Shengtai Pharmaceutical, Inc. Retains CCG Elite
August 22 2007 - 8:30AM
PR Newswire (US)
WEIFANG, China, Aug. 22 /Xinhua-PRNewswire/ -- Shengtai
Pharmaceutical, Inc. (OTC:SGTI) (BULLETIN BOARD: SGTI) ("Shengtai
Pharmaceutical" or "the Company"), a leading manufacturer and
distributor of high-quality, pharmaceutical grade glucose products
in China and glucose and starch products that serve as raw
materials for food, beverage and industrial production, announced
today that it has retained CCG Elite to design and execute its
investor relations campaign. Shengtai Pharmaceutical is a
profitable, rapidly growing medical raw materials supplier, which
is positioning itself to become a leading manufacturer in Asia. To
enhance its leadership position, the Company is implementing a
vertical integration strategy to improve the quality and ensure the
supply of its raw materials (corn starch). The Company's new
cornstarch plant with annual capacity of 240,000 tons began
production at the beginning of 2007. Approximately 50% of the new
plant's output will be used as raw materials for glucose, and the
other 50% will be sold to customers in the food and beverage,
pharmaceutical and industrial industries. The Company believes the
new facility will improve profit margins due to higher-quality and
lower raw materials costs. In addition, the Company believes the
plant will help maintain sustainable growth in its core business,
pharmaceutical glucose, while allowing the Company to diversify its
revenue base into new high-growth market sectors with value-added
cornstarch products. For the fiscal year ended June 30, 2006, net
sales totalled $36.0 million, up approximately 44.9% from $24.9
million in fiscal year ended June 30, 2005. "Now that our
cornstarch facility is up and running we can increase the capacity
of our glucose facility. Up until now Shengtai Pharmaceutical has
been capacity constrained, only able to produce enough product for
our domestic market. As our next step, we will build a new
pharmaceutical glucose production plant to serve our customers in a
fast-expanding domestic, as well as overseas market," said Mr.
Qingtai Liu, President of Shengtai Pharmaceutical Inc. "We look
forward to collaborating with CCG Elite to increase our visibility
in both the investment community and with the financial media as we
launch this next phase of our growth plans." According to IMS, a
leading forecast provider of market intelligence to the
pharmaceutical and healthcare industries, the world's
pharmaceutical market was valued at $643 billion in 2006.
Projections show the market will expand to $750 billion by 2010,
and grow at a compound annual rate of 5%-8% over the next five
years. China's share as a percentage of total global demand is
expected to grow from 5% in 2004 to 10% in 2010 ($75 billion). By
then, China will become the fifth largest market for
pharmaceuticals in the world. "Shengtai Pharmaceutical is
positioned to benefit from the rapidly growing market for
pharmaceutical glucose (dextrose) in China and in other countries,"
said Crocker Coulson, President of CCG Elite. "The Company believes
its new capacity expansion can enable the Company to maintain its
annual growth rate of 30% or more for the next three to five
years." About Shengtai Pharmaceutical, Inc. Shengtai
Pharmaceutical, Inc. through its wholly-owned subsidiary Shengtai
Holding, Inc. (SHI), a New Jersey corporation, and the holding
company for Weifang Shengtai Pharmaceutical Co., Ltd., is a leading
manufacturer and supplier of glucose products, which include
pharmaceutical grade glucose used for medical purposes, and glucose
and cornstarch products for the food and beverage industry and for
industrial production in China. For more information about Shengtai
Pharmaceutical, Inc. please visit http://www.chinaglucose.com/ .
About CCG Elite CCG Elite is uniquely positioned to provide an
outsourced, high-level investor relations solution that combines
in-depth understanding of Asia's corporate culture and economic
scene and a direct pipeline into the leading funds and
broker-dealers in the U.S. CCG Elite is a global, full-service
investor relations agency with corporate headquarters in Los
Angeles and offices in New York City, Newport Beach, Calif.,
Dallas, Texas, Hong Kong and Beijing. For further information,
contact CCG Elite directly, or visit the Company's Web site at
http://www.ccgelite.com/ . For more information, please contact:
Company Contact: Mr. Philips Zhang CFO Shengtai Pharmaceutical,
Inc. Tel: +86-536-629-5728 Mobile: +86-158-536-89189 Email:
Investor Relations Contact: Mr. Crocker Coulson President CCG Elite
Investor Relations Tel: +1-646-213-1915 (NY Office) Email:
DATASOURCE: Shengtai Pharmaceutical, Inc. CONTACT: Philips Zhang,
CFO of Shengtai Pharmaceutical, Inc., tel, +86-536-629-5728,or
mobile, +86-158-536-89189, or email, ; Crocker Coulson, President
of CCG Elite Investor Relations, +1-646-213-1915 (NY Office), or
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