Zungui Haixi Corporation
TSX VENTURE : ZUN

Zungui Haixi Corporation

September 17, 2010 16:00 ET

Zungui Haixi Corporation Announces Normal Course Issuer Bid

TORONTO, ONTARIO--(Marketwire - Sept. 17, 2010) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Zungui Haixi Corporation (TSX VENTURE:ZUN), a China-based manufacturer of sportswear and casual footwear, is pleased to announce that the TSX Venture Exchange (the "Exchange") has accepted today Zungui's notice of intention to proceed with a normal course issuer bid (the "Bid") through the facilities of the Exchange and/or through one or more of the following alternative markets: Alpha ATS, CHI-X Canada, MATCH Now (Triact Canada), Omega ATS and/or Pure Trading (collectively, the "ATSs", and, together with the Exchange, the "Marketplaces").

Zungui intends to purchase for cancellation, from time to time, as it considers advisable, up to 3,112,975 of its issued and outstanding common shares, representing 5% of the 62,259,500 common shares outstanding as at September 15, 2010. Purchases will be made at prevailing market prices through the facilities of the Marketplaces. Purchases pursuant to the Bid will be made by CIBC World Markets Inc. on behalf of Zungui.

The Bid will commence on October 4, 2010 and terminate on October 3, 2011, or on such earlier date as the Bid is completed or otherwise terminated by Zungui. 

The board of directors of Zungui believe that the current and recent market prices of Zungui's common shares do not give full effect to their underlying value, based solely on Zungui's opinion of its future prospects, and that, accordingly, the purchase of common shares pursuant to the Bid represents an investment opportunity for Zungui and a worthwhile use of its funds.

About Zungui Haixi

Zungui Haixi Corporation, through its wholly owned subsidiaries, is engaged in the manufacture and sale of athletic footwear, apparel and accessories, and also casual footwear, in the People's Republic of China. Both product lines are marketed under the ZUNGUI brand. Zungui Haixi distributes its products to consumers throughout China through an extensive network of retail outlets which exclusively carry ZUNGUI branded products. There are 62,259,500 common shares issued and outstanding. The corporate website is www.zunguihaixi.com

Caution Regarding Forward-Looking Statements

Certain statements in this press release contain forward-looking information that involve risk and uncertainties. Statements other than statements of historical fact contained in this press release may be forward-looking statements within the meaning of certain securities laws, including, without limitation, statements involving management's expectations, intentions and beliefs concerning the domestic PRC sportswear industry, the competitive landscape in this industry and the general economy, statements regarding the future financial position or results of the Company, business strategies, proposed acquisitions, growth opportunities, budgets, litigation, projected costs and plans and objectives of or involving the Company. Such statements should be considered forward-looking statements, Wherever possible, words such as "may", "would", "could", "will", "anticipate", "believe", "plan", "expect", "intend", "estimate", "aim", "endeavour", "project", "continue" and similar expressions have been used to identify forward-looking statements. These forward-looking statements reflect management's current beliefs and business judgement with respect to future events and are based on information currently available to management. Forward-looking statements involve significant known and unknown risks, uncertainties and assumptions, and you should not place undue reliance on these forward-looking statements. Although management believes its current beliefs and assumptions are reasonable, many factors could cause Zungui's actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including, without limitation, those listed in the "Risk Factors" section of the Company's other filings with Canadian securities regulatory authorities at www.sedar.com. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking statements contained in this press release. The forward-looking statements contained in this press release are expressly qualified in their entirety by this cautionary statement. These forward-looking statements are made as of and speak as of the date of this press release and the Company does not intend to, or assume any obligation to, update or revise these forward-looking statements to reflect new information, events, results or circumstances or otherwise after the date on which such statement is made as to reflect the occurrence of unanticipated events, except as required by law, including securities laws.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Zungui Haixi Corporation
    Ms. Shelly Gobin
    Chief Financial Officer
    647-726-0192