BEIJING, Jan. 6, 2017 /PRNewswire/ -- China Biologic
Products, Inc. (NASDAQ: CBPO, "China Biologic" or the "Company"), a
leading fully integrated plasma-based biopharmaceutical company in
China, today announced that its
majority-owned subsidiary Shandong Taibang Biological Products Co.
Ltd. ("Shandong Taibang") received two approvals from the Shandong
Provincial Health and Family Planning Commission on December 30, 2016 to build a new plasma
collection station and a new branch collection facility,
respectively, in Shandong
Province.
The new plasma collection station will be located in Ju County
in Rizhao City, while the new branch plasma collection facility
will be located in Feicheng County in Tai'an City and operated
under the Company's Ningyang plasma collection station, which was
established in Tai'an City in July
2011. The Company intends to complete all the prerequisite
procedures including site selection, facility construction, staff
recruitment, government inspection and certification, and expects
to commence commercial operations of both of the newly approved
plasma collection station and branch collection facility by the end
of 2017.
The aggregate capital expenditures for the new station and
facility are expected to be in the range of RMB40 million to RMB50 million, or approximately
US$5.8 million to $7.2 million, based
on the December 30, 2016 exchange
rate. Each facility is expected to reach its designed annual
collection capacity in approximately three years after obtaining a
collection license. Once operational, the Company's new Ju County
collection station, which will cover the collection territory of
Rizhao City that has a population of approximately 3.0 million
residents, is expected to increase the Company's total collection
capacity by approximately 5%. The Feicheng branch collection
facility will be located within the collection territory of the
Ningyang collection station and cover a population of approximately
2.4 million residents, accounting for over 40% of the population of
the Ningyang collection station's territory. The existing Ningyang
collection facility is located in the south side of Tai'an City
while the Feicheng branch facility will be located in the north
region of the city. With the launch of the new Feicheng facility,
the Company believes the location will be more convenient for
existing donors that live on the north side of Tai'an City as well
as help attract new potential donors.
Mr. David (Xiaoying) Gao,
Chairman and Chief Executive Officer of China Biologic, commented,
"We are very pleased to receive the approvals to build two new
collection facilities in Shandong
Province just before the 2017 New Year. China Biologic has a
significant market presence and strong brand reputation in
Shandong Province, and with the
approval of the Ju County collection station, we have added our
collection station presence to nine of the seventeen
prefecture-level cities in this province. The approval of the two
new collection facilities underscores our efforts to focus on
organic growth by sustainably increasing our plasma collection
volume. We are excited to ring in the new year with these new
development plans."
About China Biologic Products, Inc.
China Biologic is a leading plasma-based biopharmaceutical
company in China. The Company's
products are used as critical therapies during medical emergencies
and for the prevention and treatment of life-threatening diseases
and immune-deficiency related diseases. China Biologic is
headquartered in Beijing and
manufactures over 20 different dosages of plasma-based products
through its majority-owned subsidiary, Shandong Taibang Biological
Products Co., Ltd., and its wholly-owned subsidiary, Guizhou
Taibang Biological Products Co., Ltd. The Company also has an
equity investment in Xi'an Huitian Blood Products Co., Ltd. The
Company sells its products to hospitals and inoculation centers, as
well as distributors, in China.
For additional information, please see the Company's website,
www.chinabiologic.com.
Safe Harbor Statement
This news release may contain certain "forward-looking
statements" relating to the business of China Biologic Products,
Inc. and its subsidiaries. All statements, other than statements of
historical fact included herein, are "forward-looking statements."
These forward-looking statements are often identified by the use of
forward-looking terminology such as "believe," "expect," "are
expected to," or similar expressions, and involve known and unknown
risks and uncertainties. Among other things, the Company's plans
regarding the construction of the collection stations, including
capital expenditure requirements, the expected contribution to the
Company's total collection capacity, the time required for the
collection stations to reach their designed capacities and
quotations from management in this news release contain
forward-looking statements. Although the Company believes that the
expectations reflected in these forward-looking statements are
reasonable, they involve assumptions, risks, and uncertainties, and
these expectations may prove to be incorrect.
Investors should not place undue reliance on these
forward-looking statements, which speak only as of the date of this
news release. The Company's actual results could differ materially
from those anticipated in these forward-looking statements as a
result of a variety of factors, including, without limitation
potential delay or failure to complete construction of new
collection facilities, potential inability to pass government
inspection and certification process for new collection facilities,
potential inability to achieve the designed collection capacities
at the new collection facilities, potential inability to achieve
the expected operating and financial performance, potential
inability to find alternative sources of plasma, potential
inability to increase production at permitted sites, potential
inability to mitigate the financial consequences of a temporarily
reduced raw plasma supply through cost cutting or other
efficiencies, and potential additional regulatory restrictions on
its operations and those additional risks and uncertainties
discussed in the Company's periodic reports that are filed with the
Securities and Exchange Commission and available on its website
(http://www.sec.gov). All forward-looking statements attributable
to the Company or persons acting on its behalf are expressly
qualified in their entirety by these factors. Other than as
required under the securities laws, the Company does not assume a
duty to update these forward-looking statements.
Contact:
China Biologic Products, Inc.
Mr. Ming Yin
Senior Vice President
Phone: +86-10-6598-3099
Email: ir@chinabiologic.com
ICR Inc.
Mr. Bill Zima
Phone: +86-10-6583-7511 or +1-646-405-5191
E-mail: bill.zima@icrinc.com
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SOURCE China Biologic Products, Inc.