Bawan to build high-voltage transformers factory, first phase to cost SAR 80M

Bawan Co.’s board of directors approved, on Feb. 21, a project by United Transformers Electric Co. (Utec Saudi), a subsidiary, to set up a factory for manufacturing high-voltage transformers.

The first phase of the factory is estimated to cost SAR 80 million, the company said in a statement to Tadawul.

The project will be funded through the company’s own resources and bank facilities, with construction slated to start in the first half of 2025.

Trial production will start in the first quarter of 2027, which is anticipated to last around six months.

Commercial production is expected to begin in the fourth quarter of 2027. The project will positively impact the company's financial statements.

Bawan said no contract has been awarded yet, adding that key developments will be announced in due course.

This project is part of Bawan's strategy to diversify products and achieve leadership and innovation in the electrical industry sector.