Business Report: China Precision Steel Files Universal Shelf Registration Statement

31 Dec 2008 15:00 Africa/Lagos

China Precision Steel Files Universal Shelf Registration Statement

SHANGHAI, China, Dec. 31 /PRNewswire-Asia/ -- China Precision Steel, Inc. (NASDAQ:CPSL) ("China Precision Steel" or the "Company"), a niche precision steel processing company principally engaged in producing and selling high precision cold-rolled steel products, today announced that it has filed a universal shelf registration statement on Form S-3 with the U.S. Securities and Exchange Commission (the "SEC"), on December 30, 2008. The shelf registration, when declared effective, will permit China Precision Steel to issue up to an aggregate of $40 million in securities.


The shelf registration provides the Company with flexibility to publicly offer and sell securities from time to time, in one or more separate offerings or other transactions, with size, price and terms to be determined at the time of issuance, and at times when the Company believes that market conditions make such an offering attractive. The Company does not have any commitments or current intentions to sell securities under the registration statement at this time.


"We have no current plans to raise additional capital," commented Dr. Wo Hing Li, China Precision Steel's Chairman and CEO, "but we believe that it is prudent to have a shelf registration statement in place to ensure financing flexibility should the need arise."


This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. Any offering may be made only by means of the prospectus and a related prospectus supplement.


About China Precision Steel, Inc.


China Precision Steel, Inc. is a niche precision steel processing Company principally engaged in the production and sale of high precision cold-rolled steel products and provides value added services such as heat treatment and cutting medium and high carbon hot-rolled steel strips. China Precision Steel produces high precision ultra-thin, high strength (7.5 mm to 0.05 mm) cold- rolled steel products primarily for automotive components, food packaging materials, saw blades and textile needle manufacturing companies in the People's Republic of China. China Precision Steel is expanding its penetration in overseas markets such as Nigeria, Thailand, Indonesia and the Philippines. China Precision Steel was incorporated in 2002 and is headquartered in Sheung Wan, Hong Kong. Additional information can be found at the Company's website http://chinaprecisionsteelinc.com/ .


Safe Harbor Statement


This press release contains certain statements that may include "forward looking statements." All statements other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involve known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website ( http://www.sec.gov/ ). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.


For more information, please contact:

China Precision Steel, Inc.
Dan Carlson, Director
Email: DanielCarlson@comcast.net

Elite IR
Leslie J. Richardson, Partner
Tel: +852-3183-0283
Email: Leslie.richardson@elite-ir.com


Source: China Precision Steel, Inc.

CONTACT: Dan Carlson, Director of China Precision Steel, Inc.,
DanielCarlson@comcast.net; Or Elite IR - Leslie J. Richardson, Partner, +852-
3183-0283, or Leslie.richardson@elite-ir.com


Web site: http://chinaprecisionsteelinc.com/