(Yicai) May 7 -- Shares of Longhorn Auto rose after the Chinese vehicle electronics equipment producer said it secured an order of intent from a leading new energy vehicle manufacturer that will likely bring revenues of around CNY619 million (USD85.8 million).

Longhorn Auto [SHE: 301488] jumped 2.5 percent to CNY63.85 (USD8.85) a share as of 11.20 a.m. in Shenzhen today, after earlier soaring by as much as 6.9 percent.

Longhorn Auto received the fixed-point supply letter for AK2 radars, panoramic camera systems, and driving recorder systems, the Shenzhen-based company announced yesterday. The supply project has a life cycle of three to six years, with mass production expected to start in August, it added.

A fixed-point supply letter is a written notice usually sent to a supplier to specify a project's requirements and delivery details. However, it is not an order, as it only indicates that the customer intends to cooperate with the supplier, with the sales income subject to the actual order.

The customer is an important strategic partner of Longhorn Auto, with good business operations and strong capabilities to fulfill obligations, it said, without naming the automaker due to confidentiality.

The letter shows the client's recognition of Longhorn Auto's project research and development, manufacturing, and quality management and its comprehensive strength in intelligent driving perception systems, the firm noted. It is conducive to increasing the company's market share and popularity and is significant for its layout in the smart driving market, it added.

Established in 1995, Longhorn Auto is a high-tech company focusing on the R&D, design, manufacturing, and sales of automotive intelligent driving perception systems. Its products include cameras, parking sensors, driving recorders, and head-up displays.

Editor: Martin Kadiev