Asia Electric Power Intl Group (GREY:AEPW)

Over the next three months, we will require approximately $3,080,000 to sustain our working capital needs as follows, based on projected sales of $4,000,000.

We expect our revenues generated from operations to cover our projected working capital needs; however, if additional capital is needed, we will explore financing options such as shareholder loans. Shareholder loans are without stated terms of repayment. In the past, we have been charged interest at the rate of 6% per annum. We have no formal agreement that ensures that we will receive such loans. In the event shareholder loans are not available, we may seek long or short term financing from local banks.

On October 18, 2010, Asia Electrical Power International Group Inc. filed a Certificate of Amendment to the Company’s Articles of Incorporation with the Secretary of State of Nevada, effectuating a one-for-500 reverse stock split. Fractional shares of those stockholders who owned fewer than 500 pre-split shares of common stock will be redeemed for cash consideration of $0.068 per pre-split share. The reverse stock split was previously approved by the stockholders owning a majority of the shares of the common stock of the Company.

Also see this filing.

On December 4, 2009, we filed a Schedule 13E-3 Transaction Statement including a Preliminary Information as an Exhibit with the Securities and Exchange Commission (“SEC”) in connection with the approval by the board of directors of a reverse stock split of one share for each 500 shares of the Company’s common stock presently issued and outstanding. The purpose of the reverse stock split is to reduce the number of stockholders of the Company as part of a process to permit the Company to terminate operating as a “reporting company” under the Securities Exchange Act of 1934 because of the disproportionate expense in remaining a “public company” compared with any benefits the Company receives as a result thereof. A Definitive Schedule 14C Information Statement will be sent or made available to all stockholders before the Company carries out the reverse stock split. No proxies are being solicited in connection with this transaction since stockholders holding approximately 70.8% of the issued and outstanding common stock of the Company have voted in favor of the reverse stock split.

We intend to carry out the reverse stock split by filing an amendment to our Articles of Incorporation with the Secretary of State of Nevada after the SEC approves the transaction disclosure documents and we complete the dissemination of transaction information materials to our stockholders. We also intend to file a final Schedule 13E-3 Transaction Statement and a Form 15 Certification and Notice of Termination of Registration with the SEC in order to effect the voluntary deregistration of our common stock after the reverse stock split is completed. For more information regarding the reverse stock split, please see our Schedule 13E-3 Transaction Statement, as

We intend to engage in a transaction that will result in the termination of the registration of our common stock under the federal securities laws. This will eliminate the significant expense required to comply with the reporting and related requirements under these laws. Often referred to as a “going-private transaction”, the transaction is a reverse split of our common stock whereby each 500 shares of our common stock will be converted to one share of our common stock (“Reverse Split”). Holders of less than one whole share after completion of the Reverse Split will receive cash in lieu of fractional interests in an amount equal to $0.068 for each pre-split share that becomes a fractional interest. As a result, shareholders owning fewer than 500 shares of our common stock prior to the Reverse Split at the close of business on the effective date of the Reverse Split will no longer be shareholders of the Company. Shareholders owning 500 or more shares of our common stock on a pre-split basis on the effective date of the Reverse Split will not be entitled to receive cash in lieu of whole or fractional shares of our common stock resulting from the Reverse Split. The $0.068 per share price to be paid for fractional shares represents the fair value for a share of our common stock as determined by a special committee (the “Special Committee”) of our board of directors (the “Board”). The Special Committee, consisting of the sole independent member of the Board, was established by the Board to evaluate and review the going-private transaction. The Special Committee based its determination of fair value upon, among other things, the valuation report and fairness opinion of Loveman-Curtiss, Inc., our financial advisor.