Trading Symbol: MCV
TORONTO, Oct. 26 /CNW/ - McVicar Resources Inc. ("McVicar") is pleased to
announce that Hong Kong based McVicar (Hongkong) Advanced Materials Co. Ltd.
("MAM") has been granted approval from all the relevant government authorities
for the purchase of Changlong Chemical Co. Ltd. ("Changlong") as originally
announced on Aug. 3, 2007. Based on the purchase agreement, MAM will pay a
cash amount of 20.50 million RMB (~CDN $2.70 million) and 9.5% of MAM's
shares, equivalent to a total of 30 million RMB (~CDN $3.95 million). In order
to maintain its 51% controlling position in MAM, McVicar will invest a cash
amount of 15.29 million RMB (~CDN $2.10 million) in the company. The new share
holding structure of MAM will be McVicar (51%), Shining Palace (39.5%), and
Changlong is a developer, manufacturer and supplier of specialized fine
chemical products used in the pharmaceutical industry. The company's strength
lies in its unique technologies for chemical synthesis under high pressure.
Its customers are mainly Chinese pharmaceutical companies. Changlong reported
revenue of more than 40 million RMB (~CDN $5.2 million) for the first nine
months of the year.
McVicar Resources Inc. also announces that the share purchase of Jite
Technologies Inc. previously announced Sept. 19, 2007 has successfully closed.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.
For further information:
For further information: Dr. Gang Chai, 55 University Avenue, Suite 605,
Toronto, ON, M5J 2H7, Tel: (416) 366-7420, Fax (416) 366-7421, www.mcvicar.ca