EXHIBIT 2.1 PRESS RELEASE
Viking Purchases Control of $200+ Million Asset Chinese Company
DALLAS--(BUSINESS WIRE)--Aug. 1, 2001-- Viking Capital Group, Inc., (OTC:VGCP -
news) has completed the purchase of 25% of Beijing Fei Yun Property Development
Company Ltd. (Fei Yun) for common stock in a deal which also gives Viking voting
control of Fei Yun. Beijing Fei Yun is a diversified holding company whose
primary activity is ownership, control and operation of real estate properties
(commercial and residential) as well as owning manufacturing companies and other
concerns totaling in excess of $200,000,000 in Fei Yun controlled assets.
Revenues are projected to reach $88,000,000 and net income is expected to exceed
$12,000,000 this year from all operations. All of the above information is in
U.S. dollars.
William J. Fossen, Chairman of Viking states "Viking has made its first move to
acquire large scale assets and income. We have been working hard to make this
move for a long time for the benefit of all our shareholders. We are excited
about the excellent position our Company has achieved in China at this most
opportune time with a prestigious company in Beijing. China is bursting with
opportunities. Viking brings to Fei Yun's experienced and well connected
management team the capability to obtain additional U.S. capital to take
advantage of those opportunities together."
Fei Yun Chairman, Haiping Zhou, states "Viking is just the kind of public
company in the U.S. that we have been looking for to become our partner. We are
thrilled about continuing to grow in China with the financial assistance of
Viking and we are very pleased to become associated with Viking as its largest
shareholder. We believe that together we can build a very large institution with
the expertise the Viking leaders bring in the financial services industry along
with Fei Yun's already growing assets and profits."
"Viking intends to file for a NASDAQ National Market Listing as soon as all
requirements are met, which includes Viking's stock trading at $5.00 per share,"
states President Matthew W. Fossen. "In addition to giving our stock wider
exposure to the public and industry analysts, Viking will be much more likely to
qualify for various institutional investors once it is listed on NASDAQ." With
this acquisition, Viking has met all of the NASDAQ National Market Listing
requirements except for having its stock trading at $5.00 per share.
About Viking Capital Group, Inc.
Viking Capital Group, Inc., (VGCP-OTC), is headquartered in Dallas. Viking's
China Operations are headquartered in Shanghai. Fei Yun's management team will
operate the daily activities of Fei Yun's holdings in Beijing. Viking expects to
acquire other operations in China and expand the activities of Fei Yun. Viking's
U.S. operations will continue to focus on its plan to market and further develop
its private network (Viking Capital Financial Network) to provide its customers
data communications services and application services, via its subsidiaries,
over the private network and over the internet. These Application Service
Provider (ASP) services include Universal IP (insurance), IP Banker (remote
banking), Benefits IP (employee benefit plan data processing), and IP Trader
(securities trading) and IP Marketer (sales organizations). These products and
services give the participant access to their accounts 24 hours a day, seven
days a week. The Company's target market is financial services operations such
as banks, insurance companies, and employee benefit plans.
To learn more about Viking's activities in China, go to www.vcgi.com.
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ISafe Harbor Statement under the Private Securities Litigation Reform Act of
1995 This press release may contain certain "forward-looking" statements as such
term is defined in the Private Securities Litigation Reform Act of 1995 and
information relating to the Company and its subsidiaries that are based on the
beliefs of the Company's management as well as assumptions made by and
information currently available to the Company's management. When used in this
release, the words "anticipate," "believe," "estimate," "expect" and "intend"
and words or phrases of similar import, as they relate to the Company or its
subsidiaries or Company management, are intended to identify forward-looking
statements. Such statements reflect the current risks, uncertainties and
assumptions related to certain factors including, without limitations, changes
or anticipated changes in regulatory environments, competitive factors, general
economic conditions, customer relations, relationships with vendors, the
interest rate environment, governmental regulation and supervision, seasonality,
distribution networks, product introductions and acceptance, technological
change, changes in industry practices, onetime events and other factors
described herein and in other press releases to the public or filings made by
the company with the Securities and Exchange Commission, the ability to secure
partnership or joint-venture relationships with other entities, the ability to
raise additional capital to finance expansion, and the risks inherent in new
product and service introductions and the entry into new geographic markets.
Based upon changing conditions, should any one or more of these risks or
uncertainties materialize, or should any underlying assumptions prove incorrect,
actual results may vary materially from those described herein as anticipated,
believed, estimated, expected or intended. The Company does not intend to update
these forward-looking statements. For further information which could cause
actual results to differ from the Company's expectations, as well as other
factors which could affect the Company's financial statements, please refer to
the Company's report filed with the Securities and Exchange Commission.
Contact:
Viking Capital Group, Dallas
Matthew W. Fossen, (972)386-9996
mfossen@vcgi.com
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www.vcgi.com
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