BOCA RATON, Fla., July 3, 2006 (PRIMEZONE) -- Genesis Technology Group, Inc. (OTCBB:GTEC) announced that it has terminated negotiations with the western Chinese conglomerate to complete a merger with one of its subsidiaries. Genesis management stated that it has upgraded the required qualifications for merger candidates, as the Company finds itself in a significantly improved position from last December, when such negotiations commenced.
Gary L. Wolfson, Genesis Chief Executive Officer, commented: "Frankly, we did not anticipate our Company's improvement to occur so rapidly in 2006. The merger proposal formulated in mid-December was not nearly as attractive this spring. Genesis terminated negotiations only after performing arduous due diligence to reach this conclusion.
"Management is dedicated to increasing shareholder value, and we remain convinced that a merger with a qualified Chinese company should accelerate that goal. With our well-defined Chinese partners program, we can now consider new Genesis merger candidates on a regular basis. Additionally, with three quarters of solid performance, significant cash reserves, and appreciating equity holdings, Genesis will be in an enviable position to complete such a merger in the future."
Dr. Shaohua Tan, Director of China Operations, added: "Our revitalized business model is moving forward at full throttle. Of our contract partner companies, Lotus Pharmaceuticals, will be the first to be publicly traded. The audit is in its final stages. Gold Horse International will follow soon thereafter. New partner companies will be announced shortly, and we remain confident that each completed contract could result in about $2 million to the Genesis bottom line."
CHANGE OF ADDRESS NOTICE: Effective July 1, 2006, the main office for all China operations shall be Oriental Plaza, Level 6, Tower W2, One East Chang An Avenue, Dong Cheng District, Beijing 100738, People's Republic of China.
About Genesis Technology Group, Inc.
Genesis Technology Group, Inc. is a business development firm that fosters bilateral commerce between Western and Chinese companies. Genesis has created successful profit centers in product development, manufacturing, distribution, joint ventures and operational services. The Company has offices in the United States and China. A majority owned subsidiary of Genesis, Genesis Equity Partners, LLC ("GEP") assists Chinese and Western companies in formulating strategies to increase equity value, while targeting Western stock exchanges as a source of capital and shareholder support. The core strength of GEP management is creating a first rate plan to create investor awareness and bring in long-term individual and institutional investors. GEP should create liquidity in the stock and gain investor awareness by using tested channels of communications by cogently articulating the companies' stories. GEP has built successful channels with expertise in screening and selecting Chinese companies that possess solid business histories and professional management, and North American public companies and shells that possess a shareholder base and a history of auditing and filing, as required by the U.S. Securities & Exchange Commission. For more information, visit http://www.genesis-technology.net.
Safe Harbor Statement
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