The formula to successfully investing in China for the foreseeable
future will be predicated on answering the critical question of whether
a company is real. It is unprecedented for a question that is
rarely asked of U.S. companies to be the main determinant when looking
at a China based company trading on a U.S. exchange. This is the
world we are living in as almost every week another "China Deal" is
halted or outted. Fortunately,
there is China Vesting!
At the end of the purge there will be the
survivors who end up greatly enriching their shareholders. In the coming weeks China
Vesting will be removing and replacing a number of companies from our
indexes. The
thousands of man hours China Vesting has spent
conducting field work in China will be put to good use for our readers
benefit. However, there are always going to be great
opportunities that fall through the cracks. That is why if you
have an interesting company please send us an email to
info@chinavesting.com with the name, ticker, and reason for
being added to the China Vesting Index.
In today's edition we want to present a company that was recently
introduced to us by a reader. Sunwin
International (OTCBB:SUWN) is one of the largest producers and sellers of high quality stevia extracts
which is used as a sugar substitute. The company actually has
their products for sale here in the United States. China
Vesting was able to find Sunwin's OnlySweet product on Amazon.com (link)
for sale. We even took a snapshot of the screen for our
records.
Sunwin is currently a penny stock that could qualify for an upgrade to
the Nasdaq or NYSE AMEX if the company reverse splits its stock.
Shares
of Sunwin are trading at $0.25 and with 155.52 million shares outstanding
the market cap is $38.88M. As of the last quarter
ended Sept 30, 2010 cash
and equivalents stood at $10M.
This morning Sunwin announced that its Qufu, China production
facilities have received ISO 22000 and ISO 9001:2008 integrated process
and systems certifications in addition to HACCP (Hazard Analysis and
Critical Control Points) certification from SGS for its stevia
production facility. This
certification along with having its
products sold in the U.S. will go a long way towards establishing that
Sunwin is viable. SUWN is not currently included in any of
China Vesting's indexes but the company is one to watch.