Pay88 Inc, a rapidly growing digital technology company in China, announced yesterday that it has agreed to act as a distributor for Alibaba.com Ltd<1688> in Chongqing and in the southwestern regions of China where Pay88 has already established a network of users.

Pay88 will act as a distributor for Alibaba via wholly-owned subsidiary Qianbao Technology, the company said in a statement.

The company's diverse distribution channels and strong presence in Chongqing and Southwest China offer a unique opportunity to utilize the strengths of both companies, Guo Fan, chairman and president of Pay88, said in the statement.

Alibaba is the world's largest marketplace for global trade and the leader in business-to-business e-commerce. It has more than 42 million registered users from more than 240 countries and regions. The company has a market capitalization of more than US$64 billion and reported earnings of RMB 3 billion for 2008, an increase of 39% over 2007.

Pay88 is the leading seller of pre-paid online game cards in China, and earned over US$19.7 million in revenue in 2008, 134.8% more than in the same period of 2008.