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Microcap & Penny Stocks : ASK: "THE LAST DON" OF MOMENTUM TRADES -- Ignore unavailable to you. Want to Upgrade?

To: Kevin Clarke who wrote (6584)	2/17/1999 2:16:00 PM
From: myturn	Respond to of 15987

TNRG cancels stock!!! Tianrong Cancels Stock; Issues Clarification of e-Commerce Spin-Off PR Newswire, Wednesday, February 17, 1999 at 13:19 SAN FRANCISCO, Feb. 17 /PRNewswire/ -- Tianrong Building Material Holdings, Ltd. (BB: TNRG) announced today that it has canceled 1.4 million shares of its previously outstanding stock. The cancellation included a combination of stock that was already freely tradable and the balance of which would have soon become free trading. The company also addressed shareholder concerns with regard to the benefits to both TNRG and its shareholders with respect to the recent announcement of the spin-off of its Internet division into a separate publicly traded company. TNRG shareholders will receive approximately 16.5 million shares of the new Internet company, called Tianrong Internet Products and Services Inc. These shares will represent an estimated 30% of the company to be spun-off. The remaining 70% of the stock will continue to be held by TNRG. Therefore TNRG and its shareholders will continue to hold approximately 100% of Tianrong Internet Products and Services Inc. with no negative effect to TNRG shareholders. James Tilton, president of Tianrong stated "We continue to believe that Tianrong has significant undervalued assets in its parent company that are not reflected in the price of Tianrong stock. By spinning off a portion of various divisions into publicly traded companies we aim to show Wall Street just how much value does exist in Tianrong. And in addition, it is our opinion that 70% ownership of a publicly traded company is far more valuable than 100% of a private company, in terms of stock market valuation. The method of the spin-off will allow Tianrong to continue to participate and benefit in the continued growth of these companies while being able to reward our loyal shareholders at the same time by giving them a dividend of shares in a second publicly traded company. "We have a number of other spin-offs in the planning stages but the decision to spin-off a portion of the Internet Company first was made as a result of the current market conditions for Internet stocks. The 'Chinese Internet shopping mall' will have tremendous advantages over many other Internet sites since the products it sells will have inventory back up by Tianrong's mall in China that already does $150 million in annual sales. Further we continue to aggressively pursue the acquisition of certain other Internet sites that will provide a broad balance of potential growth for Tianrong Internet Products and Services Inc. "Our focus at Tianrong continues to be creating shareholder value and we will continue to develop and implement the corporate strategies that will force Wall Street to understand the significant value within the many divisions of Tianrong. We will not stop until Tianrong is properly valued." For further information on Tianrong Building Material Holdings, contact James Tilton at 212-398-7833 or visit the website www.tnrg.com. This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, which are intended to be covered by the safe harbors created thereby. Investors are cautioned that all forward-looking statements involve risks and uncertainties, including, without limitation, the ability of Tianrong Building Material Holdings to accomplish its stated plan of business. Tianrong Building Material Holdings believes that the assumptions underlying the forward-looking statements contained herein are reasonable, any of the assumptions could be inaccurate, and, therefore, there can be no assurance that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by Tianrong Building Material Holdings or any other person that the objectives and plans of Tianrong Building Material Holdings will be achieved. SOURCE Tianrong Building Material Holdings, Ltd. -0- 02/17/99 /CONTACT: James Tilton of Tianrong Building Material Holdings, Ltd., 212-398-7833/ /Web site: tnrg.com Companies or Securities discussed in this article: Symbol Name BB:TNRG Tianrong Building Material Hld Market data is provided by Quote.com, Inc. By using this service, you agree to the terms of the User Agreement.