CHANGSHA, China, June 18, 2019 /PRNewswire/ -- Urban Tea
Inc. (the "Company", "we" or "Urban
Tea") (NASDAQ: MYT), a premier retailer of specialty teas
and baked goods based in Hunan,
China, announced today that the Company plans to establish a
production, training and research institute center (the "Center")
located at No.7, Kangpeng Road, Liuyang Economic Development Zone,
Hunan 410331, China.
The Center is part of the Company's effort to expand its
production, training, research and product development capabilities
to meet the growing demand for the Company's products and provide
streamlined logistical support. The Company expects to replicate
its business model in selected foreign markets.
The Company estimates it will invest RMB10 million to set up the Center, and
anticipates that the Center will cover an area of over 2,000 square
meters. The Center is expected to include a research and
development center, a training center, a production center in
accordance with relevant State Food and Drug Administration
regulations, a fridge facility and food warehouse. The Company
intends for the Center to focus on research and development on new
beverages, light meals and bakeries to be offered by the Company in
the future. The Company designed the Center to meet the needs of
the growing business ecosystem of food production, food
refrigeration, cryopreservation, distribution, and product quality
in and around the Hunan Province.
The Center will also be equipped to launch multiple product
promotions across different regions, product distribution and
centralized employee training.
"The Center is expected to begin construction in
June 2019 and be fully operational by
December 2019," said Kan Lu, Chief
Financial Officer of Urban Tea. "The
construction of the Center is an important milestone in the
Company's development process by centralizing many of the Company's
functions, and thus allowing us to reducing costs and continue our
growth. In the future, we plan to establish production Centers in
other cities in China. We strive
to lay a solid foundation and expand rapidly while maintaining and
steadily building upon our infrastructure."
About Urban Tea,
Inc.
Urban Tea, Inc. is an emerging
specialty tea product distributer and retailer headquartered in
Changsha City, Hunan Province, China. Through its wholly owned subsidiary,
Shanghai Ming Yun Tang Tea Limited ("Shanghai MYT") which controls
Hunan Ming Yun Tang Brand Management Co., Ltd. ("Hunan MYT"), the
Company currently market a wide range of trendy tea drinks, light
meals, and pastries targeting China's new urban generation in Hunan province. Our products are focused on
not only their taste but also their aesthetic presentation and
health benefits. Our products are currently being offered via our
own stores. We expect to start selling our products in our managed
and JV stores in mid-2019. For more information, please visit:
ir.h-n-myt.com.
Forward-Looking Statements
This press release contains certain statements that may
include "forward-looking statements." All statements other than
statements of historical fact included herein are "forward-looking
statements." These forward-looking statements are often identified
by the use of forward-looking terminology such as "believes,"
"expects" or similar expressions, involving known and unknown risks
and uncertainties. Although the Company believes that the
expectations reflected in these forward-looking statements are
reasonable, they do involve assumptions, risks and uncertainties,
and these expectations may prove to be incorrect. You should not
place undue reliance on these forward-looking statements, which
speak only as of the date of this press release. The Company's
actual results could differ materially from those anticipated in
these forward-looking statements as a result of a variety of
factors, including the risk factors discussed in the Company's
periodic reports that are filed with the Securities and Exchange
Commission and available on the SEC's website
(http://www.sec.gov). All forward-looking statements
attributable to the Company or persons acting on its behalf are
expressly qualified in their entirety by these risk factors. Other
than as required under the applicable securities laws, the Company
does not assume a duty to update these forward-looking
statements.
For more information, please contact investor
relations:
Tina Xiao
Ascent Investor Relations LLC
Phone: +1-917-609-0333
Email: tina.xiao@ascent-ir.com
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SOURCE Urban Tea Inc.