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Dragon Pharmaceuticals Announces Completion of Private Placement

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Dragon Pharmaceuticals Inc. is pleased to announce the completion of the private placement of 2,000,000 common shares at US$0.50 per share. The proceeds will be used to fund the on-going development of the Company’s biotech projects in China.

The working capital of the Company currently stands at approximately US$1.4 million. The Company has invested approximately US$550,000 to date on drug licenses and other assets in China.

At a Board of Directors Meeting held on December 16, 1998, the Board appointed Dr. Longbin Liu as President and Mr. Shaun Maskerine as Secretary of the Company.

Dragon Pharmaceuticals Inc. is a biopharmaceutical company with the vision to become a leading biotechnology company in China through research, development, production, and marketing of previously commercialized bio-drugs.

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