-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
Originator-Key-Asymmetric:
 MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen
 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 StdF5/jIDNuWkr+OGCBHSZvMjU59KC7wDI3aP6shpL1fx0/iuptVQbqJu/pN9cby
 i6Zse0cT2PpZwq/e7Chlfw==

<SEC-DOCUMENT>0001157523-09-001164.txt : 20090212
<SEC-HEADER>0001157523-09-001164.hdr.sgml : 20090212
<ACCEPTANCE-DATETIME>20090211194432
ACCESSION NUMBER:		0001157523-09-001164
CONFORMED SUBMISSION TYPE:	6-K
PUBLIC DOCUMENT COUNT:		3
CONFORMED PERIOD OF REPORT:	20090212
FILED AS OF DATE:		20090212
DATE AS OF CHANGE:		20090211

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			Origin Agritech LTD
		CENTRAL INDEX KEY:			0001321851
		STANDARD INDUSTRIAL CLASSIFICATION:	AGRICULTURE PRODUCTION - CROPS [0100]
		IRS NUMBER:				000000000
		STATE OF INCORPORATION:			D6
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		6-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-51576
		FILM NUMBER:		09591320

	BUSINESS ADDRESS:	
		STREET 1:		NO. 21 SHENG MING YUAN ROAD
		CITY:			CHANGPING DISTRICT BEIJING
		STATE:			F4
		ZIP:			102206
		BUSINESS PHONE:		858-847-9000

	MAIL ADDRESS:	
		STREET 1:		NO. 21 SHENG MING YUAN ROAD
		CITY:			CHANGPING DISTRICT BEIJING
		STATE:			F4
		ZIP:			102206
</SEC-HEADER>
<DOCUMENT>
<TYPE>6-K
<SEQUENCE>1
<FILENAME>a5891503.htm
<DESCRIPTION>ORIGIN AGRITECH LIMITED 6-K
<TEXT>
<html>
  <head>
    <title></title>
<!--Copyright 2008 Business Wire, a Berkshire Hathaway company.-->
<!--All rights reserved www.businesswire.com-->
  </head>
  <body style="font-size: 10pt; font-family: Times New Roman">
    <p style="text-align: center">
      <font style="font-size: 18pt"><b>UNITED STATES</b></font><br><font style="font-size: 18pt"><b>SECURITIES
      AND EXCHANGE COMMISSION </b></font><br><font style="font-size: 13pt">WASHINGTON,
      D.C. 20549</font><br><br><font style="font-size: 18pt"><b>FORM 6-K </b></font><br><br><b>REPORT
      OF FOREIGN PRIVATE ISSUER </b><br><b>PURSUANT TO RULE 13a-16 OR 15d-16
      OF </b><br><b>THE SECURITIES EXCHANGE ACT OF 1934 </b><br><br><b>FOR THE
      MONTH OF FEBRUARY 2009</b><br><b>COMMISSION FILE NUMBER <u>000-51576 </u></b><br><br><font style="font-size: 18pt"><b>ORIGIN
      AGRITECH LIMITED</b></font><br>(Translation of registrant's name into
      English)<br><br><b>No. 21 Sheng Ming Yuan Road, Changping District,
      Beijing 102206</b><br>(Address of principal executive office)
    </p>
    <p>
      Indicate by check mark whether the registrant files or will file annual
      reports under cover of Form 20-F or Form 40-F.
    </p>
    <p style="text-align: center; white-space: nowrap">
      <b>Form 20-F [X] &#160;&#160;&#160;&#160;&#160;&#160;Form 40-F [&#160;&#160;&#160;]</b>
    </p>
    <p style="white-space: nowrap">
      Indicate by check mark if the registrant is submitting the Form 6-K in
      paper as permitted by Regulation S-T Rule 101(b)(1):<u>&#160;&#160;&#160;&#160;&#160;&#160;&#160;</u>
    </p>
    <p style="white-space: nowrap">
      Indicate by check mark if the registrant is submitting the Form 6-K in
      paper as permitted by Regulation S-T Rule 101(b)(7):<u>&#160;&#160;&#160;&#160;&#160;&#160;&#160;</u>
    </p>
    <p>
      Indicate by check mark whether the registrant by furnishing the
      information contained in this Form is also thereby furnishing the
      information to the Commission pursuant to Rule 12g3-2(b) under the
      Securities Exchange Act of 1934.
    </p>
    <p style="text-align: center; white-space: nowrap">
      <b>Yes [&#160;&#160;&#160;] &#160;&#160;&#160;No [X]</b>
    </p>
    <p>
      If &quot;Yes&quot; is marked, indicate below the file number assigned to the
      registrant in connection with Rule 12g3-2(b): 82-________.
    </p>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-align: center">
      <b>Second Notes Repurchase Agreement</b>
    </p>
    <p style="text-indent: 30.0px; text-align: left">
      Origin Agritech Limited (the &#8220;Company&#8221;) entered into a Second Notes
      Repurchase Agreement (the &#8220;Second Notes Repurchase Agreement&#8221;) on
      January 19, 2008 with Citadel Equity Fund Ltd. (&#8220;Citadel&#8221;) providing for
      the repurchase by the Company from Citadel of the remaining portion of
      the Company&#8217;s outstanding 1% Guaranteed Senior Secured Convertible Notes
      due 2012 (the &#8220;Notes&#8221;). The Company issued the Notes to Citadel in an
      aggregate principal amount of US$40 million under an indenture (the
      &#8220;Indenture&#8221;), dated July 25, 2007, among, <i>inter alia, </i>the
      Company, The Bank of New York Mellon (formerly known as The Bank of New
      York), as trustee, and State Harvest Holdings Limited, a subsidiary of
      the Company, as the Guarantor. See Item 6.E. in the Company&#8217;s Annual
      Report on Form 20-F for the fiscal year ended September 30, 2007.
      Pursuant to the Agreement, the Company will repurchase from Citadel the
      Notes in an aggregate principal amount of US$21.3 million for a total
      repurchase price of US$22.3 million payable in cash in two closings. At
      the first closing, the Company will repurchase US$4.7 million principal
      amount of the Notes for a repurchase price of US$5.0 million (the &#8220;First
      Closing Date&#8221;). At the second closing, the Company will repurchase the
      remaining US$16.6 million principal amount of the Notes for a repurchase
      price of US$104,000 for each principal amount of US$100,000 of such
      Notes on a date to be mutually agreed upon by the Company and Citadel
      but not later than December 31, 2009 (the &#8220;Second Closing Date&#8221;).
      Citadel will also not be entitled to any interest payable on the
      repurchased Notes in respect of any record date prior to the First
      Closing Date or the Second Closing Date, as applicable. The repurchased
      Notes will be cancelled upon their repurchase on the First Closing Date
      and the Second Closing Date, as applicable. A copy of the Company&#8217;s
      press release announcing the Notes Repurchase Agreement is included in
      this Form 6-K as Exhibit 99.1.
    </p>
    <p style="text-indent: 30.0px; text-align: left">
      In connection with the Notes repurchase, Citadel has agreed to eliminate
      conversion rights on the Notes.&#160;&#160;Also in connection with the Notes
      repurchase agreement, the Company shall not be subject to, at the end of
      any fiscal quarter thereafter, the &quot;Leverage Ratio&#8221; or &#8220;Consolidated
      Tangible Net Worth&quot;, as defined in the Indenture.&#160;&#160;In the Agreement,
      Citadel has agreed to waive all defaults or events of default or their
      consequences, if any, on the part of the Company for failure to duly
      observe and perform this covenant through and including the December 31,
      2008 fiscal quarter-end, provided that the waiver will terminate if the
      Company defaults on its obligations under the Agreement to complete the
      repurchases of the $18.7 million aggregate principal amount of the
      Notes. In addition, the Company and Citadel have agreed to eliminate
      their right to redeem the Notes upon a change of control.&#160;&#160;Citadel has
      also agreed to eliminate their right for first refusal for any future
      securities or debt offerings with respect to the Company. Citadel has
      maintained certain incurrence covenants, including but not limited to,
      the debt covenant, which restricts the amount and type of debt the
      Company will be allowed borrow until the termination of the Notes.&#160;&#160;In
      addition Citadel has also maintained an affiliate transaction covenant,
      the asset sale covenant, and the lien covenant, which also restrict
      certain transactions available to the Company until termination of the
      Notes.&#160;&#160;Included in the amended debt covenant is a carve-out clause for
      the company operational working capital which is limited to USD$30
      million.
    </p>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-indent: 30.0px; text-align: left">
      A copy of the Indenture is filed as Exhibit 2.2 to the Company&#8217;s Annual
      Report on Form 20-F for its fiscal year ended September 30, 2007 filed
      with the Securities and Exchange Commission on February 27, 2008, and a
      copy of the Notes Repurchase Agreement is included as Exhibit 99.2 to
      this Form 6-K.
    </p>
    <p>
      &#160;<u><b>Forward Looking Statements</b></u>
    </p>
    <p style="font-family: Times New Roman; text-indent: 30.0px; font-size: 10pt">
      &#160;This Form 6-K contains forward-looking statements. All forward-looking
      statements included in this Form 6-K are based on information available
      to us on the date hereof. These statements involve known and unknown
      risks, uncertainties and other factors, which may cause our actual
      results to differ materially from those implied by the forward-looking
      statements. In some cases, you can identify forward-looking statements
      by terminology such as &quot;may,&quot; &quot;will,&quot; &quot;should,&quot; &quot;could,&quot; &quot;expects,&quot;
      &quot;plans,&quot; &quot;anticipates,&quot; &quot;believes,&quot; &quot;estimates,&quot; &quot;predicts,&quot;
      &quot;potential,&quot; &quot;targets,&quot; &quot;goals,&quot; &quot;projects,&quot; &quot;continue,&quot; or variations
      of such words, similar expressions, or the negative of these terms or
      other comparable terminology. Although we believe that the expectations
      reflected in the forward-looking statements are reasonable, we cannot
      guarantee future results, levels of activity, performance or
      achievements. Therefore, actual results may differ materially and
      adversely from those expressed in any forward-looking statements.
      Neither we nor any other person can assume responsibility for the
      accuracy and completeness of forward-looking statements. Important
      factors that may cause actual results to differ from expectations
      include, but are not limited to, those risk factors discussed in
      Origin's filings with the SEC including its annual report on Form 20-F
      filed with the SEC on February 27, 2008. We undertake no obligation to
      revise or update publicly any forward-looking statements for any reason.
    </p>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-align: center">

    </p>
    <p style="text-align: center">
      <b>SIGNATURES </b>
    </p>
    <p>
      Pursuant to the requirements of the Securities Exchange Act of 1934, the
      registrant has duly caused this report to be signed on its behalf by the
      undersigned, thereunto duly authorized.
    </p>
    <div style="text-align:left">
    <table style="margin-bottom: 10.0px; font-family: Times New Roman; width: 100%; font-size: 10pt" cellspacing="0">
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: center" colspan="3">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>ORIGIN AGRITECH LIMITED</b>
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 50%">

        </td>
        <td style="width: 7%">

        </td>
        <td style="width: 43%">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 50%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 7%">
          By:
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 43%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <u>/s/ Liang Yuan</u>
          </p>
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 50%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 7%">
          Name:
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 43%">
          Liang Yuan
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 50%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 7%">
          Title:
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 43%">
          Chief Executive Officer
        </td>
      </tr>
      <tr>
        <td style="width: 50%">

        </td>
        <td style="width: 7%">

        </td>
        <td style="width: 43%">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 50%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Date: February 12, 2009
          </p>
        </td>
        <td style="width: 7%">

        </td>
        <td style="width: 43%">

        </td>
      </tr>
    </table>
    </div>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-align: left">

    </p>
    <p style="text-align: center">
      <b>EXHIBIT</b>
    </p>
    <div style="text-align:left">
    <table style="margin-bottom: 10.0px; font-family: Times New Roman; width: 100%; font-size: 10pt" cellspacing="0">
      <tr>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 15%; border-bottom: solid black 1.0pt">
          Exhibit Number
        </td>
        <td style="width: 10%">
          &#160;
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 75%; border-bottom: solid black 1.0pt">
          Description
        </td>
      </tr>
      <tr>
        <td style="width: 15%">

        </td>
        <td style="width: 10%">

        </td>
        <td style="width: 75%">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-left: 0.0px; text-align: left; padding-right: 0.0px; width: 15%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            99.1
          </p>
        </td>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 75%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Press release regarding Second Notes Purchase Agreement
          </p>
        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-left: 0.0px; text-align: left; padding-right: 0.0px; width: 15%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            99.2
          </p>
        </td>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 75%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Second Note Purchase Agreement
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p style="white-space: nowrap; margin-left: 180.0px">

    </p>
    <p style="text-align: left">

    </p>
  </body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>a5891503ex99_1.htm
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
<html>
  <head>
    <title></title>
<!--Copyright 2008 Business Wire, a Berkshire Hathaway company.-->
<!--All rights reserved www.businesswire.com-->
  </head>
  <body style="font-size: 8pt; font-family: Times New Roman">
    <p style="text-align: right">
      <b>Exhibit 99.1</b>
    </p>
    <p style="text-align: center">
      <font style="font-family: Times New Roman; font-size: 12pt"><b>Origin
      Agritech Limited Announces Second Notes Repurchase Agreement</b></font>
    </p>
    <p>
      BEIJING--(BUSINESS WIRE)--February 9, 2009--<b>Origin Agritech Limited
      (NASDAQ: SEED) (&#8220;Origin&#8221; or the &#8220;Company&#8221;)</b>
      today announced that it entered into a Second Notes Repurchase Agreement
      (the &#8220;Second Notes Repurchase Agreement&#8221;) with Citadel Equity Fund Ltd.
      (&#8220;Citadel&#8221;) providing for the repurchase and redemption by the Company
      of the remaining portion of the Company&#8217;s outstanding 1% Guaranteed
      Senior Secured Convertible Notes due 2012 (the &#8220;Notes&#8221;).
    </p>
    <p>
      The Company issued the Notes to Citadel in an aggregate principal amount
      of US$40 million, and repurchased $18.7 million in principal of those
      Notes pursuant to a Notes Repurchase Agreement dated July 28, 2008.
      Pursuant to the Second Notes Repurchase Agreement, the Company will
      repurchase from Citadel a portion of the Notes in an aggregate principal
      amount of $4.7 million immediately for a repurchase price of $5.0
      million, and will enter into a supplemental indenture to amend the
      maturity date for the remaining $16.6 million of the Notes to the end of
      2009 for a repurchase price of US$104,000 for each principal amount of
      US$100,000 of such Notes. Notes repurchased under the Second Notes
      Repurchase Agreement will be cancelled.
    </p>
    <p>
      In connection with the Notes repurchase, Citadel has agreed to eliminate
      conversion rights on the Notes. Investors should refer to the Form 6-K
      furnished by the Company to the Securities and Exchange Commission today
      for additional information regarding the Notes repurchase transaction
      and the Company's compliance with the covenants contained in the Notes
      indenture. A copy of the Second Notes Repurchase Agreement is included
      as an exhibit to the Form 6-K, and a copy of the Notes indenture is
      filed as an exhibit to the Company&#8217;s Annual Report on Form 20-F for its
      fiscal year ended September 30, 2007 filed with the Securities and
      Exchange Commission.
    </p>
    <p>
      This Notes repurchase provides the Company with the opportunity to
      eliminate expensive debt on its balance sheet, receive favorable
      financial terms and limit company liability going forward in light of
      the current global capital market conditions, and provide the company
      with significant flexibility for future growth and capital opportunities.
    </p>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <u><b>About Origin</b></u>
    </p>
    <p>
      Founded in 1997 and headquartered in Beijing, Origin Agritech Limited
      (NASDAQ: SEED) is one of China&#8217;s leading, vertically-integrated
      agricultural technology company specializing in agri-biotech research,
      development and production to supply the growing populations of China.
      Origin develops, grows, processes, and markets crop seeds to farmers
      throughout China and parts of Southeast Asia via a network of
      approximately 3,800 first-level distributors and 65,000 second-level
      distributors and retailers. The hybrid seed industry is estimated at
      US$2 billion and that is expected to double by 2010. The Company
      currently operates facilities in 30 of China&#8217;s 32 provinces as well as
      Beijing. Since Origin launched its first entirely internally developed
      seed in 2003, the Company has developed and commercialized an internally
      developed proprietary seed portfolio of twelve corn hybrids, twelve rice
      hybrids and two canola hybrids as of 2007. For further information,
      please log on <u>www.originagritech.com</u>.
    </p>
    <p>
      <u><b>Forward Looking Statement</b></u>
    </p>
    <p>
      This release contains forward-looking statements. All forward-looking
      statements included in this release are based on information available
      to us on the date hereof. These statements involve known and unknown
      risks, uncertainties and other factors, which may cause our actual
      results to differ materially from those implied by the forward-looking
      statements. In some cases, you can identify forward-looking statements
      by terminology such as &quot;may,&quot; &quot;will,&quot; &quot;should,&quot; &quot;could,&quot; &quot;expects,&quot;
      &quot;plans,&quot; &quot;anticipates,&quot; &quot;believes,&quot; &quot;estimates,&quot; &quot;predicts,&quot;
      &quot;potential,&quot; &quot;targets,&quot; &quot;goals,&quot; &quot;projects,&quot; &quot;continue,&quot; or variations
      of such words, similar expressions, or the negative of these terms or
      other comparable terminology. Although we believe that the expectations
      reflected in the forward-looking statements are reasonable, we cannot
      guarantee future results, levels of activity, performance or
      achievements. Therefore, actual results may differ materially and
      adversely from those expressed in any forward-looking statements.
      Neither we nor any other person can assume responsibility for the
      accuracy and completeness of forward-looking statements. Important
      factors that may cause actual results to differ from expectations
      include, but are not limited to, those risk factors discussed in
      Origin's filings with the SEC including its annual report on Form 20-F
      filed with the SEC on February 27, 2008. We undertake no obligation to
      revise or update publicly any forward-looking statements for any reason.
    </p>
    <p>

    </p>
    <p>
      CONTACT:<br>Origin Agritech Limited<br>Irving Kau, 949-726-8101 or
      011-86-10-8108-0243<br>Vice President, Finance<br><u>Irving.kau@originseed.com.cn</u>
    </p>
    <p>

    </p>
  </body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.2
<SEQUENCE>3
<FILENAME>a5891503ex99_2.htm
<DESCRIPTION>EXHIBIT 99.2
<TEXT>
<html>
  <head>
    <title></title>
<!--Copyright 2008 Business Wire, a Berkshire Hathaway company.-->
<!--All rights reserved www.businesswire.com-->
  </head>
  <body style="font-size: 8pt; font-family: Times New Roman">
    <p style="text-align: right">
      <b>Exhibit 99.2</b>
    </p>
    <p style="text-align: right">
      <b>EXECUTION COPY</b>
    </p>
    <p style="text-align: center">
      <br>
      <b>SECOND NOTES REPURCHASE AGREEMENT</b>
    </p>
    <p style="text-align: justify">
      &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;This SECOND NOTES REPURCHASE AGREEMENT (this &#8220;<u>Agreement</u>&#8221;)
      dated as of January 19, 2009 is made by and between Origin Agritech
      Ltd., a company organized and existing under the laws of the British
      Virgin Islands (the &#8220;<u>Company</u>&#8221;) and Citadel Equity Fund Ltd.
      (the &#8220;<u>Seller</u>&#8221;).
    </p>
    <p style="text-align: center">
      <b>RECITALS:</b>
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      <b>WHEREAS,</b> the Company has issued to the Seller, and the Seller has
      purchased from the Company, the Company&#8217;s 1% Guaranteed Senior Secured
      Convertible Notes due 2012 of US$100,000 principal amount each in an
      aggregate principal amount of US$40,000,000 (the &#8220;<u>Notes</u>&#8221;)
      pursuant to that certain Notes Purchase Agreement dated July 25, 2007 by
      and among, <i>inter alia</i>, the Company and the Seller.
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      <b>WHEREAS,</b> in connection with such transaction, an Indenture dated
      July 25, 2007 (the &#8220;<u>Indenture</u>&#8221;) was entered into by and
      among, <i>inter alia</i>, the Company, The Bank of New York (the &#8220;<u>Trustee</u>&#8221;)
      and State Harvest Holdings Limited (the &#8220;<u>Guarantor</u>&#8221;) and an
      Investor Rights Agreement dated July 25, 2007 (the &#8220;<u>IRA</u>&#8221;)
      was entered into by and among, <i>inter alia</i>, the Company and the
      Seller.&#160;&#160;Capitalized terms that are not otherwise defined in this
      Agreement shall have the meanings ascribed to them in the Indenture or
      other relevant Transaction Documents, as applicable.
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      <b>WHEREAS,</b> The Company and the Seller entered into that certain
      Notes Repurchase Agreement dated July 28, 2008 (the &#8220;<u>1st NRA</u>&#8221;),
      pursuant to which the Company has agreed to repurchase from the Seller,
      and the Seller has agreed to sell to the Company, Notes each of
      US$100,000 principal amount in an aggregate principal amount of
      US$18,700,000.&#160;&#160;Upon completion of the transactions contemplated under
      the 1st NRA, the Company shall have in the aggregate US$21,300,000 Notes
      issued and outstanding as of the date of this Agreement.
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      <b>WHEREAS, </b>the Company now wishes to repurchase from the Seller,
      and the Seller wishes to sell to the Company, Notes, each of US$100,000
      principal amount, in an aggregate principal amount of US$4,700,000 (the &#8220;<u>Repurchased
      Notes</u>&#8221;) upon the terms and conditions set forth in this Agreement.
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      <b>WHEREAS,</b> the Company and the Seller also wish to amend and
      supplement the Indenture pursuant to the provisions set forth herein.
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      <b>NOW THEREFORE,</b> in consideration of the foregoing and the mutual
      promises, covenants and agreements of the parties contained herein, the
      parties hereto agree as follows:
    </p>
    <p>
      <b>1.&#160;&#160;NOTES REPURCHASE; PAYMENT</b>
    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      1.1&#160;&#160;Repurchase and Sale of the Repurchased Notes.&#160;&#160;At the closing (the &#8220;<u>Closing</u>&#8221;),
      the Company shall repurchase the Repurchased Notes from the Seller and
      the Seller shall sell to the Company the Repurchased Notes for an
      aggregate purchase price of US$5,000,000 (the &#8220;<u>Repurchase Price</u>&#8221;).&#160;&#160;Notwithstanding
      any terms of this Agreement, the Seller shall be entitled to all rights
      and privileges in respect of the Repurchased Notes as a noteholder up to
      the Closing Date (as defined below), except that the right to receive
      any Interest and Additional Interest payable on the Repurchased Notes in
      respect of any Record Date prior to the Closing Date is waived.&#160;&#160;&#160;For
      the avoidance of doubt, except as provided in the preceding sentence,
      the Seller shall not be entitled to any accrued and unpaid Interest on
      the Repurchased Notes.
    </p>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-align: justify">

    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      1.2&#160;&#160;Closing.&#160;&#160;The Closing shall occur at the Beijing office of Milbank,
      Tweed, Hadley &amp; McCloy LLP, or at such other place as the Company and
      the Seller shall mutually agree, on February 13, 2009 or such earlier
      date which falls 1 business day after the date on which the relevant
      subsidiary of the Company has received approval from PRC SAFE to
      transfer an amount of funds to the Company at least equal to the
      Repurchase Price hereunder, or such other earlier date as the parties
      mutually agree (the &#8220;Closing Date&#8221;).&#160;&#160;At the Closing, the Company shall
      pay to the Seller US$5,000,000 for Repurchased Notes in an aggregate
      principal amount of US$4,700,000 by wire transfer of immediately
      available funds to an account of the Seller which shall be designated by
      the Seller in writing at least two (2) days prior to the Closing.&#160;&#160;&#160;&#160;
    </p>
    <p style="text-indent: 60.0px; text-align: justify">
      (a)&#160;&#160;Cancellation of Notes. On the Closing Date, the Seller shall,
      against the payment of the relevant portion of the Repurchase Price by
      the Company, surrender to the Trustee the respective Repurchased Notes
      through book-entry instruction for the prompt cancellation of such
      Repurchased Notes by the Trustee pursuant to Section 2.08 of the
      Indenture. The Company and the Seller hereby agree to take all actions
      necessary and proper in order for the Trustee to promptly cancel such
      Repurchased Notes pursuant to this Agreement and the terms of the
      Indenture.
    </p>
    <p style="text-indent: 60.0px; text-align: justify">
      (b)&#160;&#160;Termination; Delayed Closing.&#160;&#160;If the Company fails for any reason,
      other than due to the non-fulfillment of the conditions set forth in
      Section 8, to pay to the Seller the amount of the Repurchase Price due
      pursuant to this Clause 1.2 on or prior to the Closing Date, the Seller
      shall be entitled to terminate this Agreement in respect of the
      Repurchased Notes not yet repurchased (&#8220;<u>Outstanding Notes</u>&#8221;)
      under Clause 2 of this Agreement with immediate effect by (1) giving
      written notice thereof to the Company or (2) selling the Outstanding
      Notes in good faith and on an arm&#8217;s-length basis to an unrelated third
      party (without the need for any notice of such to the Company) at a
      price not less than fair market value.&#160;&#160;Until this Agreement is
      terminated in accordance with either method set forth in the preceding
      sentence, upon any repurchase of Outstanding Notes on a subsequent date,
      the Company shall pay to the Seller an amount equal to the sum of (i)
      the Repurchase Price in respect of Outstanding Notes pursuant to this
      Clause 1.2 and (ii) interest thereon at the rate of LIBOR plus three
      percent (3%) per annum to be calculated on the basis of a 360-day year
      and the days elapsed from the Closing Date to such date when payment of
      such sum is actually received in full by the Seller.
    </p>
    <p>
      <b>2.&#160;&#160;TERMINATION</b>
    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      2.1&#160;&#160;Effect of Termination.&#160;&#160;If this Agreement is terminated pursuant to
      the preceding Clause 1.2(b), this Agreement shall forthwith become null
      and void, and there shall be no liability or obligation on the part of
      the parties (or any of their respective officers, directors, employees,
      agents or other representatives or affiliates) under this Agreement or
      in connection with the transactions contemplated hereby, except that
      termination shall not relieve any breaching party from liability
      hereunder from willful breach of any covenant or agreement contained
      herein, and except that the provisions of this Agreement other than
      Clauses 1 and 3, including, without limitation, Clauses 2, 4 and 5,
      shall continue to apply following any such termination.&#160;&#160;Failure by the
      Company to pay any amount hereunder shall not be deemed a &#8220;willful
      breach&#8221; as such term is employed in the previous sentence.
    </p>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="font-family: Times New Roman; text-align: center; font-size: 8pt">
          - 2 -
        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-indent: 30.0px; text-align: justify">

    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      2.2&#160;&#160;Sale to Third Party.&#160;&#160;If this Agreement is terminated pursuant to
      the preceding Clause 1.2(b), the Company shall pay to the Seller on the
      Third Party Sale Date (as defined below) an amount equal to the sum of
      (i) interest on the Repurchase Price in respect of the Outstanding Notes
      at the rate of LIBOR plus three percent (3%) per annum to be calculated
      on the basis of a 360-day year and the days elapsed from the Closing
      Date to such date on which the Seller sells in good faith and on an
      arm&#8217;s-length basis the Outstanding Notes to an unrelated third party at
      a price not less than fair market value (the &#8220;<u>Third Party Sale
      Date</u>&#8221;) and (ii) the balance between the Repurchase Price in respect
      of the Outstanding Notes and the sales price of the Outstanding Notes to
      such third party (the &#8220;Third Party Sales Price&#8221;) in the event that the
      Third Party Sales Price is lower than the Repurchase Price in respect of
      the Outstanding Notes.
    </p>
    <p>
      <b>3.&#160;&#160;WAIVER AND FORBEARANCE</b>
    </p>
    <p style="text-indent: 30.0px">
      3.1&#160;&#160;Waiver. The Seller hereby waives, pursuant to Section 6.07 of the
      Indenture, all Defaults, Events of Defaults and their consequences, if
      any, on the part of the Company and the Guarantor for failure to duly
      observe and perform covenants set forth in Sections 4.09(b) of the
      Indenture in respect of the determination dates on September 30, 2008
      and December 31, 2008 only and any failure to duly observe and perform
      covenants set forth in Section 4.29 of the Indenture in respect of such
      matters for the fiscal year ended September 30, 2008 (collectively, the &#8220;<u>Waived
      Matters</u>&#8221;),&#160;&#160;<i>provided</i>, that this waiver shall
      terminate, and be deemed to have never taken effect, if the Company
      defaults in its obligations to complete the repurchase of the
      Repurchased Notes at the Closing.&#160;&#160;&#160;
    </p>
    <p style="text-indent: 30.0px">
      3.2&#160;&#160;Forbearance.&#160;&#160;Pursuant to Section 6.07 of the Indenture, the Seller
      hereby agrees to forbear, and directs the Trustee to forbear, from
      taking or exercising any Enforcement Action (as defined below) in
      connection with the Waived Matters (the &#8220;<u>Forbearance</u>&#8221;), <i>provided</i>
      that this Section 3.2 shall terminate if the waiver is terminated as
      provided in 3.1 above.&#160;&#160;&#8220;Enforcement Action&#8221; means any Default-related
      right, remedy or other action available to the Seller or the Trustee or
      aiding and abetting, assisting, cooperating with or otherwise supporting
      any other Person in taking or exercising any Default-related right,
      remedy or other action available to such Person.&#160;&#160;
    </p>
    <p>
      <b>4.&#160;&#160;SUPPLEMENTAL INDENTURE AND AMENDMENTS TO IRA</b>
    </p>
    <p style="text-indent: 30.0px">
      4.1&#160;&#160;Supplemental Indenture.&#160;&#160;&#160;Pursuant to Section 6.07 and Section 8.02
      of the Indenture, the Company and the Seller hereby direct the Trustee
      to execute and deliver, and the Seller consents to the execution and
      delivery of, a supplement to the Indenture (the &#8220;<u>Supplemental
      Indenture</u>&#8221;) immediately following the Closing to:
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      &#160;(a)&#160;&#160;delete Sections 4.09(b), 4.16, 4.17, 4.25, 4.30 and Article 14 of
      the Indenture in its entirety;
    </p>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="font-family: Times New Roman; text-align: center; font-size: 8pt">
          - 3 -
        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-indent: 60.0px; text-align: left">

    </p>
    <p style="text-indent: 60.0px; text-align: left">
      &#160;(b)&#160;&#160;amend Section 4.09(c) of the Indenture to read, in its entirety,
      as follows:
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      &#8220;(c)&#160;&#160;&#160;&#160;&#160;&#160;The Company shall not, and shall not permit any of its
      Subsidiaries to, Incur, directly or indirectly any Debt (save for Credit
      Facilities taken directly for working capital needs that shall in the
      aggregate not exceed US$30,000,000) unless the proceeds therefrom shall
      be used to simultaneously redeem, to the fullest extent possible, all
      outstanding Notes held by the Seller at the Repurchase Amount in respect
      of such Notes and to satisfy other amounts due to the Seller under or in
      connection with the Notes Repurchase Agreements dated July 28, 2008
      between the Company and the Seller, the Second Notes Repurchase
      Agreement dated January 19, 2009 between the Company and the Seller, and
      the Indenture, as amended or supplemented from time to time.&#160;&#160;Accrual of
      interest, accretion or amortization of original issue discount and the
      payment of interest or dividends in the form of additional Debt, will be
      deemed not to be an Incurrence of Debt for purposes of this Section.&#8221;;
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      &#160;(c)&#160;&#160;amend Section 3.01 of the Indenture to read, in its entirety, as
      follows:
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      &#8220;Section 3.01.&#160;&#160;&#160;&#160;&#160;&#160;<u>Redemption at
      Maturity</u>.
    </p>
    <p style="text-indent: 30.0px; text-align: left">
      Unless previously redeemed or converted or purchased and cancelled in
      accordance with this Indenture, the Company shall redeem any and all
      outstanding Notes on December 31, 2009 at a price of US$104,000 for each
      principal amount of US$100,000 of such Notes.&#160;&#160;Interest and Additional
      Interest shall not accrue nor be payable on the outstanding Notes from
      and after the Closing Date.&#160;&#160;Interest and Additional Interest accrued as
      of the Closing Date is waived subject to Section 6.01.
    </p>
    <p style="text-indent: 30.0px; text-align: left">
      The Notes may be voluntarily redeemed at the election of the Company, in
      whole or in part prior to December 31, 2009 at a price of US$104,000 for
      each principal amount of US$100,000 of such Notes.&#8221;
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      &#160;(d)&#160;&#160;amend Section 6.01 of the Indenture by adding, after paragraph
      (q), an additional paragraph (r) to read, in its entirety, as follows:
    </p>
    <p style="text-indent: 30.0px; text-align: left">
      &#8220;(r)&#160;&#160;&#160;&#160;&#160;&#160;failure by the Company or any Affiliate (if applicable) to
      observe any provisions or perform any obligations either under the Notes
      Repurchase Agreements dated July 28, 2008 between the Company and the
      Seller or under the Second Notes Repurchase Agreement dated January 19,
      2009 between the Company and the Seller;&#8221; and
    </p>
    <p style="text-indent: 60.0px; text-align: left">
      &#160;(e)&#160;&#160;&#160;&#160;&#160;&#160;&#160;replace every instance of Redemption Price in the Indenture
      and Other Transaction Documents with &#8220;Modified Repurchase Price,&#8221; which
      shall be defined as 104% of the principal amount of the Note being
      redeemed.
    </p>
    <p style="text-indent: 30.0px; text-align: left">
      4.2&#160;&#160;Amendments to IRA.&#160;&#160;Pursuant to Section 7.4 of the IRA, the Company
      and the Seller hereby amend the IRA in writing with immediate force and
      effect from the Closing Date to delete Clauses 3, 4 and 6 of the IRA in
      their entirety.
    </p>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="font-family: Times New Roman; text-align: center; font-size: 8pt">
          - 4 -
        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-indent: 30.0px; text-align: left">

    </p>
    <p style="text-indent: 30.0px; text-align: left">
      4.3&#160;&#160;The Registration Rights Agreement and the obligations, rights and
      restrictions thereunder and in connection therewith on all of the
      parties thereto are cancelled as of the Closing Date.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </p>
    <p>
      <b>5.&#160;&#160;FURTHER ACTIONS</b>
    </p>
    <p style="text-indent: 30.0px">
      5.1&#160;&#160;As soon as practicable after the date hereof, the Seller shall
      execute and deliver to the Trustee the consent letter attached hereto as
      Exhibit A (the &#8220;<u>Consent Letter</u>&#8221;).&#160;&#160;The Seller further
      agrees to execute and deliver such documents as may be necessary or
      appropriate, and to take all such further action, to facilitate or
      consummate the transactions as contemplated by this Agreement (including
      the execution and delivery of the Supplemental Indenture).
    </p>
    <p style="text-indent: 30.0px">
      5.2&#160;&#160;As soon as practicable after the date hereof, the Company shall
      execute and deliver all such documents to be provided by the Company as
      required by Section 8.05 of the Indenture for the Trustee to enter into
      the Supplemental Indenture.&#160;&#160;The Company further agrees to execute and
      deliver such documents as may be necessary or appropriate, and to take
      all such further action, to facilitate or consummate the transactions as
      contemplated by this Agreement, including the execution and delivery of
      the Supplemental Indenture.
    </p>
    <p>
      <b>6.&#160;&#160;SELLER&#8217;S REPRESENTATIONS AND WARRANTIES</b>
    </p>
    <p style="text-indent: 30.0px">
      6.1&#160;&#160;Seller&#8217;s Authority.&#160;&#160;The Seller is the beneficial owner of all the
      Repurchased Notes, and has all requisite right, power and authority to
      enter into this Agreement and to consummate the transactions
      contemplated hereby. This Agreement has been duly executed and delivered
      by the Seller and constitutes the legal, valid and binding obligation of
      the Seller, enforceable against the Seller in accordance with its terms.
    </p>
    <p style="text-indent: 30.0px">
      6.2&#160;&#160;Title to the Repurchased Notes.&#160;&#160;The Seller represents and warrants
      to, and agrees with, the Company that it is and as of the Closing Date
      will be the beneficial owner of the Repurchased Notes, free and clear of
      any encumbrances, including, without limitation, any charge, claim,
      condition, equitable interest, lien, option, pledge, security interest,
      right of first refusal, or restriction of any kind, including any
      restriction on use, voting, transfer, receipt of income, or exercise of
      any other attribute of ownership.
    </p>
    <p>
      <b>7.&#160;&#160;COMPANY&#8217;S REPRESENTATIONS AND WARRANTIES</b>
    </p>
    <p style="text-indent: 30.0px">
      7.1&#160;&#160;Company&#8217;s Authority.&#160;&#160;The Company has all requisite corporate
      right, power and authority to enter into this Agreement and to
      consummate the transactions contemplated hereby. This Agreement has been
      duly executed and delivered by the Company and constitutes the legal,
      valid and binding obligation of the Company, enforceable against the
      Company in accordance with its terms.
    </p>
    <p style="text-indent: 30.0px">
      7.2&#160;&#160;No insolvency.&#160;&#160;The Company has taken no action, and no steps have
      been taken or legal proceedings started or threatened against it for an
      administration, winding-up, examinership, interim or bankruptcy order to
      be made against it or for its dissolution or reorganization or for the
      appointment of a receiver, administrative receiver, examiner,
      supervisor, trustee or similar officer over, or for the taking into
      possession or enforcement of security by an encumbrancer, mortgagee or
      chargee in respect of, all or any part of its assets, undertaking or
      revenues. The Company is not insolvent and is able to pay its debts as
      and when they become due.
    </p>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="font-family: Times New Roman; text-align: center; font-size: 8pt">
          - 5 -
        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>

    </p>
    <p>
      <b>8.&#160;&#160;CONDITIONS PRECEDENT TO THE COMPANY&#8217;S OBLIGATION TO CLOSE</b>
    </p>
    <p style="text-indent: 30.0px">
      8.1&#160;&#160;The Company&#8217;s obligation to repurchase the Repurchased Notes and to
      take the other actions required to be taken by the Company is subject to
      the satisfaction, or waiver, of the following conditions:
    </p>
    <p style="text-indent: 60.0px">
      (a)&#160;&#160;Accuracy of Representations and Warranties.&#160;&#160;The Seller&#8217;s
      representations and warranties in Section 6 shall be accurate as of the
      date of this Agreement, and shall be accurate as of the Closing Date as
      if made on the date thereof.
    </p>
    <p style="text-indent: 60.0px">
      (b)&#160;&#160;Performance.&#160;&#160;The Seller shall have duly performed and complied
      with all of the obligations that the Seller is required to perform or to
      comply with pursuant to this Agreement on or prior to the Closing.
    </p>
    <p>
      <b>9.&#160;&#160;CONDITIONS PRECEDENT TO THE SELLER&#8217;S OBLIGATION TO CLOSE</b>
    </p>
    <p style="text-indent: 30.0px">
      9.1&#160;&#160;The Seller&#8217;s obligation to sell the Repurchased Notes and to take
      the other actions required to be taken by the Seller is subject to the
      satisfaction, or waiver, of the following conditions:
    </p>
    <p style="text-indent: 60.0px">
      (a)&#160;&#160;Accuracy of Representations and Warranties.&#160;&#160;The Company&#8217;s
      representations and warranties in Section 7 shall be accurate as of the
      date of this Agreement, and shall be accurate as of the Closing Date as
      if made on the date thereof.
    </p>
    <p style="text-indent: 60.0px">
      (b)&#160;&#160;Performance.&#160;&#160;The Company shall have duly performed and complied
      with all of the obligations that the Company is required to perform or
      to comply with pursuant to this Agreement on or prior to the Closing
      Date.
    </p>
    <p>
      <b>10.&#160;&#160;MISCELLANEOUS</b>
    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      10.1&#160;&#160;Governing Law.&#160;&#160;This Agreement shall be governed by and construed
      exclusively in according with the laws of the State of New York without
      giving effect to any choice of law rule that would cause the application
      of the laws of any jurisdiction other than the laws of the State of New
      York to the rights and duties of the parties hereunder.
    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      10.2&#160;&#160;Entire Agreement<b>.</b>&#160;&#160;This Agreement constitutes the
      entire agreement between the parties hereto relating to the subject
      matter hereof and supersedes all prior agreements or understandings,
      both oral and written, between the parties hereto relating to the
      subject matter hereof.
    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      10.3&#160;&#160;Binding Effect; Benefit<b>.&#160;&#160;</b>This
      Agreement shall inure to the benefit of and be binding upon the parties
      and their respective heirs, successors, legal representatives and
      permitted assigns.&#160;&#160;Nothing in this Agreement, expressed or implied, is
      intended to confer on any person other than the parties, and their
      respective heirs, successors, legal representatives and permitted
      assigns, any rights, remedies, obligations or liabilities under or by
      reason of this Agreement.
    </p>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="font-family: Times New Roman; text-align: center; font-size: 8pt">
          - 6 -
        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-align: justify">

    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      10.4&#160;&#160;Assignment<b>.&#160;&#160;</b>No party may assign,
      delegate or otherwise transfer any of its rights or obligations under
      this Agreement without the written consent of the other party.
    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      10.5&#160;&#160;Amendment; Waiver.
    </p>
    <p style="text-indent: 60.0px; text-align: justify">
      (a)&#160;&#160;&#160;&#160;&#160;&#160;&#160;This Agreement may not be amended, modified or supplemented
      except by a written instrument executed by each of the parties.
    </p>
    <p style="text-indent: 60.0px; text-align: justify">
      (b)&#160;&#160;&#160;&#160;&#160;&#160;&#160;No waiver of any provision of this Agreement shall be
      effective unless set forth in a written instrument signed by the party
      waiving such provision.&#160;&#160;No failure or delay by a party in exercising
      any right, power or privilege hereunder shall operate as a waiver
      thereof, nor shall any single or partial exercise of the same preclude
      any other or further exercise thereof or the exercise of any other
      right, power or privilege.&#160;&#160;Without limiting the foregoing, no waiver by
      a party of any breach by any other party of any provision hereof shall
      be deemed to be a waiver of any subsequent breach of that or any other
      provision hereof.&#160;&#160;The rights and remedies herein provided shall be
      cumulative and not exclusive of any rights or remedies provided by law.
    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      10.6&#160;&#160;Notices<b>.&#160;&#160;</b>Each notice, demand or other
      communication under this Agreement shall be in writing and delivered or
      sent to the relevant party at its address or fax number set out below
      (or such other address or fax number as the addressee has by five (5)
      days&#8217; prior written notice specified to the other party).&#160;&#160;Any notice,
      demand or other communication so addressed to the relevant party shall
      be deemed to have been delivered (a) if delivered in person or by
      messenger, when proof of delivery is obtained by the delivering party;
      (b) if sent by post within the same country, on the third (3<sup>rd</sup>)
      day following posting, and if sent by post to another country, on the
      fifth (5<sup>th</sup>) day following posting, and (c) if given or made
      by fax, upon dispatch and the receipt of a transmission report
      confirming dispatch.&#160;&#160;The initial address and facsimile for the parties
      for the purposes of this Agreement are:
    </p>
    <div style="text-align:left">
    <table style="margin-bottom: 10.0px; font-family: Times New Roman; width: 100%; font-size: 8pt" cellspacing="0">
      <tr>
        <td style="width: 10%">
          &#160;
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">
          (a)
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          if to the Company, to:
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td style="width: 5%">

        </td>
        <td style="width: 85%">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          Origin Agritech Ltd.
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          No. 21 Sheng Ming Yuan Road
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          Changping District
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          Beijing 102206
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          PRC
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          Fax: +86 10 5890 7524
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          Attention: Chief Financial Officer
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="font-family: Times New Roman; text-align: center; font-size: 8pt">
          - 7 -
        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="margin-left: 150.0px">

    </p>
    <div style="text-align:left">
    <table style="margin-bottom: 10.0px; font-family: Times New Roman; width: 100%; font-size: 8pt" cellspacing="0">
      <tr>
        <td style="width: 10%">
          &#160;
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">
          (b)
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          if to the Seller, to:
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td style="width: 85%">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          Citadel Equity Fund Ltd.
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          18/F Chater House
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          8 Connaught Road,
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          Central, Hong Kong
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          Fax: +852 3667-5511
        </td>
      </tr>
      <tr>
        <td style="width: 10%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 5%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 85%">
          Attention: Andrew Fong and Max Liu
        </td>
      </tr>
    </table>
    </div>
    <p style="text-indent: 30.0px; text-align: justify">
      10.7&#160;&#160;Counterparts<b>.&#160;&#160;</b>This Agreement may be
      signed in any number of counterparts including counterparts transmitted
      by facsimile, each of which shall be deemed an original, with the same
      effect as if the signatures thereto and hereto were upon the same
      instrument.
    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      10.8&#160;&#160;Severability<b>.&#160;&#160;</b>If any provision
      contained in this Agreement shall for any reason be determined to be
      partially or wholly invalid, illegal or unenforceable by any court of
      competent jurisdiction, such provision shall be of no force and effect
      to the extent so determined, but the invalidity, illegality or
      unenforceability of such provision shall have no effect upon and shall
      not impair the validity, legality or enforceability of any other
      provision of this Agreement.
    </p>
    <p style="text-indent: 30.0px; text-align: justify">
      10.9&#160;&#160;Further Assurances<b>.&#160;&#160;</b>Each party shall
      give such further assurance, provide such further information, take such
      further actions and execute and deliver such further documents and
      instruments as are, in each case, within its power to give, provide and
      take so as to give full effect to the provisions of this Agreement.
    </p>
    <p style="text-align: center">
      <i>[Signature page follows on the next page]</i>
    </p>
    <p style="text-align: center">

    </p>
    <div style="margin-bottom: 10pt; margin-left: 0pt; margin-right: 0pt; text-indent: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="font-family: Times New Roman; text-align: center; font-size: 8pt">
          - 8 -
        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>

    </p>
    <p style="text-indent: 30.0px; text-align: left">
      IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
      duly executed by their respective authorized officers as of the day and
      year first above written.
    </p>
    <div style="text-align:left">
    <table style="margin-bottom: 10.0px; font-family: Times New Roman; width: 100%; font-size: 8pt" cellspacing="0">
      <tr>
        <td style="width: 40%">
          &#160;
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left" colspan="3">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>ORIGIN AGRITECH LTD.</b>
          </p>
        </td>
        <td style="width: 20%">

        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td style="width: 4%">

        </td>
        <td style="width: 7%">

        </td>
        <td style="width: 29%">

        </td>
        <td style="width: 20%">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td style="width: 4%">

        </td>
        <td style="width: 7%">

        </td>
        <td style="width: 29%">

        </td>
        <td style="width: 20%">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 4%; padding-bottom: 2.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            By:
          </p>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; border-bottom: solid black 1.0pt" colspan="2">
          <p style="margin-bottom: 0px; margin-top: 0px">
            &#160;
          </p>
        </td>
        <td style="width: 20%">

        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td style="width: 4%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 7%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Name:
          </p>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 29%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Yuan Liang
          </p>
        </td>
        <td style="width: 20%">

        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td style="width: 4%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 7%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Title:
          </p>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 29%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Chief Executive Officer
          </p>
        </td>
        <td style="width: 20%">

        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td style="width: 4%">

        </td>
        <td style="width: 7%">

        </td>
        <td style="width: 29%">

        </td>
        <td style="width: 20%">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td style="width: 4%">

        </td>
        <td style="width: 7%">

        </td>
        <td style="width: 29%">

        </td>
        <td style="width: 20%">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left" colspan="3">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>CITADEL EQUITY FUND LTD.</b>
          </p>
        </td>
        <td style="width: 20%">

        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td style="width: 4%">

        </td>
        <td style="width: 7%">

        </td>
        <td style="width: 29%">

        </td>
        <td style="width: 20%">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 4%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            By:
          </p>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left" colspan="2">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Citadel Advisors LLC, its Portfolio Manager</b>
          </p>
        </td>
        <td style="width: 20%">

        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td style="width: 4%">

        </td>
        <td style="width: 7%">

        </td>
        <td style="width: 29%">

        </td>
        <td style="width: 20%">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 4%; padding-bottom: 2.0px">
          <p style="margin-bottom: 0px; margin-top: 0px">
            By:
          </p>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; border-bottom: solid black 1.0pt" colspan="2">
          <p style="margin-bottom: 0px; margin-top: 0px">
            &#160;
          </p>
        </td>
        <td style="width: 20%">

        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td style="width: 4%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 7%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Name:
          </p>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 29%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Andrew Fong
          </p>
        </td>
        <td style="width: 20%">

        </td>
      </tr>
      <tr>
        <td style="width: 40%">

        </td>
        <td style="width: 4%">

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 7%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Title:
          </p>
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left; width: 29%">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Authorized Signatory
          </p>
        </td>
        <td style="width: 20%">

        </td>
      </tr>
    </table>
    </div>
    <p style="text-align: justify">

    </p>
  </body>
</html>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
-----END PRIVACY-ENHANCED MESSAGE-----
