(Yicai Global) June 10 -- Chinese Wolong Electric's stock price rallied today after announcing a new CNY2.3 billion (USD327 million) deal, under which it will provide ZF Friedrichshafen, one of the world's largest car part suppliers, with new energy vehicle motors.

Wolong's share price [SHA: 600580] rose 4.1 percent to close at CNY9.55 (USD1.40).

The pair penned a contract that will last from 2020 to 2026, the Zhejiang province-based firm said in a statement. The deal will boost Wolong's future performance, it added. 

ZF was founded in 1915 in southern Germany and it makes transmission and chassis systems for car firms in its 230 production sites in 40 countries.

Established in 1998, Wolong increased its operating income 21 percent to CNY3 billion in the first quarter of this year. Its net profit attributable to shareholders more than tripled to CNY230 million (USD33.2 million).

Editor: Emmi Laine