SHENZHEN, China , Aug. 12 /Xinhua-PRNewswire/ -- China Security & Surveillance Technology, Inc. ('The Company' & 'CSST')(NYSE: CSR), a leading provider of digital surveillance technology in China , today announced that its wholly owned subsidiary, Safetech, has entered into an equity transfer agreement with Wenyan Zeng , the sole owner of Huge Long Limited ("Huge Long") pursuant to which Safetech will purchase 100% ownership of Huge Long through a series of transactions. Huge Long is a Hong Kong corporation and has entered into an agreement with Shenzhen Wandaiheng Industry Ltd. ("Wandai" or "Wandaiheng") to acquire 100% ownership of Wandaiheng which will close on or before December 31, 2009 . Wandaiheng owns an approximately 80,000 square meter industrial park in Shenzhen .
Under the Equity Transfer Agreement, Safetech acquired the beneficial interest (but not the record ownership) of all issued and outstanding shares of capital stock of Huge Long from Ms. Zeng as of August 6, 2008 (the "First Closing") and will acquire the legal title and record ownership of all issued and outstanding shares of capital stock of Huge Long on or before December 31, 2009 (the "Second Closing"). The Second Closing is conditioned upon the acquisition by Huge Long of the legal title of Wandaiheng.
The Company will pay a total consideration of
Mr. Guoshen Tu, Chairman & CEO commented, "We are pleased to move forward with our goal of ultimately acquiring the Wandai industrial park. Our plans to consolidate the manufacturing facilities of our existing and potentially acquired entities into a single location in Shenzhen are expected to result in greater economies of scale and stronger overall operating efficiencies for our business."
About China Security & Surveillance Technology, Inc.
Based in Shenzhen, China , China Security manufactures, distributes, installs and maintains security and surveillance systems throughout the PRC. China Security has manufacturing facilities located in China and an R&D facility which maintains an exclusive collaboration agreement with Beijing University and Wuhan University. China Security has built a diversified customer base through its extensive sales and service network that includes numerous points of presence throughout the PRC. To learn more about the Company visit http://www.csst.com .
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