CSR is listed on the New York Stock Exchange and had a market capitalisation of USD 574 million as at 29th July 2008.

Recently, CSR announced its intention to list its shares on the Dubai International Financial Exchange (DIFX). As a further demonstration to its commitment to the Middle East, the company has invited a small number of select investors to participate in a private placement of new shares and warrants. Placees included Mr. Sharafuddin Al Sayed Sharaf, Sharaf Investments, Faisal Holdings and MAC Capital.

Mr. Sharaf is a local U.A.E.-based businessman and co-founder of the Sharaf Group, which was established in 1976 in partnership with his brother, Ibrahim Al Sayed Sharaf. The group has diverse interests in retail fashion, electronics, travel and tourism, shipping and transport, logistics, financial services, leisure, real estate, construction and industry. Mr. Sharaf also is the chairman of the First Security Group, a significant provider of security and related services in the U.A.E.

Faisal Holdings is a considerable business conglomerate in the U.A.E. Under the chairmanship of H.H. Sheikh Faisal Bin Sultan Al Qassimi, the group has grown over the last 40 years to be a substantial undertaking, with interests ranging from construction to real estate, retail and financial services. Its primary focus is on industry. A major subsidiary of the group is GIBCA, a large manufacturing and construction operation with its base in the Emirate of Sharjah, U.A.E.

"Whilst we continue with our business strategy of expanding domestically in China, we believe that forging strong relationship with investors in the U.A.E. will provide our group with a foothold into the rapidly expanding Middle East markets and surrounding regions, including Africa, India and Pakistan. Demand for security related products and services within these regions continues to grow significantly. We will further consolidate the fragmented security market in China. Although we have been rapidly expanding, more than doubling our earnings in 2007, we have a focus on cost control and efficient integration of the downstream businesses we have acquired. We have based ourselves in Shenzhen and will consolidate our manufacturing facilities there - benefitting from the synergies in logistics. I can see, with the guidance of our new partners, the dompany seriously considering the establishment of sales and perhaps even manufacturing operations in the U.A.E. in the near future," said chairman and chief executive officer of CSR, Guoshen Tu.

Dubai based investment bank, MAC Capital Limited, has been appointed by CSR to advise on a listing of its shares on the Dubai International Financial Exchange and also advised on this private placement.

"The GCC is not an easy region to access. Like Asia, good local partners are essential if any company wishes to establish a successful business here. The U.A.E. property markets are still booming and CSR's "complete solution" to the security issue will be of significant interest to major developers here," added Robert W. McMillen, chairman of MAC Capital.

The company issued a total of 722,544 shares and 144,508 warrants for a total consideration of USD 10 million during this private placement. The shares were issued at USD 13.84 each and the warrants have a three-year term and are exercisable at USD 19.23 per share.

As an expression of their dedication to the company's future, Mr Tu, and other key company executives, have committed to hold all of their shares for a further three years and not to dispose of any of these until 31st December 2011.