China's Emerald Dairy has extended the terms of its offer to existing warrant holders to exercise their warranty to purchase shares.

The offer to exercise the warrants on amended terms was scheduled to expire on 19 December but has been extended by the company until 16 January 2009.

If all of the company's outstanding warrants to purchase around eight million shares are exercised according to the amended terms, Emerald Dairy should receive funds for around US$16.9m.

To date, three warrant holders have exercised their warrants for 180,000 shares under the amended terms. A number of others have indicated a desire to exercise, but have not provided all of the necessary documentation to do so, the company said in a statement on Friday (19 December).

The company expects to apply the proceeds from the exercise of warrants toward the cost of constructing a new production facility.