October 5, 2009 (FinancialWire) — Gulf Resources, Inc. (OTCBB: GFRE), a leading manufacturer of bromine, crude salt and specialty chemical products in China, said it has closed the acquisition of bromine and crude salt manufacturing assets, paying a remaining 70% consideration of an agreed-upon $11.5 million cash payment.

In addition to the cash consideration, the company will issue 4,229,366 shares of common stock, priced at $1.163 per share and equal to around $4.9 million, to the sellers of the assets.

The deal was entered into on September 7 and closed on September 30, according to Gulf. With support from the sellers of the assets, the company signed a land lease agreement with local authorities and obtained the required land use rights for the property.

Gulf said it also expects to start operations using the newly acquired assets by the end of November, after completing maintenance and upgrade.

China-based Gulf Resources operates through Shouguang City Haoyuan Chemical Co. and Shouguang Yuxin Chemical Industry Co. The company is a producer of bromine in China. Elemental Bromine is used to manufacture a range of compounds utilized in industry and agriculture.

Through SYCI, the company manufactures chemical products utilized in a range of applications, including oil & gas field explorations and as papermaking chemical agents.

FinancialWire(tm) is a fully independent, proprietary news wire service. FinancialWire(tm) is not a press release service, and receives no compensation for its news, opinions or distributions. Further disclosure is at the FinancialWire(tm) web site (http://www.financialwire.net/disclosures.php). Contact FinancialWire(tm) directly via inquiries@financialwire.net.

Free annual reports for companies mentioned in the news are available through the Free Annual Reports Service (http://investrend.ar.wilink.com/?level=279).

Legal Disclaimer:

EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.