MOU of the Company's subsidiary,Foxteq Holdings

Subject: To announce signing of MOU on behalf of the Company's subsidiary, Foxteq Holdings Inc.

Date of events: 2013/10/30

Contents:

1. Counterparty to the contract or commitment: NetDragon Websoft Inc. (Hong Kong Stock Exchange listing stock code : 777）, Vision Knight Capital (China) Fund I, L.P.

2. Starting and ending dates (or rescission date) of the contract or commitment: 2013/10/30

3. Major content (not applicable where rescinded):

3.1 The Company's subsidiary, Foxteq Holdings Inc., NetDragon Websoft Inc. and Vision Knight Capital (China) Fund I, L.P. have agreed to form a Join Venture in China, the percentages of initial investment are 45%, 49% and 6% respectively.

3.2 The total amount of investment of the cooperation shall be USD33,000,000 and the investment shall be paid up on or before March 15, 2014.

4. Effect on company finances and business (not applicable where rescinded): No significant impact

5. Concrete purpose/objective (not applicable where rescinded):

Based on the potential fruitful synergy will be generated from the corporation among Parties, via the join venture in China, to explore and conduct business in the online education and related application market.

6. Any other matters that need to be specified:

The total amount of the initial investment, the Parties' respective contributions and the time for paying up the initial investment are subject to changes and finalization upon the signing of the definitive documents, if any, among Parties.