Kubla Khan Inc. Executes an Agreement to Acquire Value
Global International Ltd.; China-Based Firm Enters the China Loan-Guarantee
Market
SHENZHEN, China, Aug 20, 2004 (BUSINESS WIRE) -- Kubla Khan, Inc. (KUKH),
a Utah corporation, today announced that it has entered into an agreement
(the "Sales Agreement"), dated as of August 5, 2004, to acquire Value Global
International Limited, a British Virgin Islands company, in an all-stock
transaction.
Under terms of the Sale Agreement, Kubla Khan will acquire Value Global and
its wholly-owned subsidiary, Shenzhen Shiji Ruicheng Guaranty and Investment
Co., Ltd. Shiji Ruicheng provides mortgage and auto loan/lease guarantees in
consumer lending transactions, real estate development loan guarantees in
real estate transactions, and contract sureties in commercial lending
transactions in China. After the completion date of the acquisition, Value
Global will be a wholly-owned subsidiary of Kubla Khan.
Pursuant to the Sales Agreement, Kubla Khan will acquire all of the
outstanding shares of common stock of Value Global. In exchange, Kubla Khan
will issue 46,990,000 shares of its restricted common stock to Value
Global's four shareholders - JuXiang Ruan, Top Interest International Ltd.,
ZuHong Xu and ZaoZhen Fang.
YaLi Xu, chairman and CEO of Kubla Khan, commented, "This transaction
completes the initial phase of our growth strategy in the emerging
high-technology region of Shenzhen, China. By acquiring Value Global and its
subsidiary Shiji Ruicheng, we will own a leading firm in the rapidly-growing
loan guarantee business in China."
About Kubla Khan
Kubla Khan Inc., trading over-the-counter as KUKH, is a newly-formed company
incorporated in Utah and based in the high-technology region of Shenzhen,
China. Kubla Khan's proposed acquisition of Value Global and its subsidiary
Shiji Ruicheng is part of a growth strategy based on buying loan guarantee
firms and expanding internally.
About Shiji RuiCheng Guaranty and Investment Company
Shiji Ruicheng was formed in May 2004 primarily to provide services in
Shenzhen, China, which is a rapidly growing, high-technology region of
China. Shiji Ruicheng's principal business is to provide financial
guarantees that are required for both business and commercial loans under
Chinese banking and guarantee laws. Shiji Ruicheng provides guarantees to
enable individuals to borrow for homes or other assets and to enable
businesses to access the capital they need for expansion in the fast-growing
Chinese and global markets. About 60% to 70% of Shiji Ruicheng's loans are
made to consumers and the balance of the loans are made to businesses.
Safe Harbor Statement: This press release contains
forward-looking statements that involve risks, uncertainties and assumptions
that, if they never materialize or if they prove incorrect, could cause the
Company's results to differ materially from those expressed or implied by
such forward-looking statements. All statements other than statements of
historical fact are statements that could be deemed forward-looking
statements, including any projections of earnings, revenue, or other
financial items, any statements of the plans, strategies, and objectives of
management for future operations, any statements concerning proposed new
products, services or developments, any statements regarding future economic
conditions or performance, statements of belief and any statements of
assumptions underlying any of the foregoing. These statements are based on
expectations as of the date of this press release. Actual results may differ
materially from those projected because of a number of risks and
uncertainties, including those detailed from time to time in the Company's
reports filed with the Securities and Exchange Commission. The Company
assumes no obligations and does not intend to update these forward-looking
statements.
SOURCE: Kubla Khan, Inc.
Kubla Khan Inc.
YaLi Xu, 011 867 552 698 3825
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