Al Hassan Ghazi Ibrahim Shaker, LG Electronics, and the Ministry of Investment Saudi Arabia (MISA) Sign an MOU to Explore Local Manufacturing of AC Compressors in Saudi Arabia
| Element List | Explanation |
|---|---|
| Introduction | Al Hassan Ghazi Ibrahim Shaker Company (“Shaker”), Saudi Arabia’s leading importer, manufacturer and distributor of Air conditioners and Home Appliances, announces the signing of a non-binding memorandum of understanding with LG Electronics (“LG”) and the Ministry of Investment Saudi Arabia (“MISA”) to manufacture air conditioners (AC) compressors in the Kingdom. |
| Memorandum Signing Date | 2024-02-12 Corresponding to 1445-08-02 |
| Counterparty | LG Electronics, Ministry of Investment of Saudi Arabia |
| Memorandum Subject | Memorandum of understanding to study the localization of AC compressors manufacturing in the Kingdom between Shaker Group, LG, and MISA. |
| Memorandum Duration | One year from memorandum signing date. |
| Related Parties | None |
| Financial Impact | The financial impact of this announcement cannot be determined at this stage. The latest developments in this regard will be announced at the appropriate time. |
| Additional Information | This groundbreaking agreement is set to fortify the longstanding partnership between Shaker and LG, building upon their successful joint venture factory in Riyadh that has been producing AC units for the local and international markets since 2008.
This marks a significant leap towards localizing the production of the most technologically complex component of AC units - the compressor, which has never been manufactured in the Kingdom before. |
| Attached Documents |  |
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