MONROVIA, Calif. and HANGZHOU, China, Nov. 18 Niusule Biotech Corp. ("Niusule" or the "Company") (OTC Bulletin Board: NIUS), a leading U.S.-based biotech company focused on developing and selling nutritional products for children, today announced that the Company's popular Gummy Bear products will be distributed in Shanghai, the largest city in China. The Company has entered into a one year distribution contract with Hainan Qi Zheng Pharmaceutical Co., Ltd. ("Hainan Qi Zheng"), a leading distributor in Shanghai and Zhejiang Province, China.
Hainan Qi Zheng will distribute Niusule's Gummy Bear products across Shanghai through drugstores, shopping malls, and children stores. Under the contract, Hainan Qi Zheng is responsible for distributing Niusule's Gummy Bear products in Shanghai to 100 retail outlets by December 10, 2009 and to 280 retail outlets by end of 2010. Niusule will advertise its products in Shanghai and estimates advertising expense to be five percent of the total wholesale revenues from Hainan Qi Zheng. According to Hainan Qi Zheng, the order value is expected to reach $5.0 million in the calendar year 2010.
"We are pleased to report that our recently introduced Gummy Bear products have gained significant recognition and popularity among Chinese children. We are aggressively expanding our geographic footprint by entering into distribution partnerships with leading distributors in our target markets," commented Ms. Qinghua Hu, CEO of Niusule Biotech Corp. "We are positive about our engagement with Hainan Qi Zheng as our Shanghai distributor and expect to leverage its well-established network to introduce our products in Shanghai. We are confident of Hainan Qi Zheng's ability to meet its retail outlet targets for 2009 and 2010. We continue to seek distribution partnerships with other leading distributors in our target markets."
About Niusule Biotech Corp.
Niusule Biotech Corp. ("Niusule" or "the Company"), through its wholly owned subsidiary Niusule Bioengineering (Hangzhou) Co. Ltd., develops and distributes health food and related products manufactured in the US to Chinese consumers. The Company launched its Niusule Gummy Bears nutritional supplements for children in September 2009 and its PlantFusion protein powder in July 2009. Niusule currently has a retail distribution network comprised of 36 outlets at high-end supermarkets and shopping malls in Zhejiang province and is aggressively seeking to expand into other regions in China. Niusule was founded in April 2008 and is headquartered in Monrovia, California. For more information, contact CCG Investor Relations directly or go to Niusule's website at http://www.niusule.com.
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Certain statements in this press release constitute forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. We disclaim any obligation to update any such factors or to announce publicly the results of any revisions of the forward-looking statements contained herein to reflect future events or developments. You are urged to consider these factors care in evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement. The forward-looking statements made herein speak only as of the date of this press release and the Company undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in the company's expectations.
Contact: Jeff Tsang Niusule Biotech Corp. (626) 446-4688 Email: [email protected]
Website: www.niusule.com Mabel Zhang CCG Investor Relations (310) 954-1353 [email protected]
SOURCE Niusule Biotech Corp.