Next inscription on the Marché Libre Paris of Euronext of China Forest Industry Hong Kong,25 September 2008 China Forest Industry,based in Hong Kong,controls and operates natural forests in Taining County,the "mine forest" of Fujian province is the largest forest area in China. The group,chaired by Mr Zhou,experienced professional wood since 2006 has specialized in the production of lumber. Since 2 years,the group is growing very fast in a rapidly changing market and strong development potential. China Forest Industry intends to become the medium term a leading Chinese forestry industry. The activity of China Forest Industry today is organized around four themes: -Pursuing the acquisition of new concessions The group now has rights to operate on 8 200 hectares of natural forests,almost 10% of total forest area Taining is negotiating to rapidly increase the number of its concessions. -Management of forestry China Forest Industry today focuses on the operation of two categories of forests to market opportunities: pine and fir,which represent 60% of the volume of timber and bamboo 40%. In addition,biotechnological research conducted by the Group in close collaboration with academic research on the shoot can increase the yield and quality of forests. The development project of China Forest Industry is associated with an active policy of sustainable development including regular replanting programs aimed at preserving forest areas of the country. -Distribution of wood The group sells in China on timber from its forests mainly to the construction industry and furniture industry. -Production of plywood panels The group has begun to integrate downstream sector with the manufacture of plywood panels that put into production early in the year 2009. A Promise China Forest Industry has a very favorable environment for its business development at a steady pace. The demand for wood,driven by economic growth in double digits,is a strong and constant growth remains sustainable and less than the supply. China is in fact both the largest exporter of finished wood products and the largest importer of timber resources. In addition,the government introduced measures to facilitate logging by private groups,increasing forest area of the country,to help financially stakeholders,and to actively support their promotion. Finally,the manufacture of plywood panels,which will begin in 2009 with 3 production lines with a capacity of 35 000 m3 per year,is a higher value added. A very strong growth and excellent profitability In 2007 China Forest Industry has achieved a turnover of € 1.9 million and a net profit of € 0.5 million,representing a net margin of 25.9%. It has set a target for the year 2008,to increase its turnover by 3.7 to 7.1 million €,and its net income by 5 to € 2.6 million,a margin Net 36.3%. The group is extremely confident in his ability to accelerate its development while maintaining profitability levels high in the years to come. Inscription on the Marche Libre on October 7 China Forest Industry will be entered on the Marche Libre of NYSE Euronext Paris on 7 October 2008 by the admission procedure by direct transfer of 50 000 titles to 13.33 euros (approx. 650 000 euros). This operation is conducted by Invest Securities. ISIN: HK0000049327 Mnemonic code: MLCFI Contacts: Invest Securities: Claude Breuil / Olivier Claret,at 01 44 88 77 88, cbreuil@invest-securities.com, oclaret@invest-securities.com News: Anne-Catherine Hello,press relations,at 01 53 67 36 93,acbonjour@actus.fr About Invest Securities INVEST SECURITIES is an independent financial services dedicated to Small & Mid caps. Invest Securities is composed of two structures: a trading company approved by the Bank of France and the AMF as investment services provider (ISP),a member of Euronext Paris and Society Council,specialist operations market and merger and acquisition,recognized and approved by Euronext as "listing sponsor",and by the AMF as "independent expert". INVEST SECURITIES accompanied 29 IPOs since July 2004 and lifted over 300 million euros in 2007. For more information: www.invest-securities.com |
