Riyadh – Mubasher: Electrical Industries Company (EIC) signed an agreement to purchase the assets of CG Power Belgium, a company under liquidation, for EUR 5 million (SAR 22.7 million), according to a bourse filing on Sunday.

The assets include machinery, equipment, inventory, as well as software for designing transformers and mobile substation, besides knowhow and technical design.

The assets purchase agreement will be funded from EIC's own resources and available facilities from banks.

EIC is also in the final process of establishing PAUWELS Transformers Co. in Belgium, with the purchased assets to be transferred to the new entity to start operating the transformers factory in Belgium.

The Saudi company expected the financial impact of the transaction to reflect on EIC's income statements during 2022.

EIC turned profitable last year with net earnings of SAR 23.923 million, against losses worth SAR 40.193 million in 2019.