(Yicai Global) Aug. 24 -- Shanghai Cooltech Power Co. (SHE:300153) will acquire a 20 percent stake in new-energy cell developer Shanghai Jinghong New Energy Technology Co. for USD7.7 million (CNY51.25 million) to shift its key business to the new energy vehicle (NEV) field.

Cooltech has contracted with Jinghong New Energy and its shareholders regarding this capital injection.

Jinghong New Energy's power systems mainly find use in urban logistics vehicles, which accords with Cooltech's NEV business positioning, it announced.

Jinghong New Energy has completed development of main logistics vehicles, which the government has included in the list of recommended NEVs and tax-free purchase vehicles it issued.

The two parties will collaborate in customized development of battery-operated electric logistics vehicles based on capital cooperation.

The capital increase will allow Cooltech to further expand into two platforms of the NEV sector to gain the edge in core manufacturing and the end-user market.