HONG KONG, April 20 /Xinhua-PRNewswire/ -- China Expert Technology
(OTC Bulletin Board: CXTI), an emerging leader in large scale network infrastructure construction mainly for e-government projects for communities and municipal governments in China, today announced that as of Tuesday April 17, 2007 all convertible debentures had been converted to the Company's common stock and were no longer outstanding.
This announcement comes after a definitive agreement with the convertible debenture holders in November 2006 which amended certain terms of the remaining outstanding debentures which were part of the Company's $6 million, 7% secured convertible debentures issued on October 31, 2005. The debenture holders had their due date for conversion to common shares extended until April 30, 2007. Additionally, the parties agreed to fix the conversion price of the remaining outstanding debentures at $1.80 per share.
Mr. Simon Fu, Chief Financial Officer of China Expert Technology commented, "We are pleased that all debentures have been finally converted into equity. This development eliminates the uncertainty on the settlement of debts and we can focus on deploying our capital into business development activities so that we may deliver greater value for our shareholders."
About China Expert
CHINA EXPERT TECHNOLOGY, INC. ("CXTI") is a company listed on the OTC Bulletin Board in the USA (Trading Symbol: CXTI), with its subsidiaries (collectively the "Group") situated in Hong Kong and China. The group is specialized in providing large-scale network infrastructure construction (mainly e-government projects) for communities and municipal governments in China. The Group also utilizes its network with experts from various universities in China to deploy business and IT consultancy services to corporations in Hong Kong and China. The Group's existing major clients includes municipal governments, government authorities and other technology firms in China. Its income is derived mainly from four areas, e-government, technology achievement appraisal, expert consultation and project database.
Safe Harbor Statement
This press release includes certain statements that are not descriptions of historical facts, but are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities and Exchange Act of 1934. These forward-looking statements may include statements about our proposed discussions related to our business or growth strategy, which is subject to change. 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 upon assumptions with respect to future business decisions, which are subject to change. For a further description of other risks and uncertainties, see our most recent Annual Report filed with the Securities and Exchange Commission (SEC) on Form 10-K, and our subsequent SEC filings. Copies of filings made with the SEC are available through the SEC's electronic data gathering analysis retrieval system (EDGAR) at http://www.sec.gov.
For more information, please contact:
For the Company: Investors:
Phoebe Lam Matthew Hayden
China Expert Technology, Inc. Hayden Communications, Inc.
Tel: +852-2802-1555 Tel: +858-704-5065
Fax: +852-2583-9222 E-mail: Matt@haydenir.com
Email: phoebe@chinaexpertnet.com
