BEIJING, Sept. 24 /Xinhua-PRNewswire/ -- Hurray! Holding Co., Ltd.
(Nasdaq: HRAY), a leader in artist development, music production, wireless
music distribution, and other wireless value-added services in China,
announced today the signing of definitive agreements to make a strategic
investment in Taiwan's Seed Music Group Limited ("Seed Music"). Seed Music
is a very well-known music production company which focuses on artist
development, music production and offline distribution of music in the Asia
Pacific, especially in China, Taiwan and Hong Kong. Its portfolio of
artists includes some of the most popular singers in the Asia Pacific, such
as Kenji Wu Ke Qun, and Guang Liang. Kenji Wu was nominated twice for the
best Chinese male singer in Taiwan respectively at the 2006 and 2007 Golden
Melody Awards.

    (Logo: http://www.newscom.com/cgi-bin/prnh/20050314/CNM005LOGO )

    As part of the agreement, Hurray! will invest a total of $2.994 million
in cash for 61.08% of Seed Music. The final consideration payable by
Hurray! and the respective ownership interests of the shareholders of Seed
Music are subject to adjustment based on the financial performance of Seed
Music following the closing of the transaction. Hurray! currently expects
the transaction to close before October 30, 2008, subject to customary
closing conditions.

    Commenting on this announcement, QD Wang, Chairman and Chief Executive
Officer of Hurray!, said, "We are very pleased to announce this strategic
investment in Seed Music, which we believe is the one of the best brand
names in the entertainment industry of Asia Pacific. We believe that Seed
Music is especially attractive because its strong market position and
comprehensive business operations enable it to attract some of the most
popular singers in the Asia Pacific."

    Mr. Wang continued, "As the music industry is in transition from
physical to digital, we expect the digital transition will continue to gain
popularity on the long-term prospects of the music industry. With this
investment and our prior acquisitions of music companies, we believe that
we are one step closer in executing our strategy to become an entertainment
content production and contribution house in China."

    "Combining Seed Music's powerful brand name and special music expertise
with Hurray!'s strong digital content production and distribution
capabilities in both music and wireless industry, we believe that this will
provide us with a solid foundation for long-term, sustainable growth,"
added Tien Dingfeng, founder and General Manager of Seed Music.

    China eCapital served as financial advisor to Hurray! in the
transaction.

    About Hurray! Holding Co., Ltd.

    Hurray! is a leader in artist development, music production and offline
distribution in China through its record labels Huayi Brothers Music,
Freeland Music, New Run Entertainment, and Secular Bird. The Company,
through Fly Songs, also organizes concerts and other music events in China.

    Hurray! is also a leading online distributor of music and music-related
products such as ringtones, ringbacktones, and truetones to mobile users in
China through the full range of wireless value-added services platforms
over mobile networks and through the internet.

    The Company also provides a wide range of other wireless value-added
services to mobile users in China, including games, pictures and animation,
community, and other media and entertainment services

    About Seed Music

    The Seed Music group of companies have a well known brand name for
music production which focuses on artist development, music production and
offline distribution of music in the Asia Pacific, especially Taiwan and
Hong Kong. Its portfolio of artists includes some of the most popular
singers in Asia Pacific, such as Kenji Wu Ke Qun, Guang Liang and Xu Ru
Yun.

    Forward-looking Statements

    This press release contains statements of a forward-looking nature.
These statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. You can identify these
forward-looking statements by terminology such as "will," "expects,"
"anticipates," "future," "intends," "plans," "believes," "estimates" and
similar statements. The accuracy of these statements may be impacted by a
number of business risks and uncertainties that could cause actual results
to differ materially from those projected or anticipated, including: the
risk that this or any future acquisition will not create the operational
and financial results that the management and board of directors of Hurray!
and Seed Music expect, including in particular the possibility that this
acquisition may not be accretive to earnings in any future period or that
Seed Music will not continue to be able to attract popular music artists in
China; the risk that Hurray! will not be able to effectively manage Seed
Music's artists or effectively utilize its library of music; the risk that
the popularity of music-related wireless value-added services will not
continue to grow or that it may decrease; the risk that this and any future
acquisition could divert management's attention from Hurray!'s operations,
which could adversely affect its results of operations; and the risks
outlined in our filings with the Securities and Exchange Commission,
including our registration statement on Form F-1. We do not undertake any
obligation to update this forward-looking information, except as required
under applicable law.



    For more information, please contact:

     Christina Low F.S.
     Investor Relations Officer
     Tel:   +86-10-8455-5566 x5532
     Email: IR@hurray.com.cn

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