424B3 1 v166123_424b3.htm Unassociated Document
 
Filed Pursuant to Rule 424(b)(3)
Registration No. 333-161557
 
Prospectus Supplement No. 1
(To prospectus dated November 10, 2009)

 
PROXY STATEMENT SUPPLEMENT FOR SPECIAL MEETING OF STOCKHOLDERS
OF CHINA HOLDINGS ACQUISITION CORP.
AND PROSPECTUS SUPPLEMENT FOR SHARES, WARRANTS AND UNITS
OF CHINA CERAMICS CO., LTD.
 
12,800,000 Units
29,950,000 Shares
15,550,000 Warrants
 
This proxy statement/prospectus supplement, dated November 13, 2009, supplements the proxy statement of China Holdings Acquisition Corp. and the prospectus of China Ceramics Co., Ltd. dated November 10, 2009.  You should read this proxy statement/prospectus supplement in conjunction with the proxy statement/prospectus, and this prospectus supplement is qualified by reference to the proxy statement/prospectus, except to the extent that the information contained in this proxy statement/prospectus supplement supersedes the information contained in the proxy statement/prospectus. This proxy statement/prospectus supplement is not complete without, and may not be utilized except in connection with, the proxy statement/prospectus, including any amendments or additional supplements thereto.
 
See "Risk Factors" beginning on page 29 of the proxy statement/prospectus for factors you should consider.
 
Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities, or passed upon the adequacy or accuracy of the prospectus or this prospectus supplement.  Any representation to the contrary is a criminal offense.
 
Hengda Summary Third Quarter Financial Results
 
The following is preliminary summary third quarter 2009 financial information for Hengda.
 
Summary Financials
In RMB '000
   
Q3 2009
     
Q2 2009
     
Q3 2008
   
9 Mo. 2009
   
9 mo. 2008
 
Revenue
    248,911       221,497       214,974       648,640       591,807  
Net Income
    52,698       43,096       44,340       126,963       130,557  
EBITDA
    74,804       61,628       54,878       182,373       161,782  
                                         
Sales volume (square meters)
    9,369,226       8,692,665       8,046,826       25,027,824       21,639,226  
Average selling price (RMB/per square meter)
    26.6       25.5       26.7       25.9       27.4  
                                         
In US$ '000
   
Q3 2009
     
Q2 2009
     
Q3 2008
   
9 Mo. 2009
   
9 mo. 2008
 
Revenue
    36,337       32,335       31,383       94,692       86,395  
Net Income
    7,693       6,291       6,473       18,535       19,059  
EBITDA
    10,920       8,997       8,011       26,624       23,618  

   
In RMB '000
   
In US$ '000
 
     
Q3 2009
     
Q2 2009
     
Q3 2009
     
Q2 2009
 
                                 
Cash and Bank Balances
    162,344       93,247       23,700       13,613  
Inventories
    102,327       107,845       14,938       15,744  
Trade Receivables
    291,227       251,664       42,515       36,739  
Trade Payables
    118,502       97,847       17,300       14,284  
Interest-bearing bank borrowings
    34,500       34,500       5,036       5,036  
                                 
Note: Converted at 6.85 RMB/US$
                               
 
 
 

 
 
Non GAAP Reconciliation
 
In  RMB '000
   
Q3 2009
   
Q2 2009
   
Q3 2008
   
9 Mo. 2009
   
9 mo. 2008
 
Net Income
    52,698       43,096       44,340       126,963       130,557  
   Plus Tax
    17,668       14,369       6,350       42,648       18,894  
   Plus Interest
    513       208       263       929       660  
   Plus Dep. and Amort.
    3,925       3,955       3,925       11,833       11,671  
EBITDA
    74,804       61,628       54,878       182,373       161,782  
 
In US$ '000
   
Q3 2009
   
Q2 2009
   
Q3 2008
   
9 Mo. 2009
   
9 mo. 2008
 
Net Income
    7,693       6,291       6,473       18,535       19,059  
   Plus Tax
    2,579       2,098       927       6,226       2,758  
   Plus Interest
    75       30       38       136       96  
   Plus Dep. and Amort.
    573       577       573       1,727       1,704  
EBITDA
    10,920       8,997       8,011       26,624       23,618  
Note: Converted at 6.85 RMB/US$
                                 
 
Non-GAAP Financials
 
The financial information and data contained in this communication is unaudited and does not conform to the SEC’s Regulation S-X. Accordingly, such information and data may not be included in, may be adjusted in or may be presented differently in, CHAC’s proxy statement to solicit stockholder approval for the proposed acquisition of Hengda.
 
This communication includes certain estimated financial information that is not derived in accordance with generally accepted accounting principles (“GAAP”), and which may be deemed to be non-GAAP financial measures within the meaning of Regulation G promulgated by the SEC. CHAC and Hengda believe that the presentation of these non-GAAP financial measures serves to enhance the understanding of the financial performance of Hengda and the proposed acquisition.  However, these non-GAAP financial measures should be considered in addition to and not as substitutes for, or superior to financial measures of financial performance prepared in accordance with GAAP.  Our pro forma financial measures may not be comparable to similarly titled pro forma measures reported by other companies.
 
This communication contains disclosure of EBITDA for certain periods, which may be deemed to be a non-GAAP financial measure within the meaning of Regulation G promulgated by the Securities and Exchange Commission.  Management believes that EBITDA, or earnings before interest, taxes, depreciation and amortization, is an appropriate measure of evaluating operating performance and liquidity, because it reflects the resources available for strategic opportunities including, among others, investments in the business and strategic acquisitions.  EBITDA may not be comparable to similarly titled measures reported by other companies.  EBITDA is not a recognized term under U.S. GAAP, and EBITDA should be considered in addition to, and not as substitutes for, or superior to, operating income, cash flows, revenues, or other measures of financial performance prepared in accordance with generally accepted accounting principles.  EBITDA is not a completely representative measure of either the historical performance or, necessarily, the future potential of Hengda.

The date of this prospectus supplement is November 13, 2009.
 
 
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