Archive | September, 2010

Capitalize on China’s Expanding Agricultural Marketplace

Capitalize on China’s Expanding Agricultural Marketplace

EastBridge Investment Corp (OTC-BB: EBIG), a financial services company that provides Asian companies with access to U.S. markets, currently houses two agricultural companies operating in China that could see significant upside, alongside others in the sector like China Agritech Inc. (Nasdaq: CAGC) and China Green Agriculture, Inc. (NYSE: CGA).

While many investors are familiar with high-flying Chinese agricultural stocks like China Agritech Inc. (Nasdaq: CAGC) and Green Agriculture, Inc. (NYSE: CGA), few are familiar with EastBridge Investment Corp, which offers exceptional exposure to China’s growing agricultural industry through its equity stakes in two client companies that it is helping to access the U.S. markets through IPOs.

China’s Compelling Ag Economics Drive Growth

With the largest population in the world undergoing rapid urbanization, the importance of agriculture in China’s society is difficult to overestimate. The country is already the largest producer and consumer of fertilizers, consuming in excess of 60 million metric tons per year – or a full one-third of total global consumption – in order to meet increasingly higher demand for crop yields.

China’s consumers are also increasingly looking towards higher-end food products as personal and household incomes continue to rise. Credit Suisse’s China economist Dong Tao believes that the share of China’s private consumption to GDP will reach 23.1% in 2020, surpassing the U.S. ratio of 22.9%. With food products accounting for a large portion of personal spending, investors are bullish on the sector.

EastBridge Offers Inexpensive Access to Two Ag Players

EastBridge Investment Corp (OTC-BB: EBIG) is a financial services company that provides Asian companies with access to U.S. markets, while consistently maintaining an inventory of several Asian IPO clients. In exchange for these services, the company receives a 10% to 20% equity stake in their clients ahead of the initial public offering, enabling its own shareholders to invest in pre-IPO multiples.

Heyuan Dafeng Animal Husbandry Company Limited is a “green farming” business focused on premium hogs, feeds and organic fertilizer production. The EastBridge client could benefit handsomely as pork is among the most-consumed meats in China, while the market for high-yield organic fertilizers continues to grow at a rapid pace in order to meet end-market demand.

Jinkuizi Science and Technology Company is another EastBridge client that manufacturers environmentally-safe fertilizers in China and Southeast Asia. As farmers are looking to avoid chemical fertilizers that can damage soil over the long-term, Jinkuizi provides a natural alternative that can both help improve crop yields and protect the environment for the future.

Conclusions

EastBridge Investment Corp (OTC-BB: EBIG) continues to work to unlock value for its shareholders by helping its clients access liquidity in the U.S. markets. With its pre-IPO multiple equity stakes in clients, like these in the agricultural industry, the company is well-positioned to grow its value and deliver exceptional returns to its shareholder base.

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Profit from China’s Solar Expansion with SunSi Energies (OTC-BB: SSIE)

Profit from China’s Solar Expansion with SunSi Energies (OTC-BB: SSIE)

SunSi Energies, Inc. (OTC-BB: SSIE), an aspiring provider of trichlorosilane (TCS) to solar module makers, could benefit handsomely from increased solar demand in China, as companies like LDK Solar Co., Ltd. (NYSE: LDK) and JA Solar Co., Ltd. (Nasdaq: JASO) ramp up their production.

SunSi Energies, Inc. (OTC-BB: SSIE) is a development-stage company focused on acquiring trichlorosilane (TCS) production facilities in China. By offering the raw material used in photovoltaic solar modules, the company aims to become the only TCS pure play listed on a stock exchange, offering investors exposure to the top of the solar value chain.

Solar Demand Heats Up in Asia

Solar demand is starting to heat up in Asia as several countries press on to meet renewable energy standards and spur economic growth. China-based solar manufacturers like JA Solar Co., Ltd. (Nasdaq: JASO) have already stated that they are experiencing huge backlogs in orders for products to be delivered in 2011 after signing supply agreements for more than 500MW of capacity.

To meet this demand, solar module production in countries like China and Taiwan are expected to increase 48% to 5,515MW in 2010. And while prices are expected to fall 11% to $1.45 per watt by the fourth quarter, polysilicon remains the most expensive component for traditional solar power, which means that TCS – used in its production – remains a high margin product.

SunSi Ramps Up TCS Production Facilities

SunSi Energies, Inc. (OTC-BB: SSIE) has already set its plan in motion to become a leading supplier of TCS to China’s solar industry – which produces about half of the world’s modules. Earlier this month, the company completed its due diligence of the Zibo Baokai Commerce and Trade Co., Ltd. acquisition started in May 2010 and is now waiting for issuance of the business license to start production in China. The company plans to receive the license from the Chinese government this month and begin generating revenues ranging from $1.0 – 1.5 million per month.

Meanwhile, SunSi Energies is also pursuing a second target with 20,000 metric tons per year of production capacity. The company signed a letter of intent with Wendeng He Xie Silicon Co. in late August that would give it a 60% ownership stake in the firm. Along with an existing 40% shareholder, the firm will increase its total capacity to 60,000 metric tons per year by January 2012. The transaction itself is expected to close within three months after due diligence and a full audit.

Conclusions

SunSi Energies, Inc. (OTC-BB: SSIE) is well-positioned to profit from growing demand in China for TCS from module manufacturers. With many of these companies projecting a 48% increase in demand in 2010 and already-sold-out order books for 2011, investors can expect demand to remain robust as the company ramps up its production through two acquisitions that are in the final stages.

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EastBridge Investment’s (OTC-BB: EBIG) Client, Tsingda Education, Raises $9.6 Million

EastBridge Investment’s (OTC-BB: EBIG) Client, Tsingda Education, Raises $9.6 Million

EastBridge Investment Group Corp (OTC-BB: EBIG), a financial services company that provides Asian companies with access to U.S. capital markets, announced that its client Tsingda Education, which operates in the same industry as companies like Chinacast Education Corporation (Nasdaq: CAST) and China Education Alliance, Inc. (NYSE: CEU) in China, completed a $9.6 million capital raise.

EastBridge Investment Group Corp (EBIG) (OTC.BB: EBIG) today announced that its client, Tsingda Education, through its parent holding entity, Compass Acquisition Corporation, completed a $9.6 million capital raise.

The transaction can be found by viewing the following link:

http://www.sec.gov/Archives/edgar/data/1381790/000107878210002201/compass8k092210.htm

To learn more about Tsingda, please visit their website: http://ir.eee114.com.cn

Mr. Hui Zhang, CEO of Tsingda, stated, “We are very thankful for EastBridge’s professional assistance in this important funding. We now have the added resources to execute our business plan for 2011 and beyond.”
EastBridge provides various consulting services for its clients. In exchange, EastBridge generally receives compensation consisting of stock and cash dependent on the nature of services provided.

EastBridge focuses on high-growth companies in Asia, offering a range of service, including IPOs, Joint Ventures and Merchant Banking services. The Company targets industries in electronics, real estate, auto, metal, energy, environmental, bioscience and food retail distribution. To learn more about EastBridge Investment Group go to our web site: www.EbigCorp.com. To receive EBIG’s email alert, send a blank email to info@EbigCorp.com.

Forward-Looking Statements

Statements in this press release relating to plans, strategies, economic performance and trends, projections of results of specific activities or investments, and other statements that are not descriptions of historical facts may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking information is inherently subject to risks and uncertainties, and actual results could differ materially from those currently anticipated due to a number of factors, which include, but are not limited to, risk factors inherent in doing business. Forward-looking statements may be identified by terms such as “may,” “will,” “should,” “could,” “expects,” “plans,” “intends,” “anticipates,” “believes,” “estimates,” “predicts,” “forecasts,” “potential,” or “continue,” or similar terms or the negative of these terms. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. The company has no obligation to update these forward-looking statements.

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Solar Grows Despite the Economic Downturn

Solar Grows Despite the Economic Downturn

SunSi Energies Inc. (OTC-BB: SSIE), JA Solar Holdings Co., Ltd. (Nasdaq: JASO), Solarfun Power Holdings Co., Ltd. (Nasdaq: SOLF), and other solar companies could see continued growth despite the economic turmoil and a potential double-dip recession in the U.S.

The solar industry appears to be relatively protected from the global economic meltdown, according to some recent industry reports. Companies like JA Solar Co., Ltd. (Nasdaq: JASO) and Solarfun Power Holdings Co., Ltd. (Nasdaq: SOLF) recently reported earnings that beat analyst expectations, while many of the stocks in the sector appear attractively priced based on earnings and book value.

The Solar Industry Continues to Boom

The key drivers of the solar industry are high global demand for solar products and capacity constraints among solar providers. With utilities adopting standards to increase the amount of solar-generated electricity over the coming years, the U.S. could bolster its presence in the global solar market to the tune of 75% demand growth in 2011 versus 2010.

Meanwhile, international solar sales also remain strong in key markets like Germany, China, and France, as well as emerging markets like the Czech Republic. With a market no longer dominated by two or three countries, demand could significantly pick up over the coming years, particularly if an economic expansion takes over the current crisis-ridden environment.

Capitalize on the Growth with SunSi Energy

Among the up-and-coming companies that could benefit is SunSi Energies Inc. (OTC-BB: SSIE). The $89.15 million company is in the process of acquiring a trichlorosilane (TCS) producer in China with an annual capacity of 20,000 metric tons. On a normalized scale, TCS production and polysilicon manufacturing tend to achieve the highest profits along the solar value chain, followed by ingots and wafers.

The solar company entered into a letter of intent to purchase Wendeng He Xie Silicon Co. located in Weihai City, China late last month. After acquiring a 60% equity interest, the company will leverage its partnership to increase the factory’s annual production to 60,000 metric tons per year. Meanwhile, the transaction is expected to be finalized in three months with expansions in place by 2012.

Conclusion

In conclusion, SunSi Energy remains uniquely positioned to capitalize on the world’s growing solar industry as a key supplier of trichlorosilane – a raw material necessary to produce solar wafers and modules – making it a great stock for solar growth investors to consider for their portfolios.

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