(Yicai Global) Sept. 7 -- Shares in local service companies surged today after the Chinese government said that it will deepen co-operation in the modern service sector between the southern metropolis of Shenzhen and the neighboring Hong Kong Special Administration Region and increase the size of the co-operation zone eight-fold.

State-backed water engineering contractor Shenzhen Water Planning & Design Institute’s stock [SHE:301038] hit the exchange-imposed ceiling of 20 percent to reach CNY27.40 (USD4.20). IT service provider Shenzhen Forms Syntron Information [SHE:300468] closed up 9.4 percent at CNY18.15 (USD2.81) and Shenzhen Airport [SHE:000089] soared 7.93 percent to finish at CNY8.03.

The Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone will be opened up further and its size extended to 120.56 square kilometers from 14.92 sq km, Xinhua News Agency reported, citing a central government document released yesterday.

The Qianhai Cooperation Zone, set up in 2010, will advance the development of the modern service industry, accelerate the reform of mechanisms for sci-tech development, foster a world-class business environment and improve its governance model, Xinhua said. It focuses on six sectors including finance, logistics and information services.

Editor: Kim Taylor