BEIJING, Sept. 6,
2023 /PRNewswire/ -- Origin Agritech Ltd. (NASDAQ:
SEED) (the "Company" or "Origin"), an agriculture technology
company, today announced the successful completion of an agreement
with Beijing Changping Technology Innodevelop Group (BC-TID). This
strategic agreement converts approximately RMB 137.7 million in debt (about US$19 million) into equity in a joint venture.
Importantly, this transaction neither involves any aspects of our
seed business and technology nor results in the issuance of any new
shares of Origin Agritech Ltd. (NASDAQ: SEED).
Key Details of the Agreement:
- Transaction Objective: The primary focus of this
agreement is the sale of Origin's former office space in
Beijing to the joint venture.
- Asset Transfer: No biotechnology IP or research is
included in this transaction. All intellectual property and
research assets, including seed business, biotech traits, nutrition
enhanced corn (NEC), and supply chain business-related technology
and revenues, remain with Origin.
- Financial Impact: The RMB 137.7
million ($19 million) debt
will be eliminated from Origin's financial statements.
This transformative transaction fortifies Origin's financial
health, better positioning the Company to achieve its long-term
objectives in the rapidly evolving agricultural biotech sector.
About Origin Agritech Limited
Origin Agritech Limited, founded in 1997 and headquartered in
Zhong-Guan-Cun (ZGC) Life Science Park in Beijing, is a leading Chinese agricultural
technology company. In crop seed biotechnologies, Origin Agritech's
phytase corn was the first transgenic corn to receive the
Bio-Safety Certificate from China's Ministry of Agriculture. Over the
years, Origin has established a robust biotechnology seed pipeline
including products with glyphosate tolerance and pest resistance
(Bt) traits. For further information, please visit the Company's
website at www.originagritech.com. The company also maintains a
twitter account for updating investors on company and industry
developments, which is @origin_agritech.
Forward-Looking Statements
This communication contains "forward-looking statements" as
defined in the federal securities laws, including Section 27A of
the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934, as amended, and as defined in the U.S.
Private Securities Litigation Reform Act of 1995. Forward-looking
statements address expected future business and financial
performance and financial condition, and contain words like
"expect," "anticipate," "intend," "plan," "believe," "seek,"
"will," "would," "target," and similar expressions and variations.
Forward-looking statements address matters that are uncertain.
Forward-looking statements are not guarantees of future performance
and are based on assumptions and expectations which may not be
realized. They are based on management's current expectations,
assumptions, estimates and projections about the Company and the
industry in which the Company operates but involve a number of
risks and uncertainties, many of which are beyond the company's
control. Some of the important factors that could cause the
company's actual results to differ materially from those discussed
in forward-looking statements are: failure to develop and market
new products and optimally manage product life cycles; ability to
respond to market acceptance, rules, regulations and policies
affecting our products; failure to appropriately manage process
safety and product stewardship issues; changes in laws and
regulations or political conditions; global economic and capital
markets conditions, such as inflation, interest and currency
exchange rates; business or supply disruptions; natural disasters
and weather events and patterns; ability to protect and enforce the
company's intellectual property rights; and separation of
underperforming or non-strategic assets or businesses. The company
undertakes no duty or obligation to publicly revise or update any
forward-looking statements as a result of future developments, or
new information or otherwise, should circumstances change, except
as otherwise required by securities and other applicable
laws. Although the Company believes that the
expectations expressed in these forward-looking statements are
reasonable, it cannot assure you that such expectations will turn
out to be correct, and actual results may differ materially from
the anticipated results. You are urged to consider these factors
carefully in evaluating the forward-looking statements contained
herein and are cautioned not to place undue reliance on such
forward-looking statements, which are qualified in their entirety
by these cautionary statements.
Joe Ramelli
VP of Business Development
Phone: 310-845-6238
Email: joe@originagritech.com
Kate Lang (Mandarin/English)
Phone: +86 186-1839-3368
Email: bing.lang@originseed.com.cn
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SOURCE Origin Agritech Limited