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Logo of Bawan Co.
Bawan Co. announced that its subsidiary, United Transformers Electric Co. (UTEC), signed today, June 13, a license contract with Schneider Electric, the global leader of energy solutions and sustainability, to manufacture low-voltage switchgears.
In a statement to Tadawul, the company said the contract is effective for four years and may be renewed upon the approval of both parties.
The deal does not have any related parties, the company said, noting that the relevant financial impact is expected to appear in Q2 2024.
In two separate statements, Bawan said UTEC also signed two memorandums of understanding (MoUs) with Schneider Electric. The first is to manufacture data centers. It is effective for one year and may be renewed automatically for another one year. The relevant financial impact is expected to be reflected in Q4 2024.
The second MoU is to manufacture medium-voltage switchgears. It is effective for one year and may be renewed automatically for another one year. The relevant financial impact is expected to be reflected in Q2 2024.
The agreements reflect the continued cooperation between both parties in boosting the local content of electrical products manufacturing, as well as UTEC's long-term strategy to provide customers with complete innovative solutions.
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