CHANGSHU, China, August 3, 2015 /PRNewswire/ -- Sutor
Technology Group Limited (the "Company" or "Sutor") (Nasdaq: TOR),
one of the leading China-based
manufacturers and customized service providers for fine finished
steel products used by a variety of downstream applications, today
announced that recently the Company entered into a non-binding
letter of intent dated July 31, 2015 ("LOI") with the
shareholder of Shanghai Lgsteel Supply Chain Management Co., Ltd.
("Lgsteel"). The LOI contemplates a transaction in which Sutor will
acquire 100% of the shares of Lgsteel, a company incorporated and
existing in China. Consummation of
the transaction is subject to entry into a definitive agreement
between the parties containing specific closing terms and
conditions yet to be negotiated.
Lgsteel is a one-stop steel supply chain services platform,
which provides nearly one million of online users with steel
seeking, procurement, marketing, processing, distribution, supply
chain financing, online payment, logistics tracking, electronic
billing and other online services related to steel products.
Since our business transformation, Sutor has been catching the
attention of steel industry participants. The contemplated
acquisition of Lgsteel is an important strategy for our new
business model. In our march to becoming a leading fine steel
customized service provider, we not only rely on our strong
industry experience, but we also combine it with cutting-edge
internet technology. Based on our investigation, we chose Lgsteel,
a famous domestic comprehensive e-commerce service platform of bulk
commodities in the steel industry, as our target. We believe the
contemplated acquisition will further promote the Company's
"Internet + Fine Finished Steel Customized Services" business
model.
About Sutor Technology Group Ltd
Sutor is one of the leading China-based manufacturers and customized
service providers for high-end fine finished steel products and
welded steel pipes used by a variety of downstream applications.
The Company utilizes a variety of in-house developed processes and
technologies to convert steel manufactured by third parties into
fine finished steel products, including hot-dip galvanized steel,
pre-painted galvanized steel, acid-pickled steel, cold-rolled steel
and welded steel pipe products. The Company also provides fee-based
steel processing services to customers, including industrial peers.
To learn more about the Company, please visit
http://www.sutorcn.com/en/index.php.
Forward-Looking Statements
This press release includes certain statements that are not
descriptions of historical facts, but are "forward-looking
statements" in nature within the meaning of the Private Securities
Litigation Reform Act of 1995. Such statements include, among
others, those concerning our expected financial performance,
liquidity and strategic and operational plans, our future operating
results, our expectations regarding the market for our products,
our expectations regarding the steel market, as well as all
assumptions, expectations, predictions, intentions or beliefs about
future events. You are cautioned that any such
forward-looking statements are not guarantees of future performance
and that a number of risks and uncertainties could cause our actual
results to differ materially from those anticipated, expressed or
implied in the forward-looking statements. These risks and
uncertainties include, but not limited to, the factors mentioned in
the "Risk Factors" section of our Annual Report on Form 10-K for
the year ended June 30, 2014, and
other risks mentioned in our other reports filed with the
Securities Exchange Commission ("SEC"). Copies of filings
made with the SEC are available through the SEC's electronic data
gathering analysis retrieval system (EDGAR) at
http://www.sec.gov. The words "believe," "expect,"
"anticipate," "project," "targets," "optimistic," "intend," "aim,"
"will" or similar expressions are intended to identify
forward-looking statements. All statements other than statements of
historical fact are statements that could be deemed forward-looking
statements. The Company assumes no obligation and does not
intend to update any forward-looking statements, except as required
by law.
For more information, please contact:
Investor Relations
Sutor Technology Group Limited
Tel: +86-512-5268-0988
Email: investor_relations@sutorcn.com
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SOURCE Sutor Technology Group Limited