NEW YORK, June 29 /PRNewswire-Asia-FirstCall/ -- NeoStem, Inc. ("NeoStem" or the "Company") (NYSE Amex: NBS), an international biopharmaceutical company with operations in the U.S. and China, announced on June 15, 2010 that its 51% owned Suzhou Erye pharmaceutical subsidiary ("Erye") passed the government inspection by the State Food and Drug Administration ("SFDA") in China to manufacture penicillin and cephalosporin powder for injection at its new manufacturing facility. These two cGMP lines were responsible for $45,000,000 of Erye's sales in 2009. The new facility now has received government certification and is fully operational and manufacturing products on these two production lines.
The new facility will provide an increase in production capacity of more than 50% over the old facility. Coupled with the approval of the lines earlier in 2010, Erye has relocated over 90% of its 2009 sales to the new facility, placing the process significantly ahead of the original 2011 goal.
NeoStem's Chairman and CEO, Robin Smith, commented, "Erye's relocation of these two additional production lines to the new facility will increase capacity in the near term by more than 50%, bringing Erye another step closer to its goal of becoming one of the largest antibiotic producers in Eastern China."
About NeoStem, Inc.
NeoStem, Inc. is engaged in the development of stem cell-based therapies and building of a network of adult stem cell collection centers in the U.S. and China that are focused on enabling people to donate and store their own (autologous) stem cells for their personal use in times of future medical need. The Company is also the licensee of various stem cell technologies, including a worldwide exclusive license to VSEL(TM) Technology which uses very small embryonic-like stem cells, shown to have several physical characteristics that are generally found in embryonic stem cells, and is pursuing the licensing of other technologies for therapeutic use. NeoStem's majority-controlled Chinese pharmaceutical operation, Suzhou Erye, manufactures and distributes generic antibiotics in China. For more information, please visit: http://www.neostem.com .
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect management's current expectations, as of the date of this press release, and involve certain risks and uncertainties. Forward looking statements include whether these two production lines will produce in the future comparable levels of revenue as in 2009, about which no assurances can be given. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of various factors. Factors that could cause future results to materially differ from the recent results or those projected in forward-looking statements include the "Risk Factors" described in the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 31, 2010, as well as other periodic filings made with the Securities and Exchange Commission. The Company's further development is highly dependent on future medical and research developments and market acceptance, which is outside its control.
For more information, please contact: NeoStem, Inc. Robin Smith, CEO Phone: +1-212-584-4174 Email: firstname.lastname@example.org Web: http://www.neostem.com CCG Investor Relations, Inc. Kalle Ahl, Account Manager Phone: +1-646-833-3417 Email: email@example.com Crocker Coulson, President Phone: +1-646-213-1915 Email: firstname.lastname@example.org Web: http://www.ccgirasia.com
SOURCE NeoStem, Inc.