Share issue - new number of outstanding shares

Nio Security, Inc. has issued 60,000,000 new shares 
of its common stock as payment for the acquisition of 
Flamingo Intervest Ltd, ref. announcement on 19 
October 2011 and the Equivalent Document dated 15 
November 2011.

Nio`s share capital has increased from USD 4,563,431 
tp USD 10,563,431, and the number of outstanding 
shares has increase from 45,634,309 to 105,634,309 
(par value USD 0.10).

Nio Security, Inc. confirms the new shares have been 
duly authorized by all necessary corporate action and 
that the shares have been fully paid and validly 
issued. The number of outstanding shares in Nio is 
105,634,309 (par value USD 0.10) and all shares are 
listed and admitted for trading on the Oslo Stock 
Exchange. The new shares are issued under the 
Company's 150,000,000 authorized shares.

The new shares issued by Nio are "restricted 
securities" as defined in Rule 144 under the US 
Securities Act and described in the Equivalent 
Document dated 15 November 2011.

In addition, 25,800,000 of the outstanding warrants 
in Nio has been cancelled, whereof 10,800,000 have a 
strike price of NOK 2.50 and 15,000,000 have a strike 
price at NOK 5.00. After this cancellation, Nio have 
6,000,000 outstanding warrants with a strike price of 
NOK 2.50 which expire on 31 December 2012.

For further information, contact Tore Formo, CEO, +47 
91 668 678. 

This information is subject of the disclosure 
requirements acc. to §5-12 vphl (Norwegian Securities 
Trading Act