HONG KONG, Jan. 25, 2011 (GLOBE NEWSWIRE) -- Man Shing Agricultural Holdings, Inc. (OTCBB:MSAH) ("Man Shing" the "Company," "we," "us," or "our"), located in the Shandong Province and one of the largest Chinese exporters of fresh ginger to Japan, the United Kingdom, and the Netherlands, today announced the closing of the $4 million common stock financing which was previously announced on September 16, 2010.
Under the terms of the agreement, investors purchased an aggregate of 10,000,000 shares of common stock of the Company for $0.40 per share (an aggregate of $4,000,000).
As a condition precedent to the consummation of the transaction, Mr. Shili Liu, Chief Executive Officer, Chairman and President of Man Shing, canceled 3,358,250 of the Company's preferred shares owned by him, which simplifies and improves the capital structure of the Company. As a result of this transaction, the company will have approximately 48 million common shares outstanding and 176,750 preferred shares outstanding.
Mr. Shili Liu, Chairman and Chief Executive Officer of Man Shing, stated, "We are pleased to close on our previously announced equity financing of common shares and welcome our new investors. The closing of our financing was contingent on several conditions, including the cancelation of the Company's approximate 3.4 million in preferred stock that I owned."
Mr. Liu continued, "As a result of this transaction, the company currently has approximately $5.6 million in cash on hand. This financing provides us with adequate working capital to execute our growth strategy in 2011. Recently we announced an agreement to expand the production of ginger on 70,186 square meters of land in Japan. Our expansion into Japan will provide us with several advantages including helping establish our international farming presence, providing a higher price point for our ginger, and increased customer confidence due to the high quality and safety standards enforced in Japan. During the upcoming planting season we anticipate leasing more land to grow our fresh ginger."
About Man Shing Agricultural Holdings, Inc.
Man Shing Agricultural Holdings, Inc., through its operating subsidiary in Shandong of China, is focused on the production and processing of fresh ginger and other select vegetables such as onion and garlic. The Company produces high quality ginger which meets the requirements of the British Retail Consortium Global Food Standard. The Company focuses on customers located in countries such as Japan and the European Union which are food safety oriented. For further information about Man Shing Agricultural Holdings, Inc., please visit the Company's website at http://www.msaginger.com/
Forward-Looking Statement:
Statements contained in this press release, which are not historical facts, are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, expectations of signing new customers and contracts, developing new products, projected revenues and earnings, and the success of new products. These forward-looking statements are based largely on current expectations and are subject to a number of known and unknown risks, uncertainties and other factors beyond our control that could cause actual events and results to differ materially from these statements. These statements are not guarantees of future performance, and readers are cautioned not to place undue reliance on these forward-looking statements, which are relevant as of the date of the given press release and should not be relied upon as of any subsequent date. Man Shing Agricultural Holdings, Inc. undertakes no obligation to update the forward-looking information contained in this press release.
CONTACT: Company Contact: Man Shing Agricultural Holdings, Inc. Mr. Kenny Chow, CFO +86-536-464-4888 +852-2530-3122 kenny@msaginger.com http://www.msaginger.com/ Investor Contact: HSC Global, an affiliate of HC International, Inc. Alan Sheinwald, Managing Director (914) 669-8885 Alan.sheinwald@hscglobal.net www.HCInternational.net