First China Pharmaceutical Group Inc., which is traded on the over-the-counter Bulletin Board, has closed on $2.7 million in financing, led by Wellfleet Partners Inc. Cedarview Capital also contributed, the company said in a release. First China Pharmaceuticals aims to raise $3 million in total.
First China Pharmaceutical Group, Inc. (OTCBB: FCPG) (“First China” or the “Company”) is pleased to announce that a US$3,000,000 capital financing is well under way with US$2.7 million recently closed.
The current financing comes on the heels of a previous US$500,000 raise bringing the total funding to US$3.5 million. The latest capital raise is exclusively led by Mark I. Lev of Wellfleet Partners, Inc. a New York based investment and merchant banking firm. The raise includes three lead institutional investors including Cedarview Capital and it is anticipated that the balance of the financing will be completed by month end.
The capital proceeds are slated to expand sales and customer relationship teams as well as to significantly increase product lines to over 25,000 items. The funding will also enable the company to strengthen its finance department in anticipation of significant growth for fiscal 2011.
The acquisition of Guangdong based pharmaceutical distributor, Shenzhen Ming He Tang, remains a top priority for the company with high level discussions planned for the near future
The Southern Medical Economic Institute under the State Food and Drug Administration, projects that the pharmaceutical market in China will grow 24% in 2011. First China is positioning itself to take advantage of this growth as well as to exploit the move to an increase in electronic ordering of drugs as recently mandated by the Chinese government.
First China continues its efforts to identify and ensure compliance with favorable government initiatives in the drug distribution sector, many of which are tied to the loosening of economic regulations which have opened the door to foreign investment in the healthcare sector. As a result of these enterprises the overall market sector outlook is exceptionally positive and First China is now reaching a level where momentum is propelling the Company towards exponential growth in the months ahead.
Details of the company’s business, finances, appointments and agreements can be found as part of the Company’s continuous public disclosure as a reporting issuer under the Securities Exchange Act of 1934 filed with the Securities and Exchange Commission’s (“SEC”) EDGAR database.
About Wellfleet Partners, Inc.
Founded by Mark I. Lev in early 1998, Wellfleet Partners Inc. (Wellfleet) is a boutique investment and merchant banking, venture capital, financial services, and consulting firm. Wellfleet’s emphasis is to engage in a wide variety of corporate finance, venture capital, management consulting, and corporate investment banking related activities to a broad range of public and private emerging small to medium size growth companies. In addition, through subsidiaries and/or affiliates, Wellfleet offers financial, brokerage, and money management services through Sandgrain Securities, Inc. Wellfleet maintains strategic partnerships and offices in London, England; Ra’anana and Tel Aviv, Israel; Dublin, Ireland; Miami and Fort Lauderdale, Florida; Northern (Palo Alto) and Southern (Lost Angeles and San Diego) California; and in conjunction with MRM Finance LLC, jointly opened an office in Beijing, China in 2008. Wellfleet renders all of its fund raising and investment banking related activities through Sandgrain Securities, Inc., a registered FINRA broker-dealer primarily headquartered in New York. For more information, please go to www.wellfleetpartners.com.
About First China Pharmaceutical Group, Inc. (OTCBB: FCPG)
First China Pharmaceutical Group, Inc. engages in the drug logistics and distribution business through drug stores, medical clinics, and hospitals in the People’s Republic of China. It also involves in the wholesale distribution of medicine products, chemical agents, antibiotics, biochemistry drugs, and biological preparations. The company distributes approximately 5,000 drugs, including 1,000 over-the-counter drugs, 1,000 prescription drugs, 2,000 prepared Chinese medicines, and 1,000 supplements. First China Pharmaceutical Group distributes its products through the Internet; sub-distributors; and hospitals, clinics, pharmacies, and other medical institutions, as well as through its drug stores. The company was formerly known as E-Dispatch Inc. and changed its name to First China Pharmaceutical Group, Inc. in May 2010. First China Pharmaceutical Group, Inc. was founded in 2002 and is headquartered in Kunming City, the People’s Republic of China.