On Thursday, MingZhu Logistics Holdings Ltd. ( YGMZ ) experienced a surge in its stock price, trading above 40% in the pre-market on Thursday following a major contract announcement. Sinotrans Logistics Northwest Co., Ltd. has awarded a 1-year vehicle transport contract to MingZhu's subsidiary, Shanghai Feipeng Supply Chain Management Co., Ltd. ("Feipeng").

What Happened: At the time of writing, MingZhu was trading at $2.180 after it closed at $1.607 on Wednesday, according to Benzinga Pro.

According to a press release on Wednesday from MingZhu Logistics ( YGMZ ), Feipeng secured the contract from Sinotrans Logistics Northwest Co., Ltd., marking a significant achievement for the company. The 1-year agreement will see Feipeng providing extensive vehicle transport services, enhancing logistics efficiency across various regions in China.

Feipeng’s spokesperson remarked, “This contract underscores our dedication to high-quality logistics solutions. Partnering with Sinotrans Logistics Northwest Co., Ltd. will significantly streamline vehicle transportation.”

See Also: Apple To Open Its Tap-And-Go Payment System To Rivals, Settles EU Antitrust Probe

Why It Matters: This substantial contract win is pivotal for MingZhu Logistics ( YGMZ ), highlighting its expanding footprint in the logistics sector. The company’s stock has been performing well, reflecting robust investor confidence. In March, the company signed a non-binding letter of intent (LOI) to acquire driverless auto technologies and an intellectual property (IP) portfolio valued between $80 million and $90 million from Carbonomi Trust and CYF (BVI) Limited.

Read Next:

This Resort Town In California Launched US’ First Official Bitcoin Office After Taking Inspiration From El Salvador

Image via Shutterstock.

This story was generated using Benzinga Neuro and edited by Pooja Rajkumari