IONIX TECHNOLOGY Stock Price, News & Analysis

Ionix Technology, Inc. (IINX) is a diversified company focused on expanding its presence and impact within the technology and logistics sectors. Recently, the company announced a definitive agreement to absorb Dalian Huagang Logistics Park Co., Ltd., a significant move that broadens IINX's operational capabilities and market reach.

The acquisition includes full control over Dalian Huagang and its subsidiary, Dalian Huagang Cross-Border E-Commerce Trade Co., Ltd., solidifying IINX's hold in the logistics sector. The logistics park spans 23,000 square meters, with 17,000 square meters dedicated to cold chain storage. This facility also provides spaces for logistics operations, office use, employee accommodations, and online broadcasting.

Initial investments in the park have reached USD 2 million, with an additional USD 1.65 million allocated for specialized refrigeration equipment, aiming for a trial run in June 2024. Following its launch, the park's cold storage capabilities and online sales channels are projected to generate annual revenues of USD 6.85 million and USD 13.7 million, respectively. The overall venture is expected to contribute approximately USD 7.8 million in annual net profits to IINX.

The driving force behind this strategic acquisition is Mr. Liu Yubao, a principal shareholder of IINX, who also serves as the legal representative and general manager of Dalian Huagang. Mr. Li Cheng, IINX's CEO, highlighted this development as a self-financed and self-developed project, emphasizing its potential positive impact on the company’s long-term growth and profitability.

As IINX continues to innovate and expand, this acquisition underscores its commitment to integrating advanced logistics solutions with e-commerce capabilities, thereby enhancing its operational efficiency and market competitiveness.