January 27, 2010 (FinancialWire) — Universal Travel Group (NYSE: UTA), a travel services provider in China, said that it has entered into a letter of intent to acquire Zhengzhou Yulongkang Travel Service Co. for RMB 39 million (approximately $5.7 million), 90% of which to be paid in cash and 10% of the purchase consideration in shares of the company’s common stock.

The purchase consideration may be subject to adjustment after the completion of acquisition audit on Zhengzhou Yulongkang by Universal.

Zhengzhou Yulongkang was founded in 2000, and has a team of tour guides that take tourists on more than ten proprietary regional routes and points of interest.

Universal said that the company’s unaudited 2009 revenue and net income will be about $10.5 million and $0.86 million, respectively.

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