LIVINGSTON, N.J., Dec 07, 2007 /PRNewswire-FirstCall via COMTEX/ -- MM2 Group, Inc. (MMGP) announced today that its wholly-owned subsidiary, Genotec Nutritionals, Inc., a New York based nutraceutical company which generates its sales from the distribution of its branded products and through custom formulations for several large strategic partners, has entered into a strategic venture to manufacture sofgel capsules in Zhongsan City, China.
The current capacity of the state of the art plant is 1.5 billion capsules per year. The plant was designed and built according to the latest cGMP requirements, in full compliance with both U.S. and China standards. The plant is capable of expanding capacity to 5 billion sofgel capsules per year.
Genotec's partner in this new venture is Anshi Pharmaceutical (Zhongsan) Inc. of China.
Anshi Pharmaceutical is a well regarded company in China. Its Executive Chairman, Mr. Xiaoxian Xu, is a famous entrepreneur in China who previously founded Livzon Pharmaceutical Group, a well known publicly-traded pharmaceutical company in China. Anshi is well positioned to provide research and development, manufacturing, and export services to the pharmaceutical and nutraceutical industries in the United States.
George Kontonotas, President of Genotec, stated, "We are very excited about this venture. The plant is a China SFDA certified facility that complies with cGMP manufacturing standards. These high standards, which allow the plant to currently manufacture pharmaceuticals, make this among the highest quality plants which can be found manufacturing products in the nutritional supplement marketplace."
Mark Meller, CEO of MM2 Group, commented, "We have already met with some of the largest users of sofgels in the nutritional supplement market. Our current focus is to supply large quantities of Vitamin E capsules to several users. We are now negotiating supply agreements with various companies, and hope to be in a position to make several exciting announcements in the near future regarding sales activity from this new venture."
Meller continued, "We are excited about our business prospects. We recently announced net income of $951,855 for our fiscal first quarter, up from a loss of $1,379,761 in the same period last year. We announced last week that we secured a large $1.1 million order for our omega-3 fish oil sofgels. We also recently announced a listing on the Frankfurt Stock Exchange, which we expect will give us greater visibility in Europe and will provide us with an opportunity to broaden our shareholder base to Europe. We anticipate that we will be in a position to announce more exciting business developments in the near future."
About MM2 Group, Inc.
MM2 Group is involved in the acquisition and build-out of dietary supplement and nutraceutical companies. The company's growth strategy is to acquire firms in this extensive and expanding but highly fragmented segment as it seeks to create substantial value for shareholders. For more information, contact MM2 Group CEO Mark Meller at (732) 290-0019 or by e-mail at [email protected] or Jerry Mahoney at [email protected].
This news release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended, regarding among other things our plans, strategies and prospects -- both business and financial. Although we believe that our plans, intentions and expectations reflected in or suggested by these forward-looking statements are reasonable, we cannot assure you that we will achieve or realize these plans, intentions or expectations. Forward-looking statements are inherently subject to risks, uncertainties and assumptions. Many of the forward-looking statements contained in this news release may be identified by the use of forward-looking words such as "believe," "expect," "anticipate," "should," "planned," "will," "may," "intend," "estimated," and "potential," among others. Important factors that could cause actual results to differ materially from the forward-looking statements we make in this news release include market conditions and those set forth in reports or documents that we file from time to time with the United States Securities and Exchange Commission. All forward-looking statements attributable to MM2 Group, Inc. or a person acting on its behalf are expressly qualified in their entirety by this cautionary language.