DGAP-News: Asian Bamboo signs framework agreement for the lease of 10,000 ha/Asian Bamboo wins 'Hi-tech Enterprise' status

Asian Bamboo AG / Contract

15.03.2010 00:04 

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DGAP - a company of EquityStory AG.
The issuer / publisher is solely responsible for the content of this announcement.

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Hamburg, 15 March 2010 - Asian Bamboo AG ('Asian Bamboo', 'the Company',
ISIN: DE000A0M6M79, ticker symbol: '5AB', ADR ticker symbol: 'ASIBF'), a
world-leading producer of bamboo trees and organic bamboo shoots, is
pleased to announce that its wholly-owned subsidiary, Fujian Xinrixian
Group Co., Ltd. ('Xinrixian'), has entered into an Investment Co-operation
Framework Agreement ('the Agreement') with Longyan Municipal Government
('the Government').

As part of the Agreement, the Government will assist Xinrixian to lease
more than 10,000 hectares (ha) of additional Moso bamboo plantations in
Longyan City. Furthermore, the Government will provide favourable policies
and business conditions for Xinrixian to invest in processing factories
both for bamboo trees and bamboo shoots.

Longyan City, which is in southwestern Fujian Province, is strategically
well located as it borders the provinces of Jiangxi and Guangdong. Longyan
City has the highest forest cover ratio in Fujian Province (78%) and its
Moso bamboo forests cover an area of approximately 170,000 ha, of which
Asian Bamboo currently leases 5,000 ha.

Mr. Lin Zuojun, founder and CEO of Asian Bamboo, commented: 'We see
tremendous potential to develop our business in the Longyan area and this
agreement is an important step towards achieving our longer term goal of
increasing our total plantation size to at least 70,000 ha.'

Asian Bamboo wins 'Hi-tech Enterprise' status

Asian Bamboo is pleased to announce that Xinrixian has been awarded
'Hi-tech Enterprise' status by the Science and Technology Bureau of the
Fujian Provincial People's Government in recognition of the Group's
research capabilities in the Moso bamboo industry.


For enquiries, please contact: 
Asian Bamboo AG:
Peter Sjovall   +852-9385 3868
Chief Financial Officer
Anja Holst   +49-(0)40 37644 798
Investor Relations Manager





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Language:     English
Company:      Asian Bamboo AG
              Stadthausbrücke 1-3
              20355 Hamburg
              Deutschland
Phone:        +49 40 37644 798
Fax:          +49 40 37644 500
E-mail:       info@asian-bamboo.de
Internet:     www.asian-bamboo.de
ISIN:         DE000A0M6M79, DE000A0M6M79
WKN:          A0M6M7, A0M6M7
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Düsseldorf, München, Stuttgart
 
End of News                                     DGAP News-Service
 
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