Huifeng Bio-Pharmaceutical (HFGB) Signs Exclusive Management ...

Tag : Industry raw materials

XI'AN, China , Oct. 7 /Xinhua-PRNewswire-FirstCall/ -- Huifeng Bio- PharmaceuticalTechnology, Inc. ( HFGB ; the "Company"), a leading developer and producer of plantextracts and pharmaceutical raw materials for use inpharmaceutical, nutraceutical and food production in Xi'an, China , is pleased to announce the signing of a formal exclusivemanagement agreement with Xi'an Qinba Xintong Medical Ltd("Qinba"). On Sept 5, 2008 the company announced a Letter of Intent to enter into acontractual arrangement with Qinba.
Under the terms of this arrangement, Huifeng will assumeoperational control of Qinba and will receive a management feeequal to 70% of Qinba's total profit.
Mr. Jing'An Wang, CEO and founder stated "This is Huifeng's firststep toward our vertical integration strategy, and we intend totransform the company from a producer of raw materials for theTraditional Chinese Medicine industry to a full-scalepharmaceutical company supplying end products to consumersworldwide".
"As a franchiser of finished medical devices, Qinba will giveHuifeng immediate access to pharmacy and medicine buyers," said CEOWang. "With this management agreement, Huifeng has taken the firststep toward positioning itself for synergistic growth beyond itscore revenue base."
"Now that we have completed the first vertical integrations, wehave proven our ability to attract accretive deals within the People's Republic of China ," continued Mr. Wang. "Moving forward, we hope to close on severallarger strategic partnerships."
Huifeng issued an 8K filing pertaining to this agreement on September 29 . To read the text of the filing, go to http://www.premierstocks.tv/info/hfgb_8k.pdf
About Huifeng Bio-Pharmaceutical Technology, Inc. (HFGB)
Huifeng Bio-Pharmaceutical Technology, Inc., located in Xi'an , People's Republic of China , develops and produces plant extracts and pharmaceutical rawmaterials for use in pharmaceutical, nutraceutical and foodproduction. It is the leading Chinese producer of rutin and relatedplant-derived chemicals in a class called flavonoids, withmedicinal and other beneficial properties in Xi'an China . Founded in 2002, Huifeng uses proprietary patented processes toextract rutin more efficiently than traditional extractiontechniques. The Company is diversifying its product lines throughinternal development, acquisition and cooperation with scientificresearch organizations. http://www.hfgb.cn/
This press release may contain forward-looking statements. Thesestatements are based on the current expectations or beliefs of theCompany's management and are subject to a number of factors anduncertainties that could cause actual results to differ materiallyfrom those described in the forward- looking statements, includingbut not limited to the fluctuation of prices of raw materials, themarket demand for our products, changes in governmental regulationsand/or economic policies and our ability to penetrate new markets.
SOURCE Huifeng Bio-Pharmaceutical Technology, Inc.