HARBIN, China, April 25 /Xinhua-PRNewswire-FirstCall/ -- China Yingxia International, Inc. (OTC Bulletin Board: CYXI) ("China Yingxia" or "the Company"), a leading provider in the nutraceutical industry engaged in the development, manufacture and distribution of organic nutritional food products, supplements, and personal care products in the People’s Republic of China ("PRC"), today announced that it has formally completed the acquisition of Guangzhou Chichi Network Technology Development Co., Ltd. (“Guangzhou Technology”), and Guangzhou Chichi Network Supermarket Chain Co., Ltd. (“Guangzhou Supermarket Chain”), together known as the Chichi Wang companies. Although, the Company initially signed a Letter of Intent to acquire Chichi Wang, February 28, 2008, the transaction was not finalized till today.
China Yingxia spent approximately $171,000 to acquire Guangzhou Technology and Guangzhou Supermarket Chain, located in southern China, enabling the Company to increase its distribution channels throughout China. The acquisition entitles the Company to utilize Guangzhou Technology’s online distribution network to expand its customer base, as well as enable the Company to have access to the Guangzhou Supermarket Chain’s 15 franchise stores to distribute groceries and specialty foods in China. Related to the acquisition, the Company is expected to open 50 additional Guangzhou Supermarket Chain in 2008. The projected revenue from the acquisition for the second half of 2008 is $223,080.
Headquartered in Guangzhou Tianhe Software Park, Guanghai District, China, Guangzhou Technology is a subsidiary of Guangzhou Supermarket Chain, a large grocery chain store and distributor in China. Established in 2006, Guangzhou Technology is the first specialty online snacks provider in China.
Guangzhou Technology’s online sales include specialty traditional regional foods, snacks, sweets, spices, preserved foods, dried fruit, flowers, and raw materials of specialty regional products, throughout China, including Hong Kong, Macao, and Taiwan.
“We expect our acquisition of Guangzhou Technology and its parent company, Guangzhou Supermarket Chain to enhance our distribution network in China, enabling us to reach a wider customer base and to enhance sales revenue of Yingxia’s existing products,” said Ms. Yingxia Jiao, Chief Executive Officer of China Yingxia.
About China Yingxia International, Inc
China Yingxia International, Inc., through its 100%-owned subsidiary, Harbin Yingxia Industrial Group Co., Ltd. (‘Yingxia’), is primarily engaged in the development, production and sales of health food products in China. Yingxia is located in the Province of Heilongjiang in mainland China. Yingxia’s products include soybean-based foods and drinks, longgu golden millet enriched products, cactus-based herbal supplements, personal care products, Nestle products, and organic rice products.
Safe Harbor Statement
The statements contained herein that are not historical facts are ‘forward-looking statements’ within the meaning of Section 21E of the Securities and Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Such forward-looking statements may be identified by, among other things, the use of forward-looking terminology such as ‘believes,’ ‘expects,’ ‘may,’ ‘will,’ ‘should,’ or ‘anticipates’ or the negative thereof or other variations thereon or comparable terminology, or by discussions of strategy that involve risks and uncertainties. In particular, our statements regarding the potential growth of the markets are examples of such forward-looking statements. The forward-looking statements include risks and uncertainties, including but not limited to, general economic conditions and regulatory developments, not within our control. The factors discussed herein and expressed from time to time in our filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed or implied by such statements. The forward-looking statements are made only as of the date of this filing, and we undertake no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.
For more information, please contact:
Company Contact:
Ms. Yingxia, Jiao
Chief Executive Officer
China Yingxia International, Inc.
Tel: +86-451-8631-0948
Email: gy335577@163.com
Investor Relations Contact:
Mr. Crocker Coulson
President
CCG Elite Investor Relations
Tel: +1-646-213-1915
Email: crocker.coulson@ccgir.com