
Vorsatech
Ventures, Inc. Enters into Definitive Agreement to Acquire 100% of Synutra
International, Inc.
Company poised to
capture significant portion of multi-billion dollar Chinese infant formula
market
ROCKVILLE, MARYLAND,
July 5, 2005 – Vorsatech Ventures, Inc. (OTCBB:VVIN) announced today that it
has entered into a Share Exchange Agreement whereby the Company will issue
48,879,500 shares of its common stock in exchange for all of the issued and
outstanding shares of Synutra, Inc., an Illinois corporation that owns all
the registered capital of six foreign owned companies organized under the
laws of the People's Republic of China.
Synutra is a U.S. incorporated company that owns 100% of six subsidiary
companies in China, which are all engaged in the production, distribution
and sales of infant formulas based on dairy products. The six subsidiaries
include: Qingdao Shenyuan Dairy Company Limited, an entity engaged in sales
and marketing of the group’s infant formulas; Qingdao St George Dairy
Company Limited, which is responsible for the packaging and transport of the
groups products; Zhangjiakou Shenyuan Dairy Company Limited, which is
responsible for the production of the infant formula products; Beian Yipin
Dairy Company Limited produces adult dairy products under the brand name ‘Yipin’;
Luobei Shenyuan Dairy Company Limited produces the groups infant formula
products; and Qingdao Mother and Baby Nutrition Research Company Limited,
which conducts research and development of infant nutritional products.
Synutra’s extensive sales network covers 24 provinces, 227 cities and more
than 800 counties throughout China. The company’s products can be purchased
in over 25,000 retail points of sales within China. In 2004 the company’s
infant formula market share was ranked #8 among international manufacturers
and #3 among domestic manufacturers in China.
With about 18 million babies born per year in China, the company feels that
the market for infant formula products should experience consistent growth.
The company was founded in 1998 and is the youngest company among the top
ten players with the fastest revenue growth rate, over 50% per annum since
inception.
Safe Harbor
This press release contains forward-looking information within the meaning
of Section 21E of the Securities Exchange Act of 1934, as amended (the
"Exchange Act"), including statements regarding potential sales, the success
of the company's business, as well as statements that include the word
"believe" or similar expressions. Such forward-looking statements involve
known and unknown risks, uncertainties and other factors that may cause the
actual results, performance or achievements of Quintek to differ materially
from those implied or expressed by such forward-looking statements. Such
factors include, among others, the risk factors included in Vorsatech's
Annual Report and any subsequent reports filed with the SEC under the
Exchange Act. This press release speaks as of the date first set forth above
and Vorsatech assumes no responsibility to update the information included
herein for events occurring after the date hereof. Actual results could
differ materially from those anticipated due to factors such as the lack of
capital, timely development of products, inability to deliver products when
ordered, inability of potential customers to pay for ordered products, and
political and economic risks inherent in international trade.
Source: Vorsatech Ventures, Inc.
CONTACT:
Synutra International, Inc.
Weiguo Zhang
301-840-3888
wzhang@synutra.com |