Huifeng Bio-pharmaceutical Technology (fka HFGB)

[Harleyman]

News for 'HFGB' - (Huifeng Bio-Pharmaceutical Technology Enters into a US$3.9 Million Financing and Construction Agreement with Xi'an Jucheng Investment & Consulting Co., Ltd.)


XI'AN, China, Nov. 10, 2010 /PRNewswire via COMTEX/ -- Huifeng
Bio-Pharmaceutical Technology, Inc. (OTC Bulletin Board: HFGB) ("the Company"),
specializing in developing and producing botanical extracts and other raw
materials for pharmaceuticals and food additives, today announced it entered
into a $3.9 million USD Financing and Construction agreement with Xi'an Jucheng
Investment & Consulting Co., Ltd. ("Jucheng"), a company organized and operating
under the laws of the People's Republic of China ("PRC").

Under the agreement, Jucheng shall provide $3.9 million in financing for the
construction of a Diosmin plant with an annual production capacity of 500 tons.
The plant will be designed to meet the COS Standard for Diosmin production. In
consideration, the Company has agreed to issue to Jucheng 6,500,000 shares of
the Company's restricted common stock, of which 1,500,000 shares shall remain
restricted until Huifeng Bio-Technic approves and accepts the plant upon
completion. The Company expects the construction of the plant to be completed
within 8 months.

The addition of this plant will increase the Company's Diosmin production
capacity to 600 tons. Diosmin production lines that meet the COS Standard will
significantly improve the quality of the Company's Diosmin products, enable the
Company to attract larger customers and solidify the Company's leading position
in the Diosmin market with the ability to capture more than 50% share of China's
exports.

"The financing will provide us capital to construct a new COS Standard Diosmin
plant with 500 tons of production capacity, which will enable us to become the
largest Diosmin producer in Asia. Demand for our Diosmin products continues to
grow rapidly in the global market and this expansion will give us a significant
competitive advantage," said Mr. Jing'an Wang, CEO.

"The completion of this new plant will mark another key milestone in the rapid
growth of Huifeng. Our company has received many orders from European customers
for Diosmin that complies with the COS Standard. We expect to see continued
robust demand for our Diosmin products as a result of our competitive pricing
and quality compared to our competitors and we believe this plant has the
capacity to generate an additional $20 million in revenue each year for the
Company"

About Huifeng Bio-Pharmaceutical Technology, Inc.

Huifeng Bio-Pharmaceutical Technology, Inc., located in Xi'an, People's Republic
of China, develops and produces plant extracts and pharmaceutical raw materials
for use in pharmaceutical, nutraceutical and food production. It is the leading
Chinese producer of rutin and related plant-derived chemicals in a class called
flavonoids, with medicinal and other beneficial properties. Founded in 2002,
Huifeng uses proprietary patented processes to extract rutin more efficiently
than traditional extraction techniques. The Company is diversifying its product
lines through internal development, acquisition and cooperation with scientific
research organizations. More information can be found on the Company's web site
at: http://www.hfgb.cn/