SHENZHEN, China, Feb. 20 /Xinhua-PRNewswire/ -- China Security & Surveillance Technology, Inc. ("China Security") (OTC Bulletin Board: CSCT), a leading provider of digital surveillance technology in China, today announced that it completed a Notes Purchase Agreement and related transaction documents with Citadel Equity Fund Ltd. ("Citadel") for a $60 million guaranteed senior unsecured convertible notes financing. This financing will replace the existing bridge financing that closed on February 8, 2007 in which China Security issued to Citadel $60 million aggregate principal amount of Senior Notes. The notes will bear interest at a rate of 1% and are due in 2012. The notes carry an initial conversion price of $18 per share.
The transaction is described in more detail in the 8-K and other supporting documents filed with the Securities and Exchange Commission. China Security will utilize the proceeds of this financing for future acquisitions and working capital.
About China Security & Surveillance Technology, Inc.
Based in Shenzhen, China, China Security through its subsidiaries manufactures, distributes, installs and maintains security and surveillance systems throughout the PRC. China Security has a manufacturing facility located in Shenzhen and a R&D facility which leverages an exclusive collaboration agreement with Beijing University. In addition, China Security has built a diversified customer base through its extensive sales and service network that includes 59 points of presence throughout the PRC. To learn more about China Security, visit their website at: http://www.csstf.com.
About Citadel:
Citadel Equity Fund Ltd. is one of the entities for which Citadel Limited Partnership serves as portfolio manager and Citadel Investment Group, L.L.C. provides administrative and investment-related services. Citadel Investment Group, L.L.C. was founded in 1990. Affiliates of Citadel Investment Group, L.L.C., including Citadel Equity Fund Ltd., deploy investment capital across a highly diversified set of proprietary investment strategies in nearly all major asset classes in all the world's principal markets. Citadel Investment Group, L.L.C. and its affiliates maintain offices in Hong Kong, Chicago, New York, San Francisco, Tokyo and London.
Safe Harbor Statement:
This press release contains forward-looking statements concerning China Security and its business and products, which are intended to be covered by the safe harbor for forward-looking statements provided by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts. These statements can be identified by the use of forward-looking terminology such as "believe," "expect," "may," "will," "should," "project," "plan," "seek," "intend," or "anticipate" or the negative thereof or comparable terminology. The actual results may differ materially depending on a number of risk factors including, but not limited to, the following: general economic and business conditions, development, shipment, market acceptance, additional competition from existing and new competitors, changes in technology, and various other factors beyond its control. All forward-looking statements are expressly qualified in their entirety by this Cautionary Statement and the risks factors detailed in China Security's reports filed with the Securities and Exchange Commission. China Security undertakes no duty to revise or update any forward-looking statements to reflect events or circumstances after the date of this release.
