SHENZHEN, China, June 18 /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 it has signed letters of intent for equity transfer agreement with Shanghai Forever Security Co., Ltd, (SFSC) and Beijing Emergency Security Service Center for Maintenance and Repair (BESC), two leading security companies in China in June 2009, for RMB17 million (approximately $2.5 million based on a conversion price of USD: RMB 1.00:6.83) and RMB 3 million (approximately $0.4 million based on a conversion price of USD: RMB 1.00:6.83) in cash, respectively.
Established in 1995, SFSC is a professional security service company based in Shanghai. With its dedicated call center facility, high-tech digital supervision alarm system and a fleet of guard dispatch and patrol vehicles, SFSC provides professional security and safety monitoring and first level alarm responses. SFSC owns a Shanghai First Degree Certificate in Design and Installation of Security Systems. It is also a member of China Security and Protection Industry Association (CSPIA), Shanghai Security and Protection Industry Association and China Standardization Technic Committee for Security and Protection Alarm Systems (SAC/TC100). By the end of 2008, SFSC had approximately 2,500 users subscribing to their network security and alarm services.
Established in 2006, BESC is a professional security emergency maintenance service provider based in Beijing, authorized by the local government and the Beijing Security Industry Association. In conjunction with the Beijing Security Industry Association, BESC has developed and established various standards in the quality management and maintenance of security related systems in Beijing. It is also the only company approved by Beijing Municipal Administration for Industry and Commerce to engage in maintenance and repair services for security systems related to specific government projects. Its services include the provision of emergency maintenance services, routine maintenance services, and consulting services. BESC's customers include government organizations, the public security bureaus, hospitals, educational institutions and logistic companies.
Mr. Guoshen Tu, Chief Executive Officer of China Security commented, "We are very pleased to announce the two transactions which will facilitate our strategic objective of building our security service business in China and a recurring revenue business. The acquisitions also signify a strategic move on our part to enter the security markets in Beijing and Shanghai. This move fits nicely with our long-term strategy and reflects our determination and confidence in building the largest homegrown security service provider in China. We believe that as the security market in China continues to grow and develop, professional security services will become a key competitive differentiator.
About China Security & Surveillance Technology, Inc.
Based in Shenzhen, China, China Security manufactures, distributes, installs and services security and surveillance products and systems as well as develops security and surveillance related software in China. Its customers are mainly comprised of commercial and government entities and non-profit organizations. China Security 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 that are not descriptions of historical facts, but are forward-looking statements.
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 upon assumptions with respect to future business decisions, which are subject to change. 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 www.sec.gov.
For more information, please contact:
Company Contact:
Terence Yap
Tel: +86-755-8351-5634
Email: ir@csst.com
Investor Contact:
ICR:
Michael Tieu
Tel: +86-10-6599-7960
Email: michael.tieu@icrinc.com
Bill Zima
Tel: +1-203-682-8200
Email: bill.zima@icrinc.com
Media Contact:
Patrick Yu
Fleishman-Hillard Hong Kong
Tel: +852-2530-2577
Email: patrick.yu@fleishman.com
