China Security & Surveillance Technology (CSST) has its stock listed on the New York Stock Exchange and on the NASDAQ Dubai exchange, but those days might be numbered. The chairman and chief executive officer of CSST, Guoshen Tu, has notified the board of directors of his interest in taking the company private.
Tu sent a letter to the board last week expressing interest in coordinating such a deal. According to the letter, Tu would consider purchasing all the shares of the company, at up to $6.50 per share. A share purchase price of $6.50 would represent a 31 percent premium over Friday, Jan. 28's closing price of $4.97 on the NYSE (listing symbol: CSR). According to Reuters, a $6.50 share price would represent a market value of roughly $580 million for the firm.
In response to the letter from Tu, the board of directors announced it would form a committee to review any proposals that Tu would make.
Tu has served as CEO of CSST since 2005 and owns almost 21 percent of the company's stock. China Security & Surveillance Technology, which is operated out of Shenzen, manufactures, sells, installs and monitors electronic security products and systems.