Dragonite raises funds, plans to capitalize new subsidiary in Southern California

[Bill Godshall]

Dragonite announces it has raised funds, plans to capitalize subsidiary in Southern California
http://vapersforum.com/showthread.php?t=40022

In order to facilitate the enforcement and commericialization of the Group's intellectual property rights in the United States, the company plans to establish a wholly-owned subsidiary in Southern California.

(from page 7 of Dragonite's announcement)

It would be helpful if somebody downloaded and reposted Dragonite's announcement on this thread, as I'm reached my limit for posting attachments.

[DC2]

I am not finding this news on the Dragonite website yet...
Dragonite International Limited

But I did find this announcement dated today...
http://www.dragonite.com.hk/attachme...1452620_en.pdf

Ten New Complaints for Patent Infringement Filed in United States District Court

Ruyan Investment (Holdings) Limited, a wholly-owned subsidiary of the Company,
filed ten new complaints on Friday, 22 June 2012 for infringement of United States
Patent No. 8,156,944 (the “944 Patent”) against (i) BARJAN LLC, a Delaware
limited liability company, (ii) CB DISTRIBUTORS, INC., an Illinois corporation and
DR DISTRIBUTORS, LLC, an Illinois limited liability company dba 21st CENTURY
SMOKE, (iii) FINITI BRANDING GROUP, LLC, an Illinois limited liability
company, (iv) LOEC, INC., a Delaware corporation, (v) LOGIC TECHNOLOGY
DEVELOPMENT LLC, a New Jersey limited liability company, (vi) NICOTEK LLC,
a Colorado limited liability company, (vii) THE SAFE CIG, LLC, a California
limited liability company, (viii) SOTTERA, INC., a Nevada corporation, (ix) SPARK
INDUSTRIES, LLC, a California limited liability company, and (x) VAPOR CORP.,
a Nevada corporation, (collectively, the “Defendants”) in the United States District
Court of the Central District of California .

[DC2]

I was able to find this on InvestorsHub...

Dragonite International Limited (DGTLF): It looks like Dragonite's e-cigarette business is moving

It looks like Dragonite's e-cigarette business is moving to the US and be based in Southern California, funded by yet another capital raise. As described, here are the use of proceeds:

The Group is mainly engaged in (i) production and sales of health care products, pharmaceutical products and RUYAN atomizing cigarettes, (ii) securities trading and investment, and (iii) property investment.

Electronic cigarettes are a core business of the Group. The Group is the leader in electronic cigarette technology with an extensive patent portfolio. In order to facilitate the enforcement and commercialization of the Group’s intellectual property rights in the United States, the Company plans to establish a wholly-owned subsidiary in Southern California. Such new subsidiary will also facilitate sales, marketing, regulatory compliance, and public relations in regard to the Group’s electronic cigarette business in the United States.

Upon Completion, the gross proceeds to be raised from the Placing will be approximately HK$21.5 million. After taking into account the estimated expenses in relation to the Placing, the estimated net proceeds from the Placing will be approximately HK$20.4 million, representing a net price of HK$0.063 per Placing Share. The entirety of the net proceeds raised from the Placing will be dedicated to the paid-up capital of the aforesaid new subsidiary in Southern California.

The Directors consider that the Placing represents a good opportunity to raise additional funds for establishing a new subsidiary in Southern California and the Placing will widen the Company’s shareholder base. The Directors also consider that the terms of the Placing, including the rate of the placing commission, are fair and reasonable compared with current market practice. Accordingly, the Directors are of the view that the Placing is in the interests of the Company and the Shareholders as a whole.

[Luisa]

I was able to find this on InvestorsHub...

Dragonite International Limited (DGTLF): It looks like Dragonite's e-cigarette business is moving

What does this mean to us as consumers?

[Bill Godshall]

The ten companies sued by Dragonite

1. Barjan LLC- markets Mistic E-cigarette
2. CB Distributors- markets 21st Century Smokes E-cigarette
3. Finiti Branding Group- markets FIN E-cigarette
4. LOEC, Inc.- does business as blu Cig!!!
5. Logic Technology Development Co.- markets Logic E-cigarette
6. Nicotek Development Co.- markets Metro E-cigarettes
7. The Safe Cig LLC- markets The Safe Cig E-cigarette
8. Sottera Inc.- markets NJOY E-cigarettes
9. Spark Industries LLC- markets CIG20 E-cigarettes- a private label brand exclusive through Kretek
10. Vapor Corp.- markets Fifty-One, Krave, VaporX, EZ Smoker, Green Puffer, Americig, Fumare, Hookah Stix and Smoke Star- E-cigarettes

Since Dragonite previously sued Sottera, Vapor Corp and LOEC, and recently settled with LOEC (i.e. blu Cig that was recently acquired by Lorillard), perhaps this new complaint is for infringing upon Dragonite's most recently approved US patent.

[Bill Godshall]

Looks like the cost of e-cigarettes marketed by these ten companies will increase due to patent litigation expenses.

[Bill Godshall]

A potential public health upside for Dragonite's move to Southern California.

Such new subsidiary will also facilitate sales, marketing, regulatory compliance, and public relations in regard to the Group’s electronic cigarette business in the United States.

[trying]

There has been no sign of Ruyan America for years. Is this building upon that company of is it a new and seperate company ?

[mirinuh]

This is a new, separate company. Ruyan America was a joint venture with US interests and that was dissolved when new management and new capital was injected into Dragonite. It appears that this company will be a wholly-owned subsidiary of Dragonite.

[trying]

Lorillard demands that Blu settles infringment case with Dragonite prior to acquisition.

Blu settles with Dragonite for unknown amount and is purchased by Lorillard.

Dragonite is issued new US patent (944)

Dragonite files for infringment of new patent against Blu.