ORLANDO, Fla., Apr 12, 2004 /PRNewswire-FirstCall via COMTEX/ -- Bio-One Corporation (BICO) announced today that it has acquired majority control of WeiFang Shengtai Pharmaceuticals Co. Ltd, a Chinese manufacturer and distributor of glucose in China. The Shandong Province-based company reported audited revenues of US$16.3 million with a net income of US$2.3 million and assets of US$17.4 million in 2003.
The transaction involved a cash payment of US$2 million and US$4.1 million in Bio-One convertible preferred stock priced at $2.00 a share with 12 month and 24 month lock-up provisions.
Shengtai, which has a 30% share of the glucose market in China, holds three patents. The 450-employee business will continue to be run with its present management team. The company has sales offices in nine major Chinese cities and is a supplier of glucose to many of China's major pharmaceutical companies. In January, Shengtai moved into their newly constructed facility on 35 acres and production has increased by 50% in the first quarter of 2004.
Shengtai CEO Liu Qingtai, said, "Our association with Bio-One will open important new markets for WeiFang Shengtai Pharmaceuticals. The additional working capital as a result of this transaction will support our increased production. This is consistent with the interest of our shareholders and our management team."
Bio-One President and CEO Armand Dauplaise said, "We are very pleased that Liu Qingtai and his management team will continue to run Shengtai. They have done an exceptional job in building the company over the past five years and are now one of the top three employers in their county."
Bio-One Corporation is a nutritional supplements company serving the preventive and alternative healthcare segments. The company intends to acquire additional companies in order to provide quality nutraceuticals to consumers through vertical integration of manufacturing, distribution and marketing. Since September 2003, the company has acquired PNLabs and Interactive Nutrition International and an 80% interest in American Nutritional Exchange and a 51% interest in WeiFang Shengtai Pharmaceuticals Co. Ltd. The company also formed a new subsidiary, Nutrition Sciences Corp.
Bio-One Corporation is committed to its mission of the continuing pursuit of excellence in serving its customers, suppliers, team members and shareholders. Bio-One is confident that it will accomplish its mission and goals through the application of its management philosophy, which is to treat others the way they would want to be treated themselves.
Detailed information about WeiFang Shengtai Pharmaceuticals in English and Chinese may be found at http://www.chinaglucose.com.
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Certain statements released by Bio-One Corporation that are forward- looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Editors and investors are cautioned that forward-looking statements involve risk and uncertainties that may affect the company's business prospects and performance. These include, but are not limited to, economic, competitive, governmental, technological and other risks detailed in the company's registration statements and periodic reports filed with the Securities and Exchange Commission. By making these forward-looking statements, the company undertakes no obligation to update these statements for revisions or changes after the date of this release.