China Security & Surveillance Technology, Inc. to Raise $25.35 Million in Registered Direct Offering
August 25 2009 - 11:22AM
PR Newswire (US)
SHENZHEN, China, Aug. 25 /PRNewswire-Asia/ -- China Security &
Surveillance Technology, Inc. ("China Security" or "CSST" or the
"Company") (NYSE: CSR; Nasdaq Dubai: CSR), a leading provider of
digital surveillance technology in the PRC, today announced that it
has entered into definitive agreements with certain accredited
investors to sell in a registered direct offering 4.056 million
shares of its common stock at a price at $6.25 per share under its
Form S-3 Registration Statement resulting in gross proceeds to the
Company of $25.35 million, before deducting placement agent fees
and expenses of the offering. In addition, the Company has issued
to the investors warrants to purchase 1.014 million shares of
common stock, in the aggregate, at a price of $8.62 per share for a
term of one year. The closing is subject to certain customary
closing conditions and is expected to occur early next week. The
net proceeds from the offering will be used to repay notes issued
to Citadel Equity Fund Ltd. in accordance with the Company's
previously announced restructuring of its outstanding guaranteed
senior unsecured convertible notes. Pending such repayments the
Company will use the net proceeds from the offering for working
capital and general corporate purposes. This press release shall
not constitute an offer to sell or the solicitation of an offer to
buy, nor shall there be any sale of these securities in any
jurisdiction in which such offer, solicitation or sale would be
unlawful prior to the registration or qualification under the
securities laws of any jurisdiction. The shares of common stock may
only be offered by means of a prospectus. Copies of the final
prospectus supplement and accompanying base prospectus can be
obtained from Brean Murray, Carret & Co., LLC (570 Lexington
Avenue, 11th Floor, New York, NY 10022, fax +1-212-702-6548), or
from China Security & Surveillance Technology, Inc. (13/F,
Shenzhen Special Zone Press Tower, Shennan Road, Futian District,
Shenzhen, People's Republic of China, 518034). About China Security
& Surveillance Technology, Inc. Based in Shenzhen, China, CSST
manufactures, distributes, installs and services surveillance and
safety products and systems as well as develops surveillance and
safety related software in China. Its customers are mainly
comprised of commercial and government entities and non-profit
organizations. CSST has built a diversified customer base through
its extensive sales and service network that includes over 150
branch offices and distribution points throughout China. To learn
more about the Company visit http://www.csst.com/ . Safe Harbor
Statement This press release may include certain statements,
including without limitation statements concerning the proposed
transaction and its impact on our prospects, that are not
descriptions of historical facts, but are forward-looking
statements. Such statements include, among others, those concerning
our expectations regarding the closing of the registered direct
offering, as well as all assumptions, expectations, predictions,
intentions or beliefs about future events. Forward-looking
statements can be identified by the use of forward-looking
terminology such as "will," "believes," "expects" or similar
expressions. Such information is based upon expectations of our
management that were reasonable when made but may prove to be
incorrect. All of such assumptions are inherently subject to
uncertainties and contingencies beyond our control and based upon
premises with respect to future business decisions, which are
subject to change. The proposed transaction described in this press
release may not proceed as described or at all. We do not undertake
to update the forward-looking statements contained in this press
release. For a description of the risks and uncertainties that may
cause actual results to differ from the forward-looking statements
contained in this press release, see our most recent Annual Report
on Form 10-K filed with the Securities and Exchange Commission
("SEC"), and our subsequent SEC filings. Copies of filings made
with the SEC are available through the SEC's electronic data
gathering analysis retrieval system at http://www.sec.gov/ . For
more information, please contact: Company Contact: Terence Yap Tel:
+86-755-8351-5634 Email: Investor Contact: ICR: Michael Tieu Tel:
+86-10-6599-7960 Email: Bill Zima Tel: +1-203-682-8200 Email: Media
Contact: Fleishman-Hillard Hong Kong Patrick Yu Tel: +852-2530-2577
Email: DATASOURCE: China Security & Surveillance Technology,
Inc. CONTACT: Terence Yap, +86-755-8351-5634, ; or ICR Michael
Tieu, +86-10-6599-7960, ; or Bill Zima, +1-203-682-8200, ; or
Patrick Yu with Fleishman-Hillard Hong Kong, +852-2530-2577, , all
for CSR
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