M.M. Dillon Announces China Healthcare Merger
STAMFORD, CT -- (Marketwire) -- 03/29/11 -- On February 28, 2011, China YCT International Group ("CYIG") acquired 100% of L.Y. (HK) Biotech Limited ("LYHK") in exchange for newly issued shares of CYIG, representing 60% of the issued and outstanding stock of CYIG (the "Transaction"). CYIG is one of the leading innovative companies in China focused on utilizing advanced biological technologies to isolate and extract beneficial compounds in plants that have traditionally provided medicinal benefits. A key asset in the Transaction was a patent pertaining to the treatment of influenza contributed by LY to the operating company LYHK. According to George Bickerstaff, currently a Partner and Managing Director at M.M. Dillon & Co. and formerly CFO of Novartis Pharma AG, "The combination of CYIG and LYHK will create a truly extraordinary growth platform in the area of preventative medicine. By combining the potentially revolutionary patents and knowledge base of LYHK with that of the established team and history of achievement at CYIG, the new company should be able to achieve significant, groundbreaking milestones in the future and we look forward to being a part of that." M.M. Dillon & Co. ("Dillon") acted as the exclusive financial advisor to LY Research Corp. ("LY"), the parent company of LYHK, in the Transaction. Subsequent to the share exchange, Dillon has been retained as the exclusive financial advisor for CYIG to raise growth capital to fund strategic acquisitions, plant upgrades, and general working capital requirements.
CYIG is a China-based company which through its wholly-owned subsidiary owns 100% of Shandong Spring Pharmaceutical Co., Ltd. ("Shandong Spring Pharma"). Shandong Spring Pharma is engaged in the business of developing, manufacturing and marketing gingko products in the People's Republic of China. CYIG has a staff of ten engaged in research and development of new technologies and resulting products. In addition, the company maintains close ties to the research staffs at Tsinghua University, China Agriculture University, Shandong Herbal Medicine University, and the Shandong Herbal Medicine Research Institute.
About LY Research
LY Research is a U.S.-incorporated, privately owned company founded by Dr. Yaguang Liu. LY Research is focused on the research and development of botanical drugs. Over the past twenty years, the company and its owner, Dr. Liu, have registered 29 medical-related patents with the U.S. Patent and Trademark Office, mainly relating to the therapy of viral and cardiovascular-related diseases, as well as immune system improvement.
About M.M. Dillon & Co.
M.M. Dillon & Co. (formerly CRT Investment Banking LLC) is an employee-owned partnership where industry and product specialists collaborate closely to provide creative, idea-driven advice and solutions to its institutional and corporate clients. M.M. Dillon offers public and private financing, M&A advisory and restructuring advisory services. Additional information on the above transaction and other Dillon transactions can be found at www.MMDillon.com
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