SACRAMENTO, CA--(Marketwired - Jun 16, 2014) - Stevia First Corp. (
The Company has formed a subsidiary branded as SF Pure to build North American stevia extraction and refining facilities. SF Pure has agreed in principle to obtain exclusive rights outside of China to use technology developed by a private Chinese company, Qualipride International ("Qualipride") and currently installed at multiple stevia extraction and purification facilities located within China. The California facilities will be the first of their kind in California are expected to set new standards for the industry in terms of their energy efficiency, conservation of water, and environmental safety.
In addition, SF Pure further agreed in principle to substantially take over the stevia sales and distribution business of Qualipride, which sold more than 600 tons of stevia extract in the past 12 months, including 350 tons for export from China. Its current customers include many multinational ingredient companies and wholesalers in the U.S. and Europe. Qualipride has been in business for more than 15 years and through its factories and partnerships has access to more than 2,000 metrics tons of annual stevia production capacity.
Mr. Yuejin Dong, president of Qualipride, who will be part of the senior management of SF Pure, states that, "Stevia First's work to date demonstrates they have all the elements to capitalize on Stevia's rapid global success, and can support bringing the crop to California, building local extraction and purification facilities, opening new sales and distribution channels, and additionally bring biotech expertise that could drive the future of the industry."
Specific agreed upon terms include the following:
- In exchange for a 30% interest in SF Pure, described below, Stevia First will have an exclusive license to methods and technical designs for stevia extraction facilities that yield 60% or greater Reb A and 90% or greater steviol glycosides, along with methods and technical designs for stevia purification facilities that yield 97% or greater Reb A. This license is exclusive outside of China and includes but is not limited to the major markets of the U.S., Europe, and Japan.
- Stevia First will launch SF Pure, an operating subsidiary that will be managed in part by new technical founders including an engineer and scientist with more than 20 years of experience in the stevia industry
- As a condition of the license the subsidiary will be financed with at least $2.55 million within 12 months to pay primarily for construction of stevia extraction and purification in California
- A Stevia First subsidiary will be launched in China in order to substantially take over the stevia distribution business of Qualipride, and this entity will obtain exclusive worldwide rights from Qualipride to distribute stevia products
Robert Brooke, Stevia First's CEO, adds that, "We have fostered our relationship with Qualipride over many years, and we're thrilled to finally join forces. This alliance will instantly give us access to large overseas production capacity, sales relationships with key multinational customers, and a concrete and actionable plan for construction of modern stevia extraction and purification facilities in California."
About Stevia First Corp. (
Stevia First Corp. is an agricultural biotechnology company that has developed expertise for the production of stevia using fermentation and for improvement of traditional stevia farming and processing methods. The Company is also applying breakthrough technologies in software and the life sciences to develop product applications far beyond stevia and the food and beverage industry. For more information visit: www.steviafirst.com.
About the Stevia Industry
The market for all-natural, zero-calorie stevia sweeteners is expanding rapidly. The World Health Organization (WHO) estimates stevia intake could eventually replace 20-30% of all dietary sweeteners. The total global sweetener market was estimated at $58.3 billion in 2010. For more information visit: www.steviafirst.com.
Notice Regarding Forward-Looking Statements
This news release contains "forward-looking statements" as that term is defined in Section 27(a) of the United States Securities Act of 1933, as amended and Section 21(e) of the Securities Exchange Act of 1934, as amended. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, projections of worldwide sales of stevia products, growth of stevia production and global markets. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with new projects and development stage companies. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that any beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that any such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K for the most recent fiscal year, our quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission.