TAI'AN, Shandong, China, April 30 /Xinhua-PRNewswire-FirstCall/ -- China Biologic Products, Inc. (OTC Bulletin Board: CBPO) ("CBP," or "the Company"), one of the leading plasma-based pharmaceutical companies in the People's Republic of China ("PRC"), today announced that the Company received approval from the Chinese State Food and Drug Administration ("SFDA") (1) to start the production of Cryoprecipitate, or "cryo," a frozen blood product prepared from plasma and (2) to commence clinical trial of its new product -- Human Prothrombin Complex.
Approval to Supply Cryoprecipitate
As a result of the approval, CBP is now one of only four Cryoprecipitate suppliers in China. Pursuant to a February 2008 contract, between CBP and Green Cross China, CBP is obligated to sell its Cryoprecipitate to Green Cross China for the use in the production of Human Coagulation Factor VIII, a coagulation treatment for hemophilia and massive hemorrhaging, in short supply due to the recent severe shortage of plasma. The contract is expected to generate over US$0.43 million in revenue.
Because Cryoprecipitate is extracted from plasma that would have been discarded previously, management expects that the production of Cryoprecipitate will increase the yield per unit volume of plasma and increase CBP's profit margin. CBP also plans to continue its own research and development of Human Coagulation Factor VIII.
"We are pleased to receive approval from the SFDA to produce Cryoprecipitate," said Mr. Stanley Wong, the Company's CEO. "We believe that this approval is a strong endorsement of our strategy to focus on research and development of Human Coagulation Factor VIII."
Clinical Trial of Human Prothrombin Complex
The Company also announced SFDA approval to commence clinical trial of its new Human Prothrombin Complex, a coagulant used to treat congenital bleeding disorders. Management has commenced preparations for the clinical study and expects to receive results within 8 months. If the clinical study is successful, management expects to get SFDA production approval for the product within a year after trial and to launch the product in 2009.
"We are pleased to receive approval for the clinical trial of Human Prothrombin Complex," said Mr. Stanley Wong, CEO of China Biologic. "Our approval is a significant milestone in our research and development of plasma factor products and reflection of our ongoing efforts to upgrade our product portfolio."
About China Biologic Products, Inc.
Through its indirect majority-owned subsidiary Shandong Taibang Biological Products Co. Ltd., China Biologic Products, Inc. (the "Company"), is principally engaged in the research, development, production and manufacturing and sale of plasma-based biopharmaceutical products to hospitals and other health care facilities in China. The Company's human albumin products are mainly used to increase blood volume and its immunoglobulin products are used for the treatment and prevention of diseases.
Safe Harbor Statement
This release may contain certain "forward-looking statements" relating to the business of China Biologic Products, Inc. and its subsidiary companies. All statements, other than statements of historical fact included herein are "forward-looking statements," including statements regarding: the ability of the Company to expand its list of potential investors and increase its liquidity and visibility in the market or otherwise achieve its commercial objectives; the business strategy, plans and objectives of the Company and its subsidiaries; and any other statements of non-historical information. These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involve known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.
SOURCE China Biologic Products, Inc.