business; 
 (l) any declaration, setting aside or payment or other distribution in respect of any of the Company’s, GroupCo’s, the
Subsidiary’s or any of the PRC Entities’ capital stock, or any direct or indirect redemption, purchase or other acquisition of any of such stock by the Company, GroupCo, or by the Subsidiary; 
 (m) to the Company’s, GroupCo’s or the Founders’ knowledge, any other event or condition of any character that might
materially and adversely affect the assets, properties, financial condition, operating results or business of the Company, GroupCo, the Subsidiary or any of the PRC Entities (as such businesses are currently conducted and are proposed to be
conducted); 
 (n) any incurrence by the Company, GroupCo, the Subsidiary or any of the PRC Entities of any capital
expenditure or any capital commitment in excess of US$100,000; 
 (o) material change by the Company, GroupCo, the Subsidiary
or any of the PRC Entities in accounting methods, principles or practice; or 
 (p) any agreement or commitment by the
Company to do any of the things described in this Section 2.26. 
 2.26 Employee Benefit Plans and Employee
Agreements. 
 (a) The Disclosure Letter contains a list of all benefit plans, benefit programs, insurance arrangements,
share purchase, share option or other equity plans, fringe benefits, perquisites and any superannuation fund, retirement benefit or other pension schemes or arrangements that the Company, GroupCo, the Subsidiary or any of the PRC Entities maintain,
sponsor or contribute to and that benefit any current or former employee, officer, director or consultant of the Company or the Subsidiary other than statutory employee welfare, unemployment, medical and housing plans (each, a “Benefit
Plan”). 
  

 15 

 (b) The Company has made available the Investors with a true and complete copy of each
Benefit Plan (or a written summary of any Benefit Plan that is not in writing) and a true and complete copy of each material document, if any, prepared in connection with such Benefit Plan, including without limitation (i) a copy of each trust
agreement or other funding arrangement, (ii) each summary or other document delivered to participants, (iii) all forms of participation agreement, share purchase agreement, share option agreement or other agreement with participants,
(iv) all documents filed with any governmental agency and (v) all documents received from any governmental agency. 
 (c) None of the Benefit Plans is subject to the U.S. Employee Retirement Income Security Act of 1974, as amended. 
 (d) Each Benefit Plan is now and always has been operated in all material respects in accordance with its terms and the requirements of all applicable laws. No material lawsuit, legal action, administrative proceeding or claim is pending
or, to the knowledge of the Company GroupCo, or Subsidiary, threatened with respect to any Benefit Plan (other than claims for benefits in the ordinary course). To the knowledge of Sellers, no fact or event exists that could give rise to any such
lawsuit, action, proceeding or claim. 
 (e) Each Benefit Plan may be amended, terminated or otherwise discontinued at any
time without material liability to the participants, the Investors, the Company, GroupCo, the Subsidiary or any of the PRC Entities, other than ordinary administration expenses, except as provided to the contrary in employment agreements with
employees. 
 (f) The Company has made available to the Investors all employment agreements, consulting agreements and other
agreements and contracts between (i) the Company, GroupCo or the Subsidiary and (ii) any current senior employee or officer, director or consultant of the Company, GroupCo or the Subsidiary (each, an “Employment
Agreement”). 
 (g) The Company has made available to the Investors with a true and complete copy of (i) each
Employment Agreement and (ii) each form of employee handbook currently used by the Company, GroupCo, the Subsidiary or any of the PRC Entities (each, an “Employee Handbook”). 
 (h) Except as set forth in the Disclosure Letter, each Employment Agreement and each Employee Handbook complies with the requirements of
all applicable laws. No employee, officer, director or consultant has commenced or, to the knowledge of the Company and GroupCo, threatened a lawsuit, legal action, administrative proceeding or claim against the Company, the Subsidiary or any of the
PRC Entities. To the Company’s, GroupCo’s and Founders’ knowledge, no fact or event exists that could give rise to any such lawsuit, action, proceeding or claim. 
  

 16 

 2.27 Labor Agreements and Actions; Employee Compensation. 
 (a) None of the Company, GroupCo, the Subsidiary or any of the PRC Entities is bound by or subject to (and none of their respective
assets or properties is bound by or subject to) any written or oral, express or implied, contract, commitment or arrangement with any labor union, and no labor union has requested or, to the Company’s, GroupCo’s and the Founders’
knowledge, has sought to represent any of the employees, representatives or agents of the Company, GroupCo, the Subsidiary or any of the PRC Entities. There is no strike or other labor dispute involving the Company, GroupCo, the Subsidiary or any of
the PRC Entities pending, or to the Company’s and the Founders’ knowledge, threatened, that could have a Material Adverse Effect, none of the Company or any of the Founders is aware of any labor organization activity involving the
Company’s, GroupCo’s, the Subsidiary or any of the PRC Entities’ employees. 
 (b) The employment of each
officer and employee of the Company, GroupCo, the Subsidiary and each of the PRC Entities is terminable by the Company, GroupCo, the Subsidiary or the PRC Entities, as the case may be; in accordance with PRC Laws. 
 (c) To the Company’s, GroupCo’s and the Founders’ knowledge, GroupCo, the Subsidiary and each of the PRC Entities has
complied in all material respects with all applicable PRC Laws related to employment. Except as described in Section 2.26(a) or 2.27(a) or the Disclosure Letter, (i) none of the Company, GroupCo, the Subsidiary or any of the PRC Entities
is a party to or bound by any currently effective employment contract, deferred compensation agreement, bonus plan, incentive plan, profit sharing plan, retirement agreement, vacation, severance, disability, death benefit, hospitalization, medical
or other plan, policy, trust or arrangement or other employee compensation agreement, and (ii) there are no employment, indemnification, severance or termination agreements or arrangements between the Company, GroupCo, the Subsidiary or any of
the PRC Entities and any person or entity. 
 (d) None of the Company, GroupCo, the Subsidiary or the PRC Entities has any
liability whatsoever (whether legally binding or not) to make any payment to or for the benefit of any employee, officer, consultant, independent contractor or agent in respect of past service, pension or the termination of the employment or
engagement of that or any other person (including, without limitation, payments for wrongful or unfair dismissal, loss of office or redundancy), other than in respect to current month payroll expenses and related deductions in relation to employee
and employer contributions. 
 (e) The Company, GroupCo, the Subsidiary and the PRC Entities have no current employees,
executive officers or directors who are employed by any of the PRC Entities or providing services for any of the PRC Entities in the United States. 
 (f) The PRC Entities have obtained the Social Security Registration Certificate issued by the relevant local PRC labor bureau, and has duly performed all of its legal obligations to make social security (including
basic pension, basic medical insurance, unemployment insurance and work-related injury insurance) and housing fund contributions for their employees in full and on time, except where the failure to do so would not have a Material Adverse Effect.

  

 17 

 2.28 Tax Returns, Payments and Elections. Each of the Company, GroupCo, the
Subsidiary and the PRC Entities has timely filed all Tax (as defined below) returns, statements, reports, declarations and other forms and documents (including without limitation estimated Tax returns and reports and material information returns and
reports) (“Tax Returns”) required pursuant to applicable law to be filed with any Tax Authority (as defined below), all such Tax Returns are accurate, complete and correct in all material respects, and each of the Company, GroupCo, the
Subsidiary and the PRC Entities has timely paid all Taxes due. None of the Company, GroupCo or the Subsidiary or any of the PRC Entities has made any elections pursuant to any applicable Tax laws, rules and regulations (other than elections that
relate solely to methods of accounting, depreciation or amortization) that would have a material effect on a consolidated basis on the Company, GroupCo or the Subsidiary or any of the PRC Entities, their respective financial condition, their
respective business as presently conducted or proposed to be conducted or any of their respective properties or material assets. Since their respective dates of incorporation, none of the Company, GroupCo or the Subsidiary or any of the PRC Entities
has incurred any taxes, assessments or governmental charges other than in the ordinary course of business, and each of the Company, GroupCo, the Subsidiary and the PRC Entities has made adequate provisions on its respective books of account (in
accordance with PRC GAAP, except in the case of the PRC Entities) for all actual and contingent Taxes with respect to its consolidated business, properties and operations for such period. Each of the Company, GroupCo, the Subsidiary and the PRC
Entities has withheld or collected from each payment made to each of its employees, the amount of all Taxes (including, but not limited to, United States income taxes and other foreign taxes) required to be withheld or collected therefrom, and has
paid the same to the proper Tax Authority. Each of the Company, GroupCo, the Subsidiary and the PRC Entities is not a “Controlled Foreign Corporation” as defined in the United States Internal Revenue Code of 1986, as amended (the
“Code”). For purposes of this Agreement, the following terms have the following meanings: “Tax” (and, with correlative meaning, “Taxes” and “Taxable”) means any and all taxes including, without limitation,
(i) any net income, alternative or add-on minimum tax, gross income, gross receipts, sales, use, ad valorem, transfer, franchise, profits, value added, net worth, license, withholding, payroll, employment, excise, severance, stamp, occupation,
premium, property, environmental or windfall profit tax, custom, duty or other tax, governmental fee or other like assessment or charge of any kind whatsoever, together with any interest or any penalty, addition to tax or additional amount imposed
by any United States, local or foreign governmental authority or regulatory body responsible for the imposition of any such tax (domestic or foreign) (a “Tax Authority”), (ii) any liability for the payment of any amounts of the type
described in (i) as a result of being a member of an affiliated, consolidated, combined or unitary group for any taxable period or as the result of being a transferee or successor thereof and (iii) any liability for the payment of any
amounts of the type described in (i) or (ii) as a result of any express or implied obligation to indemnify any other person. 
 2.29 Insurance. The Company, GroupCo, the Subsidiary and each of the PRC Entities has in full force and effect fire and property insurance policies, with extended coverage, sufficient in amount (subject to
reasonable deductibles) to allow them to replace any of their properties that might be damaged or destroyed. 
  

 18 

 2.30 Minute Books. The minute books of the Company, GroupCo, the Subsidiary and
each of the PRC Entities made available to the Investors contain a complete summary of all meetings of directors and shareholders since their respective times of formation which would materially affect the Company and reflect all transactions
referred to in such minutes accurately in all material respects. 
 2.31 Brokers. None of the Company, GroupCo, the
Subsidiary or any of the PRC Entities has any contract, arrangement or understanding with any broker, finder or similar agent with respect to the transactions contemplated by this Agreement. 
 2.32 Significant Customers and Suppliers. No customer or supplier that was material to the Company, GroupCo, the Subsidiary or any
of the PRC Entities during the last six (6) calendar months has terminated, materially reduced or threatened to terminate or materially reduce its purchases from, or provision of products or services to, the Company, GroupCo, the Subsidiary or
the PRC Entities, as the case may be. 
 2.33 Ownership of Shares. Capital River Group owns all right, title and
interest (legal and beneficial) in and to all of the Common Shares being sold by it pursuant to this Agreement free and clear of all liens, including, but not limited to, any lien, pledge, claim, security interest, encumbrance, mortgage, assessment,
charge, restriction or limitation of any kind, whether arising by agreement, operation of law or otherwise. Capital River Group has the full power and authority to sell, transfer, convey, assign and deliver to such Purchaser the Common Shares being
sold by it to such Investor, and upon delivery and payment for such Common Shares at the Closing, such Investor shall acquire valid and unencumbered title to such Common Shares to be delivered by Capital River Group hereunder. Capital River Group is
not indebted to the Company; no amount is recorded on the books of the Company as being payable to the Company from it. Except as set forth in the Disclosure Letter, no person has any agreement, option, understanding or commitment (oral or in
writing) with Capital River Group, or any right or privilege capable of becoming an agreement, option or commitment for the purchase from Capital River Group of any of its Common Shares. 
  

	3.	Representations and Warranties of the Investors. Each Investor, severally and not jointly, hereby represents and warrants, that: 

 3.1 Authorization. Such Investor has full power and authority to enter into this Agreement and the Ancillary Agreements and each
such Agreement constitutes the valid and legally binding obligation, enforceable in accordance with its terms except (a) as limited by applicable bankruptcy, insolvency, reorganization, moratorium, and other laws of general application
affecting enforcement of creditors’ rights generally, (b) as limited by laws relating to the availability of specific performance, injunctive relief, or other equitable remedies, and (c) to the extent the indemnification provisions
contained in the Investors’ Rights Agreement may be limited by applicable United States securities laws. 
 3.2
Purchase Entirely for Own Account. This Agreement is made with such Investor in reliance upon such Investor’s representation to the Company, which by such Investor’s execution of this Agreement such Investor hereby confirms that the
Securities will be acquired for investment for such Investor’s own account for investment only, and not with a view to the resale or distribution of any part thereof. 
  

 19 

 3.3 Disclosure of Information. Such Investor believes it has received all the
information it considers necessary or appropriate for deciding whether to purchase the Series A Preferred Shares. Such Investor further represents that it has had an opportunity to ask questions and receive answers from the Company regarding the
terms and conditions of the offering of the Series A Preferred Shares and the business, properties, prospects and financial condition of the Company. The foregoing, however, does not limit or modify the representations and warranties of the Company
and the Founders in Section 2 of this Agreement or the right of the Investors to rely thereon. 
 3.4 Investment
Experience. Such Investor is an investor in securities of companies in the development stage and acknowledges that it is able to fend for itself, can bear the economic risk of its investment, and has such knowledge and experience in financial or
business matters that it is capable of evaluating the merits and risks of the investment in the Series A Preferred Shares. If other than an individual, such Investor also represents it has not been organized for the purpose of acquiring the Series A
Preferred Shares. 
 3.5 Accredited Investor; Non-US Investor. Such Investor either (a) is an “accredited
investor” within the meaning of Rule 501 under the Securities Exchange Act of 1934, as amended or (b) is not a “US Person,” and is not acquiring the securities for the account or benefit of any U.S. person, within the meaning of
Regulation S under the Securities Act of 1933, as amended (the “Act”). If such Investor is not a U.S. Person, such Investor agrees to resell such securities only in accordance with the provisions of Regulation S under the Act,
pursuant to registration under the Act, or pursuant to an available exemption from registration, and agrees not to engage in hedging transactions with regard to such securities unless in compliance with the Act. 
 3.6 Further Limitations on Disposition. Without in any way limiting the representations set forth above, such Investor further
agrees not to make any disposition of all or any portion of the Securities unless and until: 
 (a) There is then in effect a
Registration Statement under the Act covering such proposed disposition and such disposition is made in accordance with such Registration Statement; or 
 (b) (i) Such Investor shall have provided ten (10) days prior notice to the Company of the proposed disposition and shall have furnished the Company with a detailed statement of the circumstances surrounding
the proposed disposition, and (ii) if reasonably requested by the Company, such Investor shall have furnished the Company with an opinion of counsel, reasonably satisfactory to the Company that such disposition will not require registration of
such shares under the Act. It is agreed that the Company will not require opinions of counsel for transactions made pursuant to Rule 144 except in unusual circumstances. 
  

 20 

 (c) Notwithstanding the provisions of subsections (a) and (b) above, no such
registration statement or opinion of counsel shall be necessary for a transfer (i) by an Investor that is a partnership to a partner of such partnership or a retired partner of such partnership who retires after the date hereof or to the estate
of any such partner of retired partner or the transfer by gift, will or intestate succession of any partner to his or her spouse or to the siblings, lineal descendants or ancestors of such partner or his or her spouse, (ii) by an Investor that
is a limited liability company to a member of such limited liability company or a retired member of such limited liability company who retires after the date hereof or to the estate of any such member of retired member or the transfer by gift, will
or intestate succession of any member to his or her spouse or to the siblings, lineal descendants or ancestors of such member or his or her spouse, or (iii) by an Investor to an affiliate or related individual or to the estate of any such
affiliate or related individual or the transfer by gift, will or intestate succession of any affiliate or related individual to his or her spouse or to the siblings, lineal descendants or ancestors of such affiliate or related individual or his or
her spouse, provided, however, in any such event, the Investor shall give the Company ten (10) days’ prior notice of such transfer and the prospective transferee agrees in all such instances in writing to be subject to the terms hereof to
the same extent as if he, she or it were an original Investor hereunder. 
  

	4.	Conditions of Investors’ Obligations at the Closing. The obligations of each Investor under subsection 1.1(c) of this Agreement are subject to the fulfillment on or
before the Closing of each of the following conditions, the waiver of which shall not be effective against any Investor who does not consent thereto: 

 4.1 Representations and Warranties. The representations and warranties of the Sellers, GroupCo and the Founders contained in
Section 2 shall be true on and as of the Closing with the same effect as though such representations and warranties had been made on and as of the date of such Closing. 
 4.2 Performance. The Sellers, GroupCo and each of the Founders shall have performed and complied with all agreements, obligations
and material conditions contained in this Agreement that are required to be performed or complied with by it on or before the Closing. 
 4.3 Compliance Certificates. A director of the Company shall deliver to each Investor at the Closing a certificate stating that the conditions specified in Sections 4.1 and 4.2 have been fulfilled and stating
that there shall have been no material adverse change in the business, affairs, prospects, operations, properties, assets or financial condition of the Company or the Subsidiary since December 31, 2003. The Founders shall deliver to each
Investor at the Closing a certificate stating that the conditions specified in Sections 4.1 and 4.2, with respect to each of the Founders, have been fulfilled. Capital River Group shall deliver to each Investor at the Closing a certificate stating
that the conditions specified in Sections 4.1 and 4.2, with respect to it, have been fulfilled. GroupCo shall deliver to each Investor at the Closing a certificate stating that the conditions specified in Sections 4.1 and 4.2, with respect to
GroupCo, have been fulfilled. 
 4.4 Qualifications. All authorizations, approvals, or permits, if any, of any foreign,
United States or local governmental authority or regulatory body that are required in connection with the lawful issuance and sale of the Series A Preferred Shares pursuant to this Agreement shall be duly obtained and effective as of the Closing.

 4.5 Proceedings and Documents. All corporate and other proceedings in connection with the transactions contemplated
at the Closing and all documents incident thereto shall be reasonably satisfactory in form and substance to the special counsel for the Investors, and they shall have received all such counterpart original and certified or other copies of such
documents as they may reasonably request. 
  

 21 

 4.6 Director’s Certificate. A director of the Company shall deliver to each
Investor at the Closing a certificate stating that the copies of (a) the Restated Articles and the Restated Memorandum and (b) the Board of Director and Company’s shareholder resolutions relating to the sale of the Series A Preferred
Shares attached thereto, are true and complete copies of such documents and resolutions. 
 4.7 Board of Directors The
Restated Articles shall provide that the Board shall consist of nine members, which shall be Minhong Yu, Qiang Wang, Xiaoping Xu, Fanyi Bao, Yongqiang Qian, Chenggang Zhou, Mingfu Wang, Zhuang Yang and Xiaohong Chen. 
 4.8 Opinion of Counsel to the Sellers. Each Investor shall have received from Conyers Dill & Pearman, counsel for the
Sellers, an opinion, dated as of the Closing, in the form attached hereto as Exhibit I. Each Investor shall have received from Tianyuan Law Office, counsel for the Sellers, an opinion, dated as of the Closing, in the form attached hereto
as Exhibit J. 
 4.9 Investors’ Rights Agreement. The Company, each Investor, each Common Holder (as
such term is defined therein) and each Founder shall have entered into the Investors’ Rights Agreement in the form attached as Exhibit C. 
 4.10 First Refusal and Co-Sale Agreement. The Company, each Investor, each Common Holder (as such term is defined therein) and each Founder shall each have entered into a First Refusal and Co-Sale Agreement in
the form attached hereto as Exhibit D. 
 4.11 Voting Agreement. The Company, each Investor, each Common
Holder (as such term is defined therein) and each Founder shall each have entered into a Voting Agreement in the form attached hereto as Exhibit E. 
 4.12 Indemnification Agreements. The Company shall have entered into indemnification agreements with each director in the form
previously provided to and approved by special counsel to the Investors. 
 4.13 Corporate Records. The corporate
records of the Company, GroupCo, the Subsidiary and the PRC Entities shall be in the form previously provided to and approved by special counsel to the Investors. 
 4.14 Confidentiality and Non-Compete Agreements. Each of the parties listed on Schedule 4.15 attached hereto shall have
entered into the Confidentiality and Non-Compete Agreement in the form attached as Exhibit K. 
 4.15
Intellectual Property. The evidence of the proper ownership of the Intellectual Property shall be provided to the satisfaction of the Investors and their special counsel. 
  

 22 

 4.16 Restructuring Plan. Each item listed in Section 2 of the Restructuring
Plan titled “Pre-Closing Stage” shall have been completed. All agreements listed in Appendix II of the Restructuring Plan shall have been executed and delivered and shall constitute valid and legally binding obligations of each party
thereto, enforceable in accordance with their respective terms. 
  

	5.	Conditions of the Company’s, GroupCo’s and the Founders’ Obligations at Closing. The obligations of each of the Sellers, GroupCo and the Founders to each
Investor under this Agreement are subject to the fulfillment on or before the Closing of each of the following conditions by each Investor: 

 5.1 Representations and Warranties. The representations and warranties of the Investors contained in Section 3 shall be true on and as of the Closing with the same effect as though such representations and
warranties had been made on and as of the Closing. 
 5.2 Payment of Purchase Price. The Investor shall have delivered
the purchase price as specified in Section 1.1(c). 
 5.3 Qualifications. All authorizations, approvals, or
permits, if any, of any applicable governmental authority or regulatory body that are required in connection with the lawful issuance and sale of the Series A Preferred Shares pursuant to this Agreement shall be duly obtained and effective as of the
Closing. 
  

	6.	Agreements of the Company. The Sellers, GroupCo, the Subsidiary and each Founder covenant and agree with each of the Investors, for the benefit of the Investors, that:

 6.1 Preservation of Existence. Unless approved by the Board of Directors, including the director
elected by the Investors (the “Preferred Director”), if any, each of the Company and GroupCo shall, and shall cause each of the Subsidiary and the PRC Entities to: 
 (a) preserve and maintain in full force and effect its existence and good standing under the laws of its jurisdiction of formation or
organization where the failure to so preserve and maintain would have a Material Adverse Effect (as such businesses are currently conducted and are proposed to be conducted); 
 (b) preserve and maintain in full force and effect all rights, privileges, qualifications, applications, licenses, permits and franchises
where the failure to so preserve and maintain would have a Material Adverse Effect (as such businesses are currently conducted and are proposed to be conducted); 
 (c) use its reasonable commercial efforts to preserve its business organization; 
 (d) conduct its business in the ordinary course in accordance with sound business practices, keep its properties in good working order
and condition (normal wear and tear excepted), and from time to time make all needed repairs to, renewals of or replacements of its properties to the extent commercially reasonable so that the efficiency of its business operation shall be reasonably
maintained and preserved; 
  

 23 

 (e) comply in all material respects with all applicable laws, ordinances, rules and
regulations, as well as judicial interpretations and decisions and with the directions of any governmental authority or regulatory body having jurisdiction over the Company, the Subsidiary, any of the PRC Entities or their respective businesses or
properties, where the failure to so comply would have a Material Adverse Effect (as such businesses are currently conducted and are proposed to be conducted); 
 (f) keep true books and records and accounts in which full and correct entries will be made of all of its business transactions, and to
reflect in its financial statements adequate accruals and appropriations to reserves all in accordance with PRC GAAP and consistent with prior business practice; and 
 (g) file or cause to be filed in a timely manner all reports, applications, estimates and licenses that shall be required by a
governmental authority or regulatory body and that, if not timely filed, would have a Material Adverse Effect (as such businesses are currently conducted and are proposed to be conducted). 
 6.2 Related Party Transactions. Except for such transactions that take place in the ordinary course of business and that occur at
arms length, the Company shall not enter into any transactions with a Related Party or member of such Related Party’s immediate family, or any corporation, partnership or other entity in which such Related Party or family member is an officer,
director or partner, or in which such Related Party or family member has significant ownership or economic interests or otherwise controls, unless (a) at least twenty (20) days prior to the entry into such transaction, the Related Party
notifies each member of the Board of Directors, including the Preferred Director, that such transaction is a “Related Party” transaction subject to this Section 6.2 and (b) the terms of such transaction are equivalent to the
terms that could be obtained in a bona fide arms length transaction or are approved by the Board of Directors, including the Preferred Director. 
 6.3 Fundamental Changes. Unless approved by the Board of Directors, including the Preferred Director, if any, the Company shall not, and shall cause each of GroupCo, the Subsidiary and the PRC Entities not to,
directly or indirectly, enter into any transaction or series of related transactions of merger, amalgamation, consolidation or combination where the existing shareholders of such entity immediately prior to such merger, amalgamation, consolidation
or combination do not retain a majority of the voting power in the surviving entity, or liquidate, windup or dissolve itself (or suffer any liquidation or dissolution), or convey, sell, lease, sublease, transfer or otherwise dispose of, in one
transaction or in a series of transactions all or substantially all of its business, property or assets, whether now owned or hereafter acquired. 
  

 24 

 6.4 Tax. 
 (a) For so long as Tiger Technology Private Investment Partners II, L.P. (“Tiger”) holds the Series A Preferred Shares or the
Conversion Shares, the Company shall not, without the written consent of Tiger and, so long as it is under common control with Tiger, Tiger Technology II, L.P., issue shares in the Company to any investor if following such issuance the Company, in
the determination of counsel or accountants for Tiger, would be a “Controlled Foreign Corporation” (a “CFC”) as defined in the Code with respect to the shares held by any Investor. No later than two (2) months following the
end of each Company taxable year, the Company shall provide the Company’s capitalization table as of the end of the last day of such taxable year to the Investors. In addition, the Company shall provide the Investors with reasonable access to
such other Company information as may be reasonably required by such Investors to determine the Company’s status as a CFC, to determine whether each such Investor is required to report its pro rata portion of the Company’s “Subpart F
income” (as defined in the Code) on its United States federal income tax return, or to allow such Investors to otherwise comply with applicable United States federal income tax laws. 
 (b) The Company shall use its commercially reasonable efforts to avoid being a “passive foreign investment company” within the
meaning of Section 1297 of the Code (or any successor thereto). In connection with a “Qualified Electing Fund” election made by Investor pursuant to Section 1295 of the Code (or any successor thereto) or the filing of a
“Protective Statement” pursuant to the implementing regulations thereto, the Company shall provide annual financial information to Investors in the PFIC Annual Information Statement (substantially in the form attached hereto as Exhibit L)
and shall provide Investors with reasonable access to such other Company information as may be required for purposes of filing United States federal income tax returns in connection with such Qualified Electing Fund election or Protective Statement,
as applicable. 
 (c) The Company shall obtain representations, warranties and covenants from each entity in which it invests
or has invested substantially to the effect of the representations, warranties and covenants contained in the foregoing Sections 6.4(a) and (b) and such additional representations, warranties and covenants as shall be necessary to allow the
Company to comply with the provisions of the foregoing Sections 6.4(a) and (b). 
 (d) Except to the extent that the Tiger
elects otherwise, the Company shall take such actions, including making an election to be treated as a corporation or refraining from making an election to be treated as a partnership, as may be required to ensure that at all times the Company is
treated as a corporation for United States federal income tax purposes. 
 6.5 Indemnification by the Company. After
the date hereof, the Investors and their respective affiliates, officers, directors, employees, agents, successors and assigns (collectively, the “Company Indemnified Parties”) shall be indemnified and held harmless by the Company for any
and all liabilities, losses, damages of any kind, diminution in value, claims, costs, expenses, fines, fees, deficiencies, interest, awards, judgments, amounts paid in settlement and penalties (including, without limitation, reasonable
attorneys’, consultants’ and experts’ fees and expenses and other costs of defending, investigating or settling claims) suffered, incurred, accrued (in accordance with PRC GAAP) or paid by them (including, without limitation, in
connection with any action brought or otherwise initiated by any of them) (hereinafter, a “Loss”), without adjustment for any insurance recovery or tax deduction relating thereto, arising out of or resulting from any tax liabilities owed
to employees of the Company or the PRC Entities as a result of remuneration received by such employees before the date hereof. As used herein, “Losses” are not limited to matters asserted by third parties, but include Losses incurred or
sustained by the Company Indemnified Parties in the absence of claims by third parties. 
  

 25 

 6.6 Use of Proceeds. The Company shall use the proceeds from the sale of the
Series A Preferred Shares for general corporate purposes. 
 6.7 Insurance Policies. The Company shall use
commercially reasonable efforts to obtain and/or maintain a directors and officers liability insurance policy; provided such insurance policy is reasonably acceptable to Tiger. 
 6.8 Board of Directors Seat. Upon the occurrence of the earlier of the following (i) the Company obtains a directors and
officers liability insurance policy pursuant to Section 6.7 hereof or (ii) the Company receives a written waiver from Tiger of the provisions of Section 6.7 hereof, the Company shall cause the director that is chosen by the majority
holders of the Series A Preferred Stock (the “Series A Director”) to be elected as a director of the Company. Notwithstanding the foregoing, the provisions of this Section 6.8 shall terminate and be of no further effect upon
the earlier of (i) the consummation by the Company of a firm commitment underwritten public offering of its Common Shares where the shares are subsequently primarily traded on the Nasdaq Stock Market’s National Market, the New York Stock
Exchange or another comparable exchange or marketplace approved by the Board of Directors, (ii) the date on which Tiger ceases to own any securities of the Company or (iii) Tiger’s participation in an equity financing of another
corporation or entity that is determined by the Board (excluding the Preferred Director, if any) to be a competitor of the Company (excluding an investment in any-publicly traded corporation or entity) or the consummation of a Liquidation Event (as
defined in the Restated Articles). 
 6.9 Restructuring Plan. The Company, GroupCo and the Founders shall comply with
the Restructuring Plan, including the completion of the items listed in the Restructuring Plan, including the items listed in Section 3 titled “Post-Closing Stage,” and the Company shall execute all of the agreements listed in
Appendix III of the Restructuring Plan within the timeframe set forth therein, provided, that, all items in the Restructuring Plan shall be completed within sixty (60) days of the Closing. The Company shall promptly reimburse the
reasonable fees and expenses up to $7,500 incurred by Tiger, including the reasonable fees and out-of-pocket expenses of its special counsel, in connection with the Company’s and the Founders’ compliance with this Section 6.9.

 6.10 GroupCo Distributions. GroupCo shall not make any distributions to any of its shareholders, unless such
distribution is approved by the Company’s Board of Directors, which approval must include the written consent of the Preferred Director, if any. To the extent permitted under applicable law, GroupCo and its subsidiaries (excluding Beijing Lian
Dong Wei Ye Technology Development Co., Ltd., and Beijing Mingri Dong Fang Technology Co., Ltd.) shall utilize all their revenues (less reasonable expenses) to purchase technical, consulting, logistic and any other applicable services as well as to
license Intellectual Property rights from wholly-owned subsidiaries of the Company in the PRC. 
  

 26 

 6.11 Hu Min Share Transfer. Minhong Yu, Capital River Group, GroupCo and the
Company shall cause Beijing Highlights Culture Communications Co., Ltd and Minhong Yu to consummate the share transfers with Hu Min and Beijing Shiji Youhao Education Investment Co., Ltd pursuant to (a) that certain share transfer agreement
dated December 22, 2004 between Beijing Shiji Youhao Education Investment Co., Ltd and Beijing Highlights Culture Communications Co., Ltd, whereby Beijing Highlights Culture Communications Co., Ltd will transfer all of its shares in GroupCo to
Beijing Shiji Youhao Education Investment Co., Ltd and (b) that certain share transfer agreement dated December 22, 2004 between Minhong Yu and Hu Min, whereby Hu Min will transfer all of his shares in GroupCo to Minhong Yu, within sixty
(60) days of the signing date of the share transfer agreements referred to above. 
 6.12 PRC Trustee Agreement.
The Sellers, GroupCo and the Founders shall cause a Confirmation Agreement to be entered into by (a) all of the registered shareholders of GroupCo, including, without limitation, Beijing Shiji Youhao Education Investment Co., Ltd, Beijing
Beizhi Culture & Education Co., Ltd, Beijing Jinshuitu Science & Trade Co., Ltd, Beijing Jinfan Fengdu Culture Development Co., Ltd, Xu Xiaoping, Duzihua, Bao Fanyi, He Qingquan, Qian Yongqiang and Yangji, within seven
(7) days following the Closing, and (b) all of the shadow shareholders of GroupCo, within thirty (30) days following the Closing, pursuant to which such registered shareholders shall agree to the substitution of the term “Little
Thing Company” with “Capital River Group Limited” in that certain Agreement Regarding the Acquisition and Holding of Equity Interests dated December 22, 2004, and such shadow shareholders shall agree to the same in the Trustee
Agreement of the same date. 
  

	7.	Miscellaneous. 

 7.1 Survival of
Warranties; Limitation of Liability. The warranties and representations of the parties hereto contained in or made pursuant to this Agreement shall survive the execution and delivery of this Agreement and the Closing and shall terminate after
two years following the Closing and shall in no way be affected by any investigation of the subject matter thereof made by or on behalf of the Investors or the Company. Except when another time period is specified herein, all of the covenants in
this Agreement (including for indemnification) shall survive until they have been performed in full or waived in writing by the party hereto entitled to the benefit of such performance. 
 7.2 Successors and Assigns. Except as otherwise provided herein, the terms and conditions of this Agreement shall inure to the
benefit of and be binding upon the respective successors and assigns of the parties (including transferees of any Securities). Nothing in this Agreement, express or implied, is intended to confer upon any party other than the parties hereto or their
respective successors and assigns any rights, remedies, obligations, or liabilities under or by reason of this Agreement, except as expressly provided in this Agreement. 
 7.3 Governing Law. This Agreement shall be governed by and construed under the laws of the State of New York as applied to
agreements among New York residents entered into and to be performed entirely within New York. 
 7.4 Counterparts.
This Agreement may be executed in two (2) or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. 
  

 27 

 7.5 Titles and Subtitles. The titles and subtitles used in this Agreement are used
for convenience only and are not to be considered in construing or interpreting this Agreement. 
 7.6 Notices. All
notices and other communications given or made pursuant hereto shall be in writing and shall be deemed effectively given: (a) upon personal delivery to the party to be notified, (b) when sent by confirmed electronic mail or facsimile if
sent during normal business hours of the recipient; if not, then on the next business day, (c) ten (10) days after having been sent by registered or certified mail, return receipt requested, postage prepaid, or (d) two (2) days
after deposit with an internationally recognized overnight courier, specifying next day delivery, with written verification of receipt. All communications shall be sent to the respective parties at the addresses set forth on the signature pages
attached hereto (or at such other addresses as shall be specified by notice given in accordance with this Section 7.6). 
 7.7 Finder’s Fee. Each party represents that it neither is nor will be obligated for any finders’ fee or commission in connection with this transaction. Each Investor agrees to indemnify and to hold harmless the Company
from any liability for any commission or compensation in the nature of a finders’ fee (and the costs and expenses of defending against such liability or asserted liability) for which such Investor or any of its officers, partners, employees, or
representatives is responsible. 
 The Company agrees to indemnify and hold harmless each Investor from any liability for any
commission or compensation in the nature of a finders’ fee (and the costs and expenses of defending against such liability or asserted liability) for which the Company, or any of its officers, employees or representatives is responsible.

 7.8 Expenses. The Company shall pay all costs and expenses that it incurs with respect to the negotiation,
execution, delivery and performance of this Agreement. If the Closing is effected, the Company shall, at the Closing, by way of deduction from gross proceeds, pay the reasonable fees and out-of-pocket expenses up to $400,000 of Gunderson Dettmer,
LLP, special counsel for the Investors and TransAsia Lawyers, PRC counsel to the Investors and other expenses incurred by the Investors, including the reasonable fees and out-of-pocket expenses of Pricewaterhouse Coopers LLP (the “Investor
Expenses”). In the event that the Escrow Deposit is returned to the Investors pursuant to the Escrow Agreement, the Company shall reimburse the Investors for $100,000 of the Investor Expenses otherwise deducted from the Purchase Price
pursuant to the preceding sentence. The Investors acknowledge that payment of Gunderson Dettmer, LLP’s and TransAsia Lawyers’ fees by the Company raises a potential conflict of interest and hereby consents to the payment arrangement set
forth herein. If any action at law or in equity is necessary to enforce or interpret the terms of this Agreement, the Ancillary Agreements or the Restated Articles, the prevailing party shall be entitled to reasonable attorney’s fees, costs and
necessary disbursements in addition to any other relief to which such party may be entitled. 
  

 28 

 7.9 Amendments and Waivers. Any term of this Agreement may be amended and the
observance of any term of this Agreement may be waived (either generally or in a particular instance and either retroactively or prospectively), only with the written consent of the Company and the holders of a majority of the Conversion Shares
issued or issuable upon conversion of the Series A Preferred Shares purchased hereunder. Any amendment or waiver effected in accordance with this section shall be binding upon each holder of any securities purchased under this Agreement at the time
outstanding (including securities into which such securities are convertible), each future holder of all such securities, and the Company. 
 7.10 Severability. If one or more provisions of this Agreement are held to be unenforceable under applicable law, such provision shall be excluded from this Agreement and the balance of the Agreement shall be
interpreted as if such provision were so excluded and shall be enforceable in accordance with its terms. 
 7.11
Aggregation of Shares. All Preferred Shares held or acquired by affiliated entities or persons shall be aggregated together for the purpose of determining the availability of any rights under this Agreement. 
 7.12 Entire Agreement. This Agreement and the documents referred to herein constitute the entire agreement among the parties and no
party shall be liable or bound to any other party in any manner by any warranties, representations, or covenants except as specifically set forth herein or therein. 
 7.13 Arbitration. Any dispute or controversy between the Parties hereto involving any claim arising out of or relating to this
Agreement, or the breach, termination or invalidity thereof, will be submitted to and be settled by final and binding arbitration in accordance with the UNCITRAL Arbitration Rules as currently in effect and as such may be amended by the rest of this
Section 7.13, and judgment upon the award rendered by the arbitrators may be entered in any court having jurisdiction thereof. Such arbitration shall be administered in Hong Kong at the Hong Kong International Arbitration Centre (the
“HKIAC”) in accordance with the HKIAC Procedures for Arbitration in effect as of the date hereof, including such additions to the UNCITRAL Arbitration Rules contained therein. Such arbitration shall be conducted by three
(3) arbitrators chosen by the Company and the Investors, or failing such agreement, an arbitrator appointed by the HKIAC. The language to be used in the arbitral proceedings shall be English. 
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 
  

 29 

 IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above
written. 
  

			
	SELLERS:
	
	NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.
		
	By:	 	 /s/

	Name:	 	 Minhong Yu

	Title:	 	 CEO

	Address:	 	  

	  
  

	
	CAPITAL RIVER GROUP LIMITED
		
	By:	 	 /s/

	Name:	 	 Minhong Yu

	Title:	 	 Director

	Address:	 	  

	  
  

 SIGNATURE PAGE TO SERIES A PREFERRED SHARES PURCHASE AGREEMENT 
 FOR NEW ORIENTAL EDUCATIONAL & TECHNOLOGY GROUP INC. 

			
	GROUPCO:
	
	BEIJING NEW ORIENTAL EDUCATION AND TECHNOLOGY (GROUP) CO., LTD.
		
	By:	 	 /s/

	Name:	 	 Minhong Yu

	Title:	 	 CEO

		
	Address:	 	  

	  
  

 SIGNATURE PAGE TO SERIES A PREFERRED SHARES PURCHASE AGREEMENT 
 FOR NEW ORIENTAL EDUCATIONAL & TECHNOLOGY GROUP INC. 

			
	FOUNDERS:
	
	  
 /s/
  

	Minhong Yu
		
	Address:	 	  

	
	  

	
	  
  

	Qiang Wang
		
	Address:	 	  

	
	  

	
	  
 /s/
  

	Xiaoping Xu
		
	Address:	 	  

	
	  

	
	  
 /s/
  

	Qingquan He
		
	Address:	 	  

	
	  

	
	  
 /s/
  

	Li Li
		
	Address:	 	  

	
	  

 SIGNATURE PAGE TO SERIES A PREFERRED SHARES PURCHASE AGREEMENT 
 FOR NEW ORIENTAL EDUCATIONAL & TECHNOLOGY GROUP INC. 

			
	  
 /s/
  

	Yongqiang Qian
		
	Address:	 	  

	
	  

	
	  
 /s/
  

	Fanyi Bao
		
	Address:	 	  

	
	  

	
	  
 /s/
  

	Hao Song
		
	Address:	 	  

	
	  

	
	  
 /s/
  

	Wei Du
		
	Address:	 	  

	
	  
  
  
 /s/
  

	Du, Zihua
		
	Address:	 	  

	
	  

 SIGNATURE PAGE TO SERIES A PREFERRED SHARES PURCHASE AGREEMENT 
 FOR NEW ORIENTAL EDUCATIONAL & TECHNOLOGY GROUP INC. 

			
	INVESTORS:
	
	TIGER TECHNOLOGY PRIVATE INVESTMENT PARTNERS II, L.P.
		
	By:	 	Tiger Technology PIP Performance II, L.L.C., its General Partner
		
	By:	 	 /s/
  

	Name:	 	Xiaohong Chen
	Title:	 	Managing Director
		
	Address:	 	Turner & Roulsone Management Ltd.
		 	Strathvale House, P.O. Box 2636GT
		 	George Town, Grand Cayman
		 	Cayman Islands
	
	TIGER TECHNOLOGY II, L.P.
		
	By:	 	Tiger Technology Performance, L.L.C., its General Partner
		
	By:	 	 /s/
  

	Name:	 	Xiaohong Chen
	Title:	 	Managing Director
		
	Address:	 	Walker House, P.O. Box 908GT
		 	George Town, Grand Cayman
		 	Cayman Islands

 SIGNATURE PAGE TO SERIES A PREFERRED SHARES PURCHASE AGREEMENT 
 FOR NEW ORIENTAL EDUCATIONAL & TECHNOLOGY GROUP INC. 

 Schedule A 
 Schedule of Investors 
 Closing Date: December 24, 2004 
  

											
	 Name
	  	Number of Series A
Preferred Shares
Purchased	  	 Total Purchase
 Price of Series A
Shares
	  	Number of
Common Shares
Purchased	  	 Total Purchase
 Price of Common
Shares

	 Tiger Technology Private Investment Partners II, L.P.
	  	11,102,144	  	$	22,481,841.60	  	5,179,980	  	$	9,050,661.23
					
	 Tiger Technology II, L.P.
	  	8,967	  	$	18,158.18	  	4,184	  	$	7,309.78
		  	 	  	 	 	  	 	  	 	 
	 TOTAL
	  	11,111,111	  	$	22,499,999.78	  	5,184,164	  	$	9,057,971.01
		  	 	  	 	 	  	 	  	 	 

  

 S-1 

 Schedule B 
 Schedule of Founders 
 Yu, Minhong 
 Wang, Qiang 
 Xu, Xiaoping 
 He, Qingquan 
 Li, Li 
 Qian, Yongqiang

 Bao, Fanyi 
 Song, Hao 
 Du, Wei 
  

 S-1 

 Schedule 2.6(a) 
 Schedule of PRC Entities 
 The PRC Entities 
  

	1)	Beijing New Oriental Dogwood Cultural Communications Co., Ltd. 

	  	

 

  

	2)	Beijing Liandong Weiye Technology Development Co., Ltd. 

	  	

 

  

	3)	Beijing Tomorrow Oriental Technology Co., Ltd. 

	  	

 

  

	4)	Beijing New Oriental Qiantu Chuguo Consultancy Co., Ltd. 

	  	

 

  

	5)	Beijing New Oriental Feihua Information Technology Co., Ltd. 

	  	

 

  

	6)	Beijing New Oriental Dogwood Advertisement Co., Ltd. 

	  	

 

  

	7)	Shenyang New Oriental Dogwood Bookstore Co., Ltd. 

	  	

 

  

	8)	Tianjin Dogwood Book Trading Co., Ltd. 

	  	

 

  

	9)	Chengdu New Oriental Dogwood Bookstore Co., Ltd. 

	  	

 

  

	10)	Chongqing New Oriental Dogwood Bookstore Co., Ltd. 

	  	

 

  

	11)	Shanghai North Book, Audio & Video Co., Ltd. 

	  	

 

  

	12)	Xi’an Oriental Star Book, Audio & Video Co., Ltd. 

	  	

 

  

	13)	Yangzhou New Oriental Education & Technology Co., Ltd. 

	  	

 

  

	14)	Nanjing Bright Oriental Book, Audio & Video Co., Ltd. 

	  	

 

  

	15)	Guangzhou Xinsilu Bool, Audio & Video Co., Ltd. 

	  	

 

  

	16)	Wuhan Oriental Star Book, Audio & Video Co., Ltd. 

	  	

 

  

	17)	Beijing new Goriental Dogwood Book, Audio & Video Co., Ltd. 

	  	

 

  

	18)	Beijing New Oriental Yangzhou Bilingual School 

	  	

 

  

 S-1 

	19)	Beijing Haidian District New Oriental Vocational Education Center 

	  	

 

  

	20)	Shenyang New Oriental Foreign Language Training School 

	  	

 

  

	21)	Shenzhen New Oriental Training School 

	  	

 

  

	22)	Chongqing New Oriental Training School 

	  	

 

  

	23)	Chengdu New Oriental School 

	  	

 

  

	24)	Xi’an Yanta District New Oriental School 

	  	

 

  

	25)	Nanjing Gulou New Oriental Advanced Study School 

	  	

 

  

	26)	Wuhan New Oriental Training School 

	  	

 

  

	27)	Guangzhou Haizhu District Privately-Funded New Oriental Training School 

	  	

 

  

	28)	Tianjin New Oriental Training School 

	  	

 

  

	29)	Shanghai Yangpu District New Oriental Advanced Study School 

	  	

 

  

	30)	Beijing Haidian District Privately-Funded New Oriental School 

	  	

 “Beijing New Oriental School”) 

  

	31)	Beijing Chongwen District Privately-Funded New Oriental School 

	  	

 

  

	32)	Beijing Xicheng District Privately-Funded New Oriental School 

	  	

 

  

	33)	Beijing Chaoyang District Privately-Funded New Oriental School 

	  	

 

  

	34)	Beijing New Oriental International Preparatory School 

	  	

 

 35)    Xiangfan New Oriental Training School

 (governmental approval for 
          establishment has been obtained but the
registration formalities are still being processed.) 
 36)    Jinan New Oriental Training School

 (governmental approval for 
          establishment has been obtained but the
registration formalities are still being processed.) 
 The PRC Entities listed from18) through 36) are not in the form of
limited liability company. 
  

 S-2 

 Schedule 2.6(c) 
 Schedule of Capitalization of PRC Entities 
  

	I.	The following PRC Entities are established in the form of limited liability company under the law of the PRC. 

  

													
	 No.
	  	 Subsidiaries
	  	Registered
Capital (RMB)	  	 Date of
 Organization
	  	 Shareholder (of record)
	  	Contributed Amount
(RMB)	  	Ownership
Percentage
	1	  	 Beijing New Oriental Dogwood Cultural Communications Co., Ltd.
 

	  	10,000,000	  	May 16, 2003	  	GroupCo	  	8,000,000	  	80%
	  	  	  	  	Shiji Youhao (holding shares on behalf of GroupCo)	  	2,000,000	  	20%
							
	2	  	 Beijing Liandong Weiye
 Technology Development Co., Ltd.
 

	  	10,000,000	  	September 21, 2000	  	GroupCo	  	9,432,200	  	94.33%
	  	  	  	  	Mr. Yu Minhong	  	190,500	  	1.90%
	  	  	  	  	Mr. Qian Yongqiang	  	377,300	  	3.77%
							
	3	  	 Beijing Tomorrow Oriental Technology Co., Ltd.
 

	  	2,500,000	  	September 29, 2000	  	GroupCo	  	2,050,000	  	82%
	  	  	  	  	Mr. Wu Qiang (general manager)	  	250,000	  	10%
	  	  	  	  	Mr. Huang Binliang (deputy general manager)	  	200,000	  	8%
							
	4	  	 Beijing New Oriental Qiantu Chuguo Consultancy Co., Ltd.
 

	  	5,000,000	  	February 19, 2004	  	GroupCo	  	4,000,000	  	80%
	  	  	  	  	Shiji Youhao (holding shares on behalf of GroupCo)	  	1,000,000	  	20%
							
	5	  	 Beijing New Oriental Feihua Information Technology Co., Ltd.
 

	  	1,000,000	  		  	GroupCo	  	900,000	  	90%
	  	  	  	April 4, 2002	  	Mr. Zhou Huaijun	  	100,000	  	10%

  

 S-1 

													
	6	  	 Beijing New Oriental Dogwood Advertisement Co., Ltd.
 

	  	500,000	  	January 20, 2004	  	Beijing New Oriental Dogwood Cultural Communications Co., Ltd.	  	400,000	  	80%
	  	  	  	  	Shiji Youhao (holding shares on behalf of GroupCo)	  	100,000	  	20%
							
	7	  	 Shenyang New Oriental Dogwood Bookstore Co., Ltd.
 

	  	400,000	  	September 18, 2003	  	Beijing New Oriental Dogwood Cultural Communications Co., Ltd.	  	320,000	  	80%
	  	  	  	  	Ms. Li Li (holding shares on behalf of GroupCo)	  	80,000	  	20%
							
	8	  	 Tianjin Dogwood Book Trading Co., Ltd.
 

	  	400,000	  	December 15, 2003	  	Beijing New Oriental Dogwood Cultural Communications Co., Ltd.	  	360,000	  	90%
	  	  	  	  	Ms. Li Li (holding shares on behalf of GroupCo)	  	40,000	  	10%
							
	9	  	 Chengdu New Oriental Dogwood Bookstore Co., Ltd.
 

	  	400,000	  	January 18, 2004	  	 Beijing New Oriental Dogwood Cultural Communications
 Co., Ltd.
	  	360,000	  	90%
	  	  	  	  	Ms. Li Li (holding shares on behalf of GroupCo)	  	40,000	  	10%
							
	10	  	 Chongqing New Oriental Dogwood Bookstore Co., Ltd.
 

	  	500,000	  	February 25, 2004	  	Beijing New Oriental Dogwood Cultural Communications Co., Ltd.	  	450,000	  	90%
	  	  	  	  	Ms. Li Li (holding shares on behalf of GroupCo)	  	50,000	  	10%
							
	11	  	 Shanghai North Book, Audio & Video Co., Ltd.
 

	  	300,000	  	September 28, 2003	  	GroupCo	  	270,000	  	90%
	  	  	  	  	Ms. Li Li (holding shares on behalf of GroupCo)	  	30,000	  	10%
							
	12	  	 Xi’an Oriental Star Book, Audio & Video Co., Ltd.
 

	  	300,000	  	June 3, 2003	  	GroupCo	  	270,000	  	90%
	  	  	  	  	Ms. Li Li (holding shares on behalf of GroupCo)	  	30,000	  	10%
		  		  		  		  		  		  	

  

 S-2 

													
	13	  	 Yangzhou New Oriental Education & Technology Co., Ltd.
 

	  	30,000,000	  	January 18, 2002	  	GroupCo	  	27,000,000	  	90%
	  	  	  	  	Shiji Youhao (holding shares on behalf of GroupCo)	  	3,000,000	  	10%
							
	14	  	 Nanjing Bright Oriental Book, Audio & Video Co., Ltd.
 

	  	300,000	  	April 21, 2003	  	GroupCo	  	27,000,000	  	90%
	  	  	  	  	Ms. Li Li (holding shares on behalf of GroupCo)	  	30,000	  	10%
							
	15	  	 Guangzhou Xinsilu Bool, Audio & Video Co., Ltd.
 

	  	300,000	  	November 11, 2003	  	GroupCo	  	270,000	  	90%
	  	  	  	  	Ms. Li Li (holding shares on behalf of GroupCo)	  	30,000	  	10%
							
	16	  	 Wuhan Oriental Star Book, Audio & Video Co., Ltd.
 

	  	300,000	  	December 16, 2003	  	GroupCo	  	270,000	  	90%
	  	  	  	  	Ms. Li Li (holding shares on behalf of GroupCo)	  	30,000	  	10%
							
	17	  	 Beijing new Oriental Dogwood Book, Audio & Video Co., Ltd.
 

	  	3,000,000	  	March 2, 2004	  	Beijing New Oriental Dogwood Cultural Communications Co., Ltd.	  	2,400,000	  	80%
	  	  	  	  	Shiji Youhao (holding shares on behalf of GroupCo)	  	600,000	  	20%
		  		  		  		  		  		  	

	II.	The following PRC Entities are 100% funded by GroupCo. 

  

							
	 Name of School
	  	Date of
Organization	  	 Location
	  	 Startup Capital
 (RMB)

	 Beijing New Oriental Yangzhou Bilingual School
 

	  	June 6, 2002	  	

	  	10,000,000
	 Beijing Haidian District New Oriental Vocational Education Center

	  	June 2, 2004	  	

	  	2,500,000

  

 S-3 

							
	 Shenyang New Oriental Foreign Language Training School
 

	  	June 18, 2003	  	

	  	2,500,000
				
	 Shenzhen New Oriental Training School
 

	  	October 15, 2003	  	

	  	2,500,000
				
	 Chongqing New Oriental Training School
 

	  	August 15, 2003	  	

	  	2,500,000
				
	 Chengdu New Oriental School
 

	  	August 18, 2003	  	

	  	2,500,000
				
	 Xi’an Yanta District New Oriental School
 

	  	November 26, 2002	  	

	  	2,500,000
				
	 Nanjing Gulou New Oriental Advanced Study School
 

	  	November 28, 2002	  	

	  	2,500,000
				
	 Wuhan New Oriental Training School
 

	  	April 24, 2002	  	

	  	2,500,000
				
	 Guangzhou Haizhu District Privately-Funded New Oriental Training School
 

	  	September 8, 2000	  	

	  	2,500,000

  

 S-4 

							
	 Tianjin New Oriental Training School
 

	  	August 21, 2002	 	

	  	2,500,000
				
	 Shanghai Yangpu District New Oriental Advanced Study School
 

	  	June 1, 2000	 	

	  	2,500,000
				
	 Beijing Haidian District Privately-Funded New Oriental School
 

	  	November 16, 1993	 	

	  	5,000,000
				
	 Beijing Chongwen District Privately-Funded New Oriental School
 

	  	November 3,2003	 	

	  	500,000
				
	 Beijing Xicheng District Privately-Funded New Oriental School
 

	  	February 23, 2004	 	

	  	500,000
				
	 Beijing Chaoyang District Privately-Funded New Oriental School
 

	  	March 8, 2004	 	

	  	500,000
				
	 Beijing New Oriental International Preparatory School
 

	  	See Section 2.6(b) of
the Disclosure Schedule	 		  	
				
	 Xiangfan New Oriental Training School
 

	  	To be established	 		  	
				
	 Jinan New Oriental Training School
 

	  	To be established	 		  	

  

 S-5 

 Schedule 4.14 
 Schedule of Parties to Confidentiality and Non-Compete Agreement 
 Zhou Chenggang 
 Chen Xiangdong 
 Yu Minhong 
 Qian Yongqiang 
 Wang Qiang 
 Bao Fanyi 
 Xu Xiaoping 
 Wei Ping 
  

 S-1 

 Exhibit A 
 Second Amended and Restated Memorandum of Association 

 Exhibit A-1 
 Second Amended and Restated Articles of Association 

 Exhibit B 
 List of Shareholders 
 Company 
  

			
	 Shareholder
	  	Shares Owned
	 Tigerstep Developments Limited
	  	46,657,477
	 Capital River Group Limited
	  	12,859,386
	 Success Tycoon Limited
	  	10,461,643
	 Peak Idea International Limited
	  	10,378,696
	 Forthright Trading Limited
	  	6,241,734
	 Easebright International Limited
	  	4,157,700
	 Time Promise Investments Limited
	  	2,084,034
	 Strong Great International Limited
	  	2,146,244
	 Fame Gain Investments Limited
	  	3,219,366
	 Challenge Now Limited
	  	528,785
	 Central Plains Limited
	  	528,785
	 China Central Limited
	  	736,150
	 Total
	  	100,000,000

 GroupCo 
  

			
	 Shareholder
	  	Shares Owned
	 Beijing Shiji Youhao Education Investment Co., Ltd.
	  	45,000,000
	 Beijing Beizhi Culture & Education Co. Ltd.
	  	19,000,000
	 Xu, Xiaoping
	  	10,000,000
	 Beijing Highlights Culture Communications Co., Ltd.
	  	8,000,000
	 Du, Zihua
	  	6,000,000
	 Bao, Fanyi
	  	4,000,000
	 He, Qingquan
	  	2,000,000
	 Beijing Jinshuitu Science & Trade Co. Ltd.
	  	2,000,000
	 Qian, Yongqiang
	  	2,500,000
	 Song, Hao
	  	500,000
	 Beijing Tianyiyang Science & Technology Development Co., Ltd.
	  	500,000
	 Qingdao Feixiang Language Services Co., Ltd.
	  	500,000
	 Total
	  	100,000,000

 Note: Included in Beijing Beizhi are 9% employee shadow shares, some of such shares are also allocated to the
aforementioned persons or persons owning or controlling the aforementioned companies 

 Exhibit C 
 Investors’ Rights Agreement 

 Exhibit D 
 First Refusal and Co-Sale Agreement 

 Exhibit E 
 Voting Agreement 

 Exhibit F 
 Restructuring Plan 

 Exhibit G 
 Form of Employment Agreement 

 Exhibit H 
 Escrow Agreement 

 Exhibit I 
 Opinion of BVI Counsel for the Company 

 Exhibit J 
 Opinion of PRC Counsel for the Company 

 Exhibit K 
 Form of Confidentiality and Non-Compete Agreement 

 Exhibit L 
 PFIC Exhibit 
 Annual Information Statement 
 The undersigned authorized representative of New Oriental Education & Technology Group Inc. (the “Company”), on behalf of the Company,
hereby represents and covenants that: 
 (1)              This Annual Information Statement
applies to the taxable year of the Company beginning on January 1, 20    , and ending on December 31, 20    . 
 (2) The Company has permitted Tiger Technology Private Investment Partners II L.P. and Tiger Technology II, L.P (collectively, “Tiger”) to examine the books of account, records, and other documents of the
foreign corporation for Tiger to calculate the amounts of the Company’s ordinary earnings and the net capital gain according to U.S. federal income tax accounting principles and to calculate the Tiger’s pro rata shares of the
Company’s ordinary earnings and net capital gain. 
 (3) The amount of cash and fair market value of other property distributed or deemed distributed by
Company to Tiger during the taxable year specified in paragraph 1. is as follows: 
 TIGER TECHNOLOGY PRIVATE INVESTMENT PARTNERS II, L.P. 
  

			
	Cash:
                                    	  	
	Fair Market Value of Property:
                                	  	

 TIGER TECHNOLOGY II, L.P. 
  

			
	Cash:
                                    	  	
	Fair Market Value of Property:
                                	  	

 (4) Company will permit Tiger to inspect and copy Company’s permanent books of account, records, and such
other documents as may be maintained by Company that are necessary to establish that PFIC ordinary earnings and net capital gain, as provided in Section 1293(e) of the U.S. Internal Revenue Code of 1986, as amended (or any successor provision
thereto), are computed in accordance with U.S. income tax principles. 
  

			
	New Oriental Education & Technology Group Inc.
	
	  

	Signature
		
	Name:	 	  

	Title:First Amended and Restated Investors' Rights Agreement, dated May 25, 2005

 Exhibit 4.5 
 First Amended and Restated Investors’ Rights Agreement 
 NEW ORIENTAL EDUCATION & TECHNOLOGY
GROUP INC. 
 FIRST AMENDED AND RESTATED 
 INVESTORS’ RIGHTS AGREEMENT 
 May 25, 2005 

 TABLE OF CONTENTS 
  

					
	 	 	 	  	Page
	1. Registration Rights	  	1
		 	1.1 Definitions	  	1
		 	1.2 Request for Registration	  	3
		 	1.3 Company Registration	  	5
		 	1.4 Form F - 3 Registration	  	6
		 	1.5 Obligations of the Company	  	8
		 	1.6 Information from Holder	  	10
		 	1.7 Expenses of Registration	  	10
		 	1.8 Delay of Registration	  	10
		 	1.9 Indemnification	  	10
		 	1.10 Reports Under the 1934 Act	  	13
		 	1.11 Assignment of Registration Rights	  	13
		 	1.12 Limitations on Subsequent Registration Rights	  	13
		 	1.13 Termination of Registration Rights	  	14
		
	2. Covenants of the Company	  	14
		 	2.1 Delivery of Financial Statements	  	14
		 	2.2 Inspection	  	15
		 	2.3 Termination of Information and Inspection Covenants	  	15
		 	2.4 Right of First Offer	  	15
		 	2.5 Employee Agreements	  	16
		 	2.6 Termination of Certain Covenants	  	17
		
	3. Miscellaneous	  	17
		 	3.1 Successors and Assigns	  	17
		 	3.2 Governing Law	  	17
		 	3.3 Counterparts	  	17
		 	3.4 Titles and Subtitles	  	17
		 	3.5 Notices	  	18
		 	3.6 Expenses	  	18
		 	3.7 Entire Agreement; Amendments and Waivers	  	18
		 	3.8 Severability	  	18
		 	3.9 Aggregation of Shares	  	18

  

			
	Schedule A	 	Investors
	Schedule B	 	Common Holders

	

  

 i 

 FIRST AMENDED AND RESTATED 
 INVESTORS’ RIGHTS AGREEMENT 
 THIS FIRST AMENDED AND RESTATED
INVESTORS’ RIGHTS AGREEMENT (the “Agreement”) is made as of the 25th day of May, 2005, by
and among New Oriental Education & Technology Group Inc., an International Business Company under the laws of the British Virgin Islands (the “Company”), the investors listed on Schedule A hereto, each of which
is herein referred to as an “Investor” and collectively as the “Investors”, and the holders of Common Shares listed on Schedule B hereto, each of which is referred to herein as a “Common
Holder” and collectively as the “Common Holders”. 
 RECITALS 
 WHEREAS, the Company and the Investors are parties to that certain New Oriental Education & Technology Group Inc. Investors’ Rights
Agreement, dated as of December 24, 2004 (the “Prior Agreement”); 
 WHEREAS, the Prior Agreement may be
amended, and any provision therein waived, with the written consent of the Company and the holders of a majority of the Registrable Securities (as such term is defined in the Prior Agreement), including a majority of the Registrable Securities held
by the Investors; 
 WHEREAS, the Investors as holders of a majority of the outstanding Registrable Securities (as such term is
defined in the Prior Agreement) desire to terminate the Prior Agreement and to accept the rights created pursuant hereto in lieu of the rights granted to them under the Prior Agreement; and 
 WHEREAS, the Investors and certain of the Common Holders are parties to the Share Purchase Agreement of even date herewith, which provides that as
a condition to the closing of the sale of Common Shares thereunder, this Agreement must be executed and delivered by the Investors, the Common Holders and the Company; 
 NOW, THEREFORE, in consideration of the mutual promises and covenants set forth herein, the Investors, the Common Holders and the Company hereby agree that the Prior Agreement shall be superseded and replaced
in its entirety by this Agreement, and the parties hereto further agree as follows: 
 1. Registration Rights. The Company covenants
and agrees as follows: 
 1.1 Definitions. For purposes of this Agreement: 
 (a) The term “Act” means the Securities Act of 1933, as amended. 
 (b) The term “Common Shares” means Common Shares of the Company. 
  

 1 

 (c) The term “Form F-3” means such form under the Act as in effect on the date
hereof or any registration form under the Act subsequently adopted by the SEC that permits inclusion or incorporation of substantial information by reference to other documents filed by the Company with the SEC. 
 (d) The term “Holder” means any person owning or having the right to acquire Registrable Securities or any assignee thereof in
accordance with Section 1.11 hereof; provided, however, that the Common Holders shall not be deemed to be Holders for the purposes of Sections 1.2(a), 1.12 and 3.7. 
 (e) The term “Initial Offering” means the Company’s first firm commitment underwritten public offering of its Common Shares where the shares are subsequently traded primarily on the Nasdaq Stock
Market’s National Market, the New York Stock Exchange or another comparable exchange or marketplace approved by the Board of Directors of the Company (the “Board of Directors”). 
 (f) The term “1934 Act” means the Securities Exchange Act of 1934, as amended. 
 (g) “Preferred Shares” means Series A Preferred Shares of the Company. 
 (h) The terms “register,” “registered,” and “registration” refer to a registration effected by
preparing and filing a registration statement or similar document in compliance with the Act, and the declaration or ordering of effectiveness of such registration statement or document. 
 (i) The term “Registrable Common Securities” means (i) Common Shares issued to the Investors and Common Holders and (ii) any
Common Shares issued as (or issuable upon the conversion or exercise of any warrant, right or other security that is issued as) a dividend or other distribution with respect to, or in exchange for, or in replacement of, the shares referenced in
(i) above, excluding in all cases, however, any Registrable Common Securities sold by a person in a transaction in which his rights under this Section 1 are not assigned; provided, however, that Registrable Common Securities shall not
include Registrable Preferred Securities. 
 (j) The term “Registrable Preferred Securities” means (i) the Preferred
Shares issued to the Investors, (ii) the Common Shares issuable or issued upon conversion of the Preferred Shares and (iii) any Common Shares issued as (or issuable upon the conversion or exercise of any warrant, right or other security
that is issued as) a dividend or other distribution with respect to, or in exchange for, or in replacement of, the shares referenced in (i) and (ii) above, excluding in all cases, however, any Registrable Preferred Securities sold by a
person in a transaction in which his rights under this Section 1 are not assigned. 
 (k) The term “Registrable
Securities” means Registrable Preferred Securities and Registrable Common Securities. 
  

 2 

 (l) The number of shares of Registrable Preferred Securities then outstanding shall be determined by the
number of Common Shares outstanding that are, and the number of Common Shares issuable pursuant to then exercisable or convertible securities that are, Registrable Preferred Securities. 
 (m) The term “Rule 144” shall mean Rule 144 under the Act. 
 (n) The term “Rule 144(k)” shall mean subsection (k) of Rule 144 under the Act. 
 (o) The term “SEC” shall mean the Securities and Exchange Commission. 
 1.2 Request for Registration. 
 (a)
Subject to the conditions of this Section 1.2, if the Company shall receive at any time after six (6) months after the effective date of the Initial Offering, a written request from the Holders of more than fifty percent (50%) of the
Registrable Preferred Securities then outstanding and held by the Investors (for purposes of this Section 1.2, the “Initiating Holders”) that the Company file a registration statement under the Act covering the registration of
Registrable Securities with anticipated aggregate proceeds in excess of $15,000,000, then the Company shall, within twenty (20) days of the receipt thereof, give written notice of such request to all Holders, and subject to the limitations of
this Section 1.2, use all commercially reasonable efforts to effect, as soon as practicable, the registration under the Act of all Registrable Securities that the Holders request to be registered in a written request received by the Company
within twenty (20) days of the mailing of the Company’s notice pursuant to this Section 1.2(a). 
 (b) If the Initiating
Holders intend to distribute the Registrable Securities covered by their request by means of an underwriting, they shall so advise the Company as a part of their request made pursuant to this Section 1.2 and the Company shall include such
information in the written notice referred to in Section 1.2(a). In such event the right of any Holder to include its Registrable Securities in such registration shall be conditioned upon such Holder’s participation in such underwriting
and the inclusion of such Holder’s Registrable Securities in the underwriting (unless otherwise mutually agreed by a majority in interest of the Initiating Holders and such Holder) to the extent provided herein. All Holders proposing to
distribute their securities through such underwriting shall enter into an underwriting agreement in customary form with the underwriter or underwriters selected for such underwriting by a majority in interest of the Initiating Holders (which
underwriter or underwriters shall be reasonably acceptable to the Company). Notwithstanding any other provision of this Agreement, if the underwriter advises the Company that marketing factors require a limitation of the number of securities
underwritten (including Registrable Securities), then the Company shall so advise all Holders of Registrable Securities that would otherwise be underwritten pursuant hereto and all Holders of Registrable Common Securities exercising rights under
Section 1.3 hereof, and the number of shares that may be included in the underwriting shall be allocated (i) first, pro rata among the selling Holders of Registrable Preferred Securities based on the number of Registrable Preferred
Securities held by all such selling Holders (or in such other proportions as shall mutually be agreed to by all such selling Holders), and (ii) second, pro rata among the selling Holders of Registrable Common Securities based on the number of
Registrable Common Securities held by all such selling Holders (or in such other proportions as shall mutually be agreed to by all such selling Holders); provided, however, that in no event shall any Registrable Preferred
Securities be excluded from such underwriting unless all other securities are first excluded. Any Registrable Securities excluded or withdrawn from such underwriting shall be withdrawn from the registration. For purposes of the second preceding
sentence concerning apportionment, for any selling shareholder that is a Holder of Registrable Securities and that is a venture capital fund, partnership or corporation, the affiliated venture capital funds, partners, retired partners and
shareholders of such Holder, or the estates and family members of any such partners and retired partners and any trusts for the benefit of any of the foregoing persons shall be deemed to be a single “selling Holder,” and any pro rata
reduction with respect to such “selling Holder” shall be based upon the aggregate amount of Registrable Securities owned by all such related entities and individuals. 
  

 3 

 (c) The Company shall not be required to effect a registration pursuant to this Section 1.2:

 (i) in any particular jurisdiction in which the Company would be required to execute a general consent to service of process in effecting
such registration, unless the Company is already subject to service in such jurisdiction and except as may be required under the Act; or 
 (ii) after the Company has effected one (1) registration pursuant to this Section 1.2, and such registration has been declared or ordered effective (and has not been subject to a “stop order” or otherwise withdrawn); or

 (iii) during the period starting with the date sixty (60) days prior to the Company’s good faith estimate of the date of the
filing of, and ending on a date one hundred eighty (180) days following the effective date of, a Company-initiated registration subject to Section 1.3 below, provided that the Company is actively employing in good faith all commercially
reasonable efforts to cause such registration statement to become effective; or 
 (iv) if the Initiating Holders propose to dispose of
Registrable Preferred Securities that may be registered on Form F-3 pursuant to Section 1.4 hereof; or 
 (v) if the Company shall
furnish to Holders requesting a registration statement pursuant to this Section 1.2, a certificate signed by the Company’s Chief Executive Officer or Chairman of the Board stating that in the good faith judgment of the Board of Directors,
it would be seriously detrimental to the Company and its shareholders for such registration statement to be effected at such time, in which event the Company shall have the right to defer such filing for a period of not more than ninety
(90) days after receipt of the request of the Initiating Holders, provided that such right shall be exercised by the Company not more than once in any twelve (12)-month period and provided further that the Company shall not register any
securities for the account of itself or any other shareholder during such ninety (90) day period (other than a registration relating solely to the sale of securities of participants in a Company stock plan, a registration relating to a
corporate reorganization or transaction under Rule 145 of the Act, a registration on any form that does not include substantially the same information as would be required to be included in a registration statement covering the sale of the
Registrable Preferred Securities, or a registration in which the only Common Shares being registered are Common Shares issuable upon conversion of debt securities that are also being registered). 
  

 4 

 1.3 Company Registration. 
 (a) If (but without any obligation to do so) the Company proposes to register (including for this purpose a registration effected by the Company for
shareholders other than the Holders) any of its stock or other securities under the Act in connection with the public offering of such securities (other than a registration relating solely to the sale of securities of participants in a Company stock
plan, a registration relating to a corporate reorganization or transaction under Rule 145 of the Act, a registration on any form that does not include substantially the same information as would be required to be included in a registration
statement covering the sale of the Registrable Securities, or a registration in which the only Common Shares being registered are Common Shares issuable upon conversion of debt securities that are also being registered), the Company shall, at such
time, promptly give each Holder written notice of such registration. Upon the written request of each Holder given within twenty (20) days after mailing of such notice by the Company in accordance with Section 3.5, the Company shall,
subject to the provisions of Section 1.3(c), use all commercially reasonable efforts to cause to be registered under the Act all of the Registrable Securities that each such Holder has requested to be registered. 
 (b) Right to Terminate Registration. The Company shall have the right to terminate or withdraw any registration initiated by it under this
Section 1.3 prior to the effectiveness of such registration whether or not any Holder has elected to include securities in such registration. The expenses of such withdrawn registration shall be borne by the Company in accordance with
Section 1.7 hereof. 
 (c) Underwriting Requirements. In connection with any offering involving an underwriting of the
Company’s shares, the Company shall not be required under this Section 1.3 to include any of the Holders’ securities in such underwriting unless they accept the terms of the underwriting as agreed upon between the Company and the
underwriters selected by it (or by other persons entitled to select the underwriters) and enter into an underwriting agreement in customary form with such underwriters, and then only in such quantity as the underwriters determine in their sole
reasonable discretion will not jeopardize the success of the offering by the Company. If the total amount of securities, including Registrable Securities, requested by shareholders to be included in such offering exceeds the amount of securities
sold other than by the Company that the underwriters determine in their sole reasonable discretion is compatible with the success of the offering, then the Company shall be required to include in the offering only that number of such securities,
including Registrable Securities, that the underwriters determine in their sole discretion will not jeopardize the success of the offering. In no event shall any Registrable Securities be excluded from such offering unless all other
shareholders’ securities are first excluded. In the event that the underwriters determine that less than all of the Registrable Securities requested to be registered can be included in such offering, then the Registrable Securities that are
included in such offering shall be apportioned (i) first, pro rata among the selling Holders of Registrable Preferred Securities based on the number of Registrable Preferred Securities held by all such selling Holders (or in such other
proportions as shall mutually be agreed to by all such selling Holders), and (ii) second, pro rata among the selling Holders of Registrable Common Securities based on the number of Registrable Common Securities held by all such selling Holders
(or in such other proportions as shall mutually be agreed to by all such selling Holders); it being understood that no Registrable Common Securities shall be included in such offering unless all Registrable Preferred Securities requested to be
registered are included in such offering. Notwithstanding the foregoing, in no event shall the amount of securities of the selling Holders included in the offering be reduced below thirty percent (30%) of the total amount of securities included
in such offering, unless such offering is the Initial Offering, in which case the selling Holders may be excluded if the underwriters make the determination described above and no other stockholder’s securities are included in such offering.
For purposes of the second preceding sentence concerning apportionment, for any selling stockholder that is a Holder of Registrable Securities and that is a venture capital fund, partnership or corporation, the affiliated venture capital funds,
partners, retired partners and stockholders of such Holder, or the estates and family members of any such partners and retired partners and any trusts for the benefit of any of the foregoing persons shall be deemed to be a single “selling
Holder,” and any pro rata reduction with respect to such “selling Holder” shall be based upon the aggregate amount of Registrable Securities owned by all such related entities and individuals. 
  

 5 

 1.4 Form F-3 Registration. In case the Company shall receive from the Holders of more than fifty
percent (50%) of the Registrable Preferred Securities or the Holders of more than thirty-five percent (35%) of the Registrable Common Securities (for purposes of this Section 1.4, the “Initiating Holders”) a written
request or requests that the Company effect a registration on Form F-3 and any related qualification or compliance with respect to all or a part of the Registrable Securities owned by such Holder or Holders, the Company shall: 
 (a) promptly give written notice of the proposed registration, and any related qualification or compliance, to all other Holders; and 
 (b) use all commercially reasonable efforts to effect, as soon as practicable, such registration and all such qualifications and compliances as may be
so requested and as would permit or facilitate the sale and distribution of all or such portion of such Holders’ Registrable Securities as are specified in such request, together with all or such portion of the Registrable Securities of any
other Holders joining in such request as are specified in a written request given within fifteen (15) days after receipt of such written notice from the Company, provided, however, that the Company shall not be obligated to effect
any such registration, qualification or compliance, pursuant to this section 1.4: 
 (i) if Form F -3 is not available for such
offering by the Holders; 
 (ii) if the Holders, together with the holders of any other securities of the Company entitled to inclusion in
such registration, propose to sell Registrable Securities and such other securities (if any) at an aggregate price to the public (net of any underwriters’ discounts or commissions) of less than $1,000,000; 
  

 6 

 (iii) if the Company shall furnish to Holders requesting a registration statement pursuant to this
Section 1.4, a certificate signed by the Company’s Chief Executive Officer or Chairman of the Board stating that in the good faith judgment of the Board of Directors, it would be seriously detrimental to the Company and its shareholders
for such registration statement to be effected at such time, in which event the Company shall have the right to defer such filing for a period of not more than ninety (90) days after receipt of the request of the Initiating Holders, provided
that such right shall be exercised by the Company not more than once in any twelve (12) month period and provided further that the Company shall not register any securities for the account of itself or any other shareholder during such ninety
(90) day period (other than a registration relating solely to the sale of securities of participants in a Company stock plan, a registration relating to a corporate reorganization or transaction under Rule 145 of the Act, a registration on
any form that does not include substantially the same information as would be required to be included in a registration statement covering the sale of the Registrable Securities, or a registration in which the only Common Shares being registered are
Common Shares issuable upon conversion of debt securities that are also being registered); 
 (iv) if the Company has, within the twelve
(12) month period preceding the date of such request, already effected two registrations on Form F-3 for the Holders pursuant to this Section 1.4; or 
 (v) in any particular jurisdiction in which the Company would be required to qualify to do business or to execute a general consent to service of process in effecting such registration, qualification or compliance
except as may be required by the Act. 
 (c) If the Initiating Holders intend to distribute the Registrable Securities covered by their
request by means of an underwriting, they shall so advise the Company as a part of their request made pursuant to this Section 1.4 and the Company shall include such information in the written notice referred to in Section 1.4(a). In such
event the right of any Holder to include its Registrable Securities in such registration shall be conditioned upon such Holder’s participation in such underwriting and the inclusion of such Holder’s Registrable Securities in the
underwriting (unless otherwise mutually agreed by a majority in interest of the Initiating Holders and such Holder) to the extent provided herein. All Holders proposing to distribute their securities through such underwriting shall enter into an
underwriting agreement in customary form with the underwriter or underwriters selected for such underwriting by a majority in interest of the Initiating Holders (which underwriter or underwriters shall be reasonably acceptable to the Company). If
the total amount of securities, including Registrable Securities, requested by the Holders to be included in such offering exceeds the amount of securities that the underwriters determine in their sole reasonable discretion is compatible with the
success of the offering, then the Company shall be required to include in the offering only that number of such securities, including Registrable Securities, that the underwriters determine in their sole discretion will not jeopardize the success of
the offering. In no event shall any Registrable Securities be excluded from such offering unless all other securities are first excluded. In the event that the underwriters determine that less than all of the Registrable Securities requested to be
registered can be included in such offering, then the Registrable Securities that are included in such offering shall be apportioned (i) first, pro rata among the selling Holders of Registrable Preferred Securities based on the number of
Registrable Preferred Securities held by all such selling Holders (or in such other proportions as shall mutually be agreed to by all such selling Holders), and (ii) second, pro rata among the selling Holders of Registrable Common Securities
based on the number of Registrable Common Securities held by all such selling Holders (or in such other proportions as shall mutually be agreed to by all such selling Holders); it being understood that no Registrable Common Securities shall be
included in such offering unless all Registrable Preferred Securities requested to be registered are included in such offering. For purposes of the preceding sentence concerning apportionment, for any selling stockholder that is a Holder of
Registrable Securities and that is a venture capital fund, partnership or corporation, the affiliated venture capital funds, partners, retired partners and stockholders of such Holder, or the estates and family members of any such partners and
retired partners and any trusts for the benefit of any of the foregoing persons shall be deemed to be a single “selling Holder,” and any pro rata reduction with respect to such “selling Holder” shall be based upon the aggregate
amount of Registrable Securities owned by all such related entities and individuals. 
  

 7 

 (d) Subject to the foregoing, the Company shall file a registration statement covering the Registrable
Securities and other securities so requested to be registered as soon as practicable after receipt of the request or requests of the Initiating Holders. Registrations effected pursuant to this Section 1.4 shall not be counted as requests for
registration effected pursuant to Sections 1.2. 
 1.5 Obligations of the Company. Whenever required under this Section 1 to
effect the registration of any Registrable Securities, the Company shall, as expeditiously as reasonably possible: 
 (a) prepare and file
with the SEC a registration statement with respect to such Registrable Securities and use all commercially reasonable efforts to cause such registration statement to become effective, and, upon the request of the Holders of a majority of the
Registrable Securities registered thereunder, keep such registration statement effective for a period of up to one hundred twenty (120) days or, if earlier, until the distribution contemplated in the Registration Statement has been completed;

 (b) prepare and file with the SEC such amendments and supplements to such registration statement and the prospectus used in connection
with such registration statement as may be necessary to comply with the provisions of the Act with respect to the disposition of all securities covered by such registration statement; 
 (c) furnish to the Holders such number of copies of a prospectus, including a preliminary prospectus, in conformity with the requirements of the Act,
and such other documents as they may reasonably request in order to facilitate the disposition of Registrable Securities owned by them; 
 (d) use all commercially reasonable efforts to register and qualify the securities covered by such registration statement under such other securities or Blue Sky laws of such jurisdictions as shall be reasonably requested by the Holders,
provided that the Company shall not be required in connection therewith or as a condition thereto to qualify to do business or to file a general consent to service of process in any such states or jurisdictions; 
  

 8 

 (e) in the event of any underwritten public offering, enter into and perform its obligations under an
underwriting agreement, in usual and customary form, with the managing underwriter of such offering; 
 (f) notify each Holder of
Registrable Securities covered by such registration statement at any time when a prospectus relating thereto is required to be delivered under the Act of the happening of any event as a result of which the prospectus included in such registration
statement, as then in effect, includes an untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances then existing;

 (g) cause all such Registrable Securities registered pursuant to this Section 1 to be listed on a national exchange or trading
system and on each securities exchange and trading system on which similar securities issued by the Company are then listed; and 
 (h)
provide a transfer agent and registrar for all Registrable Securities registered pursuant hereunder and a CUSIP number for all such Registrable Securities, in each case not later than the effective date of such registration. 
 Notwithstanding the provisions of this Section 1, the Company shall be entitled to postpone or suspend, for a reasonable period of time (provided
that such right shall be exercised by the Company not more than once in any twelve (12) month period) the filing, effectiveness or use of, or trading under, any registration statement if the Company shall determine that any such filing or the
sale of any securities pursuant to such registration statement would: 
 (i) in the good faith judgment of the Board of Directors, materially
impede, delay or interfere with any material pending or proposed financing, acquisition, corporate reorganization or other similar transaction involving the Company for which the Board of Directors has authorized negotiations; 
 (ii) in the good faith judgment of the Board of Directors, materially adversely impair the consummation of any pending or proposed material offering or
sale of any class of securities by the Company; or 
 (iii) in the good faith judgment of the Board of Directors, require disclosure of
material nonpublic information that, if disclosed at such time, would be materially harmful to the interests of the Company and its shareholders; provided, however, that during any such period all executive officers and directors of
the Company are also prohibited from selling securities of the Company (or any security of any of the Company’s subsidiaries or affiliates). 
 In the event of the suspension of effectiveness of any registration statement pursuant to this Section 1.5, the applicable time period during which such registration statement is to remain effective shall be extended by that number of
days equal to the number of days during which the effectiveness of such registration statement was suspended. 
  

 9 

 1.6 Information from Holder. It shall be a condition precedent to the obligations of the Company
to take any action pursuant to this Section 1 with respect to the Registrable Securities of any selling Holder that such Holder shall furnish to the Company such information regarding itself, the Registrable Securities held by it, and the
intended method of disposition of such securities as shall be reasonably required to effect the registration of such Holder’s Registrable Securities. 
 1.7 Expenses of Registration. All expenses other than underwriting discounts and commissions incurred in connection with registrations, filings or qualifications pursuant to Sections 1.2, 1.3 and 1.4,
including (without limitation) all registration, filing and qualification fees, printers’ and accounting fees, fees and disbursements of counsel for the Company and the reasonable fees and disbursements of one counsel for the selling Holders
shall be borne by the Company. Notwithstanding the foregoing, the Company shall not be required to pay for any expenses of any registration proceeding begun pursuant to Section 1.2 or Section 1.4 if the registration request is subsequently
withdrawn at the request of the Holders of a majority of the Registrable Securities to be registered (in which case all participating Holders shall bear such expenses pro rata based upon the number of Registrable Securities that were to be included
in the withdrawn registration), unless, in the case of a registration requested under Section 1.2, the Holders of a majority of the Registrable Preferred Securities held by the Investors agree to forfeit their right to one demand registration
pursuant to Section 1.2 and provided, however, that if at the time of such withdrawal, Holders have learned of a material adverse change in the condition, business, or prospects of the Company from that known to such Holders at
the time of their request and have withdrawn the request with reasonable promptness following disclosure by the Company of such material adverse change, then the Holders shall not be required to pay any of such expenses and shall retain their rights
pursuant to Section 1.2 or 1.4. 
 1.8 Delay of Registration. No Holder shall have any right to obtain or seek an injunction
restraining or otherwise delaying any such registration as the result of any controversy that might arise with respect to the interpretation or implementation of this Section 1. 
 1.9 Indemnification. In the event any Registrable Securities are included in a registration statement under this Section 1: 
  

 10 

 (a) To the extent permitted by law, the Company will indemnify and hold harmless each Holder, the
partners, members, officers, directors and shareholders of each Holder, legal counsel and accountants for each Holder, any underwriter (as defined in the Act) for such Holder and each person, if any, who controls such Holder or underwriter within
the meaning of the Act or the 1934 Act, against any losses, claims, damages or liabilities (joint or several) to which they may become subject under the Act, the 1934 Act, any state securities laws or any rule or regulation promulgated under the
Act, insofar as such losses, claims, damages, or liabilities (or actions in respect thereof) arise out of or are based upon any of the following statements, omissions or violations (collectively a “Violation”): (i) any untrue
statement or alleged untrue statement of a material fact contained in such registration statement, including any preliminary prospectus or final prospectus contained therein or any amendments or supplements thereto, (ii) the omission or alleged
omission to state therein a material fact required to be stated therein, or necessary to make the statements therein not misleading or (iii) any violation or alleged violation by the Company of the Act, the 1934 Act, any state securities laws
or any rule or regulation promulgated under the Act, the 1934 Act or any state securities laws, and the Company will reimburse each such Holder, underwriter, controlling person or other aforementioned person for any legal or other expenses
reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action as such expenses are incurred; provided, however, that the indemnity agreement contained in this
subsection l.9(a) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of the Company (which consent shall not be unreasonably withheld), nor shall
the Company be liable in any such case for any such loss, claim, damage, liability or action to the extent that it arises out of or is based upon a Violation that occurs in reliance upon and in conformity with written information furnished expressly
for use in connection with such registration by any such Holder, underwriter, controlling person or other aforementioned person; provided further, however, that the foregoing indemnity agreement with respect to any preliminary prospectus shall not
inure to the benefit of any Holder or underwriter or other aforementioned person, or any person controlling such Holder or underwriter, from whom the person asserting any such losses, claims, damages or liabilities purchased shares in the offering,
if a copy of the most current prospectus was not sent or given by or on behalf of such Holder or underwriter or other aforementioned person to such person, if required by law so to have been delivered, at or prior to the written confirmation of the
sale of the shares to such person, and if the prospectus (as so amended or supplemented) would have cured the defect giving rise to such loss, claim, damage or liability. 
 (b) To the extent permitted by law, each selling Holder will indemnify and hold harmless the Company, each of its directors, each of its officers who
has signed the registration statement, each person, if any, who controls the Company within the meaning of the Act, legal counsel and accountants for the Company, any underwriter, any other Holder selling securities in such registration statement
and any controlling person of any such underwriter or other Holder, against any losses, claims, damages or liabilities (joint or several) to which any of the foregoing persons may become subject, under the Act, the 1934 Act, any state securities
laws or any rule or regulation promulgated under the Act, the 1934 Act or any state securities laws, insofar as such losses, claims, damages or liabilities (or actions in respect thereto) arise out of or are based upon any Violation, in each case to
the extent (and only to the extent) that such Violation occurs in reliance upon and in conformity with written information furnished by such Holder expressly for use in connection with such registration; and each such Holder will reimburse any
person intended to be indemnified pursuant to this subsection l.9(b) for any legal or other expenses reasonably incurred by such person in connection with investigating or defending any such loss, claim, damage, liability or action as such expenses
are incurred; provided, however, that the indemnity agreement contained in this subsection l.9(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected
without the consent of the Holder (which consent shall not be unreasonably withheld), and provided that in no event shall any indemnity under this subsection l.9(b) exceed the net proceeds from the offering received by such Holder. 

 

 11 

 (c) Promptly after receipt by an indemnified party under this Section 1.9 of notice of the
commencement of any action (including any governmental action), such indemnified party will, if a claim in respect thereof is to be made against any indemnifying party under this Section 1.9, deliver to the indemnifying party a written notice
of the commencement thereof and the indemnifying party shall have the right to participate in and, to the extent the indemnifying party so desires, jointly with any other indemnifying party similarly noticed, to assume the defense thereof with
counsel mutually satisfactory to the parties; provided, however, that an indemnified party (together with all other indemnified parties that may be represented without conflict by one counsel) shall have the right to retain one
separate counsel, with the fees and expenses to be paid by the indemnifying party, if representation of such indemnified party by the counsel retained by the indemnifying party would be inappropriate due to actual or potential differing interests
(as reasonably determined by the indemnified party) between such indemnified party and any other party represented by such counsel in such proceeding. The failure to deliver written notice to the indemnifying party within a reasonable time of the
commencement of any such action, if prejudicial to its ability to defend such action, shall relieve such indemnifying party of liability to the indemnified party under this Section 1.9 to the extent of such prejudice, but the omission to so
deliver written notice to the indemnifying party will not relieve it of any liability that it may have to any indemnified party otherwise than under this Section 1.9. 
 (d) If the indemnification provided for in this Section 1.9 is held by a court of competent jurisdiction to be unavailable to an indemnified party
with respect to any loss, liability, claim, damage or expense referred to herein, then the indemnifying party, in lieu of indemnifying such indemnified party hereunder, shall contribute to the amount paid or payable by such indemnified party as a
result of such loss, liability, claim, damage or expense in such proportion as is appropriate to reflect the relative fault of the indemnifying party on the one hand and of the indemnified party on the other in connection with the statements or
omissions that resulted in such loss, liability, claim, damage or expense, as well as any other relevant equitable considerations; provided, however, that no contribution by any Holder, when combined with any amounts paid by such
Holder pursuant to Section 1.9(b), shall exceed the net proceeds from the offering received by such Holder. The relative fault of the indemnifying party and of the indemnified party shall be determined by reference to, among other things,
whether the untrue or alleged untrue statement of a material fact or the omission to state a material fact relates to information supplied by the indemnifying party or by the indemnified party and the parties’ relative intent, knowledge, access
to information, and opportunity to correct or prevent such statement or omission. 
 (e) Notwithstanding the foregoing, to the extent that
the provisions on indemnification and contribution contained in the underwriting agreement entered into in connection with the underwritten public offering are in conflict with the foregoing provisions, the provisions in the underwriting agreement
shall control. 
 (f) The obligations of the Company and Holders under this Section 1.9 shall survive the completion of any offering of
Registrable Securities in a registration statement under this Section 1, and otherwise. 
  

 12 

 1.10 Reports Under the 1934 Act . With a view to making available to the Holders the benefits of
Rule 144 and any other rule or regulation of the SEC that may at any time permit a Holder to sell securities of the Company to the public without registration or pursuant to a registration on Form F-3, the Company agrees to: 
 (a) make and keep public information available, as those terms are understood and defined in Rule 144, at all times after the effective date of the
Initial Offering; 
 (b) file with the SEC in a timely manner all reports and other documents required of the Company under the Act and the
1934 Act; and 
 (c) furnish to any Holder, so long as the Holder owns any Registrable Securities, forthwith upon request (i) a written
statement by the Company that it has complied with the reporting requirements of Rule 144 (at any time after ninety (90) days after the effective date of the first registration statement filed by the Company), the Act and the 1934 Act (at
any time after it has become subject to such reporting requirements), or that it qualifies as a registrant whose securities may be resold pursuant to Form F-3 (at any time after it so qualifies), (ii) a copy of the most recent annual or
quarterly report of the Company and such other reports and documents so filed by the Company, provided, however, that if the SEC has granted confidential treatment for any exhibits filed with any such filings, the Company need only
provide to the Holders the redacted form of such exhibits as approved by the SEC, and (iii) such other information as may be reasonably requested in availing any Holder of any rule or regulation of the SEC that permits the selling of any such
securities without registration or pursuant to such form. 
 1.11 Assignment of Registration Rights. The rights to cause the Company
to register Registrable Securities pursuant to this Section 1 may be assigned (but only with all related obligations) by a Holder to a transferee or assignee of such securities that (i) is a subsidiary, parent, member, partner, limited
partner, retired partner or shareholder of a Holder, (ii) is a Holder’s family member or trust for the benefit of an individual Holder, or (iii) after such assignment or transfer, holds at least 1,000,000 shares of Registrable
Securities (subject to appropriate adjustment for stock splits, stock dividends, combinations and other recapitalizations), provided: (a) the Company is, within a reasonable time after such transfer, furnished with written notice of the name
and address of such transferee or assignee and the securities with respect to which such registration rights are being assigned; (b) such transferee or assignee agrees in writing to be bound by and subject to the terms and conditions of this
Agreement; and (c) such assignment shall be effective only if immediately following such transfer the further disposition of such securities by the transferee or assignee is restricted under the Act. 
 1.12 Limitations on Subsequent Registration Rights. From and after the date of this Agreement, the Company shall not, without the prior written
consent of the Holders of a majority of the Registrable Preferred Securities held by the Investors, enter into any agreement with any holder or prospective holder of any securities of the Company that would allow such holder or prospective holder
(a) to include such securities in any registration filed under Section 1.2, Section 1.3 or Section 1.4 hereof, unless under the terms of such agreement, such holder or prospective holder may include such securities in any such
registration only to the extent that the inclusion of such securities will not reduce the amount of the Registrable Securities of the Holders that are included or (b) to demand registration of their securities. 
  

 13 

 1.13 Termination of Registration Rights. No Holder shall be entitled to exercise any right
provided for in this Section 1 (i) after five (5) years following the consummation of the Initial Offering or (ii) as to any Holder, such earlier time after the Initial Offering at which such Holder (a) can sell all shares
held by it in compliance with Rule 144(k) or (b) holds one percent (1%) or less of the Company’s outstanding Common Shares and all Registrable Securities held by such Holder (together with any affiliate of the Holder with whom such
Holder must aggregate its sales under Rule 144) can be sold in any nine (9) month period without registration in compliance with Rule 144. 
 2. Covenants of the Company. 
 2.1 Delivery of Financial Statements. The Company shall use best
efforts to deliver to each Investor (or transferee of an Investor): 
 (a) as soon as practicable, but in any event within one-hundred twenty
days (120) days after the end of each fiscal year of the Company, an income statement for such fiscal year, a balance sheet of the Company and statement of shareholders’ equity as of the end of such year, and a statement of cash flows for
such year, such year-end financial reports to be in reasonable detail, prepared in accordance with United States generally accepted accounting principles (“GAAP”), and audited and certified by independent public accountants of
recognized standing in the PRC and internationally selected by the Company; 
 (b) as soon as practicable, but in any event within
forty-five (45) days after the end of each of the first three (3) quarters of each fiscal year of the Company, an unaudited income statement, statement of cash flows for such fiscal quarter and an unaudited balance sheet as of the end of
such fiscal quarter. 
 (c) as soon as practicable, but in any event at least thirty (30) days prior to the end of each fiscal year, a
budget and business plan for the next fiscal year, prepared on a monthly basis, including balance sheets, income statements and statements of cash flows for such months and, as soon as prepared, any other budgets or revised budgets prepared by the
Company; 
 (d) with respect to the financial statements called for in subsection (b) of this Section 2.1, an instrument executed
by the Chief Financial Officer or President of the Company certifying that such financials were prepared in accordance with GAAP consistently applied with prior practice for earlier periods (with the exception of footnotes that may be required by
GAAP) and fairly present the financial condition of the Company and its results of operation for the period specified, subject to year-end audit adjustment; and 
 (e) such other information relating to the financial condition, business or corporate affairs of the Company as the Investors may from time to time reasonably request, provided, however, that the Company
shall not be obligated under this subsection (e) or any other subsection of Section 2.1 to provide information that it deems in good faith to be a trade secret or similar confidential information. 
  

 14 

 2.2 Inspection. The Company shall permit each Investor, at such Investor’s expense, to visit
and inspect the Company’s properties, to examine its books of account and records and to discuss the Company’s affairs, finances and accounts with its officers, all at such reasonable times as may be requested by the Investor;
provided, however, that the Company shall not be obligated pursuant to this Section 2.2 to provide access to any information that it reasonably considers to be a trade secret or similar confidential information. 
 2.3 Termination of Information and Inspection Covenants. The covenants set forth in Sections 2.1 and 2.2 shall terminate and be of no further
force or effect when the Initial Offering is consummated or when the Company first becomes subject to the periodic reporting requirements of Sections 12(g) or 15(d) of the 1934 Act, whichever event shall first occur. 
 2.4 Right of First Offer. Subject to the terms and conditions specified in this Section 2.4, the Company hereby grants to each Investor (each
a “Participating Investor”) a right of first offer with respect to future sales by the Company of its Shares (as hereinafter defined). For purposes of this Section 2.4, the term Participating Investor includes any general
partners and affiliates of an Investor. A Participating Investor shall be entitled to apportion the right of first offer hereby granted it among itself and its partners and affiliates in such proportions as it deems appropriate. 
 Each time the Company proposes to offer any shares of, or securities convertible into or exchangeable or exercisable for any shares of, any class of the
Company’s shares (“Shares”), the Company shall first make an offering of such Shares to each Participating Investor in accordance with the following provisions: 
 (a) The Company shall deliver a notice in accordance with Section 3.5 (“Notice”) to the Participating Investors stating
(i) its bona fide intention to offer such Shares, (ii) the number of such Shares to be offered, and (iii) the price and terms upon which it proposes to offer such Shares. 
 (b) By written notification received by the Company within twenty (20) calendar days after receipt of the Notice, each Participating Investor may
elect to purchase or obtain, at the price and on the terms specified in the Notice, up to that portion of such Shares that equals the proportion that the number of shares of Registrable Securities issued and held by such Participating Investor bears
to the total number of Common Shares then outstanding (assuming full conversion of the Preferred Shares and exercise of all outstanding options, warrants or other convertible securities). The Company shall promptly, in writing, inform each
Participating Investor that elects to purchase all the Shares available to it (a “Fully-Exercising Investor”) of any other Participating Investor’s failure to do likewise. During the ten (10) day period commencing after
such information is given, each Fully-Exercising Investor may elect to purchase that portion of the Shares for which Participating Investors were entitled to subscribe but which were not subscribed for by the Participating Investors that is equal to
the proportion that the number of shares of Registrable Securities issued and held by such Fully-Exercising Investor bears to the total number of Common Shares then outstanding (assuming full conversion and exercise of all convertible and
exercisable securities then outstanding). 
  

 15 

 (c) If all Shares that Investors are entitled to obtain pursuant to subsection 2.4(b) are not
elected to be obtained as provided in subsection 2.4(b) hereof, the Company may, during the ninety (90) day period following the expiration of the period provided in subsection 2.4(b) hereof, offer the remaining unsubscribed portion
of such Shares to any person or persons at a price not less than that, and upon terms no more favorable to the offeree than those, specified in the Notice. If the Company does not enter into an agreement for the sale of the Shares within such
period, or if such agreement is not consummated within sixty (60) days of the execution thereof, the right provided hereunder shall be deemed to be revived and such Shares shall not be offered unless first reoffered to the Participating
Investors in accordance herewith. 
 (d) The right of first offer in this Section 2.4 shall not be applicable to (i) the sale of
15,311,111 shares of Common Shares reserved for employees, subject to increase upon the approval of the Board (including the member of the Board that is elected by the holders of a majority of Preferred Shares); (ii) Common Shares issued
pursuant to a stock split or similar reorganization; (iii) Common Shares issued or issuable upon conversion of Preferred Shares; (iv) securities issued in connection with a bona fide business acquisition of the Company; (v) securities
issued or issuable pursuant to strategic transactions entered into for primarily non-equity financing purposed and approved by the Board or (vi) securities issued or issuable pursuant to equipment lease financings or bank credit arrangements
approved by the Board. In addition to the foregoing, the right of first offer in this Section 2.4 shall not be applicable with respect to any Participating Investor and any subsequent offering of Shares if (i) at the time of such offering,
the Participating Investor is not an “accredited investor,” as that term is then defined in Rule 501(a) of the Act and (ii) such offering of Shares is otherwise being offered only to accredited investors. 
 (e) The rights provided in this Section 2.4 may not be assigned or transferred by any Participating Investor; provided, however, that
a Participating Investor that is a venture capital fund may assign or transfer such rights to an affiliated venture capital fund and provided further, that the affiliated venture capital fund executes the necessary documents to become party
to the same agreements as those previously governing the rights and obligations of the Participating Investor. 
 (f) The covenants set
forth in this Section 2.4 shall terminate and be of no further force or effect upon the consummation of the sale of securities pursuant to a bona fide, firmly underwritten public offering of Common Shares registered under the Act. 

2.5 Employee Agreements. Unless approved by the Board of Directors, all future employees of the Company who shall purchase, or receive options
to purchase, Common Shares following the date hereof shall be required to execute stock purchase or option agreements providing for (i) vesting of shares over a three (3) year period with the first 25% of such shares vesting following
twelve (12) months of continued employment or services, and the remaining shares vesting in equal monthly installments over the following 36 months thereafter and (ii) a 180-day lockup period in connection with the Company’s initial
public offering. The Company shall retain a right of first refusal on transfers until the Initial Offering and the right to repurchase unvested shares at cost. 
  

 16 

 2.6 Proprietary Information and Inventions Agreement. The Company shall require all employees and
consultants with access to confidential information, including the members of the Board of Directors, to execute and deliver an employment agreement in substantially the form provided to the Company by TransAsia Lawyers, special counsel for the
Investors. 
 2.7 Termination of Certain Covenants. The covenants set forth in Section 2.5 shall terminate and be of no further
force or effect upon the consummation of the sale of securities pursuant to a bona fide, firmly underwritten public offering of Common Shares registered under the Act. 
 3. Miscellaneous. 
 3.1 Successors and Assigns. Except as otherwise provided herein, the terms
and conditions of this Agreement shall inure to the benefit of and be binding upon the respective successors and assigns of the parties (including transferees of any shares of Registrable Securities). Nothing in this Agreement, express or implied,
is intended to confer upon any party other than the parties hereto or their respective successors and assigns any rights, remedies, obligations, or liabilities under or by reason of this Agreement, except as expressly provided in this Agreement.

 3.2 Governing Law. This Agreement shall be governed by and construed under the laws of the State of New York as applied to
agreements among New York residents entered into and to be performed entirely within New York. Any dispute or controversy between the parties hereto involving any claim arising out of or relating to this Agreement, or the breach, termination or
invalidity thereof, will be submitted to and be settled by final and binding arbitration in accordance with the UNCITRAL Arbitration Rules as currently in effect and as such may be amended by the rest of this Section 3.2, and judgment upon the
award rendered by the arbitrators may be entered in any court having jurisdiction thereof. Such arbitration shall be administered in Hong Kong at the Hong Kong International Arbitration Centre (the “HKIAC”) in accordance with the
HKIAC Procedures for Arbitration in effect as of the date hereof, including such additions to the UNCITRAL Arbitration Rules contained therein. Such arbitration shall be conducted by three (3) arbitrators chosen by the Company and the
Investors, or failing such agreement, an arbitrator appointed by the HKIAC. The language to be used in the arbitral proceedings shall be English. 
 3.3 Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. 
 3.4 Titles and Subtitles. The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in construing
or interpreting this Agreement. 
  

 17 

 3.5 Notices. All notices and other communications given or made pursuant hereto shall be in
writing and shall be deemed effectively given: (i) upon personal delivery to the party to be notified, (ii) when sent by confirmed electronic mail or facsimile if sent during normal business hours of the recipient; if not, then on the next
business day, (iii) ten (10) days after having been sent by registered or certified mail, return receipt requested, postage prepaid, or (iv) two (2) days after deposit with a internationally recognized overnight courier,
specifying next day delivery, with written verification of receipt. All communications shall be sent to the respective parties at the addresses set forth on the signature pages attached hereto (or at such other addresses as shall be specified by
notice given in accordance with this Section 3.5). 
 3.6 Expenses. If any action at law or in equity is necessary to enforce or
interpret the terms of this Agreement, the prevailing party shall be entitled to reasonable attorneys’ fees, costs and necessary disbursements in addition to any other relief to which such party may be entitled. 
 3.7 Entire Agreement; Amendments and Waivers. This Agreement (including the Exhibits hereto, if any) constitutes the full and entire understanding
and agreement among the parties with regard to the subjects hereof and thereof. Any term of this Agreement (other than Sections 2.1, 2.2, 2.3 and 2.4) may be amended and the observance of any term of this Agreement may be waived (either generally or
in a particular instance and either retroactively or prospectively) only with the written consent of the Company and the holders of a majority of the Registrable Preferred Securities, including the written consent of the holders of a majority of the
Registrable Securities then held by the Investors. The provisions of Sections 2.1, 2.2 and 2.3 may be amended or waived (either generally or in a particular instance and either retroactively or prospectively) only with the written consent of the
Company and the holders of a majority of the Registrable Securities then held by the Investors. The provisions of Section 2.4 may be amended or waived (either generally or in a particular instance and either retroactively or prospectively) only
with the written consent of the Company and the holders of a majority of the Registrable Securities then held by Investors. Any amendment or waiver effected in accordance with this paragraph shall be binding upon each holder of any Registrable
Securities, each future holder of all such Registrable Securities, and the Company. 
 3.8 Severability. If one or more provisions of
this Agreement are held to be unenforceable under applicable law, such provision(s) shall be excluded from this Agreement and the balance of the Agreement shall be interpreted as if such provision(s) were so excluded and shall be enforceable in
accordance with its terms. 
 3.9 Aggregation of Shares. All shares of Registrable Securities held or acquired by affiliated entities
(including affiliated venture capital funds) or persons shall be aggregated together for the purpose of determining the availability of any rights under this Agreement. 
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 
  

 18 

 IN WITNESS WHEREOF, the parties have executed this First Amended and Restated Investors’ Rights
Agreement as of the date first above written. 
  

			
	COMPANY:
	
	NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.
		
	 By
	 	 /s/

	 Name:
	 	Minhong Yu
	 Title:
	 	CEO
		
	 Address:
	 	  

		 	  

 SIGNATURE PAGE TO 
 FIRST AMENDED AND RESTATED INVESTORS’ RIGHTS AGREEMENT 
 FOR NEW ORIENTAL
EDUCATION & TECHNOLOGY GROUP INC. 

			
	INVESTORS:
	
	TIGER TECHNOLOGY PRIVATE INVESTMENT PARTNERS II, L.P.
		
	By:	 	Tiger Technology PIP Performance II,
		 	L.L.C., its General Partner
		
	By:	 	 /s/

	Name:	 	Xiaohong Chen
	Title:	 	Managing Director
		
	Address:	 	Turner & Roulstone Management Ltd.
		 	Strathvale House, PO Box 2636GT
		 	George Town, Grand Cayman
		 	Cayman Island
	
	TIGER TECHNOLOGY II, L.P.
		
	By:	 	Tiger Technology Performance, L.L.C.,
		 	its General Partner
		
	By:	 	 /s/

	Name:	 	Xiaohong Chen
	Title:	 	Managing Director
		
	Address:	 	Walker House, P.O. Box 908GT
		 	George Town, Grand Cayman
		 	Cayman Islands

 SIGNATURE PAGE TO 
 FIRST AMENDED AND RESTATED INVESTORS’ RIGHTS AGREEMENT 
 FOR NEW ORIENTAL
EDUCATION & TECHNOLOGY GROUP INC. 

			
	COMMON HOLDERS:
	
	SUCCESS TYCOON LIMITED

	PEAK IDEA INTERNATIONAL LIMITED

	FORTHRIGHT TRADING LIMITED

	EASEBRIGHT INTERNATIONAL LIMITED

	TIGERSTEP DEVELOPMENTS LIMITED
	STRONG GREAT INTERNATIONAL LIMITED

	FAME GAIN INVESTMENTS LIMITED

	CHINA CENTRAL LIMITED
	
	Signed on behalf of each of the Common Holders listed above pursuant to a Power of Attorney attached hereto as Schedule C, executed by each of the Common Holders.
		
	By	 	 /s/

	Name:	 	
	Title:	 	
		
	Address:	 	
		
	Facsimile:	 	

 SIGNATURE PAGE TO 
 FIRST AMENDED AND RESTATED INVESTORS’ RIGHTS AGREEMENT 
 FOR NEW ORIENTAL
EDUCATION & TECHNOLOGY GROUP INC. 

 Schedule A 
 Investors 
 Tiger Technology Private Investment Partners II, L.P. 
 Tiger Technology II, L.P. 

 Schedule B 
 Common Holders 
 Tigerstep Developments Limited 
 Success Tycoon Limited 
 Peak Idea International Limited 
 Forthright Trading Limited 
 Easebright International Limited 
 Strong Great International Limited 
 Fame Gain Investments Limited 
 China Central Limited 

 Schedule C 
 Power of Attorney

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00109-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00109-of-00352.parquet"}]]