Vietnam Electrical Equipment Joint Stock Corporation (Gelex) has announced its plan to purchase 21.3 million shares of South Logistics Joint Stock Company (Sotrans).

The shares are equal to 24.93 per cent of Sotrans’s charter capital.

The purchase is due from December 15, 2016 to January 14, 2017.

Previously, in its annual general meeting this August, Gelex declared it was expanding its manufacturing operations into the field of logistics business by acquiring stake in Sotran.

Besides, Gelex is also expected to further invest VND812 billion into logistics.

To implement this investment plan, Gelex is scheduled to release 77.25 million shares at VND18,000 per share to mobilise over VND1.39 trillion and increase charter capital from VND1.55 trillion to VND2.322 trillion.

Gelex was originally established in 1995 with initial charter capital of VND177 billion. The company operates in the electrical engineering industry. Its main products are electrical equipment, electrical cables and power metres. — VNS