ROTH Capital Partners Completes $29 Million Follow-on Offering for

Yuhe International (YUII)


For more information on how
ROTH can help you, please contact:

Investment Banking, China
Byron Roth
Chairman & CEO
(949) 720-5721

Robert Stephenson
Managing Director
(949) 720-5750

Marcus Tan
Managing Director
(86) (21) 6141 5757 ext. 7025

Josh Matthew, CFA
Vice President
(949) 720-7104

Equity Capital Markets

Aaron Gurewitz
Head of Equity Capital Markets
(949) 720-5703

Nazan Akdeniz
Senior Vice President
(949) 720-5740

Lou Ellis
Senior Vice President
(949) 720-5739


ROTH Capital Partners

On October 25th, 2010, Yuhe International (NASDAQ: YUII) announced the pricing of an underwritten public offering of 3,600,000 shares of its common stock at $7.00 per share. On November 2nd, 2010 ROTH exercised the over-allotment option of 540,000 shares to bring the total transaction value round up to $29 million. The offering of the shares was made pursuant to a registration statement previously filed with the Securities and Exchange Commission. ROTH Capital Partners acted as the sole book-running manager of the offering.

Transaction Highlights

  • 2.37% discount to the closing price on the day of pricing*

  • 17.43% 1-day aftermarket performance**

  • 127% aftermarket performance from the company's most recent transaction in March 2008, for which ROTH was the lead placement agent

Client Information
Founded in 1996, Yuhe International Inc. (YUII) is the largest day-old broiler breeder in China. The Company's main operations involve breeding, as all broilers are sold within three days of hatching. Headquartered in Weifang, Shandong Province, the Company has modern facilities and is led by an experienced team which includes experts in chicken breeding, disease prevention and animal husbandry science. Yuhe has two operational subsidiaries, Weifang Yuhe Poultry Co. Ltd. and Weifang Taihong Feed Co. Ltd., which largely supplies the Company's internal demand for chicken feed. Currently, 90% of the Company's sales of day-old broilers are in Shandong province through 28 local agents. There are 10 other sales agents in adjacent provinces. The Company has imported state-of-the-art equipment from the United States, Germany and Japan and has passed ISO9001 certification, allowing it to adhere to international standards of operation. (Source: Company Press Release)

ROTH China Practice Update
In the past months, ROTH has hosted a series of educational seminars on how to build a first-class public company. These seminars have focused on ways companies can strengthen their infrastructure and increase transparency and communications. We continue to make an effort to keep you abreast of current market trends in the U.S.-listed China space.

Since 2008, ROTH has been involved in more than 30 transactions with U.S.-listed Chinese companies and achieved an average aftermarket performance of over 58% since the date of the transactions.*** These transactions include IPOs, follow-on offerings, registered directs and PIPEs.

ROTH Capital Partners
ROTH Capital Partners, LLC (ROTH), is a relationship-driven investment bank focused on identifying opportunities for institutional investors in U.S.-listed equity securities of companies based in the U.S. and China.  Headquartered in Newport Beach, CA, with offices throughout the U.S. and a Shanghai Representative Office, the employee-owned firm provides analytical research, trading, capital raising, and business combination advisory services.  ROTH seeks to implement innovative financing strategies to efficiently meet the liquidity and valuation requirements of both its corporate and institutional investor clients.

The material, information and  facts discussed in this announcement other than the information regarding ROTH Capital Partners, LLC ("ROTH") and its affiliates, are from sources believed to be reliable, but are in no way guaranteed to be complete or accurate. This announcement should not be used as a complete analysis of any companies, securities or topics discussed herein. Additional information is available upon request. This is not, however, an offer or solicitation of the securities discussed. Any opinions or estimates in this announcement are subject to change without notice. An investment in any security based on this announcement may involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Additionally, such investments may involve a high degree of risk and may not be suitable for all investors. No part of this announcement may be reproduced in any form without the express written permission of ROTH. Copyright 2010

*Discount based on the closing price on 10/19/2010
**Aftermarket performance is based on the offer price and closing price on 10/20/2010
Source: Bloomberg
***Data excludes private sales and SPACs. Warrant coverage returns included for transactions with warrants. Source: ROTH Capital Partners, data as of 10/28/2010. Past performance is not a guarantee of future results.