Biomagnetics signs merger agreement with Zhuhai Energy Science and Technology

Sep 20 2010

Biomagnetics Diagnostics Corp., (PINK SHEETS:BMGP - News) a developer of revolutionary diagnostic systems and technology for HIV, hepatitis, tuberculosis and malaria detection, and other innovative technologies, recently announced its management team was flying to China to close its merger with Zhuhai Energy Science and Technology. Biomagnetics Diagnostics is pleased today to announce the signing of the formal merger agreement. All necessary governmental approvals are expected to be completed mid-week.

"We selected the Zhuhai merger for early closure for several reasons, the most important of which is the near-term revenue opportunity this provides to Biomagnetics. In addition to near-term revenue opportunities, we are also very excited about this business over the long haul. Energy usage in China is changing dramatically with a rapid shift toward renewable and cleaner burning fuels, commented Clayton Hardman, CEO of Biomagnetics. "We believe Biomagnetics and our partner, Zhuhai Energy and Science Technology LTD, can be important participants in this dynamic shift in the world's fastest-growing major economy."

Mr. Hardman continued, "We have been working diligently to set up our wholly owned Chinese business entity and we have already received governmental approval for this new Chinese company, which has been named Zhuhai Biomagnetics New Energy Science and Technology Ltd. We expect to have all of the details in place and this new corporation fully established by week's end. We are particular excited about the location of our new Asian headquarters in Hengquin New Area ( http://www.hengqin.gov.cn/ ), which is a special high tech industrial park near the location for the new campus of the University of Macau. With very low taxes and no tariffs, we believe it is the ideal location from which to grow our businesses in Asia."