Deyu Agriculture Corp. (DEYU) is a vertically integrated producer, processor, marketer and distributor of organic and other agricultural products made from corn and grains operating in China's Shanxi Province. The company has access to over 109,000 acres of farmland in Shanxi Province for breeding, cultivating, processing, warehousing and distributing grain and corn products. Deyu has an extensive wholesale network in over 15 provinces and a retail distribution network of approximately 20,000 supermarkets and convenience stores in 29 provinces across China. Deyu's facilities include advanced production lines and modern warehouses with a total production capacity of over 105,000 tons for grain products, storage capacity of over 100,000 tons and annual turnover of 700,000 tons for corn products.
The company announced that effective October 11, 2012, the Board expanded the number of members serving on the company's Board from five to seven in accordance with the company's bylaws, and subsequently filled the vacancies created by the expansion by appointing Mr. Greg Chen and Mr. Jan Poulsen to serve on the Board until the next following annual meeting of the stockholders of the company, at which such directors shall be eligible for election by the stockholders.
Additionally, Mr. Chen was appointed the President of Deyu, where his responsibilities shall include assisting the Company with its international and domestic market development, enhancing the company's investor relations programs and the execution of those programs and assisting the company with its corporate and operational strategies and business planning.
It seems that the company is looking to uplist to a major exchange. This could become a liquidity play if IR efforts really take off. Liquidity is very low at this moment but this gives risk seeking investors a chance to profit from the current low price. This company definitely deserves some deeper research, especially because of the attractive P/E and book value.
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