SOURCE: S3 Investment Company, Inc.

March 06, 2006 10:03 ET

S3 Investment Company Releases Investor Newsletter With Focus on Upcoming Shareholders Meeting and Return of Proxy

TEMECULA, CA -- (MARKET WIRE) -- March 6, 2006 --S3 Investment Company, Inc. (OTC BB: SEIH) today announced that the company has released its March 2006 investor newsletter, which focuses on the special meeting of shareholders scheduled for April 5, 2006 at 10:00 a.m. at the company's corporate offices. In the newsletter, shareholders are reminded that for any business to be undertaken at the meeting, a quorum representing a majority of outstanding shares must be represented, either in person or by proxy. A PDF version of the newsletter can be viewed on the company's website at www.s3investments.com/newsletter.asp.

"We do not want to belabor the point, but achieving a quorum at the shareholders meeting is of utmost importance, so that the issue of S3's business development company election withdrawal can be addressed as soon as possible," said Jim Bickel, chief executive officer of S3 Investment Company, Inc.

The proposal to be considered by shareholders at the special meeting is an authorization for the company's Board of Directors to withdraw S3 Investment Company's election to be treated as a business development company pursuant to Section 54(c) of the Investment Company Act of 1940.

The proxy statement filed by the company asserts that the S3 Board of Directors decided to propose a withdrawal of its business development company election because it determined that in the current environment S3 would be better served to focus its efforts on the operation of businesses rather than act as a passive investor.

In the newsletter, Mr. Bickel states, "The Board feels that by taking a more direct role in the operations of our SINO UJE and Redwood Capital subsidiaries, there will be a greater benefit to S3 shareholders. Moreover, SINO UJE and Redwood Capital will become more closely tied to S3, and their successes will essentially become our successes. Suffice it to say, we feel very good about making these two growing companies our primary focus as we move forward as an operating company.

"No matter how shareholders intend to vote, we hope that they recognize the importance of returning their proxies, so the company does not have to go through multiple adjournments and rescheduling of the special meeting. We will continue to discuss the proxy, as well as any significant operations updates of our subsidiary companies, in the weeks leading up to the shareholders meeting," added Mr. Bickel.

The newsletter also reviews recent news on major SINO UJE equipment orders and the addition of a new company to SINO UJE's supplier network for the China market.

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About The Company

S3 Investment Company Inc. (http://www.s3investments.com) is a Business Development Company regulated by the Investment Company Act of 1940. S3's investment portfolio is currently comprised of two private companies. S3 holds a 100% equity interest in Redwood Capital (http://www.redwoodcapinc.com), which assists private Chinese companies in accessing U.S. capital markets by utilizing a network of investment banking relationships, and a 51% equity interest in SINO UJE (http://www.sinouje.com), a non-stocking distributor of medical and industrial high-tech products to markets throughout China.

Any statements contained herein related to future events are forward-looking statements and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on forward-looking statements. S3 Investment Company, Inc. undertakes no obligation to update any such statements to reflect actual events.

Contact Information

  • Contact:
    Gemini Financial Communications for S3 Investment Co.
    A. Beyer
    951-587-8072
    Email Contact