Universal Travel Group has completed the acquisition of Shenzhen Speedy Dragon Enterprise Ltd. for $4 million in cash and stock, the Los Angeles-based travel company said Tuesday.

Universal Travel, which specializes in booking travel to and from China, said the deal includes the issuance of 714,285 shares of stock, valued at $1 million.

Shenzhen Speedy Dragon Enterprise Ltd., based in Pearl River Delta, China, is a cargo logistics company providing railway and express delivery services that also operates as an international freight forwarding agency for the General Administration of Civil Aviation of China. The company had 2006 revenues of $9.7 million.

Universal Travel said the move is a move to strengthen the company’s position in commercial air cargo transportation services and will allow the company to expand its services from passenger to cargo transportation.

Shares in Universal Travel were up 4 percent, or 7 cents, to $1.80 in afternoon trading Tuesday on the OTC Bulletin Board.