SHANGHAI, China, Jan. 10, 2024 (GLOBE NEWSWIRE) -- YanGuFang International Group Co., Ltd. (the “Company” or “YanGuFang”) (Nasdaq: YGF), a health food company primarily engaged in the production, sourcing, research and development, and sales and distribution of oat and grain products across China and internationally, today announced that the Company has been informed by the family members of Mr. Junguo He, the Chief Executive Officer (the “CEO”) and Chairman of the Board of Directors (the “Board”) of the Company, and Mr. Kui Shi, the Chief Financial Officer (the “CFO”) of the Company that the CEO and the CFO have been detained by certain Public Safety Bureau of Shanghai, China (“Shanghai Police”), and are currently under investigation by said Shanghai Police. As of the date of this announcement, the Company has not received any official notice of the investigation against Mr. He or Mr. Shi or the respective reasons for their detainment.
As Mr. He and Mr. Shi are presently unable to fulfill their respective roles as CEO and CFO of the Company, the Board appointed Mr. Ya Zhang, currently the Chief Operating Officer of the Company, as Interim CEO of the Company, and Ms. Yang Sui, the Financial Director of Inner Mongolia YanGuFang Whole Grain Industry Development Co., Ltd. Hangzhou Branch (“YanGuFang Whole Grain Hangzhou Branch”), a branch company of one of the Company’s variable interest entities (the “VIEs”), as Interim CFO of the Company, effective as of January 9, 2024.
Mr. Zhang, having served as the Chief Operating Officer of the Company since December 2021, is familiar with the business operations of the Company and has over ten years of experience in business management, and Ms. Sui, having served as Financial Director of one of the VIEs’ branch company since October 2022, is familiar with the financial activities of said branch and has over 18 years in finance, particularly in listed companies in China.
The interim management team will manage the Company’s operations under the Board’s direction. As of the date of this announcement, the business and the daily operations of the Company are being conducted in ordinary course and in an orderly manner.
About YanGuFang International Group Co., Ltd.
YanGuFang is a health food company engaged in the production, sourcing, research and development, sales and distribution of natural oat and whole grain products. The Company is committed to improving human health through its research to explore the nutritional benefits of its products. The Company has developed over 80 products in its natural oat and whole grain series. For more information, please visit the Company’s website at http://ir.ygfang.com/.
