Select A LocationAugust 10, 2012 – Jinhe Biotechnology, parent of Pharmgate LLC, successfully completed an initial public offering of 27.23 million A shares of common stock at a price of 18 yuan ($2.82) per share, according to filings. The company raised 490.14 million yuan ($76.79 million) through the issuance. The shares are traded on the SME Board of the Shenzhen Stock Exchange. China Galaxy Securities served as the lead underwriter and Crowe Horwath China Certified Public Accountants LLP is the auditor.
Jinhe Biotechnology engages in the manufacture and sale of medicated feed additives, including chlortetracycline, chlortetracycline hydrochloride and salinomycin. The company currently has fermentation volume of 4,400 cubic meters, being one of the world’s largest manufacturers of feed chlortetracycline with an annual production capacity of more than 40,000 tons. In 2011, the company reported operating revenues of $113 million and net profit after taxation of $12 million. The majority of the company’s business comes from chlortetracycline, of which 70 percent was exported to the United States, Canada, Southeast Asia and other countries and regions. Its marketing network is spread across China.
Colin Gray, President of Pharmgate, commented, “This is a major step forward and will permit the company to proceed with its expansion and forward integration strategy.”
About Pharmgate LLC
Pharmgate LLC is the majority-owned US subsidiary of Jinhe Biotechnology Co., Ltd., P. R. China, the world leader in the production of chlortetracycline feed grade, chlortetracycline hydrochloride, salinomycin and other animal health compounds. The company has marketing or supply approvals for these products in most major markets throughout the world.
Contact: Colin Gray 1 201 327 3800
