Gulf Resources raises $25M to finance operations

AP News
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Posted: Dec 22, 2009 4:21 PM

Gulf Resources Inc., a manufacturer of bromine, crude salt and specialty chemical products in China, said Tuesday that it has closed a private placement financing in which it raised $25 million to be used to acquire additional bromine and crude salt production assets along with general corporate purposes.

In the transaction, the company issued 2.9 million shares of common stock at $8.50 per share.

Gulf Resources operates through two subsidiaries, Shouguang City Haoyuan Chemical Company Ltd. and Shouguang Yuxin Chemical Industry Co. Ltd.

The company produces bromine used in industry and agriculture along with chemical products that have a variety of applications, including oil and gas field exploration.