(Yicai Global) June 18 -- Yuhuan CNC Machine Tool’s stock price rose by the daily price ceiling this morning to a three-month high on a CNY222.14 million (USD31.48 million) order it penned with a Chinese unit of US manufacturing services provider Jabil on June 16. The firm also won a machine tool equipment order from this unit at April’s end.

Shares of Yuhuan CNC Machine Tool [SHE:002903] streaked up 10 percent to halt trading at CNY13.92 (USD1.97) at 9.30 a.m. at their highest point since mid-March.

The company, which is based in Changsha, the capital of China’s central Hunan province, will supply computer numeric control multi-station polishing machine equipment and after-sales services to the Chengdu unit of the world's largest electronic manufacturing services provider, Yuhuan CNC Machine Tool said in a statement late yesterday that omitted details as to quantities and delivery schedules.

The firm secured a CNY117 million product supply and services order for similar products from the unit Jabil Technology Chengdu, the CNC machine tools supplier said in a statement at the end of April. The firm has secured CNY350 million worth of supply and services contracts from the Chengdu unit thus far this year, per the June 16 statement.

The fulfillment of the contract will cement the company's core competitiveness in the grinding, cutting and polishing processing equipment that serves the production of computer, communication and consumer electronic products, and will favorably impact its operating income and profit this year, this month’s statement added.

Detroit, Michigan-based Jabil “delivers comprehensive design, manufacturing, supply chain and product management services,” according to its website.

Editor: Ben Armour