China Biologic Products Closes the $9.6 Million Private Placement
June 11 2009 - 4:01PM
PR Newswire (US)
TAI'AN CITY, China, June 11 /PRNewswire-Asia-FirstCall/ -- China
Biologic Products, Inc. (OTC:CBPO) (BULLETIN BOARD: CBPO) ("China
Biologic" or the "Company"), one of the leading plasma-based
pharmaceutical companies in the People's Republic of China ("PRC"),
today announced that on June 10, 2009, the Company successfully
consummated the transactions contemplated by the security purchase
agreement initiated on June 5, 2009, with certain accredited
investors led by Essence International Investment Limited, pursuant
to which the Company will issue 3.8% senior secured convertible
notes due 2011 (the "Notes"), in the aggregate principal amount
$9,554,140. The Notes are convertible into shares of China
Biologic's common stock at a conversion price of $4.00 per share.
Along with the Notes, the Company issued warrants to purchase up to
1,194,268 shares of the Company's common stock at a price of $4.80
per share. "We are pleased to have closed this transaction," said
Mr. Chao Ming Zhao, CEO of China Biologic Products. "We intend to
use the proceeds to pay part of the purchase price for the
interests we recently acquired in Xi'an Huitian Blood Products Co.,
Ltd. and Chongqing Dalin Biologic Technologies Co., Ltd., to
potentially acquire the remaining interests in these two
acquisitions in the future, and for working capital and general
corporate purposes." The securities issued in this private
placement have not been registered under the United States
Securities Act of 1933, as amended, or the securities laws of any
other jurisdiction. Accordingly, these securities may not be sold
by investors in the United States, except pursuant to an effective
registration statement or an applicable exemption from the
registration requirements. For more detailed information on this
financing, see the Company's Current Report on Form 8-K filed with
the Securities and Exchange Commission on June 5, 2009. This press
release does not constitute an offer to sell or the solicitation of
an offer to buy any security and shall not constitute an offer,
solicitation or sale in any jurisdiction in which such offer,
solicitation or sale would be unlawful. About Essence International
Investment Limited Essence International Investment Limited is an
investment vehicle formed in the British Virgin Islands for the
special purpose of investing in the Company and is owned by several
accredited investors with sophisticated corporate finance skill
sets and successful investment track records. These accredited
investors have solid experience in providing growth capital to
early and expansion stage companies in China and are knowledgeable
about the healthcare sector in particular. About China Biologic
Products, Inc. China Biologic Products, Inc. (the "Company"),
through its indirect majority-owned subsidiary, Shandong Taibang
Biological Products Co. Ltd., and equity investments in Xi'an
Huitian Blood Products Co., Ltd. and Chongqing Dalin Biologic
Technologies Co., Ltd., is currently the largest non-state-owned
plasma-based biopharmaceutical company approved by the Chinese
government. The Company is a fully integrated biologic products
company with plasma collection, production and manufacturing,
research and development, and commercial operations and its blood
products are irreplaceable in the application of medical
emergencies, and prevention and treatment for various diseases. The
Company sells its plasma-based biopharmaceutical products to
hospitals and other healthcare facilities in China. Safe Harbor
Statement This release may contain certain "forward-looking
statements" relating to the business of China Biologic Products,
Inc. and its subsidiary companies. All statements, other than
statements of historical fact included herein are "forward-looking
statements," including statements regarding: the impact of the
proceeds from the private placement on the business and operations
of the Company; the ability of the Company to achieve its
commercial objectives; the business strategy, plans and objectives
of the Company and its subsidiaries; and any other statements of
non-historical information. These forward-looking statements are
often identified by the use of forward-looking terminology such as
"believes," "expects" or similar expressions, involve known and
unknown risks and uncertainties. Although the Company believes that
the expectations reflected in these forward-looking statements are
reasonable, they do involve assumptions, risks and uncertainties,
and these expectations may prove to be incorrect. Investors should
not place undue reliance on these forward-looking statements, which
speak only as of the date of this press release. The Company's
actual results could differ materially from those anticipated in
these forward-looking statements as a result of a variety of
factors, including those discussed in the Company's periodic
reports that are filed with the Securities and Exchange Commission
and available on its website ( http://www.sec.gov/ ). All
forward-looking statements attributable to the Company or persons
acting on its behalf are expressly qualified in their entirety by
these factors. Other than as required under the securities laws,
the Company does not assume a duty to update these forward-looking
statements. For more information, please contact: Company Contact:
China Biologic Products, Inc. Mr. Y. Tristan Kuo Chief Financial
Officer Tel: +86-538-6202-206 Email: Web:
http://www.chinabiologic.com/ Investor Relations Contact: CCG
Investor Relations Mr. Crocker Coulson, President Tel:
+1-646-213-1915 (NY office) Email: Mr. Gary Chin Tel:
+1-646-213-1909 Web: http://www.ccgirasia.com/ DATASOURCE: China
Biologic Products, Inc. CONTACT: Company Contact - Mr. Y. Tristan
Kuo, Chief Financial Officer of China Biologic Products, Inc.,
+86-538-6202-206, ; or Investor Relations Contact - Mr. Crocker
Coulson, President, +1-646-213-1915 (NY office), , or Mr. Gary
Chin, +1-646-213-1909, both of CCG Investor Relations Web site:
http://www.chinabiologic.com/ http://www.ccgirasia.com/
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