(Yicai Global) Aug. 19 -- A subsidiary of Zhejiang Goldcard High-Tech Co. [SHE:300349], developer of intelligent gas meters, is to set up a joint venture with gas supplier Guangzhou Suiran Technology Applications Co. to manufacture gas meters based on the Internet of things.
Investment in the joint venture is CNY20 million (USD3 million). Goldcard High-Tech subsidiary Zhejiang Jinguang Gas Technology Co. will invest CNY9.8 million to hold a 49 percent stake.
The joint venture will have an initial annual production capacity of 300,000 units. Suiran Technology, a subsidiary of Guangdong province leading gas supplier Guangzhou Gas Group. Co., must procure all its smart gas meters from the joint venture. The purchase quantity for the first year has been provisionally set at 150,000 units, with the purchase price still to be determined.
The Internet of things is the network of physical objects that connects devices and vehicles using electronic sensors and the Internet.