(Yicai Global) April 17 -- Shares of Sojo Electric advanced by the daily trading limit after the power grid equipment supplier said Chinese internet giant Alibaba Group Holding will provide it with technical services that include cloud computing.

Sojo Electric signed a cooperation framework agreement with Alibaba Cloud yesterday, the Beijing-based company said this afternoon. Its stock price [SHE:300444] jumped 10 percent to CNY10.30 (USD1.54) when trading resumed after the lunch break and ended the day at that level.

The collaboration will enhance Sojo Electric's leading position in the smart grid device market and help it use energy more efficiently while boosting the firm's production efficiency through improved service and manufacturing capabilities, the statement said.

Both sides plan joint projects, including Alibaba Cloud offering platform services for the industrial Internet of Things to Sojo Electric's second headquarters and production base in Anhui province. That will enable digitized management from production to sales and create a replicable smart manufacturing park.

Alibaba will also help the firm achieve remote operations and maintenance of its power distribution products relying on IOT and cutting-edge computing technologies to reduce related costs.

Sojo Electric decided to build a second headquarters in Anhui's Changfeng county and inked an agreement with the local government in November. With an estimated investment of CNY2.5 billion (USD373.8 million), the new facility is a research, development and production base for power equipment used in smart grids.