(Yicai Global) April 19 -- Shares of Sokon Industry Group surged to a more than two-year high after Yicai Global's sister publication reported that the smart home brand of Huawei Technologies will team up with the former to sell its new energy vehicle model Seres.

Sokon's stock price [SHA: 601127] jumped by the daily limit of 10 percent to CNY31.90 (USD4.90) today, the highest since August 2018.

Some Huawei Zhixuan outlets will sell Sokon's auto products across the country in the near future, a source close to senior executives at Sokon exclusively told Yicai yesterday.

The Shenzhen-based handset maker has been rumored to be considering selling cars since March. On April 12, Rotating Chairman Xu Zhijun said that the firm is teaming up with three automakers, including BAIC Group, to roll out smart vehicles equipped with Huawei's software in the fourth quarter.

Huawei has not commented on the report about its deepening ties with Sokos. The tech giant remains silent because the cooperation is still in progress, and Huawei does not want it to affect the capital market before an official announcement, according to insiders.

The pair has penned some deals before. On March 9, Huawei Device and the Chongqing-based auto manufacturer inked a memorandum of understanding to discuss NEV cooperation.

Moreover, in early 2019, Sokon and Huawei agreed to team up on industrial internet, information and communications technology infrastructure, smart NEVs, and network connectivity.

Editor: Emmi Laine, Xiao Yi