Zicom signs JV deal with CNA Group

Mumbai, April 3, 2008: Zicom Electronic Security Systems Ltd., India's largest electronic security systems company has today announced its Joint Venture agreement with CNA Group, Singapore, to offer integrated intelligent building management solutions and green buildings in India.

This move is in line with its business objective of accelerating growth to ramp up its strategic focus on developing expertise on Integrated Building Management solutions and Green buildings with control and automation.

As per the Memorandum of Understanding, Zicom will acquire 51% stake and CNA Group will have 49% stake in the Joint Venture Company named as Zicom CNA Automation Ltd.

The intended relationship with CNA aims to leverage on the enormous growth potential of the booming real estate market in India by providing integrated facilities management solutions and services to residential, industrial commercial and Government construction.

According to Mr. Manohar Bidaye, Chairman of Zicom Electronic Security Systems Limited, "We are pleased to tie up with CNA to address growing demand of automation industry particularly Intelligent Building Management Solutions for large residential and commercial complexes in India. With the cutting edge technology of CNA and the marketing depth of Zicom, we will produce break- through results in the Indian continent."

According to Mr. Micheal Ong, President and CEO of CNA Group "CNA's focus is on overseas expansion and in conjunction with this; we are keen to seek out and develop opportunities in high-growth areas like India where we see tremendous potential for our C&A business. In line with our strategy to increase our presence outside Singapore, we are keen on building a strong business momentum that captures the burgeoning economic opportunities in the region."

According to industry analysts, sustained economic activity driven by India's software and branded firms and changing consumer patterns has ignited a widespread demand for real estate across all sectors including residential, commercial and industrial construction. This situation is further boosted by revolutionary changes in land legislation such as the removal of caps on foreign direct investment, stamp duty rationalization and a policy to set up special economic zones.

Against this scenario, Zicom's comprehensive network of sales offices in more than 60 cities in India and long experience therein, positions it advantageously to leverage on the construction demand in India.

"In Zicom, we have found the perfect partner to cater to the business opportunities brimming in this market," concluded Mr. Ong.

In addition, Zicom will also provide financial support for all projects that are procured under the proposed Zicom CNA Automation Ltd. On the other hand, CNA will provide sales and marketing support and will also be responsible for the training and development of personnel.

CNA has been credited with some very high quality, high end integrated multi-thread and multi-tasking facility management systems with Intelligent building management solutions. Some of the key installations of CNA are Changi Airport, Parliament House of Singapore, Guangzhou Airport, Suvarnabhumi Airport, Bangkok, China World Hotel at China World Trade Center, The New Doha International Airport, Discovery Gardens, Dubai, Shanghai tomorrow Square Tower, CISCO Bangalore Campus

About CNA Group Ltd

CNA Group Ltd. ("CNA") is an award-winning specialist in the provision, design, implementation and maintenance of advanced integrated control and automation systems and IT solutions that enable intelligent buildings and facilities.

In late May 2006, CNA added a new dimension to its business strategy when it acquired a stake in Beijing Herocan Environmental Engineering Tech Co. Ltd ("Herocan") a leading one-stop provider of water and waste treatment solutions in China. The move which allowed the Group to springboard into the fast-growing water and environmental sector in China is in line with CNA's efforts to expand into or invest in businesses with strong growth potential.

CNA's associate level stake in Herocan is held through China Water Holdings Pte. Ltd. CNA's strength is in combining its domain knowledge and expertise with its proprietary SIRIUS™ system technology to build high-level and fully integrated Intelligent Building Management Systems ("IBMS") and Intelligent Facility Management Systems ("IFMS") that are able to integrate, monitor and control a diverse range of mechanical, electrical, security and climate control systems within a building or facility.

Headquartered in Singapore, CNA has a direct presence in China and the Middle East, serving an impressive list of customers in Singapore, Malaysia, Myanmar, Philippines, Thailand, India, China, Dubai, Qatar and Oman.

About Zicom Electronic Security Systems

Zicom Electronic Security Systems Ltd ("Zicom") is the leading povider of integrated electronic security solutions in India, having a turnover of above Rs. 150 crores. Zicom services the diverse and demanding security needs of private and public sectors. The dynamism of company is reflected in its business verticals namely Building Solutions Group that caters to the security requirements of several large Indian and multinational companies in the field of Infotech, telecom, media, banking, finance, industrial, manufacturing etc., Special Projects Group that provides solutions to various Government and public sector units and Zicom's wholly owned subsidiary company called Zicom Retails Products Pvt. Ltd. that addresses the security needs to home and retail segment.

Considering the increase in demand and awareness about security solutions, the company offers a wide range of products including access control systems using keypad, proximity card & biometrics, CCTV surveillance including remote video surveillance, fire alarm systems, smart cards, perimeter protection system, law enforcement products, Burlgar Alarm Systems, Video Door Phones, Personal Security products etc. The company also has integration capabilities for multiple security applications. The company has got strong software capabilities relating to the security business.

Since its inception in 1995, Zicom has always driven the market with innovations. Zicom pioneered the concept of Central Monitoring Station and Video Monitoring Station in India. Zicom is also present in international market through its subsidiary UNISAFE Fire Protection Specialists LLC, Dubai, a leading Fire company in UAE.