Looks like SIAF paid, or will pay, $20,000 per American acre. Also, appears that the land will be used for high margin businesses, that will be aided by grants and rebates, thereby boosting equity immediately (as per ccsykes). And capex for the businesses can be funded through low interest loans, with the land use rights as collateral.
For instance, if one of the 500 acre plots were dedicated to expanding the HU flower business, the potential net profit for that land, as previously reported at $25,000 per Chinese MU acre -- about $150,000 per U.S. acre -- would ramp to $75M per year after three years. That is about three times the current capacity. And one helluva return on investment.
