MRU Holdings, Inc. News

MRU Holdings Announces Pricing of $140 MM Private Student Loan Securitization Transaction

NEW YORK, July 3 PRNewswire-FirstCall — MRU Holdings, Inc. (Nasdaq: UNCL), a specialty finance company that provides private student loans through its consumer brand MyRichUncle(R) and its relationships with private label partners, today announced that it had priced $140 million of asset-backed securities, backed by its private student loan portfolio.

The securitization will be composed of high quality direct-to-consumer private student loans that MRU originated, primarily in 2007 and early 2008, utilizing its proprietary underwriting criteria, which overlays on top of traditional credit metrics, a deeper analysis of the future income prospects and repayment capability of the borrower. The Company believes that this significantly differentiates its loan portfolio from that of its competitors.

"This is a landmark transaction for the Company. Our ability to execute this transaction demonstrates that our market-leading underwriting platform generates loans which have not only superior performance relative to its competitors but also superior marketability to ABS investors. The goal of this transaction was to establish market access and demonstrate the resilience of the Company's business model in spite of what can only be called a period of unprecedented market dislocation," said Vishal Garg, Co-founder and Co-President of MRU Holdings, Inc.

"In this transaction, we have priced AAA's, AA's, A's, BBB's, and an unrated tranche. The ability to attract investors for the junior tranches of our securitization speaks affirmatively about the quality of the Company's private student loan portfolio," added Jonathan Coblentz, CFO of MRU Holdings, Inc.

After funding liquidity and credit reserve, the transaction will finance $125.5 million of the Company's private student loans, $96.5 million of which will be transferred to the trust at closing, with the remainder being transferred during a prefunding period. The transaction is scheduled to settle on July 10, 2008 subject to customary closing conditions.

"This securitization is another step in the Company's continued growth and affirms to parents and students that MRU will continue to honor its commitment to provide them with the best information and options on paying for college throughout these turbulent economic times," added Raza Khan, Co-Founder and Co-President of MRU Holdings, Inc.

The Company expects to provide a detailed investor update via a presentation on Monday July 7th that will cover the expected economics to the Company of the transaction, as well as provide guidance on the expected economics of the Company's originations on a go forward basis.

The asset-backed securities referred to in this announcement have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

About MRU Holdings, Inc.

MRU Holdings, Inc. (Nasdaq: UNCL) is a publicly traded specialty finance company that provides students with funds for higher education using a blend of current market credit practices as well as its own proprietary analytic models and decision tools. The Company has a renowned brand name "MyRichUncle(R)" and highly scalable origination infrastructure. The Company utilizes these assets to provide private student loans to students. MRU distinguishes itself from the competition as it does not take a "one-size fits all" approach to designing student loan products, allowing itself and its marketing partners to create a student loan offering that directly addresses their specific customer needs. Additional information concerning MRU Holdings is available at http://www.MRUHoldings.com.

About MyRichUncle

From its inception in 2000, MyRichUncle has been at the forefront of innovation for education finance, most recently focusing on the growth market of student loans. Since the launch of its student loan program in the summer of 2005, MyRichUncle has originated over $450 million in student loans using its breakthrough underwriting platforms and innovative technology to deliver competitively priced products and services to borrowers. In May 2006, the Company launched Preprime(TM), the first and only student loan that allows students to qualify for loans based on individual merit, rather than credit history alone. Dedicated to reshaping the student loan industry to function in the best interests of the students, founders Vishal Garg and Raza Khan and their team are committed to delivering the most innovative solutions for their customers. The Company and its founders have been recognized by Fast Company's Fast 50 (2006) and listed among BusinessWeek.com's Tech's Best Young Entrepreneurs (2006). For more information, visit http://www.myrichuncle.com.

Safe Harbor Statement

The information provided herein may include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements involve risks and uncertainties that, if realized, could materially impair the Company's results of operations and/or its financial condition. These forward- looking statements may be affected by the risks and uncertainties inherent in the educational finance market and in the Company's business, as disclosed by the risk factors contained in the Company's annual report on Form 10-KSB for the fiscal year ended June 30, 2007, and subsequent quarterly reports on Form 10-Q. The Company cautions that certain important factors may have affected and could in the future affect the Company's beliefs and expectations, and could cause actual results to differ materially from those expressed in any forward-looking statements made by or on behalf of the Company. The forward-looking statements contained herein are made as of the date hereof and the Company does not assume any obligation to update or supplement forward-looking statements that become untrue because of subsequent events or circumstances.

UNCLF

SOURCE MRU Holdings, Inc.

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