(Yicai Global) Nov. 18 -- Smart meter producer Suntront Technology Co.[SHE:300259] said today that it will set up a joint venture focusing on the Internet of Things with a company affiliated to the municipal government of Yinchuan, the provincial seat of the Ningxia Hui Autonomous Region in northwest China. The joint venture will lead the smart upgrade of residential water and gas meters and help the city's energy administrator improve its management ability.
Based in the central province of Henan, the listed company said today it has signed a cooperative agreement with Yinchuan Emerging Industry Water Development Co. and Jiangsu Dachuan Internet of Things Technology Co. to jointly establish Yinchuan Suntront Internet of Things Technology Co. Suntront Technology will contribute CNY25.5 million(USD3.8 million)for a 51 percent stake in the joint venture.
The announcement did not disclose the size of potential earnings growth that the listed company may reap from the partnership.
Yinchuan Emerging Industry Water Development Co. is a wholly state-owned company affiliated to the State-owned Assets Supervision and Administration Commission of Yinchuan, and is responsible for helping with the smart upgrade of residential water and gas meters in Yinchuan.
The move will help local water and gas companies to put in place electronic, network-based and dynamic management and help promote Yinchuan's smart city construction.