On 23th March 2012, private placement released by Seastar was less than 80 million stocks, with aggregate investment less than 407.43 million yuan. Seastar plans to place the raised fund onto four projects in Wuxi, such as LED indoor commercial lighting. Seastar said the application of private placement is still in audit and they have already released a risk assessment report on Wuxi indoor commercial lighting.
 
Meanwhile, the price of LED chip and LED lighting decreases gradually as the LED chip package technique becomes increasingly mature and luminous efficiency of LED chip improves gradually. By late Sep. 2012, market price of some indoor products is lower than the projected sales price listed in the feasibility report of Wuxi LED indoor lighting production project, Seastar points out.
 
But recently, gross profit has reached 21% and 25% for the revenue of Seastar lighting, which is relatively low. In essence, this could be mission impossible for Wuxi LED indoor lighting to reach a gross profit of 37.3%.