The Board of Directors of China Minzhong Food Corporation Limited has announced that the Company has completed its investment in the capital of its wholly-owned subsidiary, Fujian Minzhong Organic Food Co., Ltd from US$29,080,000 to US$99,080,000, which had been previously approved by the Board.
The Board has approved a further increase in its investment in the capital of Fujian Minzhong from US$99,080,000 to US$125,080,000.
Following the investment in the capital, the Company will continue to own 100% of the issue share capital of Fujian Minzhong.
The increase in investment was funded through the IPO proceeds raised in 15th April 2010, and is not expected to have any material financial impact on the consolidated net tangible assets per share and consolidated earnings per share of the Company and its Group for the current financial year ending 30 June 2010. The detailed use of the IPO proceeds will be announced when they are deployed into specific projects.
None of the Directors or Substantial Shareholders of the Company has any interest in the above transaction, save for their interests arising by way of their directorships in the Company.
China Minzhong Food Corporation Ltd
China Minzhong Food Corporation Limited, through its subsidiaries, operates as an integrated vegetable processing company. The company manufactures and sells fresh and processed vegetables. It offers approximately 100 types of processed vegetables, including air-dried, freeze-dried, fresh-packed, and brined products. The company also produces other processed vegetable products, such as fruit and vegetable juices, instant vermicelli, and water-boiled vegetables, as well as offers fresh vegetables. It sells its processed vegetables to distributors, and food processing and manufacturing companies; and fresh vegetables to pre-processing agents. In addition, the company plants and sells agricultural products, as well as manufactures and sells fruits. It primarily operates in the Peopleâs Republic of China, the rest of Asia, the Americas, and Europe. The company was founded in 1971 and is headquartered in PutianCity, the People's Republic of China.