China Green Agriculture, Inc. to Raise Additional $5 Million in Registered Direct Offering
December 16 2009 - 10:43AM
PR Newswire (US)
XI'AN, China, Dec. 16 /PRNewswire-Asia-FirstCall/ -- China Green
Agriculture, Inc. (NYSE: CGA; "China Green Agriculture" or "the
Company"), a leading producer and distributor of humic acid ("HA")
based compound fertilizer through its wholly owned subsidiary,
Shaanxi TechTeam Jinong Humic Acid Product Co., Ltd., today
announced that it has entered into a definitive agreement to sell
320,512 shares of common stock at a price per share of $15.60 to an
institutional investor. This sale is being made pursuant to the
exclusive right granted to Rodman & Renshaw, LLC, a wholly
owned subsidiary of Rodman & Renshaw Capital Group, Inc.
(NASDAQ:RODM) pursuant to the existing engagement agreement with
Rodman & Renshaw to place an additional $5 million of
securities. Rodman & Renshaw acted as the exclusive placement
agent for the transaction. The shares are being sold under the
Company's previously filed shelf registration statement, which was
declared effective by the Securities and Exchange Commission on
June 12, 2009. The Company intends to use all of the net proceeds
for working capital purposes. This press release does not
constitute an offer to sell or the solicitation of an offer to buy
any securities of the Company and there shall not be any sale of
any such securities in any state or jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of such state or
jurisdiction. Copies of the preliminary prospectus supplement and
the accompanying prospectus and, when available, will be available
on the SEC's website, http://www.sec.gov/ , and by contacting
Rodman & Renshaw LLC, at 1251 Avenue of the Americas, 20th
Floor, New York, NY 10020, or by telephone at (212) 430-1710. About
China Green Agriculture, Inc. China Green Agriculture, Inc.
produces and distributes humic acid ("HA") based compound
fertilizer through its wholly owned subsidiary, Shaanxi TechTeam
Jinong Humic Acid Product Co., Ltd., ("Jinong"). Jinong produces
and sells over 130 different kinds of fertilizer products per year.
All of Jinong's fertilizer products are certified by the PRC
government as green food production materials, as stated by the
China Green Food Research Center. Jinong's liquid based fertilizers
are highly concentrated liquids which require an application of
approximately 120 ml per mu per application. Its average end user
has approximately four mu of land (one mu = .165 acres). Jinong
also has the capacity to produce highly concentrated powdered
fertilizers. China Green Agriculture currently markets its
fertilizer products to private wholesalers and retailers of
agricultural farm products in 21 provinces, 4 autonomous regions
and 3 municipal cities in the PRC. The leading five provinces which
collectively accounted for 36.0% of the Company's fertilizer
revenue for the three months ended September 30, 2009 are Shandong
(10.5%), Shaanxi (8.3%), Heilongjiang (6.4%), Henan (5.6%) and
Anhui (5.2%). For more information, visit http://www.cgagri.com/ .
Safe Harbor Statement This press release contains forward-looking
statements concerning the Company's business, products and
financial results. The Company's actual results may differ
materially from those anticipated in the forward-looking statements
depending on a number of risk factors including, but not limited
to, the following: general economic and business conditions,
development, shipment, market acceptance, additional competition
from existing and new competitors, changes in technology, and
various other factors beyond the Company's control. All
forward-looking statements are expressly qualified in their
entirety by this Cautionary Statement and the risk factors detailed
in the Company's reports filed with the Securities and Exchange
Commission. China Green Agriculture undertakes no duty to revise or
update any forward-looking statements to reflect events or
circumstances after the date of this release. For more information,
please contact: In the US: China Green Agriculture, Inc. Ms. Ying
Yang, Chief Financial Officer Tel: +1-626-623-2575 Email: OR HC
International, Inc. Ted Haberfield, Executive VP Tel:
+1-760-755-2716 Email: In China: China Green Agriculture, Inc. Mr.
Jonnie Wang, Secretary of Board, Investor Relations Officer Tel:
+86-29-8826-6368 Email: DATASOURCE: China Green Agriculture, Inc.
CONTACT: in the US, Ms. Ying Yang, Chief Financial Officer of China
Green Agriculture, Inc., +1-626-623-2575, ; or Ted Haberfield,
Executive VP of HC International, Inc., +1-760-755-2716, ; or in
China, Mr. Jonnie Wang, Secretary of Board, Investor Relations
Officer of China Green Agriculture, Inc., +86-29-8826-6368, Web
site: http://www.cgagri.com/
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