ShengdaTech, Inc. (fka SDTHQ)

[shorty_sho_sho]

The End Is The End

Liquidation is the plan and Chinese litigation is a dead end. Read it for yourselves:
http://www.sec.gov/Archives/edgar/data/1...

EX-99.3 5 v313820_ex99-3.htm EXHIBIT 99.3
ShengdaTech Submits Chapter 11 Plan of Reorganization

SAN FRANCISCO, May 18, 2012 /PRNewswire-Asia-FirstCall/ -- ShengdaTech, Inc. ("ShengdaTech" or the "Company") (SDTHQ) reported today that it has filed a Chapter 11 Plan of Reorganization (the "Plan") and proposed Disclosure Statement with the United States Bankruptcy Court for the District of Nevada (the "Bankruptcy Court").

The Bankruptcy Court has set June 25, 2012 as the hearing date on the adequacy of the Disclosure Statement. Assuming the Disclosure Statement is approved on June 25, 2012, the Company is targeting August 30, 2012 for confirmation of the Plan.

If the Plan is confirmed, it would provide for the wind down of the U.S. public Company's affairs and the distribution of available assets to creditors. The Plan establishes, among other things, a liquidating trust that, in its discretion, will pursue the Company's outstanding litigation in the People's Republic of China, hold and ultimately sell the Company's shares of Faith Bloom Limited, the Company's wholly-owned subsidiary, execute, process and facilitate distributions to holders of claims and equity interests, and resolve disputed claims. Confirmation of the Plan is subject to a number of conditions, including Bankruptcy Court approval of the Plan and Disclosure Statement, the execution of definitive documentation, the establishment of a liquidating trust and appointment of a liquidating trustee pursuant to a liquidating trust agreement, and the receipt of necessary acceptances from creditor classes and equity interest holders. The Company believes that the Plan provides the best, most cost-effective and most prompt possible recovery to holders of claims or equity interests.