Friday, May 30, 2008

BVI holding company Space Transport Inc sells its majority stake in the worlds leading commercial satellites launch company ILS

On May 29, 2008, International Launch Services Inc. (ILS), a world leader in launch services for commercial satellites, announced that Khrunichev State Research and Production Space Center acquired its shares owned by the majority shareholder, BVI holding company Space Transport Inc. Financial details of the completed transaction were not disclosed.

Khrunichev () is the Moscow-based research and design center of the Proton launch system, and one of the world's largest aerospace companies. International Launch Services is a U.S. company incorporated in Delaware and holding the exclusive worldwide rights to market and sell commercial launch services on the Proton launch vehicle built by Khrunichev, and the Angara next-generation launcher which is under development, to commercial satellite operators worldwide. ILS provides satellite customers with a complete range of services and support, from contract signing through mission management and on-orbit delivery.

Space Transport Inc. (STI) was formed in the British Virgin Islands in 2006, with the sole purpose of holding an interest in ILS. The chairman of the BVI company is Mario Lemme, a longtime businessman and investor in companies having business in Russia.

Friday, May 23, 2008

BVI-registered Sing Kung Inc. acquired by InterAmerican Acquisition Group Inc.

San Diego-based blank check company InterAmerican Acquisition Group Inc. (IAG) announced on May 21, 2008 that it has entered into an agreement to acquire up to 89.6% of the capital stock of the holding company Sing Kung, Ltd., registered in the British Virgin Islands. IAG will also complete an exchange offer to acquire the balance at the closing of the acquisition.

BVI-registered Sing Kung, through its wholly-owned China-based subsidiary, Century City Infrastructure Co. Ltd. is planning and implementing urban projects for municipal and provincial governments in China. It is important that the Chinese infrastructure and development market is growing rapidly, exceeding annual level of $100 billion, and it is estimated that this market will rise faster than GDP for several decades. The management of BVI-based Century City has defined its market as the 800 largest municipal and provincial governments that are responsible for meeting these significant needs of urban infrastructure.

By terms of the agreement, no cash consideration will be paid to management or any existing shareholders of the BVI-registered company. To meet the immediate capital needs, BVI-registered Sing Kung closed on a private equity placement of $14.6 million by Chardan, investors being familiar with the infrastructure sector development in China.

It is anticipated that acquisition of the BVI company will close before the end of the year 2008. Now the agreement between the companies is subject to IAG shareholder approval, provided that IAG will redomicile to the BVI; IAG will acquire 89.6% of the capital stock of Sing Kung; the merged company will seek to acquire the remaining 10.4% through an exchange offer to Chardan at closing.

Saturday, May 17, 2008

BVI-controlled Shanghai Medical Technology acquired by Aamaxan Transport Group, Inc.

Aamaxan Transport Group, Inc. (ATG) announced the completion of the acquisition of all the outstanding common shares of British Virgin Islands corporation Asian Business Management Group Limited (ABM) on April 15, 2008. By the terms of the share exchange agreement, ATG acquired all of the issued and outstanding shares of common stock of the BVI company in exchange for 14,991,812 original issue shares of its common stock. Simultaneously with the share exchange on April 14, 2008, ATG completed private placement with institutional and accredited investors which resulted in gross proceeds to the company of approximately US$12.5 mln, through the issuance of approximately 4 million shares of Senior Convertible Preferred Stock.

BVI-registered Asian Business Management Group, through its subsidiaries which include Chinese company Shanghai Medical Technology Co., Ltd., is the largest provider of Hemodialysis equipment and other related supplies and services in Eastern China. After the implementation of China's National Healthcare Reform, the existing Dialysis market is projected to grow 2 or even 3 times, from 2007 to 2010. Being the leader in this sphere of medical services, Shanghai Medical distributed 25% of the Hemodialysis products and supplies in China in 2007. Currently the BVI-controlled company distributes HD equipment and supplies to over 200 medical facilitates, comprised of 60 hospitals (including top five hospitals of Shanghai), blood bank and diagnostic centers in Shanghai and Eastern China, and to 30 public health centers. Among the strategic partners of Shanghai Medical there are the largest global providers of blood dialysis and diagnostic equipment.

Mr. Chen Zhong, CEO and Chairman of Shanghai Medical, stated in his comments on company's merger with Aamaxan Transport Group: "We are very pleased to complete this financing... The working capital will enable us to pursue our vision and growth strategy of becoming a dominant integrated service provider of Hemodialysis (HD) and Renal Care products in China.”

Wednesday, May 14, 2008

BVI-registered Hugo Natural Enterprises increases its stake in Australian prospector Apollo Minerals

The shares of Apollo Minerals (Australia) have jumped more than 50% after it informed that BVI holding company is going to increase its stake. Apollo said that British Virgin Islands company Hugo Natural Enterprises, representing the Chinese Iron and Steel Group, had advised it would increase its stake from 12% to 19.9%.

The BVI-Chinese group acquired an initial stake in Apollo in December 2007, and announced the increase of the interest to 19.9%, subject to shareholder and regulatory approval. Apollo has signed a non-binding memorandum of understanding that gives the BVI-Chinese group the right to market iron ore, subject to successful development. Apollo director Barru Woodhouse declined to reveal the identity of the Chinese Steel and Iron Group and the BVI-registered Hugo Natural Enterprises company.

Monday, May 12, 2008

Amicus Capital Corp. acquires BVI-controlled and China-based developer and distributor of nutritional supplements and personal care products

Canadian company Amicus Capital Corp. has announced signing of the letter of intent with BVI-registered Rainbow Trend Limited. According to the signed document, Amicus Capital will acquire all of the outstanding shares of the Rainbow, which will hold 55,6% equity interest in Chinese-Canadian joint venture Beijing Polo Biotech Co. Ltd. Equity interest in the amount of 44.4% in Polo Biotech Co. Ltd. will be held by China-based Polo Biology Science Park Co. Ltd., manufacturer and retailer of nutritional supplements and personal and home care products in Asia (mainly in China).

By the terms of the agreement, Amicus has paid US$25,000 as a contribution to Rainbow, to be applied against closing expenses, and refundable upon certain conditions. Prior to the completion of the acquisition it was intended that the BVI company will amend its capital to create new class of Class B common shares, and will then complete private placement at the price of $0.50 per subscription receipt, for gross proceeds of approximately $3.5 million. Rainbow will also grant to its agent an option to offer for sale up to an additional 15% of the Subscription Receipts offering for additional gross proceeds of approximately $525,000.

It is intended that subject to shareholder approval Amicus will complete a share consolidation, and the existing Amicus shareholders will hold 7,800,000 post-consolidated common shares immediately prior to the acquisition of Rainbow by Amicus. After the completion of the Acquisition, Amicus will have 52,240,000 (or 53,290,000) post-consolidated common shares.

For purposes of the acquisition and subject to the final pricing of the private placement, BVI-registered Rainbow has been valued at US$18 mln. Pursuant to the terms of the acquisition, Amicus will acquire from BVI company's shareholders 50,000 common shares (each with a deemed value of $360). Also, Amicus will issue one common share for each Class B common share of Rainbow, resulting in the issuance to Rainbow Class B common shareholders of 7,000,000 Amicus common shares (or 8,050,000 Amicus common shares if the entire Over-Allotment Option will be exercised).

The acquisition is planned to be completed on the 10th business day following the satisfaction or waiver of all the conditions, but no later than September 1, 2008.

The main shareholders of the BVI-registered Rainbow are Kinderville Limited, Li (Polo) Wu, Qing Wu and Jie (Miranda) Liu. The company has 113 other individual shareholders each of them being the owner of less than 1% of the common shares of Rainbow.

Friday, May 2, 2008

Reliance Globalcom buys stake in BVI-registered eWave World

Last week, Reliance Globalcom (the global arm of Reliance Communications) has acquired a 90% stake in eWave World, British Virgin Islands-registered WiMax operator.

This is third acquisition deal of the Reliance Communications, after it had acquired US-based Ethernet service provider Yipes Holdings for $300 million in July 2007, and a 10% stake in French WiMax chip manufacturer Sequans Communications already this year, for an undisclosed sum. Reliance Communications is also planning to invest $500 million through the acquired BVI company in the next two-three years, in order to build and acquire WiMax networks across 50 countries worldwide.

By words of Reliance Globalcom CEO Punit Garg, BVI-registered eWave World is widely present across the US and China, and the acquisition will help Reliance Communications to enter the emerging 4G WiMax sector across 50 countries, servicing 75% of global population. He also said that the company would be funding the acquisition through internal accruals, but he noted that the acquisition price is the matter of confidentiality.

Reliance Globalcom will also be looking at joining with the BVI company, to provide broadband access in China. The company will also make a $500 million investment to acquire WiMax licences and commence operations across Asia, Europe, Latin America and Africa by 2012. In the next 2-3 years the company is going to build and acquire WiMax networks across 50 countries.

BVI-based eWave World was formed by a group of industry veterans, and it holds WiMax licenses and spectrum in several countries. The company has put down over 36,000 km of optic fibre in China that will enable it to provide broadbank services in that country.