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Following the recent signing of the Equity Transfer Agreement, Shengdachanged its name to Sunstone Shengda (Zhangjiakou) Pharmaceutical Co., Ltd.("Sunstone Shengda"). Additionally, Mr. Zhiqiang Han, President and ChiefOperating Officer of BMP Sunstone, will serve as Chairman of both Sunstone andSunstone Shengda going forward.
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Mr. David Gao, Chief Executive Officer of BMP Sunstone, stated, "Thecompletion of this equity investment strengthens our pharmaceutical productioncapacity, allows us to optimally allocate our resources, and ultimatelyreinforces our competitive position. This builds on our achievements sinceacquiring Sunstone in February 2008, when we successfully entered the Chinesepharmaceutical manufacturing sector and developed into a vertically integratedcompany."
Shengda is a leading manufacturer of pediatric pharmaceuticals andspecializes in antibiotic research and development. It has approval from theChinese SFDA to manufacture approximately 76 products, and primarily focuseson penicillin and cephalosporin products. Dosages and flavors arespecifically designed for the unique needs of children, and the productportfolio includes some of the most widely prescribed and effective pediatricmedicines, such as amoxicillin tablets and capsules, as well as clavulanatepotassium compounds. The product formulations are dispersible tablets, whichoffer consistently high levels of safety and efficacy, and are extremelywelcome by parents for easy administration to children.
Mr. Zhiqiang Han stated, "Our equity ownership stake in Shengdacomplements our existing production line and helps us launch additionalproducts into the oral pediatric market. We look forward to combiningShengda's product portfolio and R&D expertise with Sunstone's platform inpediatric pharmaceuticals. We also plan to leverage BMP Sunstone's existingnational distribution network so that Shengda can access the key markets ofBeijing, Shanghai and Guangzhou, where our most compelling patient populationsreside. Utilizing our existing sales coverage and nationally-recognized brand,Good Baby, we also expect to realize opportunities immediately by increasingsales volume and improving sales margins."
About BMP Sunstone Corporation
BMP Sunstone Corporation is a specialty pharmaceutical company that isbuilding a proprietary portfolio of branded pharmaceutical and healthcareproducts in China. Currently, this portfolio includes eight products underexclusive multi-year licenses for China, primarily focused on women's healthand pediatrics. The Company also owns Sunstone Pharmaceutical Co., Ltd., whichmanufactures leading pediatric and women's health products, including two ofChina's most recognized brands, "Hao Wawa" and "Confort," sold throughapproximately 50,000 pharmacies in China. The Company also providespharmaceutical distribution services through its subsidiaries in Beijing andShanghai, and through its affiliate, Guangzhou Pharmaceuticals Corp. TheCompany has its main office in Beijing, with a US office in Plymouth Meeting,PA. For more information, please visit http://www.bmpsunstone.com .
Safe Harbor Statement
This news release contains forward-looking statements as defined by thePrivate Securities Litigation Reform Act of 1995. Forward-looking statementsinclude statements concerning plans, objectives, goals, strategies, futureevents or performance, and underlying assumptions and other statements thatare other than statements of historical facts, including but not limited tostatements about the completion, terms, benefits and synergies of the proposedacquisition of 50% of the outstanding equity interests of Shengda, thepotential acquisition of a majority stake in Shengda, the ability topotentially consolidate Shengda's financial results, the ability to optimallyallocate the Company's resources, the ability and success of the Companyentering the oral pediatric market, and customer acceptance of Shengda'sproduct formulations. These statements are subject to uncertainties and risksincluding, but not limited to, satisfying the conditions in such definitiveagreements, regulatory review, general financial, economic, and politicalconditions affecting the biotechnology and pharmaceutical industries and theChinese pharmaceutical market and other risks contained in reports filed bythe Company with the Securities and Exchange Commission. In addition, theCompany disclaims any obligation to update any forward-looking statements toreflect events or circumstances after the date hereof.For more information, please contact: BMP Sunstone Corporation Fred M. Powell Chief Financial Officer Tel: +1-610-940-1675 Integrated Corporate Relations, Inc. Ashley Ammon and Christine Duan Tel: +1-203-682-8200 (Investor Relations)
SOURCE BMP Sunstone Corporation
