BEIJING, Aug. 20, 2018 /PRNewswire/ -- Shineco, Inc.
("Shineco" or the "Company") (NASDAQ: TYHT), a manufacturer and
distributor of Chinese herbal medicines, organic agricultural
products, specialized textiles, and other health and well-being
focused plant-based products in China, announced today that
the Company, through its joint venture company, Xinjiang Shineco
Taihe Agriculture Technology Ltd. ("Xinjiang Taihe"), has entered
into a strategic cooperation agreement (the "Agreement") with the
People's Government of Bayingolin Mongol ("Bazhou") Autonomous
Prefecture ("Bazhou Autonomous Prefecture") for the Company's
Apocynum Industrial Integration Construction Project (the
"Project".)
As previously disclosed in a press release dated July 2, 2018, the Company officially established
its Apocynum Industrial Integration Construction Project in Bazhou.
The Project is now operated by the Company's joint venture company,
Xinjiang Shineco Taihe Agriculture Technology Ltd. and has secured
the requisite local government approvals.
The Company and the Bazhou Autonomous Prefecture have entered
into the Agreement to take full advantage of the local ecology of
Bazhou for growing Apocynum, accelerate the processing and
development of Apocynum, expand and strengthen the Apocynum
industry, promote ecological restoration, boost farmers' income and
assist the local population alleviate poverty. The cooperation
between the Company and the Bazhou Autonomous Prefecture is
expected to play an active role in and provide benefits to the
local economy and locals' livelihood. After consultation, the two
parties formed a strategic partnership to build a whole industrial
chain development model and industrial layout integrating Apocynum
fiber extraction, cotton and linen blending and comprehensive
utilization, and promote the development of the Apocynum industry
in Bazhou.
Pursuant to the Agreement, both parties agree to establish a
long-term and stable cooperation mechanism to develop relations of
mutual cooperation, honesty and trustworthiness, and mutual
development. Specific cooperation matters are expected to operate
in a market-oriented manner. Based on relevant local industrial
policies, the Bazhou Autonomous Prefecture is expected to support
the Company by coordinating support and advocating for financial
assistance and subsidies on behalf of the Company when the Company
applies for preferential policies in the areas of ecological
protection, poverty alleviation, technological innovation,
investment promotion, textiles and clothing in the countries,
autonomous regions and autonomous prefectures. The Company plans to
promote the planting of Apocynum plants on fallow farmland or
grassland without affecting the local water ecology or increasing
water use indicators and carry out the transformation of secondary
grassland to improve the yield and quality of Apocynum. The Company
intends to carry out Apocynum growing, cutting, and cultivation
activities based upon the principles of preserving the ecological
environment, wild vegetation, and maintaining the original
ownership of the grassland. We expect to apply scientific methods
in Apocynum planting and harvesting, and Apocynum cultivation is
planned to be fully optimized to maintain water and soil and
minimize the effects of wind and sand, and to avoid vegetation
degradation of the Apocynum plants that may otherwise be caused by
unlimited cultivation.
The Company expects the Project will absorb the local rural
surplus labor force in Bazhou to carry out Apocynum cultivation,
harvesting and other activities. The Company plans to use its
information, technology, human capital, industry coordination,
other competitive advantages and support the development of
Apocynum industry chain projects such as Apocynum landscape tourism
development, fiber comprehensive extraction and blending
processing, bio-pharmaceuticals and food processing to promote the
extension of the Apocynum industrial chain and increase the added
value of products.
Mr. Yuying Zhang, Chairman and
Chief Executive Officer of Shineco, stated, "Shineco will always
insist on serving local economic development and maintaining
long-term close cooperative relations with the People's Government
of Bayingolin Mongol Autonomous Prefecture. This Agreement opens a
new chapter in the relationship between Shineco and the People's
Government of Bayingolin Mongol Autonomous Prefecture. We expect to
use our advantages in scientific research and industrial planning
to provide comprehensive support for the Bayingolin Mongol
Autonomous Prefecture. We believe our capabilities and advantages
will become a major engine in the Bayingolin Mongol Autonomous
Prefecture to drive the rapid development of the local
economy."
About Shineco, Inc.
Incorporated in August 1997 and headquartered
in Beijing, China, Shineco,
Inc. ("Shineco" or the "Company") is a Delaware holding
company that uses its subsidiaries' and variable interest entities'
vertically- and horizontally-integrated production, distribution
and sales channels to provide health and well-being focused
plant-based products in China. Utilizing modern engineering
technologies and biotechnologies, Shineco produces, among other
products, Chinese herbal medicines, organic agricultural produce
and specialized textiles. For more information about the Company,
please visit www.tianyiluobuma.com.
Forward-Looking Statements
This press release contains information about Shineco's view of
its future expectations, plans and prospects that constitute
forward-looking statements. Actual results may differ materially
from historical results or those indicated by these forward-looking
statements as a result of a variety of factors including, but not
limited to, risks and uncertainties associated with its ability to
raise additional funding, its ability to maintain and grow its
business, variability of operating results, its ability to maintain
and enhance its brand, its development and introduction of new
products and services, the successful integration of acquired
companies, technologies and assets into its portfolio of products
and services, marketing and other business development initiatives,
competition in the industry, general government regulation,
economic conditions, dependence on key personnel, the ability to
attract, hire and retain personnel who possess the technical skills
and experience necessary to meet the requirements of its clients,
and its ability to protect its intellectual property. Shineco
encourages you to review other factors that may affect its future
results in Shineco's registration statement and in its other
filings with the Securities and Exchange Commission.
For more information, please contact:
Tina Xiao
Ascent Investor Relations LLC
Phone: +1-917-609-0333
Email: tina.xiao@ascent-ir.com
View original
content:http://www.prnewswire.com/news-releases/shineco-inc-enters-into-strategic-cooperation-agreement-with-the-peoples-government-of-bayingolin-mongol-autonomous-prefecture-for-apocynum-industrial-integration-construction-project-300698903.html
SOURCE Shineco, Inc