SOURCE: Providential Holdings, Inc.

February 20, 2008 09:25 ET

Providential Holdings Signs Agreement to Assist Vietnamese Company With U.S. Public Listing

LOS ANGELES, CA--(Marketwire - February 20, 2008) - Providential Holdings, Inc. (OTCBB: PRVH), a company providing advisory, merger and acquisition services as well as independently investing in Vietnamese economic opportunities, today announced that its wholly owned subsidiary Providential Capital, Inc. signed an agreement to assist Vietnam-based Nam Kim Steel Joint Stock Company (NAKISCO) to go public in the United States through a business combination. In exchange for its services, which include arranging financing for NAKISCO, Providential Capital, Inc. will receive minority interest in the new public company.

NAKISCO is a manufacturer of galvanized steel sheet and color coated steel sheet. During 2007, NAKISCO manufactured over 40,000 tons of steel and generated over $20 million in revenue. The company was profitable in 2007 and plans to increase annual steel sheet output by 175% in 2008. The planned capital infusion will finance the construction of a large-scale steel factory in Binh Duong province and substantially increase the company's capacity and output.

Benjamin Tran, managing director of Providential Capital, said, "We are very pleased to work with NAKISCO as a new capital partner to execute NAKISCO's Mergers and Acquisitions (M&A) strategy and accelerate growth through entry in the U.S. markets. NAKISCO stands out among domestic firms for its quality, pricing, successful reforms in management and production, as well as the great potential for further expansion. As a publicly-traded entity, NAKISCO will enjoy the heightened visibility provided by the U.S. capital markets."

Tran Tuan Nghiep, NAKISCO chairman, said, "Providential's assistance in easing our entry into the capital market will be instrumental in obtaining global visibility for our firm and strengthening our leadership role in the Vietnamese galvanized steel market. In preparation for listing, we plan to reform our capital structure, optimize product structures, and enhance production capacity to achieve our one-year revenue goal of $45 million."

About Nam Kim Steel Joint Stock Company (NAKISCO)

Nam Kim Steel Joint Stock Company (NAKISCO) specializes in manufacturing and distributing galvanized steel sheet and color coated steel sheet. Its product lines are widely applied in the field of industrial and civil construction, interior-exterior decoration and handicraft goods. NAKISCO is a subsidiary of Huu Lien Group, a Vietnam leading company in manufacturing steel pipes, stainless steel pipes, beams and girders steel (C channel steel). The production procedure and product quality management of NAKISCO both strictly follow the standards of ISO 9001:2000 and ISO 14001:2004 accredited by ANAB & UKAS For more information on NAKISCO, please visit http://www.huulienasia.com.vn/tonnamkim/en/

About Providential Holdings, Inc.

Providential Holdings and its subsidiaries engage in a number of diverse business activities, providing advisory, merger and acquisition services as well as independently investing in Vietnamese economic opportunities For more information on Providential Holdings, visit http://www.phiglobal.com. As part of its activities in Vietnam, Providential has been hosting seminars in conjunction with the Nasdaq Stock Market, the Vietnam Chamber of Commerce and Industry and a leading U.S. investment banking firm, to help Vietnamese companies go public and raise capital through the U.S. financial markets.

A profile for investors can be accessed at http://www.hawkassociates.com/prvhprofile.aspx.

For investor relations questions regarding Providential, contact Antonella Montagna or Frank Hawkins, Hawk Associates, at 305-451-1888, e-mail: info@hawkassociates.com, or visit http://www.americanmicrocaps.com or http://www.hawkassociates.com. To sign up for free e-mail notification of future releases, visit http://www.hawkassociates.com/email.aspx.

Safe Harbor: This news release contains forward-looking statements that are subject to certain risks and uncertainties that may cause actual results to differ materially from those projected on the basis of such forward-looking statements. Such forward-looking statements are made based upon management's beliefs, as well as assumptions made by, and information currently available to, management pursuant to the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995.

Contact Information

  • Investor Relations Contact:
    Hawk Associates, Inc.
    Antonella Montagna and Frank Hawkins
    Phone: 305-451-1888
    Email: info@hawkassociates.com

    Providential Holdings, Inc.
    17011 Beach Boulevard, Suite 1230
    Huntington Beach, CA 92647
    Telephone: 714-843-5455
    Fax: 714-843-5452