(Yicai Global) April 2 -- Aotecar New Energy Technology will supply electric air-conditioning compressors for three new models of electric vehicles of the Beijing New Energy Automobile unit under state-backed BAIC Group starting in October, it announced yesterday.

This is expected to add about CNY100 million (USD14 million) to the company's sales revenue each year, per the announcement. Projection of this annual CNY100 million sales revenue rise rests on the preliminary estimated supply volume, price and supply progress, the announcement added, but without going into specifics.

Aotecar's wholly-owned Nanjing Aotecar New Energy Technology unit received a notice from Beijing New Energy Automobile yesterday confirming the supply details, per the announcement.

Nanjing, Jiangsu province-based Aotecar shares [SHE:002239] closed up 1.05 percent at CNY3.86 (54 US cents) at noon.

The deal shows the subsidiary's air-conditioning compressor products have won recognition from mainstream new energy vehicle makers in China and will boost the product's market development capabilities, the announcement added.

Aotecar's main products are auto air-conditioning compressors, automotive air-conditioning systems and related technical services. The company will also provide heat pump air-conditioning systems and accessories for a well-known US electric car producer, it announced last week. It anticipates this deal will boost its annual sales income to CNY300 million. The firm is also a designated supplier to PSA Group's Brazilian subsidiary, Peugeot Citroën do Brasil and Volkswagen India.

Editor: Ben Armour