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Global Pharm Holdings Group Obtains Business License for its Newly Established Joint-Venture in Jinan City
Date:4/27/2011

SHENZHEN, China, April 27, 2011 /PRNewswire-Asia/ -- Global Pharm Holdings Group, Inc. (GPHG.OB) ('Global Pharm" or the "Company"), a Shenzhen-based, leading vertically integrated pharmaceutical company engaged in pharmaceutical related products distribution business through its subsidiaries in Anhui, Jilin, and Shandong provinces, today announced that it obtained a business license on April 21, 2011 for its newly established joint venture, Shandong Sino-Green TCM Tech Development Co., Ltd. ("Shandong Sino-Green") in Jinan City, Shandong Province.

The joint venture was established between Shandong Global Pharm Co., Ltd., ("Shandong Global Pharm"), a PRC subsidiary of the Company and Jinan Linong TCM Plantation Co., Ltd. ("Jinan Linong"), a PRC company, in Mashan County of Changqing District of Jinan City, Shandong province. The registered capital of Shandong Sino-Green is RMB 10 million (USD 1.53 million). Shandong Global Pharm will invest RMB 9.7 million (USD 1.49 million) and Jinan Linong will invest RMB 0.3 million (USD 0.04 million), which reflect 97 percent and 3 percent of the ownership of Shandong Sino-Green, respectively. The company is required to pay 15% of its investment by July 21, 2011 and the remaining amount by April 21, 2013.

"Establishing a Joint-Venture with a local company in Mashan Town of Changqing District of Jinan City, Shandong Province is the second phase in our plan to develop TCM cultivation base projects," said Mr. Yunlu Yin, Chairman of the Board and Chief Executive Officer of Global Pharm. "Moreover, this project allows us to obtain high quality TCM herb that is certified with the National Geographical Place of Origin Trademark, which guarantees a higher price premium as well as good quality products."

Taking advantage of the excellent natural environment for TCM plantation in Mashan Town and the comprehensive technical cooperation agreement between the County Government and the Shandong University of Traditiona
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SOURCE Global Pharm Holdings Group, Inc.
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