Jul

Newbriefs July 7

MARKET MOVES

BORN IPO’s on NYSE in June
Shouguang-based China New Borun Corp. began trading on the NYSE in June under the ticker “BORN”. The company is a producer and distributor of corn-based edible alcohol in China.The company offered 5.725 ADSs, priced at $7.00 per share. The gross proceeds of the sale grossed approximately $40 million. Borun intends to use the net proceeds to complete construction of Phase III of its Daqing facility and generally support expansion of its production capacity. Piper Jaffray served as the sole book running manager of the offering, while Cowen & Co., Oppenheimer & Co. and Newbridge Securities Corporation are acting as co-managers. Since its debut, the stock’s high was $7.59, low $5.29. It’s trading up today at $5.75.

Weikang Bio Files to Trade on the Nasdaq
Harbin-based Weikang Bio-Technology (OTC BB: WKBT) announced June 22, it had filed an application to list its common stock on the Nasdaq. The company is a manufacturer of traditional Chinese medicine as well as health and nutritional supplements in China. The company is also expanding its business scope to develop, manufacture and distribute Chinese herbal extract products and GMP certified western prescription and OTC pharmaceuticals through its acquisition of Tianfang.
Mr. Yin Wang serves as Chairman and CEO.

NEWS & DEALS

China Fire & Security Lands $10M Contract
Beijing-based China Fire & Security Group Inc. (Nasdaq: CFSG) has been awarded a contract for “Fire Detection Systems” from the China Nuclear Power Engineering Co. (CNPEC) worth approximately $10 million. CNPEC’s parent company China Guangdong Nuclear Power Group (CGNPG) is in the process of constructing five new power-generating projects.

Yongye Increases Production
Beijing-based Yongye International (Nasdaq: YONG) announced that the company has successfully increased the annual production capacity of its existing plant nutrient production line from 10,000 tons to 15,000 tons. Yongye is also in the process of completing the acquisition of the distribution network in Hebei province, which is comprised of a customer list of all county-level distributors who sell the Company’s Shengmingsu plant and animal nutrient products to over 2,700 independently-owned Yongye branded stores located in the province.

PEOPLE

Nutrifruit’s CEO Steps Down
Jinglin Shi, chief executive officer, of Daquing-based Nutrifruit Group Ltd. (NYSE Amex: CNGL), has stepped down. A press release issued by the company cited personal and health reasons for Shi’s departure. Company chairman Changjun Yu will step into the role of CEO. Yu is the founder of China Nutrifruit’s wholly owned subsidiary, Daqing Longheda Food Company Ltd. He has served as the chairman of Nutrifruit since August 14, 2008. Mr. Yu has been the chairman of Longheda since its formation in 2004. Yu has also served as the vice president of sales of Haerbin Shengjinlai Economic and Technology Development Co. Ltd. He will continue in his position as Chairman of the Board. The company also appointed Jizeng Zhang as a director. Zhang joined China Nutrifruit in 2004 as the administration supervisor and was subsequently promoted to be the administrative officer in 2005. He is responsible for the Company’s daily administrative duties. Mr. Zhang has over 24 years of experience as a police officer in Inner Mongolia where his most recent position was the Head of Police Department at Da Yang Shu County, Inner Mongolia.

Jiangbo Pharma Appoints New CEO
Laiyang-based Jiangbo Pharmaceuticals Inc. (Nasdaq: JGBO) announced the appointment of Mr. Linxian Jin as Chief Executive Officer effective July 1, 2010. Mr. Jin will take over the role of CEO from the company’s Chairman, Mr. Wubo Cao, who resigned on June 29, 2010. Cao will continue his role as Chairman of the company’s board. Mr. Jin joined Laiyang Jiangbo Pharmaceuticals, Inc., the wholly owned subsidiary of the Company, as Deputy General Manager of Production Technology in April 2008. Previously, he had been the General Manager of Shandong Luxi Pharmacy Co., Ltd and Deputy General Manager of Shandong Quancheng Pharmaceutical Co., Ltd. From October 2000 to June 2006, Mr. Jin served as Deputy General Manager with Zibo Hualong Pharmaceutical Co., Ltd. and Linuo Group Jinan Yongning Pharmaceutical Co., Ltd. He began his career in 1990 with Shandong Zaozhuang First Pharmaceutical Factory, where he held positions of increasing responsibility including as the Head of Quality Inspection Department, Production Manager, Marketing Manager, and Assistant to General Manager during his ten-year tenure. Mr. Jin holds a bachelor degree with a major in Chemical Pharmaceutical from East China University of Science and Technology.

Sino Green Makes Board Appointments, Meets Requirement of Major Listings
Guangzhou-based Sino Green Land Corp. (OTC BB: SGLA) has made two independent board appointments, Mr. Chan Kin Hang (Danvil) and Ms. Karen Tse. This brings the board to five, with a total of three independent directors, meeting the requirements for the company to be listed on a senior U.S. stock exchange. Mr. Chan Kin Hang is the founder of K.H. Chan & Co., a Certified Public Accounting firm. He is also a Managing Director of Honest Joy Accounting Service Co Limited and Honest Joy Secretarial Co Limited. In addition, he serves as a Director and Chairman of the Audit Committee for China Medical and Bio Science Limited, a public company listed on the Hong Kong Stock Exchange. Ms. Tse currently serves as a Director for APAC Regional Investment & Integration Management at The Royal Bank of Scotland (RBS). Recently, she completed the execution of the sale of RBS’ Taiwan branch to the Australian & New Zealand Banking Group Limited, the third largest bank in Australia. Prior to joining RBS, Ms. Tse worked in the investment banking department of JPMorgan Securities for over 12 years. While at JPMorgan Securities, she held a number of senior positions, including Vice President and Regional Business Manager for JPMorgan covering M&A advisory and capital markets origination across the Asia Pacific region. Ms. Tse holds a BBA in Finance & Economics from the University of Iowa.

IN BRIEF…

HiSoft Technology International Ltd. [Nasdaq: HSFT] rang the Opening Bell of the Nasdaq Stock Market, July 7, 2010, in celebration of its public June 30th, public offering. The stock was trading at $10.47, mid-day.

RINO International Corp. has engaged Brunswick Group LLP as for its investor and financial public relations. RINO is a provider of clean technology solutions to China’s iron and steel industry.

Xiong Luo, executive director of Sino Green Land Corp. (OTC BB: SGLA), has been appointed to the China Green Food Association for the third round congress. The China Green Food Association was established to link the government and more than 6,000 green food producers across China whose more than 17,000 products meet the strict standards set by China Green Food Development Center, which is responsible for regulating, supervising and certifying natural and organic agricultural products.

Jul

Newsbriefs June 23-30

By jstites Leave a Comment

Categories: Uncategorized

CBK EVENTS!

SAVE THE DATES!

SEPT. 23, 2010: China Prospects Forum: “Meet the Press”!
Mark you calendars so you can join us in Sept for a roundtable with leading members of the press who follow the China market and, in particular, the sector of China-based/U.S. listed stocks. Watch for more information and registration info.

OCT 28, 2010: Announcing the First Annual China Business Knowledge “Urban Retreat!”. NYC.
Be sure to schedule your travel plans around this pivotal event which will be an opportunity–the first ever–for the community of company executives, investors and professional service providers working in the China-based/U.S. listed company sector to spend a day together to set the stage for 2011. The event will serve as a venue to consider the “state-of-the-market”, discuss China and U.S. policies which might affect it going into the new years, as well as give investors new to the market a place to come meet the players. If it also serves as a venue to hash out some of the issues which “dog” the market, in terms of trading volume, compliance and shortage of management then we will have truly succeeded to help move the sector forward. The Urban Retreat will not be a “Company Presentation” conference, but China-based/U.S. listed companies are welcome to buy a table-top exhibit or pay to have their collateral and presentations on our literature table. For more information email me at: jstites @ chinabusinessknowledge.com. And watch for more announcements about panels, speakers and registration information.

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CBK TO LAUNCH INVESTORS’ RELATIONS PAGE FOR COMPANY PRESENTATIONS

Not every investor, nor every company can to make it to every conference which features company presentations. To bridge this gap, and due to the global nature of the sector of China-based/U.S. listed companies, CBK is launching an “Investors Relations” page on our site where companies in the sector can post video, audio or Powerpoint presentations of their company presentations. Companies will be listed alphabetical by exchange, but also searchable by industry sector. CBK will be promoting the site internationally in an effort to bring the sector to a wider group of investors in an effort to help promote trading volume.

The site will go live in September. Pricing will be scaled based on a first-come, first-served formula, paid annually. For preferred pricing and part of our charter presenters, email, Matt Beck, mbeck@chinabusinessknowledge.com.

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MANDARIN-SPEAKING EXECS– SNAPSHOT OF CANDIDATES
Are you looking for Mandarin-speaking executives? CBK has spent a year building a database of professionals who speak Mandarin who are part of the growing sector of crossborders executives. See below for a snapshot of two of our database members. If you are interested in introductions, email Janet Stites at: jstites @ chinabusinessknowledge.com

CFO/Legal
Currently in U.S.
Experienced cross-border CFO, China native currently working in the U.S. Willing to relocate for the right position. Has served as CFO for well-known China-based/U.S. listed company, as well as Senior Finance Manager for a Fortune 1000 and a China dot.com start up. Industries include energy, pharma and tech. Education includes an M.B.A. from Wharton and law degree from China University of Political Science & Law. Has served as a Managing Partner for a law firm in Beijing. Permanent Resident of the United States. Licensed to Practice Law in People’s Republic of China.

CPA Candidate Seeking Job in Accounting or Finance
Finishing M.B.A. in U.S.
CPA with experience working in Assurance and Advisory services in China for both Ernst & Young and Deloitte (both positions in Beijing). The candidate is finishing his M.B.A. at University of Connecticut on a student visa. Would like to work in the U.S. for a few years if possible, but, of course, seeking opportunities in China.
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COMPANY SNAPSHOT

HiSoft Technology International Ltd.

Industry: Outsource IT
HQ: Dalian, China
Employees: 4,097
URL: www.hisoft.com
Market Cap: $333.8 million
Ticker: HSFT (Nasdaq)
Opening Day: June 30, 2010
Offering Price: $10.00
Prospectus: http://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001493639&owner=include&count=40

Shanghai has AgBank; Nasdaq has HiSoft. Software developer HiSoft Technology International Ltd. opened today at $10.25 and traded up during the day. The company sold 7.4 million American Depository Shares at $10.00 raising $74.00 million. There are a number of factors to note in this offering:

* It is one or the rare China companies to list on a major market without spending some time on the OTC BB, Amex or Alternext (China HydroPower comes to mind, but it has the angle of a roll up).
* HiSoft is a China tech company, which we have not seen debuting directly on one of the major markets in a while.
* HiSoft is already a global competitor in IT Outsourcing with a major list of global clients, such as Microsoft, IBM, Sun Microsystems, ADP, HP, Adobe and more.

But perhaps of most import is HiSoft’s list of heavy hitter investors which includes venture capital firms such as Draper Fisher Jurvetson ePlanet Ventures, an offshoot of DFJ’s prominent Silicon-Valley based fund; GGV Capital which was founded with the venerable Venrock Associates; GE Commercial Finance (no need to say more); The International Finance Corp. which is the private sector lending arm of the World Bank Group; Intel Capital, Asia Pacific; JAFCO Asia; The Greater China Trust managed by Mitsubishi UFJ Securities Capital; and Sumitomo Corporation Equity Asia Ltd. [ePlanet is also an investor in Baidu, Focus Media, iKang, KongZhong, and Longcheer--although its not clear if this is entirely thru ePlanet or also DFJ Dragon fund.]

Such a list is reminiscent of the early software days in Silicon Valley or the heady days of the dot.com era. All are banking on HiSoft being a world-class competitor of the Infosys’s of the world, but banking on it having a competitive advantage in China. HiSoft’s Executive Chairman, Chen-Yaw Sun, is a former Managing Director of Hewlett-Packard China. Tiak Koon Loh, chief executive officer, also has a background at HP, but in addition has worked as managing director for Cap Gemini Asia-Pacific and worked for IBM and Lotus prior. Sarah Bajc, senior vice president of marketing and alliances, is the only non-Asian on the executive team and has a background with Microsoft in Beijing, Tescom, Deloitte and Cap Gemini.

While the venture community has not played a large role as of yet in the sector of China-based/U.S. listed stocks, this IPO makes one wonder if that will change over the next 12 to 18 months as the market matures and VCs look to China for the lucrative IPOs which have evaded them since the late 1990s, early 2000s. Something to investigate further.

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NEWS FROM “WEEK IN REVIEW,” JUNE 30, 2010

EARNINGS

[Do you need coverage of an earnings call? CBK has a pool of financial writers on call to cover earnings calls for a modest flat fee, providing a summary set in the context of an historical analysis and paying particular attention to Q&A. For more information, contact: senti @ chinabusinessknowledge.com.]

Kingtone Gross Profit Up
Kingtone Wirelessinfo Solution Holding Ltd. reports first fiscal quarter 2010 unaudited financial results. Highlight include revenue up 43.7 percent to $3.0 million; gross profits up 44.1 percent to $2.5 million; net income up 63.6 percent to $1.76 million. Revenue from software solutions increased by 23.1% to $2.15 million compared to $1.74 million a year ago, mainly due to increased demand for the company’s vertical industry mobile enterprise application in Emergency response and Insurance claim.

Nutrifruit Posts Record Sales
Daqing-based China Nutrifruit Group Limited (NYSE Amex: CNGL) , producer of premium specialty fruit-based products , today announced its financial results for its fourth quarter and fiscal year ended March 31, 2010. Record net sales increased 26.5 percent year-over-year to $26.4 million. Gross profit increased 42.6 percent year-over-year to $11.5 million, with gross margin of 43.6%. Operating earnings was $8.9 million, with operating margin of 33.5 percent. Net income was $6.7 million, or $0.17 per diluted share.

NEWS & DEALS

UTA Closes Acquisitions
Shenzhen-based Universal Travel Group (NYSE: UTA) has completed its acquisition of Shanxi Jinyang Travel Agency Co., Ltd. and Kunming Business Travel Agency Co., Ltd. for $8.0 million, of which 90 percent was paid in cash and 10 percent in stock. The combined audited 2009 revenue and net income for the two travel agencies was $15.3 million and $1.3 million, respectively. Shanxi Province and is one of the largest travel agencies in Shanxi Province in terms of tourist volume and revenues. Kunming Business Travel was founded in 1993 in Kunming, Yunnan Province and is the premier golf travel service agency in its region. Kunming Business Travel has partnerships with seven golf clubs and provides services, including reservations, event planning, hosting business trips and golf competitions.

American Lorain to Make Acquisition
Junan County snack food manufacturer, American Lorain Corp. (NYSE Amex: ALN), has signed a letter of intent to acquire Shandong Greenpia Foodstuff Co., Ltd., a manufacturer of retail-packed, Korean-style kimchi cold dishes. The acquisition will include cash and stock offer of $2.1 million in cash and 731,707 shares of American Lorain common stock, respectively. The company is expected to complete the equity exchange and obtain governmental approval on the acquisition on or before September 30, 2010.
Beijing-based China Agritech, Inc. (Nasdaq: CAGC), manufacturer of organic compound fertilizer, received $10 million as a result of the exercise of common stock warrants held by Carlyle Asia Growth Partners IV, L.P. and CAGP IV Co-Investment L.P. The Carlyle Group affiliates originally acquired the warrants in connection with the company’s strategic private placement, closed in October, 2009.

Hollysys Holds Shareholders Meetings
Beijing-based Hollysys Automation Technologies Ltd. (Nasdaq: HOLI) announced the results of its 2010 annual shareholder meeting held June 25, 2010, in Beijing. The shareholders elected each of the following nominees to the Board of Directors of the Company: Changli Wang, Colin Sung, Jerry Zhang, Jianyun Chai and Qingtai Chen. Shareholders also ratified the appointment of BDO Limited as the Company’s independent registered public accountant for the fiscal year ending June 30, 2010. Hollysys is a provider of automation and control technologies and applications in China that enables its diversified industry and utility customers to improve operating safety, reliability, and efficiency.

Wuhan General Scores Two Contracts
Wuhan-based Wuhan General Group Inc. (Nasdaq: WUHN) has won bids for two contracts totaling $4.7 million. In April 2010, Wuhan Blower won a bid to supply blowers for Qinghai Huanghe Hydropower Development Co., Ltd. for a total amount of RMB 17.1 million (approximately $2.5 million). Under the agreement, Wuhan Blower will provide nine blowers used to control air pollution from electrolytic aluminum production. The Company expects to complete the delivery and installation of these blowers by the end of August 2010. In May, Wuhan Blower won a bid to supply blowers for Handan Iron & Steel Co., Ltd. for an amount of RMB 15.3 million (approximately $2.2 million). The three blowers required for this project are used to restructure the old facility at Handan Iron & Steel Co., Ltd. Under the agreement, Wuhan Blower will provide one-stop services including design, manufacture, delivery, installation and testing. The company expects to complete this project by the end of November 2010.

IN BRIEF…

* Wuxi-based Suntech Power Holdings Co. Ltd. (NYSE: STP) has opened an office in Montbonnot, France, to better serve its local partners throughout the region. The French solar market has become one of Suntech’s top three markets in Europe.

* High end fruits and vegetable producer Sino Green Land Corp., based in Guangzhou, has expanded its export of Green Foods into Australia. The food products meet the standards set by the China Green Food Development Center, under the direct supervision from China’s Ministry of Agriculture.

NEWS FROM “WEEK IN REVIEW” JUNE 23, 2010

UTG Raises $20 Million in Stock Offering
On June 21, 2010, Shenzhen-based Universal Travel Group (NYSE: UTA) closed a stock offering of 2,857,143 shares of its common stock at $7.00 per share for an aggregate amount of $20 million. Brean, Murray, Carret & Co. acted as the sole book running manager and Rodman & Renshaw acted as co-manager for the offering. The proceeds from this financing will be used to fund the cash portion of its four recently announced acquisitions and for working capital to expand the company’s core business segments.

American Lorain Secures $15 Million Loan
Junan County-based American Lorain Corp. (NYSE Amex: ALN) secured a $15 million bank loan form a German development bank, Deutsche Investitions-und Entwicklungsgesellschaft MBH (“DEG”). Citing the tenuous conditions of the equity market, CEO and Chairman Chen Si indicated management decided debt is the company’s best avenue to support its growth. The loan has a six-year term with an interest rate of LIBOR plus 3.75 percent and is collateralized by the company’s Junan Hongrun facility.

SkyPeople Hires E&Y for SOX 404 Compliance Review
Xi’an-based SkyPeople Fruit Juice, Inc. (Nasdaq: SPU) has engaged Ernst & Young (China) Advisory Ltd. to help assure the company complies with the financial reporting and control requirements of Sarbanes-Oxley Act Section 404. As part of compliance with SOX 404, SkyPeople will report on the adequacy of its internal financial reporting and control systems after documenting and evaluating its procedures. Ernst & Young will work closely with SkyPeople’s management to help prepare a SOX 404 compliance program by sharing its knowledge about how other firms comply with SOX 404 requirements, and recommend changes or improvements. SkyPeople’s SOX 404 compliance program will also address how management’s decision making is linked to financial reporting risks.

FINANCIAL RESULTS

China-Biotics Reports Record Growth
On June 11, Shanghai-based China-Biotics, Inc. (Nasdaq: CHBT) reported record quarterly and annual revenue growth for fiscal year 2010. Fourth quarter revenue grew 64.4 percent to $25.5 million; gross margin 69.4 percent. The company attributes the growth to the new commercial production of its bulk additive products.

EARNINGS CALLS

China Marine Food Group to Host Call, June 23
Shishi-based China Marine Food Group Ltd. (NYSE Amex: CMFO) will host a conference call with investors on June 23, 9:00 a.m. ET. Dial-In (U.S.): 1-877-941-2322; International Dial-In: 1-480-629-9715; Conference ID: 4320624 “China Marine Conference Call.”

Nutrifruit to Hold Earnings Call, June 28
Daqing-based China Nutrifruit Group Ltd. (NYSE Amex: CNGL) will host a call June 28, 10:00 a.m. ET to discuss its financial results for the fourth quarter and fiscal year 2010, ended March 31, 2010. Dial in: 877-380-4607. International: 1-702-928-6995. Conference ID: 83092426. A replay will be available through Monday, July 12. To access, dial: 800-642-1687. International: +1-706-645-9291. Conference ID: 83092426.

PEOPLE

Eastern Environment Appoints Directors in Preparation of Market Move
Harbin-based Eastern Environment Solutions Corp. (OTCBB: EESC) has appointed Mr. Kenneth Leung and Mr. Gene Hsiao as new independent members of the company’s board of directors. Lueng will also serve as chairman of the Audit Committee. The board is now four members, satisfying the independent board member requirement to apply for listing on a U.S. stock exchange.

* Kenneth C. Leung is a Managing Director at Madison Williams and company’s Investment Banking Division and heads the firm’s Environmental Services Group, providing advisory and financing services to private and public middle-market companies in the solid waste, hazardous waste, recycling, and air and water pollution remediation industries in the United States and Canada. He has also worked at Smith Barney, focusing on environmental investment research and investment banking, serves on the board of SystemOne Technologies, a solvent recycling company and Caprius, a medical waste device manufacturer. Leung received a B.A. from Fordham College and an MBA from Columbia University.
* Gene Hsiao currently serves as CFO of Bohai Pharmaceuticals Group, Inc., where he is responsible for all aspects of financial planning, reporting, internal controls and investor relations, Previously, he served as CFO for China Advanced Construction Materials Group Inc., where he was responsible for all U.S. affairs as well as corporate finance functions in China. He received his B.S. degree from Drexel University.

New Energy Systems Group Establishes Board Committees, Makes Appointments
Shenzhen-based New Energy Systems Group (OTC BB: NEWN) has established audit, compensation and nominating committees with the goal of increasing its corporate governance and satisfying a prerequisite for listing on a major U.S. exchange.

* Elan Yaish, CPA, will serve as the chairman of the Audit Committee. He currently serves as president of ERS Associates, Ltd. providing business and financial advisory services to publicly traded and privately held companies. He assists clients with strategic planning, M&A, and SEC reporting and compliance as well as stock exchange transitions. Previously, Yaish served as the CFO of publicly traded Manchester Technologies, Inc. He began his career at Deloitte & Touche where he served as a senior accountant. Yaish is a licensed CPA with a BS in Accounting from The Yeshiva University and is a member of the AICPA and NYSSCPA.
* Ms. Shuxian Cui will be replacing Ronggi Dai as an independent member of the company’s board. Dai resigned June 9, due to health reasons. Cui has a background in accounting. She has worked with clients in Shenzhen primarily in areas related to implementing and maintaining corporate accounting standards and business accounting systems. Prior to working in Shenzhen, Cui held senior finance and accounting positions in Jiangxi Province and Hunan Province. She graduated from Jilin University of Finance and Economics (previously Changchun Taxation College) with a degree in accounting.

Luk Joins Sinobiopharma Board
Stamford, Conn.-based Ms. Hoki Luk, founder and managing partner of Western Bridge LLC has been appointed to the board of Sinobiopharma (OTC BB: SNBP). Prior to founding Western Bridge LLC she was an Analyst for Citigroup, Hong Kong where she concentrated on the Chinese healthcare market. She has also served as an associate analyst at Sivik Global Healthcare in New York, where her primary responsibilities were to identify new investments and make investment recommendations for U.S. and Chinese healthcare companies. She was previously an associate analyst in New York, working with the U.S. biotechnology equity research group at UBS, Credit Suisse First Boston and Salomon Smith Barney. Luk graduated from the University of California at Berkeley with a Bachelor’s degree in Business Administration.

IN BRIEF

* Beijing-based Yongye International (Nasdaq: YONG) has entered into an agreement to acquire the customer list of the Shengmingsu distribution network from its provincial level distributor in Hebei Province for $3 million in cash and $3.6 million shares of common stock. The customer list is comprised of all of the county-level distributors who sell the company’s Shengmingsu plant and animal nutrient products to over 2,700 independently-owned Yongye branded stores located in Hebei Province, which is Yongye’s largest regional market in China, representing approximately 30 percent of the company’s revenues in 2009.

* Laiyang-based Jiangbo Pharmaceuticals Inc. (Nasdaq: JGBO) has received approval from the Chinese State Food and Drug Administration to start producing Felodipine sustained release tablets.

* Danyang-based Lihua International Inc. (Nasdaq: LIWA) has completed the construction on its 32,000 square-foot warehouse located within its current plant in Danyang. The company also announced it is constructing a 25,000-ton smelter at its exisiting copper recycling facility, which is expected to come online during the second half of 2010.

* Shandong-based Gulf Resources Inc. (Nasdaq: GFRE) has completed the construction of its new chemical additives production line for waste water treatment and started trial production.

* Beijing-based Linktone Ltd. (Nasdaq: LTON) announced it had obtained exclusive wireless distribution rights for the official theme song of the 2010 FIFA World Cup South Africa, “Waka Waka (This Time For Africa).

* Xi’an-based China Green Agriculture Inc. (NYSE: CGA) announced it had exceeding its goal for “Authorized Retailers” for a total of 510 and has set a new goal of 650 for June 2010.

* Kingtone Wirelessinfo Solution Holding Ltd. (Nasdaq: KONE) has retained Christensen to assist in its Investor Relations effort.

* Al Gore joined Wuxi-based Suntech Power Holdings Co. Ltd. (NYSE: STP) for the opening of its Low Carbon Concept Museum at Suntech’s headquarters.

Jun

Newsbriefs, June 11, 2010

By jstites Leave a Comment

Categories: Uncategorized
Tags: ATA, ATAI, CAST, CHBT, China Marine Food Group, China Wind Systems, China-Biotics, ChinaCast, ChinaNet Online Holdings, CMFO, CNET, GFRE, Gulf Resources, HC International, HOLI, Hollysys Automation, JGBO, Jiangbo, Jianquan Li, JSBarkats, Megan Penick, Nick Zhang, Peng Zhai, Scott Powell, SkyPeople, SPU, STP, Suntech, Winner Medical Group, WWIN

[THIS POST WAS ORIGINALLY PUBLISHED IN OUR WEEKLY EMAIL NEWSLETTER. TO BE ADDED TO THE LIST, PLEASE EMAIL:

jstites @ chinabusinessknowledge.com.]

COMPANY CLOSE-UP

Winner Medical Group
www.winnermedical.com
Shenzhen

Employees: 5000
Exports: Japan, U.S., Europe

Nasdaq GM: WWIN
Closing Price, June 9, 2010: $5.80

Year End 2009 (ended Sept. 2009):

* Sales: $98.4 million, 15.1% y-o-y increase.
* Net income: $9.1 million, $80.2% increase.

Jianquan Li, president and CEO of Winner Medical Group, was in New York several weeks ago to ring the Nasdaq Opening Bell and I had the honor of meeting with him, along with Board Secretary & IR Manager, Peng Zhai, and Scott Powell of HC International. It was a truly rainy day, not soon to be forgotten. The company develops and manufacturers a series of gauze products for medical use such as surgical and wound dressings, eyepads, face masks, sponges, and recently launched a line of products made from pure cotton (and trademarked “PurCotton”) for consumers. It was fortuitous he had samples of tissue with him as we were all soaking wet. I am not one to exaggerate, but the tissues were incredibly soft to the touch, almost luxurious and I wish I could find them in my local grocery.

The company launched in 1991, listed on the OTC in 2005, launched the “PurCotton” brand in 2007, moved to Amex in 2009 and to Nasdaq in March of this year.

Three things you won’t garner from the company’s investor relations page on its web site, 1) Li founded the company using generous terms from vendors with whom he had prior business relationships, 2) Li speaks exceptional English and seems to understand the U.S. market in a way many China CEOs who have taken their companies public do not, 3) the cotton is grown in Texas.

When asked why Texas, Li said they company wants to use only the purest fiber and that the bags used to pack cotton in China are made of synthetic fiber which gets mixed into the cotton (Opportunity knocks for another entrepreneur in China to start manufacturing high-end bags for packing cotton!).

Li’s latest initiative is to launch a line of chain stores to sell PurCotton consumer products, such as baby products, feminine personal products and daily home care products. His target, of course, is the growing middle-class which is looking for high-end goods. Currently the company has 16 stores.

Analysts Coverage: John Ma, of Roth Capital.
Ma issued a report on WWIN in May, recommending a “buy”, citing that WWIN’s domestic market will continue to grow as recent medical reforms require provinces to centralize their procurement for medical disposable products for hospitals. This bodes well for companies which can meet high quantity orders. In addition, Ma believes there will be increasing sales in the U.S. (although he did not state why).

________________________________________________________________________

Newsbriefs, June 1, 2010

By jstites Leave a Comment

[THESE NEWSBRIEFS WERE FIRST PUBLISHED IN OUR WEEKLY EMAIL NEWSLETTER. TO BE ADDED TO THE LIST, PLEASE EMAIL: jstites @ chinabusinessknowledge.com.]

SPECIAL REPORT

Where in the World is Ying Yang?
In a surprising twist of events, China Green Agriculture (NYSE: CGA) CFO, Ying Yang, resigned in late April on the heels of a much-promoted visit to New York City to celebrate the company’s ringing of the Opening Bell on April 11. According to the company filing with the SEC, Ms. Yang resigned for unspecified reasons, but indicated she would continue to consult the company. A spokesperson for the CGA said she was offered a position she could not refuse as CFO of Kingtone (Nasdaq: KONE), which began to trade on the Nasdaq in mid-May.

Some in the sector are suspect and speculating there was friction and Yang was asked to leave. Indeed the timing, with Yang playing such a big role in the Opening Bell celebration is questionable. Yet, it’s hard to imagine she could make the transition so quickly to Kingtone with its listing coming so soon after her arrival.

In an email with CBK, Yang acknowledged there could be misconceptions, but pointed out that CGA and Kingtone share the same Chairman, Mr. Tao Li, who is also the President and CEO of CGA. The companies have their offices in the same building. “My decision to resign as CFO but continue to support them [CGA] as a consultant might sound sudden to the street,” Yang wrote, “but Mr. Li had asked me a while back if I was interested in working for Kingtone and taking the company public.”

In the U.S. it’s not uncommon for a CFO to develop an expertise, focusing on working with companies as a certain stage of growth, whether it be taking a company from $10 to $50 million, getting it ready for an offering, or coming in post-IPO to deal with Wall Street. Although very rarely would a CFO leave so shortly after listing on the NYSE. But it is not a stretch to think someone like Yang, who can make humic acid seem like such an interesting topic to investors, press and the like, might want a new challenge.

She seems genuinely enthusiastic about Kingtone and outlines the similarities and differences between the two companies, pointing out that both, “…have almost ten years established operations in China with strong management teams, proprietary technology and leading margins. One has a solid growth in the agricultural industry with acquisition opportunities going forward and one has a rapid growth for mobile enterprise solutions in both public and private sector with 3G rollout in China. “

For those who wonder about the choice and timing she has this to say, “Trust me, it was not an easy decision, which is also why the resignation just happened a couple of days before Kingtone’s IPO roadshow.”

CGA’s new CFO, Ken Ren, will have a challenge replacing Yang, as she was one of the best-known CFOs in the China-based/U.S. listed sector of companies for both her financial savvy and presentation skills. A native of China, Yang received her undergraduate degree from the University of International Business and Economics in Beijing and moved to the U.S. to get her M.B.A. in finance from the University of California Irvine.

Yang is one of the rare, true “crossborder” C-level executives, with roots in China, fluency in both Mandarin and English and an understanding of the similarities and differences of how businesses operate in both the East and the West. Taylor Zhang of China XD Plastics is the only other CFO of this ilk who comes to mind. She joined CGA in September 2008 and worked from her home in Denver. No doubt, Yang would have had her pick of jobs if other top-listed China-based/U.S. listed companies knew she was “in play” so Kingtone better have a B-list for possible CFOs come 2012, in case 24 months is her “itch” point.

Public relations seems to be a missing art among the China-based/U.S. listed company sector and, indeed, it seems Kingtone, and its bankers Roth and Maxium, missed an opportunity to aggressively publicize Yang’s CFO appointment in the days leading up to its listing on Nasdaq.

On the other hand, CGA’s IR firm HC International was quick to set-up meetings with investors and press in New York to meet Ren in mid-May [who is also fluent in Mandarin]. Ren has never served as a CFO for a company, public or private and, at age 33, will be one of the younger CFOs among companies listed on the New York Stock Exchange.

Prior to joining CGA, Ren served as a capital market analyst for the Federal Home Loan Bank in Des Moines, Iowa. Prior to that he was an investment associate at an asset management subsidiary of Wells Fargo and has also worked for GMAC-ResCap and Commerzbank. He received a Ph.D. degree in Operations Research in 2006, and a M.S. degree in Computational Finance in 2004, both from Purdue University.

It will probably take a few quarters and investors’ conference for Ren to establish his own identity as a CFO and lose his “rookie” status when it comes to CGA. To make the proverbial sports reference, Ren is like the quarterback who will someday be replacing Peyton Manning. Yang helped set a standard for CFO’s in the China-based/U.S. listed sector. If Ren has as strong as arm and as keen as vision Yang, then CGA should also be keeping a short-list of candidates for his position because he will be in much demand.
In the meantime, the next time Yang is in Xi’an, Mr. Li may want to stop by Kingtone and offer her a board position on CGA. It could not hurt.

As of Friday, May 28, CGA was trading at $10.70 during after hours trading, down from its 52-week high of $18.70, but up from its 52 week low of $6.25 from a week earlier (when the entire market drop precipitously.) KONE closed on Friday at $3.11, down from its opening day price of $4.00.

______________________________________________________________________________

DEALS

Songzai to Acquire Coal Mine
Songzai International Holding Group, Inc. (OTC BB: SGZH) has entered into an agreement to acquire the Erdos City Dongsheng District Liujiaqu Coal Mine located in the Inner Mongolia region of the PRC. The annual production capacity of the mine is expected to be 1.2 million metric tons in 2011 with continuous growth thereafter. The extracted coal is to be sold on a raw product basis as thermal coal for power generation, cement rotary kilns and other industrial and home heating uses. Songzai expects $50 million in revenues during its first full year of operation in 2011. Songzai is engaged in coal production and sales by exploring, assembling, assessing, permitting, developing and mining coal properties in China.

PEOPLE

Key Rodman Personnel Decamp to Global Hunter
New York-based Global Hunter Securities has expanded it China sector practice, hiring Barney Monte and Joe Giamichael. Monte will lead the firms’ China investment banking group; Giamiachael will lead its China research team. Monte most recently was head of the China investment banking group at New York-based investment bank Rodman & Renshaw. He previously was vice president of Akin Bay Company, advising clients on cross-border mergers and acquisitions in China, and also was an analyst with HSBC Securities. Giamichael most recently was director of research and senior China analyst at Rodman & Renshaw. He previously was managing director of CJS Securities, focusing on small cap companies in a number of sectors. Global Hunter currently provides research coverage and monitors more than 50 China-based companies whose securities trade on U.S. exchanges.

Chen Moves into CEO Position at New Energy
Shenzhen-based New Energy Systems Group (OTCBB: NEWN) has promoted Mr. Nian Chen to Chief Executive Officer. Chen replaces Mr. Fushun Li, who resigned as CEO on May 14, 2010, but will remain a board director. Chen was founder of Anytone, which New Energy acquired in Dec. 2009. Since he has been serving as the vice president of the Anytone division. Prior to joining Anytone, Chen served for more than five years as vice president of Shenzhen Vogue Industries Co., Ltd., a manufacturer of portable electronics. Chen received his M.B.A. from The Management Institute of Hubei Province and his undergraduate degree from Huangshi Institute of Technology. New Energy Systems Group is a vertically integrated original design manufacturer and distributor of lithium ion batteries and backup power systems for mobile phones, laptops, digital cameras, MP3s and a variety of other portable electronics.

New CFO at China Valves
Kaifeng-based China Valves Technology Inc. (Nasdaq: CVVT) announced on May 24, that Ms. Ichi Shih has stepped down from her position as Chief Financial Officer for personal reasons. The company’s board has appointed Mr. Renrui Tang as interim CFO until a permanent CFO is found. Tang has 17 years of experience from working with China Valves and is currently the company’s finance director. The company has also appointed Mr. Jy Ng as financial controller to assist with accounting and financial reporting duties. Ng has seven years of experience in financial auditing and SOX 404 compliance from Andersen Consulting and PricewaterhouseCoopers. His latest position was manager of the Assurance Division at PricewaterhouseCoopers.

Hollysys Downsizes Board by Four, Replaces Chairman
Beijing-based Hollysys Automation Technologies Ltd. (Nasdaq: HOLI) has reduced the size of its board from nine members to five and appointed company CEO and cofounder, Dr. Changli Wang, Chairman, effective May 26, 2010, replacing one of the rare female Chairpersons for China-based/U.S. listed companies, Li Qiao, who has resigned from the board. Like Qiao, the other three members to leave the board are/were non-executive, independent members including, Kerry S. Propper, Leonard Hafetz, and Kiam Fee Yao. No reason for the reduction or resignation was given in the company press release. Watch for more on this turnover in a future CBK “Week in Review.”

Bernstein Increases Staff in China
Bernstein & Pinchuk LLP has hired 15 additional senior staff to its Beijing, Guangzhou and Hangzhou offices to keep up the pace with its growing client market in China. Recently it has secured new audit engagements in the advertising, consumer goods and industrials sectors.

IN BRIEF

* Xianyang-based Biostar Pharmaceuticals Inc. (Nasdaq GM: BSPM) has begun the assembly of a new production line for its Zushima product, having completed Chinese Military Drug Administration clinical trials. Zushima is a traditional Chinese herbal product used to relieve pain through a topical application to affected areas or closed wounds. Zushima spray can also be used in the treatment of certain rheumatic conditions. The product was classified as “Specially Needed Drug” by the Chinese Military Drug Administration, which will also be available to the public.

* Shanghai-based China-Biotics (Nasdaq: CHBT) announced a number of its probiotics strains appear on the expanded probiotics list for food industry recently approved by the Ministry of Health in China.

* Wuxi-based Suntech Power Holdings Co., Ltd. (NYSE: STP) recently received official certification under the UK Microgeneration Certification Scheme (MCS) for its most popular models, a pre-requisite for selling solar panels in the UK market. The certification will enable customers and value-added resellers in the UK to utilize Suntech’s solar panels for reliable electricity generation.

* Harbin-based China XD Plastics Company Ltd. (Nasdaq: CXDC) is establishing a new research center “Harbin Xinda Macromolecule Material Engineering Center Co. to be operational in early 2011. The center will provide technical support for the company’s recently expanded modified plastic production base and enhance its research and development capabilities for modified plastics in new applications, such as new energy vehicles.

* HC International has published its latest newsletter: www. hcinternational. net

Jun

Newsbriefs, May 14, 2010

By jstites Leave a Comment

Categories: Uncategorized
Tags: CAGC, CAST, CBEH, China Agritech, China Integrated Energy, China Medicine, China Sky, ChinaCast, CHME, CSKI, Fred Wai-Kuen, HOLI, Hollysys, Linhua International, LIWA, MSPU, ONP, Orient Paper, SINA, Sino Green, SkyPeople, Universal Travel Group, UTG, VLOV, Yuhe, YUII

[THESE NEWSBRIEFS WERE FIRST PUBLISHED IN OUR WEEKLY EMAIL NEWSLETTER. IF YOU WOULD LIKE TO BE ON THE LIST, EMAIL: jstites @ chinabusinessknowledge.com.]

EARNINGS CALLS

SINA to Host Call on May 17
Shanghai-based SINA Corp. (Nasdaq: SINA) will announce its first quarter 2010 results on May 17, after the close of market. Management will hold a conference call at 9:00 p.m. EST. A live webcast of the call will be available from 9:00 p.m. – 10:00 p.m. Eastern Time on Monday, May 17, 2010 (9:00 a.m. – 10:00 a.m. Beijing Time on May 18, 2010). The webcast can be accessed through the Company’s corporate website at http://corp.sina.com . SINA is an online media and mobile value-added services.

SkyPeople to Host Call on May 18
Xi’an-based SkyPeople Fruit Juice, Inc. (Nasdaq: SPU) will host a conference call on May 18, 10:00 a.m ET, to discuss first quarter 2010 financial results. To attend the call, dial: (U.S. : 1-888-549-7735; International: 1-480-629-9857. Conference ID: 4299989. Webcast link:http://viavid.net/dce.aspx?sid=0000755A. A playback will be available through May 25, 2010. To access call: U.S. 1-800-406-7325; International: 1-303-590-3030. Pass code 4299989.

China Sky Reports Unaudited Results, Postpones Earnings call Until May 18
On May 10, 2010, Harbin-based China Sky One Medical (Nasdaq: CSKI) reported unaudited preliminary revenues of $28.9 million and operating income of $10.1 million for the first quarter ended March 31, 2010. The company also announced it will file a Notification of Late Filing under Rule 12b-25 of the Securities Exchange Act of 1934 with the SEC for an extension of its Quarterly Report on Form 10-Q for the quarter ended March 31, 2010. The company will also file an amendment to its 2009 Annual Report on Form 10-K to reflect the application of accounting standards related to the valuation of 750,000 warrants issued in 2008 (the “Warrants”).
China Sky One Medical intends to file the 10-Q for the quarter ended March 31, 2010 by Monday, May 17th, within the five day extension period, and the amended 10-K at about the same time. As a result of the delayed filing, the company will reschedule its first quarter 2010 earnings conference call from Tuesday, May 11, to Tuesday, May 18th. The company manufactures and distributes over-the-counter pharmaceutical products.

Q1 FINANCIAL RESULTS

China Agritech Reports Q1 Results, Reports 109% Increase in Revenue
Beijing-based China Agritech Inc. (Nasdaq: CAGC) announced its first quarter results on May 10, with net revenue increasing y-o-y 109 percent to $15.3 million. A replay of the company’s earnings call
will be available through Monday, May 17. To access, call: U.S. 1-866-214-5335; Canada 1-800-301-5423; China North 10-800-714-0386; China South 10-800-140-0386; Hong Kong: 800-901-596; International: +61 2 8235 5000; Conference ID: 73237864. It is also available on the company web site. China Agritech, Inc. is manufactures liquid and granular organic compound fertilizers and related products in China.

China Integrated Energy Reports 86.5% Increase in Sales
Xi’an based China Integrated Energy Inc. (Nasdaq: CBEH) released its first quarter 2010 results on Tuesday, May 11. Sales increased y-o-y 86.5 percent to $109.4 million. A playback of the earnings call is available through May 19, 2010. To listen, call: U.S. 1-800-406-7325; International: 1-303-590-3030. Pass code 4297433. Or visit: http://www.viavid.net. China Integrated Energy, Inc. is a leading non-state-owned integrated energy company in the PRC engaged in three business segments: the wholesale distribution of finished oil and heavy oil products, the production and sale of biodiesel, and the operation of retail gas stations.

Hollysys Reports $45.7 Increase in Revenue
Hollysys Automation Technologies t announced financial results for its fiscal 2010 Third Quarter Ended March 31, 2010. For the three months ended March 31, 2010, total revenues amounted to $33.4 million, increased by $10.5 million, or 45.7 percent, compared to $22.9 million year over year. Of the total revenues, revenue from integrated contracts amounted to $31.3 million, and that of each segment was as follows: $16.4 million, or 52.5 percent, related to Industrial Automation & Control; Rail and subway was $14.0 million, or 44.7 percent, of which $6.0 million, or 19.0 percent, was from Rail Signaling and Control projects, and $8.0 million, or 25.7 percent, was from Subway System Integration projects; and $0.9 million, or 2.8 precent, related to Nuclear Plant Control projects and miscellaneous. A recording of management’s conference call will be accessible at the company website: http://www.hollysys.com.sg/home/pubdown/130510.zip.

Orient Paper
On May 13, Baoding-based Orient Paper Inc. (AMEX: ONP) repored revenue for the first quarter of 2010 increased 48.3 year-over-year to $26.5 million. The company hosted an earnings call on May 14. 2010 first quarter results. To access a replay, dial: U.S. 800-642-1687; International : +1 706-645-9291. ID: 732 364 44. Or visit the company’s website: www.orientalpapercorporation.com.

Liuhua International Reported 208 Percent Increase in Sales to $63.2 Million
Danyang-based Lihua International Inc. (Nasdaq: LIWA) announced first quarter 2010 results on May 5. Highlights include: Sales increased 208 percent y-o-y to $63.2 million. Gross profit increased 107 percent y-o-y to $11.8 million. Net income increased 85 percent to $7.4 million, or $0.28 per diluted share, compared with $4.0 million, or $0.18 per diluted share in the first quarter of 2009. Lihua is a designer, manufacturer, marketer and distributor of low cost, high quality alternatives to pure copper products, including refined copper products and superfine and magnet wire, including copper clad aluminum. The company recently completed a public offering, in which it raised net proceeds of approximately $32.5 million. A webcast replay of the company’s earnings call will be available for 90 days, http://www.lihuaintl.com/Investor_Relations/Events_Presentations.html.

Yuhe Reports Modest Increases
Weifang-based Yuhe International Inc. (Nasdaq: YUII) held a conference call on May 14 to discuss results for the first quarter of 2010. Highlights include, a net revenue increase of 7.7 percent to $11.8 million y-o-y; a sales volume increase of 11 percent to 25.6 million birds y-o-y; and gross profit of $3.9 million with gross margin of 33.2 precent. To listen to the replay dial: U.S. (800) 642-1687; International (706) 645-9291. Pass code: 748 854 98.

DEALS

UTG to Make More Acquisitions
Shenzhen-based Universal Travel Group (NYSE: UTA) announced on May 4 it had entered into letters of intent to acquire four travel agency businesses in China, including Tianjin Hongxun Aviation Agency Co., Ltd. (“Tianjin Hongxun), Shanxi Jinyang Travel Agency Co., Ltd. (“Shanxi Jinyang”), Kunming Business Travel Agency Co., Ltd. (“Kunming Business Travel”), and Shandong Century Aviation Development Co., Ltd. (“Shandong Century”) — for a total purchase consideration of $19.5 million. Tianjin Hongxun is an airline ticket agency, with a database of approximately 400,000. Shanxi Jinyang is one of the largest travel agencies in Shanxi Province in terms of tourist volume and revenues. Kumming Business Travel is a golf travel service agency. Shandong Century is an electronic ticket reservation platform and the largest ticket agency in Shandong Province.

ChinaCast Receives Direct Investment
Beijing-based ChinaCast Education Corp. announced the signing of an agreement for a $29.3 million direct investment in the company by Mr. Wu Shi Xin, the owner of Wintown Enterprises Ltd., a holding company which, after completion of a reorganization, will own 100% of Hubei Industrial University Business College (HIUBC), a private, accredited university located in Wuhan, China. The purchase of ChinaCast shares by Mr. Wu is an initial step in the execution of the company’s acquisition of HIUBC, pursuant to a Memorandum of Understanding (“MOU”) previously announced on March 30, 2010, for an expected total consideration of $66.0 million.

SkyPeople Signs Supplier Agreement
Xi’an-based SkyPeople Fruit Juice Inc. (Nasdaq: SPU) has signed a $2.2 million supplier agreement with Xi’an Boai Pharmaceutical Corporation Limited to supply a new specialty fruit concentrate, turnjujube, for use in Boai’s production of Chinese medicines, marking the company’s entry into raw material supply to pharmaceutical producers in China.

PEOPLE

VLOV Appoints CFO
Xiamen-based VLOV Inc. (OTC BB: VLOV) has appointed Bennet P. Tchaikovsky as Chief Financial Officer, effective immediately. Based in the U.S., Mr. Tchaikovsky will act as part-time CFO for VLOV and serve as one of the company’s primary contacts for investors. For the past three years, Mr. Tchaikovsky has specialized in China-based companies that are publicly traded on U.S. stock exchanges. During the past year, while serving as CFO, he was instrumental in the uplisting process from the OTC Bulletin Board to the NASDAQ Capital Market for Skystar Bio-Pharmaceutical Company (NASDAQ: SKBI) and China Jo-Jo Drugstores (NASDAQ: CJJDD). He also assisted in raising over $17 million in gross proceeds for each company through direct offerings. Tchaikovsky will continue to serve as part-time CFO for China Jo-Jo Drugstores. Tchaikovsky has also served as a Director and Audit Committee Chairman of Ever-Glory International Group (NYSE AMEX:EVK) and Sino Clean Energy, Inc. He began his career with Coopers & Lybrand, LLP (now PricewaterhouseCoopers, LLP) and received a B.A. in Business Economics from the University of California at Santa Barbara, and a J.D. from Southwestern University School of Law. He is an actively licensed California Certified Public Accountant and an inactive member of the California State Bar.

Sino Green Appoints New CEO
Guangzhou-based Sino Green Land Corp. (OTC BB: SGLA) announced May 7, that company Executive Chairman, Anson Fong, will assume the additional role of Chief Executive Officer following the departure of Mr. Chi Ming Leung, who has left the company for personal reasons. The company also promoted Mr. Yan Pan to Chief Operating Officer, replacing Mr. Xiong Luo who has resigned to focus on his work with the PRC government related to its green food initiatives. He will remain a member of the board of directors. Since its founding in 2003, Sino Green Land has grown from a small distributor of various produce to a large distributor of high end fruits such as: Fuji apples, emperor bananas and tangerine oranges.

China Medicine Appoints New CFO
Guangzhou-based China Medicine Corp. (OTC BB: CHME) has appointed Mr. Fred Wai-Kuen Cheung as its Chief Financial Officer. Prior to joining China Medicine, Cheung was an investment manager at CLSA Capital Partners (HK) Ltd. He has also served as the financial controller for Podium Development Co., Ltd. in Hong Kong and China. He worked at VTech Holdings Ltd. and as the accounting manager for DuPont China Ltd. He began his career at Deloitte Touche Tohmatsu. He received his bachelor’s degree in Accountancy from Hong Kong Polytechnic University and his CPA from the Hong Kong Institute of Certified Public Accountants.

May

Register Now for China Prospects Forum, Directors’ Roundtable, June 2

By jstites Closed

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Wednesday, June 2, 2010
8:00 – 10:00 a.m.
“Twenty Four Fifth Ballroom”
(24 5th Ave., b/t 9th & 10th Streets)
New York City

www.chinaprospectsforum.eventbrite.com

newbriefs April 24-May 3

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MARKET MOVES

China Agritech Announces Pricing of $20 Million Public Offering
Beijing-based China Agritech Inc. (Nasdaq: CAGC) expects to close Tuesday (May 4, 2010) a public offering of 1,243,000 shares of its common stock at a price of $16.50 per share. The offering is expected to close on May 4, 2010, subject to customary closing conditions. The company will receive aggregate net proceeds of approximately $18.3 million after deducting underwriting discounts and commissions and estimated offering expenses payable by the company, not including the over-allotment option. The company expects to use the net proceeds from this offering to establish branded large-scale distribution centers and the remainder of the net proceeds, if any, for working capital and general corporate purposes. Rodman & Renshaw LLC is acting as sole book running manager for the offering. China Agritech, Inc. is engaged in the development, manufacture and distribution of liquid and granular organic compound fertilizers and related products in China.

Biostar Moves to Nasdaq
Xianyang-based Biostar Pharmaceuticals Inc. (OTCBB: BSPM) began trading on the Nasdaq on April 23, 2010, under the ticker “BSPM”. The company develops, manufactures and markets pharmaceutical products for a variety of diseases and conditions. The Company’s most popular product is its Xin Aoxing Oleanolic Acid Capsule, an over-the-counter (“OTC”) medicine for chronic hepatitis B, a disease affecting approximately 10 percent of the Chinese population. Mr. Ronghua Wang serves as Chairman.
VisionChina Media Inc. (Nasdaq: VISN) will report its financial results for the first quarter 2010 on May 10, and host an earnings call at 8:00 p.m. EST. To participate dial: U.S. Toll Free: + 1-866-730-5766; Hong Kong: + 852-3002-1672; International: + 1-857-350-1590.

Yuhe Secures Extension on Loans
Weifang-based Yuhe International Inc. (Nasdaq: YUII) announced that the company extended the maturity of dates of its RMB 56 million (approx. $8.2 million) bank loans to the first quarter of 2013. In addition, the interest rate on these loans was reduced to a fixed annual interest rate of 7.56 percent compared to the previous rates which varied between 8.64 percent and 13.82 percent.

EARNINGS

ChinaCast to Report Earnings, May 10
ChinaCast Education Corp. will report its financial results for the first quarter-ended March 31, 2010, on May 10, 2010, after the close of market. ChinaCast’s management team will host an earnings conference call at 8:30 am ET, Tuesday, May 11, 2010. To participate, dial: U.S./Canada Toll Free: +1-877-303-9226; International: +1-760-666-3566. A replay of the earnings conference call will be available at the following numbers: U.S./Canada Toll Free: +1-800-642-1687. Replay Pass Code: 70868347. Additionally, a live and archived version of the earnings call will be available at www.chinacasteducation.com.

PEOPLE

Wuhan Appoints New CEO
Wuhan-based Wuhan General Group (Nasdaq: WUHN) has appointed Mr. Ruilong Qi as Chief Executive Officer, replacing Mr. Jie Xu, who has resigned to devote more time to other business interests, according to a company press release. Since May 2005, Mr. Qi has served as the Chairman and Chief Executive Officer of Zhong Xin Guo Lian Investment LLC, an investment and asset management company based in Beijing, China. From December 2000 to September 2004, Mr. Qi served as Chief Executive Officer of Wuhan Li Nuo Solar Energy LLC (SHA: 600885), which mainly produces solar thermal conversion materials and solar photovoltaic generation materials. From December 1997 to December 2000, Mr. Qi was employed as the Chief Executive Officer and Vice President of Wuhan Cable (Group) LLC, which was the predecessor company of China Aerospace Times Electronics Co., Ltd. (SHA: 600879). Mr. Qi also served as Vice President of Tian Jing New Giant International Trade LLC from April 1996 to August 1997 and as Manager of China Mechanical Equipment LLC from July 1986 to March 1996. Mr. Qi received a Bachelor’s Degree of Science in mechanical engineering from Tsinghua University in 1986.

New Energy Systems Group Appoints Independent Director
Shenzhen-based New Energy Systems Group (OTCBB: NEWN) has appointed Mr. Rongqi Dai as a new, independent member of the company’s Board of Directors. Since 2003, Mr. Dai has served as Executive Director of CEC Shenzhen SED Electronics Co., Ltd., with full responsibility for sales and marketing of the company’s mobile phone accessories. CEC Shenzhen SED Electronics is focused on the Chinese mobile phone handset market with annual sales approaching RMB $500 million. Previously, Mr. Dai served for seven years as President of Shenzhen Qianhao Communication Electronics Co., Ltd., a subsidiary of Shenzhen Zhongfa Electronic Co. Prior to that, he served for seven years as President of Shenzhen Zhongfa Electronic Co., Ltd., which is affiliated with the China Electronic Appliance Corporation, one of the three largest state-owned trading companies in the electronic industry in China. There he was responsible for R&D and marketing a variety of GPS products. New Energy Systems designs and manufactures, and distribute lithium ion batteries and backup power systems. Mr. Fushun Li serves as CEO.

China Digital Animation Appoints New Independent Board Member
Harbin-based China Digital Animation Development Inc. (OTCBB: CHDA) has appointed Shaoqui Xia to the Board of Directors, replacing Hu Yumei who will continue as CFO. Mr. Xia has been Deputy Secretary in the Government of the City of Harbin, China and has simultaneously held a board position at Advanced Battery Technologies, Inc. (NASDAQ: ABAT). During the eight years prior to his employment with the government, Mr. Xia was president of Harbin Electrical and Mechanical Production Company where he oversaw all aspects of the company’s operations. He received a Bachelors Degree in Science in 1967 from the Shenyang Industrial University. China Digital Animation Development, Inc. is a China-based digital animation development company, operating in Harbin and New York City. Mr. Qiang Fu serves as Chairman and CEO.

Wizel Appointed Member of FASB Advisory Board
Larry Wizel has been appointed a member of the Financial Accounting Standards Board Business advisory Committee. A retired partner of Deloitte’s Chinese & Technology Services Groups , Wizel sits on a number of boards of China-based/U.S. listed companies, including 3SBio Inc. (Nasdaq: SSRX), American Oriental Bioengineering (NYSE: AOB) and Puda Coal (Amex: PUDA).

Zhao Joins CCG IR as Media Specialist
Kate Zhao has joined CCG Investors Relations as a media relations specialist. Zhao has worked as a writer and as a columnist for China Business News and 21st Century Business Herald.

IN BRIEF….

Wuxi-based China Wind Systems Inc. (Nasdaq: CWS) announced it had signed an agreement to provide forged products on a trial basis to Guangdong MingYang Wind Power Techonology Co., a manufacturer of wind power turbines and installer of services for wind turbines.

Junan County-based American Lorain Corporation (NYSE Amex: ALN) “Lunch Box” products are now being sold in 550 7-Eleven convenience stores in Guangzhou. The Lunch Box is a rice-based meal which includes a protein and a vegetable as part of a packaged meal.

Kaifeng-based China Valves Technology has secured a $2 million order or gate valves, check valves and globe valves from the China Nuclear Power Engineering Corp. (CNPEC).

Harbin-based China XD Plastics Company (Nasdaq: CXDC) has entered into a District Entry Agreement and Memorandum with Harbin Economic and Technologics Development Zone Administration to relocate its manufacturing facilities. The relocation will occur in phases over three months and is not expected to disrupt production.

Harbin-based China Sky One Medical Inc. (Nasdaq: CSKI) announced the launch of two products, one to treat acute and chronic rhinitis, sinusitis and allergic rhinitis, the other for pain relief of scathe, wound, rheumatism and arthrosis.

Apr

newsbriefs March 23-April 12, 2010

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MARKET MOVES

Orient Paper Closes Offering
Baoding, Hebei-based Orient Paper Inc. (NYSE Amex: ONP) announced pricing on March 31, for a public offering of 3,000,000 shares of common stock. The shares were offered to the public at $8.25 per share. The offering closed on April 6.Net proceeds from the offering are expected to be used for general corporate purposes, including expanding the company’s products, and for general working capital purposes. The company may also use a portion of the net proceeds to acquire or invest in businesses and products that are complementary to its own. Roth Capital Partners acted as the sole manager for the offering.

EARNINGS RESULTS

American Lorain Earnings Up
Junan County-based American Lorain Corp. (NYSE: ALN) announced its fourth quarter and full-year financial results for the year-ended Dec. 31, 2009. Fiscal year-end highlights include revenue up 10.9 percent y-o-y to $146.8 million. Operating income was $22.6 million, up 8.0 percent from the previous year; net income was $14.4 million, a decrease of 2.0 percent versus prior year. American Lorain manufactures and sells 230 food products, including chestnut products and convenience foods, in 26 provinces.

ChinaCast Revenue Up
Beijing-based ChinaCast Education (Nasdaq: CAST) reported fourth quarter and 2009 year-end financial results on March 29, 2010. 2009 revenues increased 23 percent to $51.0 million; net income increased 116 percent to $13.5 million.

China Agritech Revenue Up
Beijing-based China Agritech Inc. reported fourth quarter and 2009 year-end financial results on March 31, 201. 2009 net revenue increased 68.3 percent to $76.1 million. GAAP net income was $5.7 million or $0.40 earning per diluted share.

China Automotive Systems Revenues Up
Wuhan-based China Automotive Systems (Nasdaq: CAAS) announced financial results for the fourth quarter and fiscal year-ended Dec. 31, 2009, on March 25. Annual net sales were $255.6 million for the fiscal year 2009, up 56.6 percent or $92.4 million from the fiscal year 2008 annual sales of $163.2 million. A replay of the company’s earnings is available, dial: U.S. Toll Free Number +1-877-660-6853; International +1-201-612-7415. Account “286″ and Conference ID “347278.”

China Biologic Revenues Up
Tai’an-based China Biologic Products Inc. (Nasdaq: CBPO) announced its fourth quarter and 2009 year-end results on March 23, 2010. Full-year 2009 revenues increased 154.5 percent year-over-year to a record $119.0 million, exceeding our guidance of $90 to $100 million. Excluding the acquisition of Dalin, revenues grew 43.1 percent year-over-year to $66.9 million. Gross profit rose 164.1% to $86.4 million, representing a gross margin of 72.6 percent as compared to 70.0 percent a year ago. A replay of the company’s earnings call is available at 800-642-1687; international +1-706-645-9291. Pass code: 64404888.

China Valves Reports Earnings
Kaifeng-based China Valves Technology Inc. (Nasdaq: CVVT) held a conference call Monday, March 29, 2010, to discuss the financial results for the fourth quarter and fiscal year-ended on Dec. 31, 2009. To access the replay dial: U.S. 800-642-1687; International +1-706-645-9291. Pass code is 65365413.

China Wind Revenues Up
Wuxi-based China Wind Systems, Inc. (Nasdaq: CWS) announced its fourth quarter and fiscal year 2009 results on March 31. Highlights include 2009 revenue increase of 26 percent to $53.5 million. Adjusted net income increased 35 percent y-o-y to $7.8 million. Gross profit increased 22.5 percent to $12.9 million. A replay will be available for 14 days starting March 31 at 10:00 a.m. ET. To access the replay, dial (877) 642-1687 and enter pass code 658 881 10; international callers dial (706) 645-9291.

Lihua Revenues Up 223%
Danyang-based Lihua International Inc. (Nasdaq: LIWA) reported its fourth quarter and 2009 year-end financials on March 31. Full-year sales increased 223 percent to $161.5 million; full-year gross profit increased 116 percent to $36.2 million. Full-year net income increased 43 percent to $16.8 million.
The replay of the earnings call will be available through April 14, 2010, dial: U.S. 1-800-406-7325; International 1-303-590-3030. Access code: 4272185. It can also be accessed thru the company’s website at http://www.lihuaintl.com/Investor_Relations/Events_Presentations.html. Lihua Copper is a leading value-added manufacturer of copper replacement products for China’s rapidly growing magnet and fine wire market.

Orient Paper’s Revenues Up
Baoding, Hebei-based Orient Paper Inc. (Amex. ONP) announced fourth quarter and 2009 year-end financial results on March 29, 2010. Revenue increased 56.7 percent y-o-y to $102.1 million. Gross profit increased 59.5 percent to $20 million; net income increased 45.0 percent to $12.7 million. To access the replay of the earnings call, dial U.S. 800-642-1687; International , +1 706-645-9291. Pass code: 645 845 89. This conference call will be broadcast live over the Internet and can be accessed by all interested parties by clicking on http://www.orientalpapercorporation.com/.

Wuhan General Revenues Down
Wuhan-based Wuhan General Group Inc. (Nasdaq: WUHN) reported fourth quarter and 2009 year-end results on April 1. Full year revenues were down–$93.1 million compared to $118.6 million in 2008–but exceeding guidance of $88 to $92 million. But fourth quarter results were up, $33.1 million from $28.1 million in 2008. The CEO attributes the fourth quarter rebound to sales of turbines to hydropower plants. To access the replay of the earning calls, dial (800) 642-1687; international +1(706) 645-9291, and enter the pass code 64423653. The call will be available until April 14.

WSP Holdings Revenues Down
Wuxi-based WSP Holdings (NYSE: WH) announced its fourth quarter and 2009 year-end financial results on March 30. Revenues, gross profit and net income were all down. Net revenue was down 38.9 percent to $557.1; gross profit was down 62.2 percent to $78.9 million; net income decreased 96.6 percent to to $3.4 million. For a replay of the earnings call, dial: U.S. 888-286-8010; International: 617-801-6888. Pass code is 164 948 80. The call will also be accessed via: http://www.wsphl.com.

China XD Postpones Earnings Call
Harbin-based China XD Plastics Company Ltd. (Nasdaq: CXDC) postponed its March 31, 2010, earnings call. It plans to report fourth quarter and full year 2009 financial results on or before Thursday, April 15. The company is unable to prepare and review all necessary information and disclosures in its Annual Report on Form 10-K within the prescribed due date of March 31, 2010, without incurring unreasonable effort and expense. China XD is a developer, manufacturer, automotive applications in China.

NEWS & DEALS

Linktone Makes Acquisitions
Beijing-based wireless entertainment services provider, Linktone Ltd. (Nasdaq: LTON), has announced the acquisition of 75 percent of the share capital of Singapore-based InnoForm Group. The company specializes in the development, distribution and licensing of edutainment and entertainment products. According to Linktone’s release, it is one of the industry’s leading VCD/DVD/CD distributors for both the English and Chinese language markets in Singapore and the Asian region. The company has regional offices in Malaysia, Taiwan and Hong Kong. The acquisition is part of Linktone’s international expansion strategy. Hary Tanoesoedibjo serves as CEO of Linktone.

Suntech Installs Solar Installation at Harrah’s in California
Suntech Power Holdings Co, Ltd. (NYSE: STP) has completed a solar installation for Harrah’s Rincon Casino in Valley Center, Calif. The system will offset nearly a quarter of the Casino’s total energy consumption and is part of Harrah’s ongoing conservation and sustainability effort. With over 4,000 Suntech solar panels installed at the Harrah’s Rincon site, the system covers over five-and-a-half acres and will provide enough power to run nearly 90 percent of the 662-room property’s HVAC system.

PEOPLE

China Fire’s Chairman/CEO Resigns
Beijing-based China Fire & Security Group Inc. (Nasdaq: CFSG) announced that its chairman and CEO, Gangjin Li, has resigned due to health reasons. The board of directors has appointed Li’s brother, Weigang Li, as chairman and Brian Lin as CEO.

ATA Appoints CFO
Beijing-based ATA Inc. (Nasdaq: ATAI) has appointed Mr. Benson Tsang as Chief Financial Officer, as well as Financial and Principal Accounting Officer. Tsang served as CFO of WuXi Pharmatech Inc. (NYSE: WX) from July 2006 to Feb. 2009. Prior to that he worked for both private and public companies including PCCW Ltd. and Gobal Tech Holdings Ltd. He has also worked for PriceWaterhouseCoopers and Deloitte.

IN BRIEF…

Shenzhen-based Universal Travel Group (NYSE: UTA) has completed the previously announced acquisition of Huangshan Holiday Travel Service Co. Hebei Tianyuan International Travel Agency Co., Ltd., and Zhengzhou Yulongkang Travel Agency Co., Ltd.
Xi’an-based China Green Agriculture (NYSE: CGA) has opened 16 directly-owned retail stores and selected 308 stores as “China Green Agriculture Authorized Retailer” of its Jinong branded HA compound fertilizer products. China Green produces of humic acid (“HA”) based compound fertilizer.
Daqing-based Nutrifruit Group Limited (NYSE Amex: CNGL) announced the company’s decision to cease production of its beverage products, effective immediately, and plans to utilize the additional space at its Daqing facility for production of its core high-margin products.
Harbin-based China Sky One Medical (Nasdaq: CSKI) announced the launch of 13 new SFDA approved products to roll out over the next few quarters.

Apr

newsbriefs week ending March 22 2010

By jstites Leave a Comment

“China Overseas Listed Corporations Association” Established
The “China Overseas Listed Corporations Association” (COLCA) was established earlier this month in China, beginning with an organizational meeting in Beijing. The Association is a non-profit organization devoted to promoting high standards of corporate governance among its members. The Association counts among its members more than 40 Chinese firms either listed or preparing to be listed on the NASDAQ, NYSE, NYSE Amex, London Stock Exchange and the Hong Kong Stock Exchange.

In addition to corporate governance, the Association strives to support its members in all stages of being a public company and to promote success by enhancing investor confidence. Mr. Wang Xianzhang was elected as the first president of the Association to serve a three-year term. He is currently the director of the Central University of Finance and Insurance, the former president of the China Insurance Association, the former general manager of the China Life Insurance Group and the former chairman of China Life Insurance Co. Mr. Xiaoping Zhang, Chairman and CEO of SORL Auto Parts Co., Ltd. (NASDAQ: SORL), Mr. Qingjie Zhao, Chairman and CEO of Wonder Auto Technology Co., Ltd. (WATG), and Mr. Siping Fang, Chairman of China Valves Technology Co., Ltd. (CVVT), were elected as executive vice presidents.

The member list of the first council of the association, in alphabetical order, are:
3SBio Inc. , China Digital TV Holding Co., Ltd., STV China Education Group pending China Information Security Tech, China Interactive Education, Inc., China Ritar Power Corp Inc., China Valves Technology, Inc., China Wonder Limited, Daqing Longheda Food Company Limited, Global Education & Technology Group pending Hollysys Automation Technologies, Ltd. , Jiangsu Fengye Electric Power Environmental Protection Group pending Jinheng Automotive Safety System Co., Ltd. , Jinzhou Yangguang Energy Co., Ltd. , Pansoft Company Limited, Sino Dragon New Energy Holdings Limited, SORL Auto Parts, Inc. , Wonder Auto Technology, Inc., Yuhe International Inc.

MARKET MOVES

China Recycling Moves to Nasdaq
Xi’an based China Recycling Energy Corp. (OTC BB: CREG) will begin to trade on the Nasdaq Global Market on Monday, March 22, 2010, under the ticker “CREG.” The company provides environmentally friendly waste-to-energy technologies to recycle industrial byproducts for steel mills, cement factories and coke plants in China. By products include heat, steam, pressure, and exhaust to generate large amounts of lower-cost electricity and reduce the need for outside electrical sources. Mr. Guohua Ku serves as chairman and CEO.

EARNINGS RESULTS & CONFERENCE CALLS

Acorn Revenue Up
Shanghai-based Acorn International (NYSE: ATV) announced its unaudited financial results for the quarter and full -year end Dec. 2009. Highlights for full-year 2009 include net revenues of $287.6 million, an increase of 22.8 percent compared to $234.1 million for full-year 2008. Gross margin was 47.6 percent, compared to 48.5 percent in for full year 2008. The company also announced the resignation of its CFO (see below).

Linktone Revenue Slightly Down
On March 19, Beijing-based Linktone Ltd. (Nasdaq: LTON) announced its unaudited financial results for the fourth quarter and fiscal year 2009. 2009 revenue was $62.2 million, compared with $67.0 million in 2008. A replay of company’s conference call is available through April 1, 2010. To access dial: U.S. +800-406-7325 and enter passcode 4263860#; International callers dial 303-590-3030 and enter the same passcode. Additionally, a live webcast can be accessed for 90 days at http://www.linktone.com/webcasts.jsp. Linktone provides wireless interactive entertainment services. Hary Tanoesoedibjo serves as CEO.

China Finance Online Revenue Slightly Up
China Finance Online [Nasdaq: JRJC] announced fourth quarter results for fiscal year 2009 on March 16, 2010. Net revenues for 2009 were $53.6 million compared to $53.2 million in 2008. A replay of the company’s conference call is available until March 23. Dial: U.S. Toll Free : +1-866-572-7808; Hong Kong: +852-3012-8000. Access code: 610327. The call will be archived for 12 months at: http://tinyurl.com/yfmle4g .

China Sky Revenues Up
China Sky One Medical (Nasdaq: CSKI) announced financial results for the fourth quarters and fiscal year-end 2009, as well as earnings guidance for full year 2010. Total revenues increased 41.7 percent to $130.1 million, in-line with management guidance. Gross profit grew 41.8 percent to $98.4 million.
A replay is available. To access: dial U.S. 800-642-1687; International 706-645-9291. Passcode: 61931973.

China Automotive to Announce Financial Results March 25
Wuhan-based China Automotive Systems Inc. (Nasdaq: CAAS) will announce its financial results for fourth quarter and fiscal year ended Dec. 31, 2009, on March 25. Management will conduct a conference call on Thursday, March 25th at 8:00 a.m. EDT to discuss these results. To access dial: North America: +1-877-407-9205; International: 201-689-8054. In addition, the conference call will be broadcast live over the Internet at: http://www.caasauto.com. A telephone replay of the call will be available after the conclusion of the conference call through 11:59 PM EDT on Thursday, April 1, 2010. The dial-in details for the replay are: U.S. Toll Free Number +1-877-660-6853, International dial-in number +1-201-612- 7415; using Account “286″ and Conference ID “347278″ to access the replay. The internet audio stream will also be available until 11:59 pm EDT on Thursday, April 8.

China Valves Announces Fiscal Guidance
Kaifeng-based China Valves Technology, Inc. (Nasdaq: CVVT) has announced its fiscal guidance for 2010. The company expects to achieve approximately $40 million in net income for fiscal year 2010, representing a 74 percent increase from the company’s 2009 net income guidance of $23 million. The guidance includes the impact of the acquisition of Hanwei Valve, which the Company expects to close in March 2010, but does not include the impact of any additional potential acquisitions. China Valves manufactures high-quality metal valves for the electricity, petroleum, chemical, water, gas and metallurgy industries. Siping Fang serves as CEO.

NEWS & DEALS

Acorn’s CFO Steps Down
Shanghai-based Acorn International Inc. (NYSE: ATV) announced on March 12, 2010, that its Chief Financial Officer, Gordon Wang, will step down effective April 1, 2010. Following his departure, Mr. Wang will continue serving as an external consultant to continue contributing his knowledge and expertise to the company. Mr. David He, Vice President of Operations in charge of the Company’s financial systems, logistics, and payments systems, will serve as interim CFO until a successor is named. Acorn sells consumer products over multiple platforms. Mr. James Hu serves as Chairman and CEO.

Suntech to Power Major Power Plant in Taiwan
Wuxi-based Suntech Power Holdings Co. Ltd. (NYSE: STP) announced it will supply solar panels for what will be the biggest solar power plant in Taiwan in Young’an, Kaohsiung. According to the release, it will nearly double the island’s current installed solar capacity of about 5MW. Dr. Zhengrong Shi serves as Chairman and CEO.

China Sky Receives Certifications
Harbin-based China Sky has received certification for its Myocardial Infarction and Urine Microalbumin Diagnostic Kits. The CE marking certifies that the two products have met the European Union (EU) health and safety standards and are approved for sale in the 27 EU countries and four members of the European Free Trade Association (EFTA). The company also announced that Antroquinonol (Hocena) capsule, a new anti-cancer drug co-developed by Taiwan Golden Biotechnology Corporation (“Golden Biotech”) was recognized as a Breakthrough Drug by the Chinese Ministry of Science and Technology.

Bernstein & Pinchuk Expands China Presence
Bernstein & Pinchuk LLP is expanding its China presence with an office in Hangzhou to service the greater Zhejiang Province. In addition, B&P recently added 15 senior audit staff to augment the firm’s presence in Beijing and Guangzhou to service the more than 20 private Chinese companies that are seeking public status in the United States.

IN BRIEF……

Fuqing City-based China Clean Energy Inc. (OTC BB: CCGY) announced that it had secured a line of credit for up to approx. U.S. $4.8 million from Fujian Haixia Bank to support the ramp-up of its Jiangyin Plant.
China New Energy (OTC BB: CNER) has entered into a Equity Transfer Agreement to acquire a 70 percent equity interest in Beijing Century Dadi Gas Co. Ltd.
Weifang, Shandong-based Yuhe International Inc. (Nasdaq: YUII) announced that Grant Thornton had resigned as the company’s auditor as of March 5, 2010. Child, Van Wagoner & Bradshaw PLLC was appointed effective March 9, 2010. The company held a conference call to discuss the change. A replay is available until March 26. Dial U.S.; 800-642-1687; International 706-645-9291. Passcode: 628 515 93.
Beijing-based Yongye International Inc.’s (Nasdaq: YONG) operating entity Yongye Nongfeng Biotechnology has signed a preliminary agreement with a local supplier of humic acid to purchase an undeveloped lignite coal resources project in Inner Mongolia.
OLP Global LLC releases reviews of China Fire & Security Group.
HC International has published its Spring 2010 Mid-Quarter Newsletter: www.hcinternational.net.

Mar

Newsbriefs–First Quarter, 2010

By jstites Leave a Comment

Categories: Uncategorized
Tags: 3SBio, Acron International, ALN, American Lorain, ATA, ATAI, ATV, Biostar, Biostar Pharmaceuticals, BSPM, CAAS, CAGC, Carl Yeung, CAST, CBEH, CBPO, CCGY, CFSG, CGA, CHBT, CHC, CHDA, China Agritech, China Automotive, China Biologic, China Clean Energy, China Digital Animation Development, China Distance Education Holdings, China Fire & Security, China Green, China Hydroelectric, China Information Security Technology, China Integrated Energy, China Security & Surveillance, China Valves, China Wind Systems, China XD Plastics, China-Biotics, ChinaCast Education Corp., ChinaNet, CNGL, CPBY, CSR, CVVT, CWS, CXDC, DL, Duoyuan, DYP, EquityNet, FMCN, Focus Media, Gary Cao, GFRE, Grayling, Gulf Resources, HOLI, Hollysys Automation, JGBO, Jiangbo, Linktone, Lotus, LTON, LTUS, Luoxin, New Energy Systems, NEWN, Nutrifruit Group, OLP Global, ONP, Orient Paper, OTCQX, Pansoft, Philip Tsz Fung Lo, PSOF, PUDA, Puda Coal, RedChip Companies, SDTH, SGLA, ShengdaTech, SINA, Sino Green, SKBI, Skystar, SLUXY, SORL Auto Parts, SSRX, STP, Suntech, Tianyin Pharmaceutical, Tongxin International, TPI, Travis Cai, TXIC, Universal Travel Group, UTA, VisionChina Media, VISN, WATG, Wonder Auto Techology, Xinhua, XSEL, Ying Zhang, YONG, Yongye, Yuhe International, YUII

From March 11–Week in Review–Email Newsletter
[Email jstites@chinabusinessknowledge.com to add your name to our email list and receive "Week in Review.]

MARKET MOVES

ChinaNet Begins to Trade on NYSE
ChinaNet Online Holdings Inc. (formerly, OTC BB: CHNT) began trading on the NYSE Amex on March 4, 2010, under the ticker “CNET.” It will continue to trade on the OTC BB under the symbol “CHNT.” The company, a parent company of ChinaNet Online Media Group Ltd. is a full-service media development, advertising and communications company via multiple platforms, including Internet advertising, TV commercials, in-house LCD advertising on banking kiosks targeting Chinese banking patrons. Mr. Handong Cheng serves as CEO.

EARNINGS ANNOUNCEMENTS & CONFERENCE CALLS

Biostar Announces Revenue & Guidance
On March 1, Xianyang-based Biostar Pharmaceuticals Inc. (OTC BB: BSPM) announced revenue and net income guidance for the fiscal year ending Dec. 31, 2010. The company forecasts revenues of $69.0 to $71.0 million with net income of $16.2 million to $17 million, excluding any non-cash charges. Management anticipates sales of its flagship product, Xin Aoxing, will represent approximately 68 percent to 70 percent of revenues during 2010.

China Digital Reports Q2 Results
On March 1, Harbin-based China Digital Animation Development Inc. (OTC BB: CHDA) provided financial results for its fiscal second quarter ended Dec. 31, 2009. The company reported the pending acquisition of film production company Chongqing Diny Ares Filming Productions Co., Ltd. Revenue for the second quarter of fiscal 2010 totaled $1.2 million versus $1.4 million in the second quarter of fiscal 2009. Revenue from animation design and development was $877,820, compared to $945,000 for the same period last year. Overall gross profit in the second quarter was $537,000 versus $1.2 million in the same period last year, reflecting several lower margin projects and reduced revenue from the Trans World Financial website. Net income was approximately $251,000, or $0.01 per share versus $736,000, or $0.04 per share in the second quarter of last year. As of Dec. 31, 2009, the company had cash and cash equivalents of $1.1 million, working capital of $3.4 million, no long-term debt, and shareholders’ equity of $13.1 million.

VisionChina Announces Financials, 16.6% Growth
VisionChina Media (Nasdaq: VISN ) announced its fourth quarter and full-year 2009 results on March 2, 2010. Highlights include 16.6 percent y-o-y growth. Total revenues in the fourth quarter of 2009 increased 3.4 percent quarter-over-quarter to $31.8 million. Gross profit in the fourth quarter of 2009 was $14.5 million, representing a decrease of 5.5 percent from $15.4 million in the third quarter of 2009. VisionChina is an out-of-home digital television advertising networks on mass transportation systems.

SINA Reports Earnings, Net Revenues Down 3%
SINA Corp. (Nasdaq: SINA) reported 2009 financial results on March 3, with net revenues decreasing 3 percent y-o-y and increased 2 percent y-o-y quarter to $98.2 million. However, in Oct. 2009, the company merged its real estate advertising business into its majority-owned subsidiary China Online Housing Technology Corporation (“COHT”). To get a better understanding of the company’s financials visit: http://phx.corporate-ir.net/phoenix.zhtml?c=121288&p=irol-newsArticle_print&ID=1398585&highlight=. SINA is an online media company.

Gulf Announces Financials & Guidance for 2010 , 36.6% Revenue Increase
Shandong Province-based Gulf Resources Inc. (Nasdaq: GFRE) reported Fourth Quarter and Fiscal year 2009 results. Highlights include revenues $21.8 million y-o-y increase of 36.6 percent. Gross profit was $13.5 million, y-o-y increase 36.6 percent. Gross margin increased to 46.0 percent from 40.9 percent for the fourth quarter of 2008. Gulf also announced guidelines for fiscal year 2010, reporting it anticipates revenue in the range from $128 million to $131 million and net income to range from $36 million and $28 million, representing a growth in revenue of 16 to 19 percent and growth in net income of 18 to 24 percent. Gulf Resources is a manufacturer of bromine, crude salt and specialty chemical products.

Suntech Reports Increased Revenues, 23.4%
Wuxi-based Suntech Power Holdings Co., Ltd. (NYSE: STP) reported its fourth quarter and full-year 2009 financial results on March 4, 2010. Total net revenues increased 23.4 percent sequentially to $583.6 million in the fourth quarter of 2009. Gross profit margin for the core wafer to module business was 26.3 percent in the fourth quarter of 2009, compared with 20.0 percent in the third quarter of 2009. Consolidated gross profit margin was 23.8 percent in the fourth quarter of 2009, compared with 17.8 percent in the third quarter 2009.

Universal Travel Group, Revenue Up 16.1%
Shenzhen-based Universal Travel Group (NYSE: UTA) announced its fourth quarter and full-year results on March 5, 2010. Revenues for the three months ended Dec. 31, 2009, was $34.2 million compared to $29.4 million for the same period in 2008, an increase of approximately 16.1 percent. Gross profit increased 1.3 y-o-y to $10.1 million. Gross margin was 29.5 percent, compared to 33.8 percent in the prior year period. Income from operations was $7.5 million, compared to $8.2 million in the prior year period.

China Fire & Security to Announce Earnings March 16
Beijing-based China Fire & Security Group Inc. (Nasdaq: CFSG), a provider of industrial fire protection systems in China, announced that it will report its fourth quarter and fiscal year 2009 financial results on Tuesday, March 16, 2010, before market opens. The company will host a conference call to discuss the financial results the same day at 8:00 a.m. U.S. EST. A replay of the call will be available from March 16, 2010, to March 23, 2010. Listeners may access the replay by dialing #1-719-457-0820, Pass code: 8104346.

Focus Media to Report Earnings March 16
Shanghai-based Focus Media Holding Ltd. (Nasdaq: FMCN ) will report its financial results for the fourth quarter and full year ended Dec. 31, 2009, on March 16, 2010, after market close. The company will host a conference call to discuss its financial results 9:00 p.m. U.S. EST on March 16, 2010. To participate: U.S. +1.800.510.0219; Hong Kong, +852.3002.1672; International +1.617.614.3451; Pass code: 27499071. A replay of the call will be available from March 16, 2010 12:00 p.m. until March 24, 2010 (EST). To access: U.S. +1-888-286-8010; International, +1-617-801-6888. Pass code 19117078. A live and archived web cast of this call will be available on the Focus Media web site at http://ir.focusmedia.cn.

ShengdaTech to Host Earnings Call March 16
Shanghai-based ShengdaTech Inc. (Nasdaq: SDTH) will host a conference call at 9:00 a.m. EST on Tuesday, March 16, 2010, to discuss the 2009 fourth quarter and year-end financial results. To participate, dial: U.S. +866-369-8765. International : +1 706-634-9073. Conference ID: 60853191. A replay will be available on Tuesday, March 16, 2010 at 10:00 a.m. EST, through Tuesday, March 23, 2010. To access the replay, dial +800-642-1687. International callers, dial +1 706-645-9291. Conference ID number for the replay is: 60853191. The call will be broadcast live over the Internet and can be accessed by clicking on http://www.shengdatechinc.com.

Xinhua Reschedules Earnings Call for April 20
Beijing-based Xinhua Sports & Entertainment Ltd. (Nasdaq: XSEL), a sports and entertainment media company, will release its financial results for the fourth quarter and full-year ended Dec. 31, 2009, on April 20, 2010, after the U.S. markets close. The company had announced previously it would release the results on April 1.

NEWS

Lotus Executes Sarbox Project
Beijing-based Lotus Pharmaceuticals Inc. (OTC BB: LTUS) has put together a timetable to commence the design phase of its Sarbanes-Oxley Compliance Project in March and enter implementation stage in June to ensure full and timely Sarbanes-Oxley Act compliance in 2010. The company is being assisted by Union Strength Business Consulting Co. Ltd. Lotus Pharmaceuticals, Inc. is a developer and producer of prescription drugs and a licensed national seller of pharmaceutical items in China. Zhongyi Liu serves as CEO.

China Biologic Hires Law Firm to Assist in Investigation of Board Member & Employee
Tai’an-based China Biologic Products Inc. (Nasdaq: CBPO) announced that the special committee of independent directors appointed by the company’s board of directors in the wake of the recent allegations against certain directors and an employee of the company has retained O’Melveny & Myers LLP, an international law firm, to advise the Special Committee and to assist in the investigation of the allegations. The company will issue no further comment concerning either the allegations or the work of the Special Committee until the investigation has been completed. [So as not to fuel the fire of currently unsubstantiated allegations, or serve as a pawn for bloggers, China Business Knowledge will let readers do their own research on this situation.]

China Biotics Holds Annual Shareholders Meeting
Shanghai-based China Biotics (Nasdaq: CHBT) announced the results of its 2009 Annual Stockholders Meeting on March 10. The following people were elected to the board until the 2010 annual meeting: Company CEO and Chairman, Mr. Song Jinan, Dr. Chin Ji Wei, Dr. Du Wen Min and Mr. Simon Yick. Also at the AGM, stockholders ratified the appointment of BDO Limited as the company’s independent auditors for the fiscal year ending March 31, 2010.

3SBio Announces Changes to its Board
Shenyang-based 3Sbio Inc. (Nasdaq: SSRX) announces changes to its board. Ms. Liping Xu, Executive Director and Vice President, will retire from the Board and her position as a company officer for health reasons, effective March 10, 2010. Ms. Xu was one of the founders of the company and has been a director of 3SBio and its predecessor company, Shenyang Sunshine, since 1993. Concurrently, effective March 10, 2010, Mr. Peiguo Cong will join the Board and serve as an independent, non-executive director. Mr. Peiguo Cong has been the managing partner of Beijing Jun You Law Firm since 1994. He also currently serves as a member of the Financial Securities Committee of the China National Lawyers Association, member of the All China Federation of Industry and Commerce, director of the Chinese Society of Mergers and Acquisitions, independent committee member of the Credit Committee of the National Development Bank, and part-time professor at Peking University. In addition, Mr. Cong serves as an independent director of China Southern Fund Management Company and Tianjin Lishen Battery Joint-Stock Co., Ltd. Mr. Cong obtained his bachelor’s degree in law and master’s degree in economic law from Peking University.

IN BRIEF…

* OLP Global has released reviews of several companies including China Information Security Technology Inc. (CPBY), China Security & Surveillance Technology (CSR) and China Distance Education Holdings Limited (DL).

* Weifang-based Yuhe International Inc. (Nasdaq: YUII), supplier of day-old chickens raised for meat production, or broilers, announced it has completed construction of a new breeder farm, bringing its total number of breeder farms to 28, with 15 in operation today.

* Harbin-based China XD Plastics Co. Ltd. (Nasdaq: CXDC) announced the signing of a one-year non-exclusive with Ningbo Huading New Material Technology Company Limited, which will distribute China XD’s plastics for automotive applications in the eastern Chinese market.

* Shanghai-based China-Biotics Inc. (Nasdaq: CHBT) has appointed Grayling as its strategic relations advisor.

* Junan County-based American Lorain Corp. (NYSE Amex: ALN) has engaged RedChip Companies Inc. to lead its investor relations program.

* CCG Investors Relations has opened an office in Hong Kong. The office is located at Two Exchange Square, Central, near the Hong Kong Stock Exchange. Melissa Kong will serve as the director of the office.

From March 1—Week in Review–Email Newsletter

EARNINGS ANNOUNCEMENTS & CONFERENCE CALLS

GFRE to Hold Call Wed., March 3
Shandong-based Gulf Resources (Nasdaq: GFRE) will host a conference call on Wed., March 3, 2010, at 8:00 a.m. ET to discuss its financial results for the fourth quarter and full year 2009. To participate, dial: (877) 440 -3774; International: (706) 902 – 4014. Passcode is 59293465. A replay of the call will be available for 7 days starting from 9:00 a.m. ET on Wed., March 3, 2010. To access the replay, call (800) 642-1687. International (706) 645-9291. The pass code is 59293465. The call will be broadcast live on the Internet and can be accessed via http://www.gulfresourcesinc.cn/events.html.

SINA to Hold Call Wed, March 3
Shanghai-based SINA Corp. (Nasdaq GS: SINA) will announce its unaudited financial results for the fourth quarter and fiscal year 2009 on Wed., March 3, 2010, after the close of market. Following the announcement, SINA’s management team will host a conference call at 8:00 p.m. ET. A live webcast of the call will be available from 8:00 p.m. – 9:00 p.m. ET on Wed., March 3, 2010 (9:00 a.m. – 10:00 a.m. Beijing time on March 4, 2010). The webcast can be accessed through the company’s website at http://corp.sina.com. To participate in the conference dial: +1 800 659 2056 (U.S.) or +1 617 614 2714 (International). Pass code: 29588281. A replay of the conference call will be available through midnight ET, March 10, 2010. Dial-in: +1-888-286-8010 (U.S.) or +1-617-801-6888 (International). Pass code: 50658367.

ATV to Release Financial Results Friday, March 12
Shanghai-based Acorn International, Inc. (NYSE: ATV) will release its financial results for fourth quarter and full-year 2009 before the market opens on Friday, March 12, 2010. A copy of the release will be available on the company’s web site at: http://www.ir-site.com/acorn/index.asp. The company will host a conference call at 8:00 a.m. ET on March 12, 2010 (9:00 p.m. Beijing Time). To participate, dial: +1 800 230 3019 (U.S. Toll Free); +1 617 597 5413 (International). Passcode: 989 153 47. Acorn operates a direct sales marketing distribution platform TV, catalogs, third-party bank channels, outbound telemarketing and more.

JGBO Announces Financial Results-Revenues Down
Laiyang-based Jiangbo Pharmaceuticals Inc. (OTC BB: JGBO) announced its financial results for the second quarter of its fiscal year 2010 ended Dec. 31, 2009. Revenues were down substantially. Management attributed this to having to halt production related to re-certification of its GMP certificate, as well as facing increased competition associated with China’s newly announced National Basic Medical Insurance plan. Its main facility has returned normal operations and the company indicates it has reinforced its sales efforts. Highlights include: revenue was $18.2 million, a decrease of 44.8 percent from the corresponding quarter ended Dec. 31, 2008. Gross profit was $13.5 million, compared to $25.8 million for the corresponding quarter ended Dec. 31, 2008. Mr. Wubo Cao serves as Chairman and CEO.

TXIC Announces Preliminary Financial Results–Revenue Increases
Changsha-based Tongxin International Ltd. (Nasdaq: TXIC) announced its preliminary unaudited revenue on Feb. 23, 2010, between $121 to $124 million for its fiscal year ended Dec. 31, 2010, representing 23 to percent growth over 2008 revenues of $98.4 million. The company’s Chairman and CEO, Mr. Rudy Wilson, commented, “While the fourth quarter in 2008 was one of our most challenging, 2009 benefited by a rebound in the commercial vehicle market in China and Tongxin’s leading position therein.” The company also witnessed increased y-o-y orders from our export market in South East Asia, specifically Vietnam. The company manufactures of engineered vehicle body structures “EVBS” or “truck cabs”.

CWS Announces Preliminary Results–Revenue Increases
Wuxi-based China Wind Systems Inc. (Nasdaq: CWS) announced its preliminary results for the year ended Dec. 31, 2009. The company will release its audited financial information concurrently with filing its Form 10-K on or before March 31, 2010. For the year ended Dec. 31, 2009, revenue increased an estimated 26 percent, to approximately $53.4 million from $42.3 million in the year ended Dec. 31, 2008. Revenue from the sale of wind energy components exceeded 40 percent of total revenue in fiscal 2009 and exceeded 52 percent of total revenues for the fourth quarter of 2009.

CBEH Expects to Exceed Guidance for 2009
China Integrated Energy Inc. (Nasdaq: CBEH) announced Feb. 25, 2010, that it expects to exceed its previously updated guidance for calendar year 2009 revenue and net income of $265 million and $35 million, respectively, due to stronger than expected sales volume of gasoline, diesel, and heavy oil products in the fourth quarter of 2009. For the fourth quarter of 2009, the company expects its revenue to be in the range of $91 million to $93 million, representing an increase of approximately 54 percent to 57 percent compared to the same period of 2008. Net income is expected to be in the range of $11 million to $12 million, representing an increase of more than 70 percent over the fourth quarter of 2008. The company now expects fiscal 2009 revenue in the range of $288 million to $290 million, representing an increase of approximately 33 percent to 34 percent compared to 2008 sales of $216.5 million. Net income is expected to be in the range of $37 million to $38 million, representing an increase of approximately 33 percent over 2008 adjusted net income of $28.6 million, which excludes $9.8 million of non-cash, stock-based compensation charges. Mr. Gao Xincheng serves as CEO.

BSPM Announces Preliminary Results–Revenues Increase
Xianyang-based Biostar Pharmaceuticals Inc. (OTC BB: BSPM) announced preliminary unaudited revenue between $52 to $54 million for fiscal year ended Dec. 31, 2009. Biostar expects to report gross margin for 2009 of approximately 71 percent, an increase of 1200 basis-points compared to 59 percent in 2008. Management anticipates unaudited operating income, excluding non-cash charges, of approximately $16 to $17 million, an increase of 100 percent to 113 percent compared to $8 million in 2008. Biostar develops, manufactures and markets pharmaceutical and medical nutrient products for a variety of diseases and conditions. Mr. Ronghua Wang serves as Chairman.

NEWS & DEALS

Yongye Dramatically Expands its Store Network in 2009
Beijing-based Yongye International Inc. (Nasdaq: YONG) has expanded its store network from 1,125 stores at the end of 2008 to 9,110 stores at the end of 2009. The company distributes animal nutrient products in China under the brand “Shengmingsu.” A significant portion of the growth in the company’s branded store network took place in central and southern China, expanding the company’s geographic reach beyond its already strong presence in the north and northwest provinces. These independently-owned stores all feature prominent Yongye branding on the storefront and premium display space inside of the stores. Mr. Zishen Wu serves as CEO.

China XD Plastics to Ramp Up Production With New Equipment
Harbin-based China XD Plastics Co. Ltd. announced on Feb. 25, 2010, it has procured 12 additional automatic production lines equipped with state-of-the-art equipment. Currently, the total number of operational production lines is 31 compared to 19 at the end of 2008. The additional production lines have been installed and are at the final stages of trial production tests. The additional lines are expected to be fully commissioned at the beginning of the second quarter of 2010, ahead of the original schedule. The company’s realistic total annual production capacity is estimated to be approximately 100,000 tons, 42.9 percent increase compared to 70,000 tons in 2009. Mr. Jie Han serves as Chairman and CEO.

IN BRIEF

–EquityNet Research has initiated coverage on BioStar (OTC BB: BSPM).

–OLP Global Research conducted a round of checks on New Oriental Education (NYSE: EDU) and its competitor schools across 20+ cities in China to ascertain if EDU can sustain its high-growth trajectory. Contact OLP to request a report: Sales@OLPGlobal.com.

–Suntech Power Holdings Co., Ltd. (NYSE: STP) has provided the solar panels to power a “net-zero” energy showcase home during the Vancouver Olympics. The home is located in Whistler resort and was built to bring the concept of accessible zero-energy living to attendees of the event. It was designed by Vancouver-based RDC Homes. Suntech was also received the 2009 Boldness in Business Environment Award sponsored by the Financial Times and ArcelorMittal.

From Feb. 22–Week in Review–Email Newsletter
MARKET MOVES

China Agritech Executes Stock Split
Beijing-based China Agritech Inc. (Nasdaq: CAGC) announced it effected a 2 for 1 forward split of its common stock on Feb. 1, 2010, which was reflected on the Nasdaq beginning with trading on Monday, Feb. 8, 2010. China Agritech manufactures granular organic compound fertilizers and related products. Mr. Yu Chang serves as CEO.

China Valves on Acquisitions Spree
On Feb. 8, 2010, Kaifeng-based China Valves Technology Inc. (Nasdaq: CVVT) announced the acquisition of the assets of Able Delight (Changsha) Valve Co., Ltd., a leading valve manufacturing enterprise that specializes in manufacturing valves for the water supply and power supply industries. On Feb. 11, 2010, the company signed a letter of intent to purchase 100 percent equity in ownership in Shanghai Pudong Hanwei Valve Co., Ltd. , a valve manufacturing enterprise with several patents for high-tech valve specifications in the petrochemical and bioengineering industries. Consideration for the acquisition is approximately U.S. $20 million. The company expects to close the acquisition in the first quarter of 2010. In addition to the acquisitions, on Feb. 12, the company announced it had signed a strategic cooperation frame agreement with Dongfang Electric Corp., a manufacturer of power generating equipment and contractor for power station projects. Mr. Siping Fang serves as Chairman and CEO.

SORL Sells Stock to Institutional Investors
Hejiang-based SORL Auto Parts Inc. (Nasdaq: SORL) has entered into an agreement to sell 1,000,000 shares of its common stock to select institutional investors at a price per share of $10.00 pursuant to a registered direct offering, raising gross proceeds of approximately $10 million. SORL is a manufacturer of commercial vehicle air brake systems as well as related auto parts. Mr. Xiaoping Zhang serves as SORL’s CEO and Chairman.

Puda Coal Executes Offering
Taiyuan, Shanxi Province-based Puda Coal Inc. (NYSE Amex: PUDA) announced on Feb. 18, 2010, the closing of its 2,855,652 share public offering and the exercise of the full allotment option by the underwriters to purchase an additional 428,348 shares of the company’s common stock, bringing the total shares offered to 3,284,000. The offering was priced at $4.75 on Feb. 12, 2010. Including the over-allotment, the company expects to receive net proceeds, after underwriting discounts, commissions, and expenses, of approximately $14,538, 100 million from the offering. Earlier in the month, Puda’s chairman, Ming Zhao, committed to providing the company an unsecured U.S. $14.6 million loan for a 12 month term at prevailing market terms. Mr. Liping Zhu serves as President and CEO.

Xinhua Gets Notice from Nasdaq
Beijing-based Xinhua Sports & Entertainment (Nasdaq: XSEL) announced on Feb. 5, 2010, that it has received a notice from The Nasdaq Stock Market stating that for 30 consecutive business days the bid price for the company’s American Depository Shares, which trade on the Nasdaq Global Market, has closed below the minimum $1 per ADS, as required by Marketplace Rule 5450 for continued listing on the Nasdaq Global Market. This notification has no effect on the listing of the company’s ADSs on the Nasdaq Global Market at this time, though an indicator will be displayed with all company quotation information to reflect the bid price deficiency. The Feb. 4, 2010 letter indicates that in accordance with Marketplace Rule 5810, the company will regain compliance with the minimum bid requirement if at any time before Aug. 3, 2010, the bid price for the company’s ADSs closes at $1 or above per ADS for a minimum of 10 consecutive business days. Ms. Freddy Bush serves as CEO.

EARNINGS REPORTS

VisionChina to Report Q4 Results March 2
Beijing-based VisionChina Media Inc. (Nasdaq: VISN) will report its financial results for the fourth quarter and fiscal year 2009, after the U.S. markets close on March 2, 2010. Management will hold an earnings conference call at 8:00 p.m. EST the same day. Dial-in: U.S. Toll Free: + 1 800 901 5213; Hong Kong: + 852 3002 1672; International: + 1 617 786 2962. Passcode for all regions: “VisionChina Earnings Call.” A replay will be available until March 12: U.S. Toll Free: +1 888 286 8010; International: +1 617 801 6888; Passcode: 97580099. Additionally, a live and archived webcast of this conference call will be available on the Investor Relations section of VisionChina’s website at http://www.visionchina.cn. Limin Li serves as Chairman and CEO.

Orient Paper Announces Unaudited Results
Orient Paper Inc. (Amex: ONP) announced on Feb. 5, 2010, its unaudited preliminary results for the year ended Dec. 31, 2009. For the year ended December 31, 2009, total unaudited revenue increased 57 percent, to approximately $102.1 million from $65.2 million in the year ended Dec. 31, 2008. Full year 2009 unaudited net income was approximately $12.5 million, or unaudited $1.03 per diluted share, up 43 percent from $8.8 million, or $0.81 per diluted share, for the year ended Dec. 31, 2008.It will release full financial results prior to filing its Form 10-K on or before March 31, 2010. Founded in 1996, Orient Paper produces products such as corrugating medium paper, offset printing paper, writing paper, and other paper and packaging-related products in China. According to a company statement, the company uses recycled paper as its primary raw material. Mr. Zhenyong Liu serves as Chairman and CEO.

Pansoft Announces Earnings, With 47 Percent Quarterly Increase in Revenue
On Feb. 9, 2010, Jinan, China-based Pansoft Company Ltd. (Nasdaq: PSOF) announced its financial results for the second fiscal quarter ended Dec. 31, 2009. Highlights include revenues of $4.9 million, an increase of 47 percent compared to $3.3 million for the quarter ended Dec. 31, 2008. Gross profit was $2.6 million, an increase of 56 percent compared to $1.7 million for the quarter ended Dec. 31, 2008. Gross margin was 53 percent, compared to 50 percent for the quarter ended Dec. 31, 2008. To access a replay of the earnings conference call, dial: U.S. 800-642-1687; International +1 706-645-9291 and enter the conference ID 54471389. Guoqiang Lin serves as CEO.

Hollysys Reports Results
On Feb. 10, Beijing-based Hollysys Automation Technologies reported unaudited financial results for the fiscal year 2010, second quarter ended Dec. 31, 2009. Q2 FY 2010 highlights include, revenues of $46.2 million, as compared to $38.2 million quarter over quarter, and $52.5 million year over year. The company had non-GAAP net income attributable to Hollysys of $8.1 million, as compared to $6.6 million quarter over quarter, and $11.1 million year over year. Dr. Changli Wang serves as CEO.

ATA Reports Fiscal Third Quarter 2010 & Approves Share Repurchase Program
ATA Inc. (Nasdaq: ATAI) announced on Feb. 8, 2010, unaudited financial results for its fiscal third quarter ended Dec. 31, 2009. Net revenues increased 12.7% to RMB 76.4 million (U.S. $11.million) in the third quarter 2010 from the fiscal third quarter ended December 31, 2009 (“third quarter 2009″). Gross profit decreased 1.9% to RMB 37.9 million (U.S. $5.6 million) in the third quarter 2010 from the third quarter 2009. The company board approved a share repurchase program at its Feb. 5, 2010, effective immediately to run through March 31, 2011. Under the approved program, ATA is authorized to repurchase up to U.S. $5 million of its issued and outstanding American Depositary Shares (“ADS”) from time to time in open-market transactions on Nasdaq at prevailing market prices, in negotiated transactions off the market, in block trades, pursuant to a 10b5-1 plan (which if adopted, will allow ATA to repurchase its ADSs during periods in which it may be in possession of material non-public information), or otherwise. ATA provides computer-based testing and testing-related services in China. Kevin Ma serves as ATA’s Chairman and CEO.

China Agritech Reports Results
Beijing-based China Agritech Inc. (NasdaqGM: CAGC) announced on Feb. 8, 2010, preliminary unaudited annual net revenues and net income for the year ended Dec. 31, 2009. The company also announced guidance for revenues for the current year ending Dec. 31, 2010. It reported annual revenues rose by 66 percent to approximately $75 million. Net income increased 82 percent to approximately $15.7 million. According to the company, revenues and income for the 2009 year benefited from increased organic liquid fertilizer sales combined with the successful introduction of the company’s new organic granular fertilizer products. Mr.Yu Chang serves as Chairman and CEO.

Nutrifruit Reports 28.4% Growth
Daqing-based Nutrifruit Group Ltd. (NYSE Amex: CNGL) reported its financial results for the third fiscal quarter ended Dec. 31, 2009. Net sales increased 28.4 percent year-over-year to $17.8 million. Gross profit increased 34.8 percent year-over-year to $8.1 million, with gross margin of 45.7 percent. China Nutrifruit, is engaged in developing, processing, marketing and distributing a variety of food products processed primarily from premium specialty fruits grown in Northeast China, including golden berry, crab apple, blueberry and raspberry. Mr. Changjun Yu serves as Chairman.

China Green Announces Financial Results, Net Second Quarter Sales Up 60%
Xi’an-based China Green Agriculture Inc. announced on Feb. 8, 2010, its financial results for the second fiscal quarter ending Dec. 31, 2009. Net sales for the second quarter of fiscal year 2010 totaled $11.2 million, up 60 percent from $7.0 million in the same quarter of fiscal year 2009. Gross profit for the second quarter of fiscal year 2010 totaled $6.8 million, an increase of 65 percent from $4.1 million in the same quarter of fiscal year 2009. Gross profit margin was 61% for the second quarter of fiscal year 2010, up from 59 percent a year ago. Mr. Tao Li serves as Chairman, President and CEO.

China XD Plastics Exceeds Guidance
Harbin-based China XD Plastics Co. Ltd. (Nasdaq: CXDC) announced on Feb. 8, 2010, estimated unaudited financial results for fourth quarter and fiscal year 2009. For the fourth quarter of 2009, the company expects its net revenues to be in the range of approximately $38 million to $41 million, exceeding the $36 million upper range of its guidance. This represents approximately 90 percent to 105 percent increase from its net revenues in the fourth quarter of 2008. China XD is a developer and manufacturer of modified plastics primarily for use in automotive applications. Mr. Jie Han serves as Chairman and CEO.

NEWS & DEALS

3SBio Announces Several Initiatives to Bolsters its Cancer Treatment Efforts
Shenyang-based 3SBio Inc. announced Feb. 11, it had formed a strategic alliance to research, develop and commercialize best-in-class targeted cancer therapeutics focused on programmed cell death, or apoptosis. Under the terms of the agreement, 3Sbio will make a U.S. $3 million equity investment in Ascentage Pharma. The investment will be used to fund Ascentage Pharma’s R&D programs. 3Sbio will have the exclusive right to develop and commercialize cancer therapeutics in China that are discovered through Ascentage Pharma programs, while Ascentage Pharma will retain the rights to the rest of the world and receive future milestone and royalty payments from any sales by 3Sbio in China. The company also recently announced a collaboration and license agreement with Panacor Bioscience Ltd. to develop and commercialize its NephoxilI pharmaceutical product for the treatment of hyperphosphatemia in China. As well, it has submitted its application for a Phase I clinical trial for NuPIAO, which will be investigated to treat anemia associated with both chronic kidney disease and cancer. Dr. Jing Lou serves as CEO of 3Sbio.

Skystar Added to New York Pacific Capital’s SME Growth Index
Skystar Bio-Pharmaceutical Company (Nasdaq: SKBI) has been added to New York Pacific Capital’s China Small and Medium Enterprises (SME) Growth Index. The index launched on Jan. 1, 2010. It is composed of 58 Chinese companies with market capitalizations ranging from $50 million to $1.5 billion. The 58 companies included at launch were selected from 319 companies listed on exchanges in the United States, Hong Kong, Canada, Europe, Singapore, Japan and Korea. Skystar is a developer and distributor of veterinary healthcare and medical care products. NYPC is a China-focused, global merchant bank that provides strategic advisory services and direct investments for NYPC’s private and public clients around the world. Weibing Lu serves as Chairman and CEO.

OLP Global Publishes a Round of Reports
OLP Global LLC Research firm has published several research reports. Please see highlights below. To request a full research report, please contact OLP sales at 646-395-8218 or Sales@OLPGlobal.com.

China Fire & Security Group Inc. (Nasdaq: CFSG): OLP give the company a “Strong Outlook” recommendation based on the company’s signing of a $92 million contract with Wuhan Iron & Steel (WISCO) for a retrofitting project to upgrade WISCO’s 32 plants located in Qingshan, Hubei Province, by the end of 2011. OLP reports CFSG stats as: Share Price: $14.29 (Open); Market Cap: $405 million; Avg. Daily Volume: 263K

ATA Inc. (Nasdaq: ATAI): OLP publishes an earnings review of the company on Feb. 9, 2010. Highlights include: F3Q10 results a mixed bag; F4Q10 guidance largely within expectations, but limited visibility in FY11; Outstanding A/R from NTET software sales. It asks: When will operating leverage reach its full potential? For Feb. 9, it reported ATA’s stats as: Share Price: $3.70 (Open); Market Cap: $83 million; Avg. Daily Volume: 25K.

Wonder Auto Technology, Inc. (WATG): OLP published an earnings reviews. Highlights include, 4Q09 Earnings Review. 4Q09 results mixed: heavy expenses offset by government grant; Employee stock option plan incentivizes acquisitions; Vast opportunities in alternative energy vehicles. Share Price: $9.24 (Open); Market Cap: $260 million; Avg. Daily Volume: 717K

PEOPLE

China Green Appoints Fields to Board
China Green Agriculture Inc. (NYSE: CGA) has appointed Robert B. Fields to its board of directors. Fields currently serves as the Chairman of ActForex, Inc., a New York-based management service provider of proprietary software for currency trading with over 20,000 registered traders, since 2001. Since April 25, 2008, Fields has served on the Board of Directors and as a member of the Audit Committee and Compensation Committee for SkyPeople Fruit Juice, Inc. In June 2000, Fields was appointed to the Board of Statmon Technologies, Inc., an emerging wireless and remote site infrastructure management solution provider, and continues to serve on that board as well as to serve as Chairman of Statmon’s Audit Committee. Mr. Tao Li, Chairman, President and CEO.

Orient Paper Appoints Zhang Chief Engineer
Baoding, China-based Orient Paper (AMEX: ONP) has appointed Mr. Manhua Zhang as Chief Engineer of the company’s digital photo paper production line and announced that the company will officially launch the production in the beginning of March 2010. Prior to joining Orient Paper, Zhang had work experience in running the digital photo paper production and led the R&D team in China National Pulp and Paper Research Institute, focusing on papermaking wet-end chemistry, digital photo paper technical improvement, fruit bag paper research and development, and optimization of production processes for offset, writing and high-level candy wrapping paper. Zhang received a bachelor’s degree in engineering from Shaanxi University of Science and Technology in 1988 and is a National Certified Senior Engineer. Founded in 1996, HBOP is engaged in the production and distribution of products such as corrugating medium paper, offset printing paper, writing paper, and other paper and packaging-related products in China. Mr. Zhenyong Liu serves as Chairman and CEO.

China Digital Animation Appoints U.S. Exec Director
New York and Harbin-based China Digital Animation (OTCBB: CHDA) has appointed Mr. Andrew Mininger to its Board of Directors. Mininger is the CEO of Mada Design, a New York based graphic design firm with packaging, publishing, illustration, 2D animation and licensing expertise. He acquired Mada Design in 2007 through his merchant banking firm, The Madison Park Company, which is focused on the acquisition of brands and companies in the technology, media, consumer packaged goods and health/wellness sectors. Throughout the 1990s, Mininger worked closely with the investment community developing platforms to support the launch of 35 companies in the IPO and self-listing marketplace, including HotJobs.com and Centra, Agilent, among others. Mr. Qiang Fu serves as Chairman and CEO.

IN BRIEF….

* Gulf Resources Inc. (Nasdaq: GFRE) announced it has engaged BDO Ltd., the Hong Kong-based member firm of the BDO International Network, as its new independent auditor, replacing Morison Cogen LLP.

* Junan County-based American Lorain Corp. (NYSE Amex: ALN) has surpassed 3,500 retail food locations throughout China and targets 5,000 for 2010. It has approximately 2,000 in the middle of 2009.

* Wuxi-based Suntech Power Holdings Co., Ltd. (NYSE: STP) recently supplied solar panels for 19 remote schools in Lebanon working with local partner and Lebanese integrator Asaco General Trade & Contracting.

From Feb. 5–Week in Review–Email Newsletter
MARKET MOVES

Luoxin is First Chinese Company on the OTCQX
Hong Kong-based Shandong Luoxin Pharmacy Stock Co. Ltd. (Luoxin Pharma) began trading on the OTCQX International on Jan. 21, 2010, under the symbol “SLUXY.” The OTCQX provides a cross-listing venue for international issuers who receive Level 1 American Depositary Receipt (ADR) status. Luoxin Pharma is the first Chinese-headquartered company to trade on the OTCQX. (Other companies identified with, and doing business in China, but incorporated in other countries, such as China Education Resources Inc. (CHNUF), trade on the on the QX.) New York-based Viriathus Capital LLC served as Luoxin Pharma’s exclusive OTCQX Advisor. Luoxin Pharma’s ordinary shares trade on the GEM Board of the Hong Kong Stock Exchange under the stock code “8058.” Shandong develops and manufactures OTC (over-the-counter) medicines. Its production facilities are located in the High and New Technology Experimental Zone, Linyi, Shandong Province. Mr. Liu Baoqi serves as Chairman.
EARNINGS CALLS

CNGL: Feb. 5 (replay available)
Daqing-based China Nutrifruit Group Ltd. (NYSE Amex: CNGL) hosted a conference call at 9:00 a.m. ET, Feb. 5, 2010, to discuss FY 2010 Third Quarter Results. To access the reply dial: 800-642-1687. International callers should dial +1-706-645-9291. The conference ID number for the replay is 53493754.

TPI: Feb. 8
Chengdu-based Tianyin Pharmaceutical Co., Inc. (NYSE Amex: TPI) will host a conference call to discuss its fiscal 2010 second quarter results at 4:30 p.m. ET on Monday, Feb. 8, 2010. To participate dial U.S. +1-877-941-8418; International +1-480-629-9809. The conference ID is 4207607. A replay will be available through February 22, 2010 and can be accessed by dialing +1-800-406-7325 (U.S.), +1-303-590-3030 (Int’l), passcode 4207607. This call is being web cast by ViaVid Broadcasting and can be accessed at ViaVid’s website: http://viavid.net/dce.aspx?sid=00007061.

CGA: Feb. 8
Xi’an-based China Green Agriculture Inc. (NYSE: CGA) will release its second quarter fiscal year 2010 financial results on Monday, Feb. 8, 2010, before market open. The company will host a conference call the same day at 9:00 a.m. EST. U.S. 1-877-407-9120; International 1-201-689-8049. When prompted by the operator, mention “China Green Agriculture’s Second Quarter Fiscal Year 2010 Financial Results” to join the call. The call is being webcast by Vcall and can be accessed at China Green Agriculture’s website at http://www.ir-site.com/cgagri/events.asp . Investors can also access the webcast at http://www.InvestorCalendar.com. A playback will be available through Feb. 25, 2010. To listen, call U.S. 1-877-660-6853; Internationally 1-201-612-7415. Replay Passcodes (both required for playback): Account #: 286; Conference ID #: 343803.

ATAI: Feb. 9
Beijing-based ATA Inc. (Nasdaq: ATAI) announced it will host its third quarter earning call and live web cast at 8:00 a.m. EST, Tuesday, Feb. 9, 2010. U.S. toll-free number +1 888-396-2384; International dial-in number : +1 617-847-8711; Participant PIN code: 9539 7488. The live webcast and archive of the conference call will be available on the Investor Relations section of ATA’s website at www.ata.net.cn.A telephone replay of the call will be available from 12:00 noon EST on Feb. 9, 2010, through Feb.16, 2010. The dial-in details for the telephone replay are: U.S. toll-free number: +1 888 286 8010; International dial-in number : +1 617 801 6888; Conference reference: 1623 6497.

CHBT: Feb. 10
Shanghai-based China-Biotics Inc. (Nasdaq: CHBT) will host a conference call at 7:00 p.m. ET on Wednesday, Feb. 10, 2010, to discuss the company’s financial results for the third quarter of its 2010 fiscal year. To participate, dial U.S. (877) 485-3104; International: (201) 689-8579. Conference ID: 344080.

PEOPLE

China Clean Energy Appoints New CFO
Fuqing-based China Clean Energy (OTC BB: CCGY) appoints William Chen as Chief Financial Officer effective Feb. 1, 2010. He will replace Ms. Shannon Yan, who resigned on January 31, 2010, to pursue other career opportunities. Chen joined China Clean Energy as the vice president of investor relations on Dec. 3, 2009. Prior to that, he worked as a financial analyst at Wealth Transition Planning LLC, and as the director assistant at EKN Financial Service, also New York. His earlier work experiences were at Colgate Palmolive Ccompany and Duane Reade Corporation, both based in New York. Chen holds a Bachelor’s degree in Finance and Investment from Baruch College and is working towards an MBA degree. China Clean Energy is engaged in developing, manufacturing and distribution of biodiesel and specialty chemical projects made from renewable resources. Mr. Tai-ming Ou serves China Clean Energy’s Chairman and CEO.

CCG Investor Relations has made a series of 10 hires, mostly for senior positions. The company tapped Wall Street to find people with expertise in key industries, including healthcare, pharmaceutical, biotechnology, alternative energy, semiconductor and retail. For a list of the hires, visit: http://www.ccgir.com/?q=node/193.

IN BRIEF….
China Valves (Nasdaq: CVVT), based in Kaifeng, announced Feb. 1 that it had obtained a Qualified Supplier certificate from China Nuclear Power Engineering Corp., authorizing the company to provide valves for conventional islands of nuclear power plants commissioned by CNPEC.

China Green Agriculture (NYSE: CGA) has announced a series of new humic acid-based fertilizer products, including: one to increase crop yields in various weather conditions (including frost and drought); a liquid-based fertilizer which prevents bitter pit disease, navel rot, burning heart, and adverse affects caused by calcium deficiency for the crops, especially fruits and vegetables; a liquid -based fertilizer designed specifically for farmlands with irrigation systems.

From January 29, 2010–Week in Review–Email Newsletter

MARKET MOVES

China Hydroelectric Goes Public on NYSE
China Hydroelectric Corp. forewent a stint on the OTC BB or Amex, going public directly on the NYSE Monday, Jan. 25, under the ticker “CHC.” The company sold 6,000,000 units priced at $16.00 per unit, yielding aggregate gross proceeds of $96,000,000 before underwriting discounts and commissions and other expense of the offering. Each unit consists of one American Depository Share (“ADS”) priced at $14.80 and one redeemable warrant priced at $1.20 (“CHC WS”). Broadband Capital Management LLC served as lead manager and sole bookrunner. I-Bankers Securities Inc. served as co-lead manager. China Hydroelectric Corporation is a consolidator, operator and developer of small hydropower projects in China. The company currently owns 100 percent of eleven operating hydropower projects, and has a controlling interest in another operating hydropower project. These projects are located in four provinces: Zhejiang, Fujian, Yunnan and Sichuan. Mr. John D. Kuhns has served as our Chief Executive Officer since the company’s founding in 2006 and Chairman since May 2007.

Universal Travel Announces Acquisition
Shenzhen-based Universal Travel Group (NYSE: UTA) announced on January 26, it has entered into a Letter of Intent to acquire Zhengzhou Yulongkang Travel Service Company for approximately U.S. $5.7 million, 90 percent of which to be paid in cash and 10 percent in shares of the company’s common stock. Zhengzhou Yulongkang Travel Service Company was established in 2000 in Zhengzhou, Henan Province of China. The company currently has a management team of 25 people and over 60 tour organizers and guides. The company provides comprehensive travel services and maintains long-term cooperation relations with transportation agents, travel destinations, hotels, and air ticket agencies. Its regional tour routes include ” “Winter Hot Spring” and “Passion Ski Trip.” Unaudited 2009 revenue and net income will be about $10.5 million and $0.86 million, respectively.

New Energy Systems Enters into Agreement with A-Solar
Shenzhen-based New Energy Systems Group (OTC BB: NEWN) announced it has entered into a distribution agreement with A-Solar, a European developer and distributor of solar powered products for charging mobile electronics. Under the initial one year agreement, A-Solar will be the exclusive selling agent for New Energy’s solar mobile chargers for a series of iPhone and iPod models in the United Kingdom, Germany, Belgium, Netherlands, and Luxembourg. Sales under this agreement are expected to exceed $3 million during 2010, according to a company press release. New Energy Systems Group is a vertically integrated original design manufacturer and distributor of lithium ion batteries and backup power systems for mobile phones, laptops, digital cameras, MP3s and a variety of other portable electronics. The company’s end-user consumer products are sold under the Anytone brand in China. The company recently began expanding its international sales efforts. Mr. Fushun Li serves as CEO.

China Automotive Supplies Components for Jeep Wrangler
Wuhan-based China Automotive Systems (Nasdaq: CAAS) announced on Jan. 22, that it has begun to supply Chrysler North America with power steering components. Since mid-2009, the steering gears have been exported from China to the United States and installed in the award-winning Jeep Wrangler model. The company held a ceremony to celebrate its Chrysler as its first North American OEM custom. It also used the celebration to break ground for its new Henglong Research and Development Center. It also announced it has begun production on its new electronic power steering (EPS) system. The company is currently supplying this EPS system at a rate of 2,000 units per month to Suzuki Auto Ltd. in China. The company hosted a conference to discuss the contract with Chrysler on Jan. 22. A telephone replay of the call will be available after the conclusion of the conference call through 11:59 p.m. [EST] Feb. 5, 2010. To access the replay: U.S. Toll Free Number +1-877-660-6853; International dial-in number +1-201-612-7415. Use account “286″ and Conference ID 342781. Mr. Hanlin Chen serves as the company’s Chairman.

Suntech Announces Location of Arizona Plant
Suntech Power Holdings Co., Ltd. (NYSE: STP) and Arizona Governor Jan Brewer announced that the company’s first U.S. manufacturing plant will be located in the City of Goodyear, Arizona. The Suntech Goodyear factory will initially employ more than 70 local residents and is designed as a showcase for the company’s latest-generation solar electricity manufacturing technologies and equipment. It will begin with a production capacity of 30 MW and has the potential to expand to over 120 MW, giving Suntech the ability to respond to the rapidly growing demand for solar energy throughout the United States. Manufacturing in Suntech’s Goodyear plant will begin in Sept. 2010. The announcement was made at the AZ4Solar Symposium on Jan. 27, 2010.

EARNINGS CALLS

Duoyuan to Report Earnings
Beijing-based Duoyuan Printing Inc. (NYSE: DYP) will report its financial results for the second quarter ended Dec. 31, 2009, before the U.S. market opens on February 11, 2010, hosting an earnings call 7:00 a.m. ET on Thursday, February 11, 2010. Joining Wenhua Guo, Chairman of Duoyuan Printing on the call will be Christopher Holbert, Chief Executive Officer and William Suh, Chief Financial Officer. International: +656-735-7955, U.S. Toll Free: 718-354-1231. The company plans to distribute its earnings announcement before the call. Please dial-in 10 minutes before the call is scheduled to begin. The passcode is: 52376354. A replay of the conference call may be accessed by phone at the following number until February 18, 2010. International: +61-2-8235-5000; US Toll Free: +1-866-214-5335; Passcode: 52376354.

3SBio to Release Financial Results
Shenyang-based 3SBio Inc. (Nasdaq: SSRX) will release financial results for the full year ended Dec. 31, 2009, at 8:00 p.m. (EST) on Thursday, Feb. 11, 2010. Senior management will host a conference call at 8:00 a.m. (EST). International toll dial-in: 65-6735-7955; United States 1-866-519-4004; Conference ID: 52340276. A telephone replay will be available two hours after the call until February 20, 2010 at: International dial-in: +61-2-8235-5000; United States dial-in: 1-866-214-5335. A live webcast of the conference will be available on the investor relations page of 3SBio’s website at: http://bbs.3sbio.com/en/News/xinvestors.aspx and at http://tinyurl.com/3Sbio4Q09.
Hollysys to Release Earnings
Beijing-based Hollysys Automation Technologies, Ltd. (Nasdaq: HOLI) will report its financial results for its fiscal 2010 second quarter ended Dec. 31, 2009, before the market opens on Thursday, Feb. 11, 2010. The company will host a conference call at 9:00 a.m. ET /10:00 p.m. Beijing Time on February 11, 2010, to discuss the financial results for the fiscal 2010 second quarter and its business outlook for the rest of fiscal year 2010. To participate, please call the following numbers ten minutes before the scheduled start of the call. The conference call identification number is 52373507. 1-866-519-4004 (USA); 800-819-0121 (China Landline); 400-620-8038 (China Mobile); +65-67357955 (International).

PEOPLE

China-Biotics, Inc. Appoints New CFO
Shanghai-based China-Biotics has appointed Mr. Travis Cai as Chief Financial Officer. Prior to joining China-Biotics, Cai was Vice President of Finance at A-Power Energy Generation Systems Ltd. from 2009 to January 2010. He previously served as Director of Finance and Assistant to President at Vimicro International Corp. from 2007 to 2009. Both companies are operating in China and listed on NASDAQ. Cai holds a Master of Science degree in Information Systems from the Stern School of Business, New York University, and a Bachelor of Science degree in Materials Science & Engineering from Tsinghua University. He is certified as a Financial Risk Manager by the Global Association of Risk Professionals (GARP). Cai replaced Eva Yan, who has served as Interim Chief Financial Officer since Lewis Fan resigned from the position in Oct. 2009. Mr. Jinan Song serves as Chairman and CEO.

ATA CFO Resigns
Beijing-based ATA Inc. (Nasdaq: ATAI) announced on Jan. 22 that its CFO, Carl Yeung, is resigning from his position for personal reasons, effective Feb. 20, 2010. Amy Tung, ATA’s Financial Controller, will serve as acting CFO, as well as Principal Accounting Officer until a new CFO is appointed. The Board of Directors has formed a search committee to recruit a new Chief Financial Officer. Yeung is actively involved in this effort and will continue to assist ATA in this respect and other matters, if necessary, after the termination of his employment. Kevin Ma serves as Chairman and CEO.

Shengda Tech Appoints New CFO
Shanghai-based ShengdaTech Inc. (Nasdaq: SDTH) has appointed Mr. Gary Cao as International Marketing Director. Prior to joining ShengdaTech, Cao served as the regional Sales Director of Degussa (China) Co. Ltd (“Degussa”), a German chemical company with 15 production sites in the Greater China region. Prior to that, Cao served as the sales and marketing director in China of AKZO NOBEL Asia Pacific Chemicals PTE Ltd. Prior to that he was a sales representative of Henkel KGaA (China) Co. Ltd. He also served as business manager of China Haohua Chemical industrial Group Co. Ltd. Cao received his MBA in international business from the Liautaud Graduate School of Business, University of Illinois and his MBA in marketing from CIBT School of Business Administration in Beijing, China. He also has a Masters Degree in fine Chemical Engineering from the Dalian University of Technology, China and a Bachelors Degree in Polymerization Engineering from the Qiqihar Light Industry College, China.

IN BRIEF….

* OLP Global has initiated coverage of China Fire & Security Group (CFSG), China Information Security Technology, Inc. (CPBY); China Security & Surveillance Technology (CSR); RINO International Corporation (RINO); and Wonder Auto Technology, Inc. (WATG). To request full research reports, please contact OLP sales at (646) 395-8218 or email: Sales@OLPGlobal.com.

* China Wind Systems Inc. (Nasdaq: CWS) has completed the infrastructure construction for its ESR production line and now is installing equipment in the facility.

* Harbin-based China Sky One Medical Inc. (Nasdaq: CSKI) announced that Heilongjiang Tianlong Pharmaceutical Company (“Tianlong”), the company’s wholly owned subsidiary, will change its R&D focus from external use medicines to antibiotics and cardiac drugs.
* Suntech Power Holdings’ (NYSE: STP) Founder, Chairman and CEO Dr. Zhengrong Shi was honored as a finalist for the prestigious Zayed Futre Energy Prize as an awards ceremony in Abu Dhabi on Jan. 19.

* Junan County-based American Lorain Corp. (NYSE Amex: ALN) has launched an upgraded “cold-dish” product line with extended shelf-life for food retail counters. “Cold dishes” are a category of Lorain’s ready-to-eat product line which includes tofu, vegetable salads, and kimchi and other similar products. The company recently retained HC International, Inc. as its corporate communications advisor.

* Daqing-based China Nutrifruit Group Ltd. (NYSE Amex: CNGL) plans to construct a new fruit and vegetable powder manufacturing facility in Daqing, Heilongjiang Province. It expects the new line to contribute approximately $13.5 million in revenue for fiscal year 2011.

From January 22–Week in Review–Email Newsletter

MARKET MOVES

ChinaCast Moves to Nasdaq
Beijing-based ChinaCast Education Corp. began trading on the Nasdaq under the ticker “CAST” on January 4, 2010. Founded in 1999, ChinaCast is a for-profit, post-secondary education and e-Learning services provider in China. It provides post-secondary degree and diploma programs through its two universities in China: The Foreign Trade and Business College of Chongqing Normal University and the Lijiang College of Guangxi Normal University. Ron Chan serves as Chairman and CEO.

Sino Green Receives $1 Million from Investors
Guangzhou-based Sino Green Land Corp. (OTC BB: SGLA) announced on January 14, that T Squared Investments LLC had exercised its investment rights in connection with a private placement completed in August 2009 to invest another U.S. $1 million into the company. Proceeds will be used to help fund the build out of the company’s recently announced China Green Food Distribution Hub, which is being constructed in the Guangzhou Yuncheng Wholesale Market. Once complete, the hub will cover 20 thousand square meters of floor area and will cater to both wholesale and retail customers. Sino Green is a distributor of high-end fruits and vegetables in China. Mr. Anson Fong serves as Chairman.

China Valves Making Acquisitions
Kaifeng-based China Valves Technology, Inc. (Nasdaq: CVVT) announced two acquisitions in mid-January. On January 13, it announced it had completed the acquisition of Yangzhou Rock Valve Lock Technology Co., Ltd. for $7.3 million in cash. China Valves will consolidate Yangzhou Rock’s operations into its financial results effective January 2010. On January 12, the company announced that it had signed a letter of intent to acquire 100 percent of Able Delight (Changsha) Valve Co., Ltd. Located in Changsha, Hunan Province, the company is a producer of butterfly valves, check valves and ball valves for hydropower plants, thermal power plants, nuclear power plants and water and sewage treatment applications. China Valves is a metal valve manufacturer for the electricity, petroleum, chemical, water, gas and metallurgy industries. Mr. Siping Fang serves as Chairman and CEO.

Universal Travel Seeks Out Strategic Acquisitions
Shenzhen-based Universal Travel Group (NYSE: UTA) announced January 19, it has entered into a Letter of Intent to acquire Hebei Tianyuan Travel Agency for approximately $4.2 million, 80 percent which shall be paid in cash and 20 percent on the consideration in shares of the company’s common stock. According to the company’s press release, Tianyuan is the exclusive provider of travel agency services to Mount Lu (Lushan National Park), a domestic tourist attraction listed on the UNESCO World Heritage Site. According to UTG’s Chairman and Chief Executive Officer, Ms. Jiangping Jiang, the company’s goal is to expand its geographic coverage over the most popular national tourist destinations. In December, the company acquired Huangshan Holiday Travel Service Company.

China New Energy Acquires Fuzhou Flying Dragon Zhongran Gas Inc.
Tianjin-based China New Energy Group Company (OTC BB: CNER) announced on January 5, that it had entered into an equity purchase agreement to acquire Fuzhou Flying Dragon Resource Development Ltd. and Flying Dragon Investment Management Ltd. for approximately $3.8 million. The acquisition is part of the company’s strategy to expand its market in Jiangxi Province. In December the company acquired Shandong Province-based Zhanhua Jiutai Gas Company. China New Energy develops natural gas distribution networks to residential, industrial and commercial users in small and medium-sized cities in China. Mr. Yangkan Chong serves as CEO.

Linktone Acquires Gaming Company
Beijing-based Linktone Ltd. (Nasdaq: LTON) announced it has entered into an agreement to acquire a controlling interest in Letang Game Ltc., a private Chinese company specializing in the development of mobile games and PC online games. Under the terms of the transaction, Linktone has agreed to pay up to U.S. $9.15 million in cash to acquire 50.01 percent of the equity of Letang. Linktone provides wireless interactive services for the consumer market. Its acquisition of Letang is part of its strategy to tap into the fast-growing gaming market. Hary Tanoesoedibjo serves as CEO.

DEALS

Hollywood Comes to Beijing
Beijing-based Xinhua Sports & Entertainment Limited (Nasdaq: XSEL) announced that Academy Award winner, Kevin Spacey, has signed to star and direct in Dayyan Eng’s black comedy “Inseparable.” It is being produced by David U. Lee of Xinhua Media Entertainment (“XME”), a majority owned subsidiary of XSEL, and Dayyan Eng of Colordance Pictures. The film, which will be shot in Mandarin and English, follows a young man with problems at home and work who is befriended by a mysterious American expat (Spacey). Daniel Wu co-stars as a young engineer and Bebi Gong as his investigative reporter wife.

PEOPLE

China Wind Appoints CFO
Wuxi-based China Wind Systems Inc. (Nasdaq: CWS) has appointed Ms. Ying (Teresa) Zhang as Chief Financial Officer. Zhang replaces Leo Wang, who resigned as CFO on January 5, 2010, citing personal reasons. Previously, Zhang served as an auditing manager at GC Alliance HK CPA, an international accounting, taxation and advisory services firm in Beijing; as a liaison officer for the Australian-Chinese Friendship Business Association auditor at Ernst & Young in Beijing, China. The company also appointed Xuezhong Hua as an independent director, filling the vacancy created when Lihua Tang resigned on January 5.

Wuhan Appoints CFO
Wuhan-based Wuhan General Group Inc. (Nasdaq: WUHN) announced on January 13, the appointment of Mr. Philip Tsz Fung Lo as the company’s new Chief Financial Officer and Treasurer. Lo replaces Mr. Haiming Liu, who resigned from the company for family reasons. Previously, Lo worked at AW Financial Consultancy Ltd., Wuhan Zhongye Yangluo Heavy Machinery Co., Albert Wong & Co., Ligo Silicone Rubber Technology China and Hang Chi Enterprise Co.

IN BRIEF…

* Suntech (NYSE: STP) announced it had completed the installation of two solar solar systems on the China Pavilion and the Theme Pavilion of the 2010 Shanghai World Expo.

* Processed snack food company, American Lorain (NYSE Amex: ALN) announced it had begun selling products through A.S. Watson Group and Shanghai Jiadeli Supermarket Group.

* Harbin-based China Sky One (Nasdaq: CSKI) has moved into its new corporate headquarters in the Harbin Song Bei New Development district.

* HC International has released its Winter 2010 Quarterly Newsletter, posted on its web site: www.hcinternational.net.

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