BEIJING, Feb. 4, 2011 /PRNewswire-Asia-FirstCall/ – Lotus
Pharmaceuticals, Inc. (OTC Bulletin Board: LTUS) ("Lotus" or the
"Company"), a fast-growing, profitable developer, manufacturer and
seller of medicine and drugs in the
People's Republic of China ("PRC"), today announced that it
will add two additional stories to its new headquarters building in
Chaoyang District, Beijing, which
is currently under construction and is scheduled to be completed in
the second quarter of 2011.
The facility was originally designed to have nine floors with a
gross area of approximately 25,000 sq. meters (269,000 sq. feet)
and house the Company's GMP-certified manufacturing facility,
10,000 sq. meters (108,000 sq. feet) of storage space, a research
and development center, and Lotus' main administrative offices. The
two new floors will contain between 90 and 120 apartments for
employees and will add approximately 9,000 sq. meters (97,000 sq.
feet) of space to the building, bringing the total gross area to
34,000 sq. meters (366,000 sq. feet).
The incremental cost for the new construction will be
approximately $9 million, which
includes design, materials, and labor costs, as well as expenses
for approval and public relations. The Company expects the facility
to be completed by the end of June
2011, in line with management's previous estimates.
Lotus expects its total investment in the construction of the
Beijing facility to be no more
than $48 million, of which
$36 million had already been paid by
the Company by the end of 2010. At the current market price of
$3,000-$3,700 per sq. meter
(approximately $279-$344 per sq.
foot) in Beijing, the total market
value of the building is estimated to be $102-$126 million.
Dr. Zhongyi Liu, Lotus' Chairman
and CEO, stated, "In order to better motivate our staff, the
Company decided to add two new stories onto current construction
for apartments. These will be given to managers at all levels of
the Company to ensure a stable and loyal team, which we expect to
benefit the Company financially in the long run. We currently have
not taken out any loans for the building, and we expect to finance
all of the costs associated with the facility through our internal
operations."
About Lotus Pharmaceuticals, Inc.
Lotus Pharmaceuticals, Inc. is a fast-growing, profitable
developer and producer of drugs and a licensed national seller of
pharmaceutical items in the People's
Republic of China (PRC). Lotus operates its business through
its two controlled entities: Liang Fang Pharmaceutical, Ltd. and En
Ze Jia Shi Pharmaceutical, Ltd. Lotus' current drug development is
focused on the treatment of cerebro-cardiovascular diseases, asthma
and diabetes. Liang Fang sells drugs
directly and indirectly through its national sales channels to
hospitals, clinics and drugs stores in 30 provinces of the PRC.
Information Regarding Forward-Looking Statements
Except for historical information contained herein, the
statements in this press release are forward-looking statements
that are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements involve known and unknown risks and uncertainties, which
may cause our actual results in future periods to differ materially
from forecasted results. These risks and uncertainties include,
among other things, product demand, market competition, and risks
inherent in our operations. These and other risks are described in
our filings with the U.S. Securities and Exchange
Commission.
Contacts:
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At the Company:
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Xing Shen, Ph.D.
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VP of Corporate
Development
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Lotus Pharmaceuticals,
Inc.
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Tel: 415-690-7688
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Email: shen@lotuspharma.com
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Web: http://www.lotuspharma.com
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Investor
Relations:
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Dave Gentry,
President
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RedChip Companies,
Inc.
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Tel: +1-800-733-2447, Ext.
104
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Email: info@redchip.com
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Web: http://www.redchip.com
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SOURCE Lotus Pharmaceuticals, Inc.