ONTARIO, CA– (June 12, 2017) – Kiwa Bio-Tech Products Group Corporation (OTCQB: KWBT) (“Kiwa” or the “Company”). On June 8, 2017, Kiwa signed an equity purchase agreement with Yantai Peng Hao New Materials Technology Co., Ltd in Penglai city, Yantai apple’s main producing area, in Shandong, China. The agreement relates to the acquisition of a new factory (which is currently idle) for a purchase price of RMB 15 million (approximately US$2.2 Million). The factory covers an area of 5.9 acres, with eight thousand square meters of standardized steel plant.
The factory to be acquired by Kiwa will be completed in accordance with Kiwa’s construction plan to facilitate the production design of combining of microbial fermentation
and terminal fertilizer products. When fully implemented, the factory will produce approximately 200,000 tons of Kiwa fertilizer products every year, primarily for sale to the Yantai fruit cultivation base.
Mr. Yi Wang, Director of Agriculture Department of Penglai City, attended the signing ceremony and welcomed Kiwa’s investment in the construction of bio-fertilizer production bases in Penglai. Mr. Wang observed that “Penglai City is the main apple growing area in China. Due to excessive consumption of chemical fertilizers in recent years, the soil of Penglai region has been faced with issues, which we believe that the use of Kiwa’s biological fertilizer production base will ameliorate—resulting in an improvement of the soil quality and quality of fruit and production in Penglai. We strive to have Penglai fruit quickly become the best brand of Chinese fruit products.
