Shandong Zhouyuan Seed and Nursery Co., Ltd. Signs Letter of Intent to Acquire 53.47% Stake of Shijiazhuang Aerospace Agriculture Technology Co., Ltd.
If Zhouyuan shall acquire the 53.47% equity interest of Aerospace Agriculture, Zhouyuan will promote its brand to other areas in Northern and Central part of China.
20/07/07 Shandong Zhouyuan Seed and Nursery Co., Ltd. which is incorporated in the State of Delaware, stated that its subsidiary, Shandong Zhouyuan Seed and Nursey Co. Ltd in China has signed a letter of intent with Mr. Duan Yongguo, the major shareholder of Shijiazhuang Aerospace Agriculture Technology Co., Ltd., to acquire all his equity holdings on Aerospace Agriculture which represents 2,673,500 shares of the total issued and outstanding shares of Aerospace Agriculture.
According to the Letter of Intent, Zhouyuan agreed to pay Mr. Duan for the shares of Hebei Province based company, Aerospace Agriculture, in cash to acquire its 2,673,500 units of stock, which is about 53.47% of the total issued and outstanding of Aerospace Agriculture. The consideration on this acquisition will be further negotiated and discussed within 30 days upon the date of signing.
If Zhouyuan shall acquire the 53.47% equity interest of Aerospace Agriculture, Zhouyuan will promote its brand to other areas in Northern and Central part of China. More importantly, with the expected high-quality assets of Aerospace Agriculture, Zhouyuan will enlarge its R&D ability and will increase its product capacity.
"We have been seeking such opportunities to expand our business horizontally. In fact, with our development, such acquisition and merge will be continued," said Mr. Wang Zhigang, President of SZSN, "We'll be able to achieve much more in the way of that, at least, in a short-term, we can significantly increase our sales in North and Central China through Aerospace Agriculture's brand and networks."
As a Hebei-based famous agriculture hi-tech company, Aerospace Agriculture's business covers aerospace breeding technology, the high-quality breed production, sales, and after-sales service, combining research, breeding, processing, and sales. Relying on its advanced technology, it serves the farmers distributed over twenty provinces in China.
