- Guaranteed Senior Notes Sold to Abax Global Capital - BEIJING, Jan. 24 /PRNewswire-FirstCall/ -- China Mobile Media Technology Inc. (OTC:CHMO) (BULLETIN BOARD: CHMO) a consumer sales and marketing company engaged in the development and distribution of proprietary and branded digital mobile devices in China, today announced that it has closed the sale of RMB150 million aggregate principal amount of USD-settled Guaranteed Senior Notes due 2014 (the "Notes") issued by its subsidiary Magical Insight Investments Ltd. to funds managed by Abax Global Capital ("AGC"). On January 11, 2008, the Company completed the financing under the purchase agreement pursuant to which the Notes were issued, resulting in gross proceeds to the Company of $20.66 million. The company will utilize the net proceeds to repay the principal of and accrued interest on $10 million in outstanding secured notes, which were issued in June 2007. The remaining net proceeds of approximately $7 million will be used for future business development. With the Notes, the Company issued warrants (the "Warrants") to purchase 12,000,000 shares of common stock to funds managed by AGC, which are exercisable at any time prior to June 30, 2014. The exercise price of those warrants is $2.00 per share, subject to adjustment. The Notes initially do not bear interest during the first year following their issuance and will bear interest at the rate of 9.5% per annum thereafter, subject to adjustment. The Notes and the Warrants were issued outside of the United States in transactions not subject to the registration requirements of the US federal securities laws, have not been and will not be registered under such laws and may not be offered or resold to US persons absent such registration or an exemption therefrom. Please refer to the Company's 8-K for further details regarding the terms and conditions of the Notes and the Warrants. About China Mobile Media Technology Inc. China Mobile Media Technology Inc. is an integrated, multi-channel consumer sales and marketing company. China Mobile Media Technology Inc. engages in the development and distribution of proprietary and branded digital mobile devices via direct response TV, internet sales, and through more than 1000 exclusive distributors throughout the PRC. Learn more about China Mobile Media Technology Inc. at http://www.htwchina.com/. About Abax Global Capital: Abax Global Capital is a leading Hong Kong based investment firm focused on Pan-Asian public and private investments with a particular emphasis on Greater China and South East Asia. AGC's objective is to invest in and create value for small to mid-sized Asian enterprises, thereby generating returns for all stakeholders. Morgan Stanley Investment Management is a minority shareholder of AGC, an independently managed investment company. Certain of the statements made herein constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements typically involve risks and uncertainties and may include financial projections or information regarding our future plans, objectives or performance. Actual results could differ materially from the expectations reflected in such forward-looking statements as a result of a variety of factors, including the risks associated with the effect of changing economic conditions in The People's Republic of China, variations in cash flow, reliance on collaborative retail partners and on new product development, variations in new product development, risks associated with rapid technological change, and the potential of introduced or undetected flaws and defects in products, and other risk factors detailed in reports filed with the Securities and Exchange Commission from time to time. DATASOURCE: China Mobile Media Technology Inc. CONTACT: Ashley Ammon MacFarlane & Bill Zima, both of Investor Relations, Integrated Corporate Relations, Inc., +1-203-682-8200 Web site: http://www.htwchina.com/

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