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China Investment Reports

WUXI, China, May 15 /China Wind Systems, Inc. (OTC Bulletin Board: CWSI) manufactures and sells industrial machines for use in the textile and energy related industries in the People's Republic of China, today announced its financial results for the first quarter ended March 31, 2008.

First Quarter 2008 Highlights

  • Net revenues increased 104.6% year-over-year to $8.4 million
  • Gross profit increased 103.8% year-over-year to $2.2 million
  • Net loss allocable to common shareholders, after a $2.9 million non-cash deemed preferred dividend, totaled $(4.1) million, or $(0.11) per diluted share
  • Adjusting for non-cash items such as interest expense of $2.3 million and a deemed preferred dividend of $2.9 million, non- GAAP net income was $1.0 million, or $0.03 per diluted share
  • Revenue from the forging of rolled rings, for the wind power and other industries grew from $0 in the March Quarter of 2007 to $3.2 million in the March Quarter of 2008

AgFeed Industries Completes Previously Announced $25.2 Million Equity Financing

NEW YORK, NY--(MARKET WIRE)--Apr 28, 2008 -- AgFeed Industries, Inc. (NasdaqGM:FEED - News), a leader in China's premix feed and hog raising industry, announced today that the Company completed its previously mentioned $25.2 million equity financing in a registered direct placement with institutional investors.Proceeds from the financing just completed and the $10 million registered direct offering completed on April 21, 2008 will be used to acquire additional, already identified, producing commercial farms.

Lotus Pharmaceuticals, Inc. Announces Fourth Quarter and Fiscal Year 2007 Results

BEIJING, April 17 /Xinhua-PRNewswire-FirstCall/ -- Lotus Pharmaceuticals, Inc. (OTC Bulletin Board: LTUS - News; ''Lotus'' or the ''Company''), a pharmaceutical company in the People's Republic of China ("PRC"), today announced financial results for the fourth quarter and fiscal year ended December 31, 2007.

  • Total revenues increased 57% in 2007 to $56.9 million
  • Gross profit increased 130% in 2007 to $23.2 million
  • Gross margin was 40.8%, up from 27.8% in 2006
  • Operating income increased 153% to $11.3 million
  • Net income increased to $11.2 million, or $0.26 per fully diluted share, up from $4.1 million, or $0.10 per fully diluted share in 2006
  • Excluding non-cash debt financing costs and one-time financial items, adjusted net income was $8.5 million, or $0.19 per fully diluted share, up 34.3% from adjusted net income in 2006

Lotus Pharmaceuticals Raises $5 Million in Private Placement

BEIJING, Feb. 26 /Xinhua-PRNewswire-FirstCall/ -- Lotus Pharmaceuticals, Inc. (OTC Bulletin Board: LTUS; "Lotus" or the "Company"), the parent holding company in the United States that operates Beijing Liang Fang Pharmaceutical Co., Ltd. and Beijing En Zhe Jia Shi Pharmaceutical Co., Ltd. both of which are pharmaceutical companies in the People's Republic of China ("PRC"), today announced that it has raised $5 million in a private placement of 5,747,118 shares of the Company's series A convertible redeemable preferred stock, par value $0.001 per share, and warrants to purchase 2,873,553 shares of the Company's common stock, for an aggregate purchase price of $5 million.

Richardson & Patel represented Perfectenergy International, a solar energy company located in Shanghai China, in an $18.4 million PIPE transaction concurrent with a reverse merger with Crestview Development Corporation (OTCBB: PFEN). Richardson & Patel’s Asian Practice Group Partner, Kevin Leung, was the lead attorney for this transaction.

AgFeed expects the winter weather to cause additional shocks to the already very tight hog supply in China especially during the Chinese New Year. Since hog prices are market driven and approximately 75% of China's 600 million annual hog production is from poorly equipped backyard individual hog farmers, China's hog supply will remain fragile for years to come. AgFeed's business benefits from our industry expertise as well as the historical opportunity to potentially become a major player in China's tax free and highly profitable commercial hog raising industry."

Gold Horse International, Inc. (OTCBB:GHII) announced Decemember 6, 2007, that it has completed an institutional financing through the sale of an aggregate of $3,275,000 principal amount 10% Secured Convertible Debentures to accredited investors over two closings in a private transaction exempt from registration under the Securities Act of 1933.

Genesis Pharmaceuticals Enterprises, Inc, a leading pharmaceutical company in the People's Republic of China, announced on November 8, 2007 that it completed a private placement of $5 million of convertible notes and common stock purchase.

Investment Dealers' Digest Magazine published a comprehensive article in August 2006, entitled "China's Middle Market Takes New Route to US", by Colleen Marie O'Connor. This timely piece describes how the Genesis Partnering Program works, its increased popularity and notable success. As a sobering counterbalance, investors should always keep up-to-date with the regulatory agencies in the U.S. and China. Both the SEC and CSRC have active and informative websites.

Genesis hosted a China Investment Growth Forum, entitled "Mutual Growth Investment Program for Small and Medium Sized Chinese Companies", in Beijing on Tuesday, May 23, 2006. Held at the venerated Diao Yu Tai State Guest House, over 100 members of the national media attended along with government and industry dignitaries.