Navigation Links
China Aoxing Pharmaceutical Company Signed Definitive Acquisition Agreement to Acquire Shijiazhuang Lerentang Pharmaceutical Company, Ltd.

- Acquisition to Expand Company's Market Position and Portfolio in Pain

Management -

NEW YORK, March 12 /PRNewswire-FirstCall/ -- China Aoxing Pharmaceutical Company, Inc. (OTC Bulletin Board: CAXG), which has the largest manufacturing facility and product pipeline for highly regulated narcotic medicines and pain medication in China, today announced that Hebei Aoxing Pharmaceutical Group Company, the subsidiary of China Aoxing Pharmaceutical Company, signed a definitive acquisition agreement to acquire Shijiazhuang Lerentang Pharmaceutical Company Ltd. ("LRT"). LRT is a pharmaceutical company organized under the laws of China specializing in the manufacturing and distribution of modernized Chinese traditional medicines, with a strong portfolio of pain management products. The definitive acquisition agreement contemplates that CAXG will acquire 100% ownership of LRT. The purchase price will be paid 80 million RMB (approximately $10.8 million) in cash and 8 million shares of the Company's common stock. Completion of the transaction is expected to occur within the next 70 days. Completion, however, is subject to a number of conditions, including the receipt of approval from the Chinese government.

LRT, based in Shijiazhuang City, Hebei Province, China, was founded in 1935. It is a profitable company with the total product sales of approximately $9 million for the year ended December, 2007. LRT currently has 127 SFDA-approved products in its portfolio and has developed a rich line of pain management drugs in pills, tablets, capsules, oral solutions and other formulations. LRT's best selling product is the Zhong Tong An Capsules, an effective pain medicine developed solely by LRT to relieve dental pain, sore throats and oral ulcers. Zhong Tong An Capsules accounted for approximately 50% of LRT's total revenue in 2007. LRT currently has 52 products listed in the first and second classes of the National Medical Insurance Program, and 101 products entered in the national OTC medicine book. In 2004, LRT passed GMP production certificates for all of its production lines.

"We are excited to gain significant progress in the LRT transaction and believe this acquisition will further support our position as a leading, diversified pain management products company," commented Zhenjiang Yue, Chairman and CEO of China Aoxing. "With LRT's integration, we will execute a key part of our business strategy by acquiring an established brand, profitable business, and synergistic product portfolio with significant commercialization value. LRT has a number of high value pain management products, including its flagship product, Zhong Tong An Capsules, that have not reached their full market potential."

Mr. Yue continued, "We will move quickly to the integration phase of this transaction, ramp up and optimize production of LRT's most promising products as well as rejuvenate its existing sales and marketing organization. We believe this acquisition will be synergistic, as it will allow China Aoxing to leverage its existing marketing power and operating resources for new product launches expected out of our pipeline over the next 12 to 18 months. We look forward to the many benefits associated with this acquisition and believe it will provide us with a strong platform for sales and profitability growth in the future."

About China Aoxing Pharmaceutical Company, Inc.

China Aoxing Pharmaceutical Company, Inc. (OTC Bulletin Board: CAXG) is a pharmaceutical company in China specializing in research, development, manufacturing and distribution of a variety of narcotics and pain management products. Headquartered in Shijiazhuang City, the pharmaceutical capital of China, outside of Beijing, the Company has the largest product pipeline and largest manufacturing facility (1.2 million sq. ft.) for highly regulated narcotic medicines, addressing a very under-served and fast-growing market in China. Its facility is one of the few GMP facilities licensed for narcotics medicines. The Company has two drugs on the market and has received China SFDA licenses for research and clinical development of seven more medications such as Oxycodone, Tilidine and Pholcodine. The Company is working closely with the Chinese government and SFDA to assure the strictly regulated availability to medical professionals of its narcotic drugs and pain medicines throughout China.

This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, product and service demand and acceptance, changes in technology, economic conditions, the impact of competition and pricing, government regulation, and other risks contained in statements filed from time to time with the Securities and Exchange Commission. All such forward-looking statements, whether written or oral, and whether made by or on behalf of the company, are expressly qualified by the cautionary statements and any other cautionary statements which may accompany the forward-looking statements. You are urged to read the Company's filings with the Securities and Exchange Commission, including, but not limited to, the risk factors contained therein. In addition, the Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.


Dr. Hui Shao

Senior Vice President

China Aoxing Pharmaceutical


SOURCE China Aoxing Pharmaceutical Company, Inc.
Copyright©2008 PR Newswire.
All rights reserved

Related biology technology :

1. Pharmaxis First Steps into China
2. Hovione Buys Drug Manufacturing Facility in China
3. China Nepstar Chain Drugstore to Acquire 18 Stores from Dongguan Hui Ren Tang Pharmaceutical Co.
4. China Yingxia International Announces Q4 and FY 2007 Estimates
5. China Biologic Products Commences Trading on OTC Bulletin Board
6. STAAR Surgical Receives Approval to Market Visian(R) Toric Implantable Collamer Lens in China
7. China Technology Appoints Deloitte Touche Tohmatsu CPA as Independent Auditor
8. China-Biotics, Inc. Reports Third Quarter 2008 Financial Results
9. China Shenghuo to Market 12Ways(R) Skin Care Products in the U.S. through Agreement with Home Shopping Group
10. China Pharma Appoints Three Independent Non-Executive Directors
11. China-Biotics, Inc. Announces Rescheduling of Conference Call to Discuss Third Quarter 2008 Results
Post Your Comments:
(Date:11/30/2015)... ENGLEWOOD, Colo. , Nov. 30, 2015  Aytu ... focused on urological and related conditions, will present at ... live at, an interactive real-time virtual conference, to ... Main Event Investor Conference, to be held December 2 ... Los Angeles and streamed live via ...
(Date:11/30/2015)... ... November 30, 2015 , ... ... integration with MarkLogic, the Enterprise NoSQL database platform provider, creating a seamless ... , Smartlogic’s Content Intelligence capabilities provide a robust set of semantic tools ...
(Date:11/27/2015)... ... November 27, 2015 , ... Pittcon is ... 2,000 technical presentations offered in symposia, oral sessions, workshops, awards, and posters. ... wide range of applications such as, but not limited to, biotechnology, biomedical, drug ...
(Date:11/25/2015)... , November 26, 2015 ... Global Biobanking Market 2016 - 2020 report analyzes ... maintaining integrity and quality in long-term samples, minimizing ... long-term cost-effectiveness. Automation minimizes manual errors such as ... technical efficiency. Further, it plays a vital role ...
Breaking Biology Technology:
(Date:11/19/2015)... Nov. 19, 2015  Based on its in-depth analysis ... recognizes BIO-key with the 2015 Global Frost & Sullivan ... & Sullivan presents this award to the company that ... the needs of the market it serves. The award ... and expands on customer base demands, the overall impact ...
(Date:11/18/2015)...  As new scientific discoveries deepen our understanding of ... providers face challenges in better using that knowledge to ... as more children continue to survive pediatric cancer, that ... age. John M. Maris, M.D ., a ... (CHOP) . --> John M. Maris, ...
(Date:11/17/2015)... 2015 Paris from 17 ... Paris from 17 th until 19 ... innovation leader, has invented the first combined scanner in the ... same scanning surface. Until now two different scanners were required: one ... capture both on the same surface. This innovation is ...
Breaking Biology News(10 mins):