ROAD TOWN, TORTOLA, British Virgin Islands, Nov. 2, 2010 (GLOBE NEWSWIRE) -- China Dredging Group Company Ltd. ("China Dredging"), a leading private dredging contractor domiciled in the BVI with operations in the P.R.C., today announced that on October 29, 2010, it closed a financing of $21,855,000 from institutional investors in the U.S. and China in the form of 4,371,000 Class A Convertible Preferred Shares issued at $5.00 per Preferred Share.
Chardan Capital Markets served as lead managing placement agent to China Dredging and Rodman & Renshaw, LLC, a subsidiary of Rodman & Renshaw Capital Group, Inc. (Nasdaq:RODM), acted as co-placement agent.
Mr. Zhuo Xinrong, Chairman and CEO of China Dredging, stated, "The additional equity capital from this round will allow us to increase our dredging capacity. While the dredging industry worldwide is often characterized as being mature, the opportunity in China as bolstered by P.R.C. mandates and urban coastal migration is still growing quickly from which we are well positioned to benefit throughout the coming years."
About China Dredging Group Co. Ltd.
China Dredging currently operates a modern fleet of 9 high-capacity dredgers on the eastern coast of China. These vessels are fully committed during the next year and the Company is seeking to lease or purchase additional equipment. New equipment would be used to further expand the company's dredging fleet to take advantage of new project opportunities in the P.R.C. that have been extended by its blue-chip customers – international general contractors. Revenues of the Company's P.R.C operating subsidiary for the 12 months ended June 30, 2010 were approximately $85.5 million and the Company operated an average of 5 dredgers during that time.