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Asia Bio-Chem closes US$30 million qualifying transaction

Fasken
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Asia Bio-Chem Group Corp.

On June 19, 2008, Asia Bio-Chem Group Corp. (the "Company"), formerly Parran Capital Inc. completed its previously announced qualifying transaction with Asia Bio-Chem Group Company Ltd. ("Asia Bio"). The Company is now listed as a Tier 1 Industrial Issuer and its common shares resumed trading on the TSX Venture Exchange on June 26, 2008. Prior to the completion of the qualifying transaction, the Company consolidated its outstanding shares on a 7.5 to 1 basis, declared and issued a stock dividend to its shareholders and changed its name. In connection with the qualifying transaction, Asia Bio completed a brokered private placement of common shares of Asia Bio for gross proceeds of $30 million. Under the qualifying transaction, the Company merged with Asia Bio and Parran Capital Inc.'s wholly owned subsidiary in the British Virgin Islands ("Parran BVI"). The agreement provided that Asia Bio merge with Parran BVI, with Asia Bio as the surviving entity. The Company, through its wholly-owned subsidiary in the Peoples Republic of China is in the business of manufacturing cornstarch and related products. The proceeds of the Private Placement will be applied towards implementation of the Company's business plan to expand its production capacity either by way of acquisition or construction of new capacity. Asia Bio-Chem Group Company Ltd. was advised in this transaction by a team from Fasken Martineau led by Rubin Rapuch and that included, among others, Georald Ingborg, Edmond Luke, Lindy Bremner and Donna Gallant.

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