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EastBridge (OTCBB: EBIG) Adds New Clients, Moves to Unlock Significant Value

EastBridge Investment Group, Inc. (OTCBB: EBIG), a provider of financial services to emerging public companies in Asia, with clients similar to companies like Chinacast Education Corporation (Nasdaq: CAST) and China Education Alliance, Inc. (NYSE: CEU), has added several new clients in recent months and continues to progress towards its initial public offerings for Wonder and Tsingda Education.

EastBridge Investment Group, Inc. (OTCBB: EBIG), a provider of financial services to emerging public companies in Asia, has added several new clients in recent months and continues to progress towards its initial public offerings for Wonder and Tsingda Education. Combined, these two developments could generate significant value for shareholders over the coming years.

New Clients Bolster Future Pipeline

EastBridge has entered into numerous listing agreements over the past few months, which generate both short-term consulting revenues and long-term equity value. Earlier this month, the company entered into listing agreements with three new clients in Jiangsu Province, China. And last month, the firm entered into a consulting agreement with Cambrium Learning Group, from Dallas, Texas.

New clients Jiangsu Shengan Metal Products Co., Ltd., Jiangsu JinLi Copper Co., Ltd. and Jiangsu Huiyu Hardware Manufacturing Co., Ltd. are very established copper rods and tubes, brass faucets and hardware accessories manufacturers in China. Combined, these firms produce net income of approximately $5 million for 2010 and are growing at a steady pace.

Meanwhile, Cambrium Learning Group, a Nasdaq-listed company based in Dallas, Texas, is a great company with a rich suite of products for online applications. With many of its K-12 products capable of being adapted to students in China, the company is seeking joint ventures to drive their top and bottom line moving forward.

Existing Clients Progress Towards IPOs

EastBridge is also diligently working to complete the delayed IPO work for Tsingda and Wonder Education, which could unlock significant value for shareholders. Using a combination of SEC filings and reasonable estimates, these initial public offerings could be worth north of $35 million for the company’s shareholders over the coming years.

According to the S-1 filing with the SEC, the company owns 3,400,000 shares of Wonder Education that represents about 17.0% of its outstanding shares.  EastBridge has already distributed 899,875 dividend shares to its shareholders on a pro-rata basis as required by the S-1.  The initial public offering of Wonder could result in significant value being unlocked for shareholders.

Meanwhile, similar SEC filings also show that EastBridge owns 2,079,740 shares of Tsingda Education that represents about 6.2% of its total outstanding shares.  EastBridge will also distribute dividend shares to its shareholders for Tsingda on a pro-rata basis during the summer months.  EastBridge will assist both companies (Wonder and Tsingda) in creating a market price for its stock via the IPO process.

Conclusions

EastBridge Investment Group (OTCBB: EBIG) is on the tipping point of unlocking significant value, with several new clients added in recent months and steady progress being made towards the IPOs of Wonder and Tsingda Education.

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