Huami Corp., a Beijing-based biometrics company, is partnering with Timex Group to develop smart wearables featuring its AI-based technology, including contactless payments.

The companies plan to collaborate on expanding smart wearables technology into a number of different categories, including fitness, sports, healthcare, weight management and other areas, according to a press release.

Huami, the long established technology partner with smartphone and smart wearable maker Xiaomi, said the Timex deal will help the company expand into the U.S. and other major markets.

"Together we will work to develop business models to promote, market and distribute smart watches to our combined company base, and expect to leverage each company's distribution strengths across the global market while benefiting from established offline and online channels," Wang Huang, chairman and CEO of Huami, said in the release.

Tobias Reiss-Schmidt, president and CEO of Timex, said the companies plan to disrupt the smartwatch category.

"We bring world class product development and manufacturing capabilities in our respective fields and poised to create new products and services that provide users of smart wearables convenient access to valuable data and beneficial connections to the world around them," he said in the release.