UPDATE: WoWo and JMU Agree to Merge, Creating the Largest Foodservice Internet Company in China

WoWo Ltd. ("WoWo" or the "Company")

, a leading e-commerce platform serving local lifestyle services merchants and consumers in China, today announced that the Company has entered into a definitive agreement with shareholders of Join Me Group (HK) Investment Company Limited ("JMU") to form a market leader in China's largest online platform for food service industry. The company after the combination will be renamed JM WOWO, headquartered in Hong Kong. Pursuant to the agreement, WoWo has agreed to issue 741,422,780 ordinary shares and pay US$30 million in cash to acquire all the issued and outstanding shares of JMU from its shareholders (the "Wowo-JMU Combination"). In addition, WoWo will also issue 72,000,000 ordinary shares of the Company to its Chairman and Chief Executive Officer, Mr. Maodong Xu at a purchase price of the equivalent of US$10 per ADS, (one American Depositary Share, or "ADS" represents 18 ordinary shares), for a total purchase price of $40 million. Upon the completion of the Wowo-JMU Combination, JMU will become a subsidiary of JM WOWO. The current shareholders of JMU will hold 50% of all the issued and outstanding shares of JM WOWO immediately after the closing of the Wowo-JMU Combination and Mr. Xu's investment. In addition, upon the completion of the two transactions, Mr. Maodong Xu will remain to be the largest shareholder of JM WOWO, holding 25.26% of all the issued and outstanding ordinary shares of JM WOWO. Mrs. Xiaoxia Zhu, the JMU's co-founder and Chairman, will hold 14.68% of all the issued and outstanding shares of JM WOWO. Mrs. Huimin Wang, JMU's co-founder, will hold 10.06% of all the issued and outstanding shares of JM WOWO. Both the Wowo-JMU Combination and Mr.Xu's cash investment are expected to close within a few days, subject to customary closing conditions.