Sapphire Electronics partners with Samsung for local production

KARACHI: Sapphire Electronics (Pvt) Limited, a subsidiary of Reliance Cotton Spinning Mills Limited (RCML), has announced a significant partnership with Samsung Electronics, a global technology giant. This collaboration will see Sapphire Electronics manufacture, assemble and sell Samsung-branded electronic products and home appliances within Pakistan.

RCML disclosed this development in a notice to the Pakistan Stock Exchange (PSX) on Monday. The notice said, “Sapphire Electronics (Pvt) Limited, a wholly owned subsidiary of Reliance Cotton Spinning Mills Limited (RCML), has agreed with Samsung Electronics Co Ltd, Republic of Korea, and Samsung Gulf Electronics Co, FZE, United Arab Emirates, to manufacture and/or assemble Samsung branded electronic products and home appliances and sell such products and appliances in Pakistan.”

Following this announcement, RCML’s share price surged to Rs759, hitting the upper lock with a remarkable increase of Rs69 or 10 per cent. This surge reflects the market’s positive response to this strategic partnership.

This development marks a significant milestone in the local production of global consumer electronics within Pakistan. Samsung Electronics, a South Korean multinational giant, is a leading player in the global technology market, renowned for its innovative smartphones, home appliances, and other electronic devices.

This partnership follows a similar move by Lucky Motor Corporation (LMC) in 2021. LMC, a subsidiary of Lucky Cement Limited, entered into an agreement with Samsung Gulf Electronics Co, FZE to commence the production of Samsung-branded mobile devices in Pakistan. LMC had announced that the production facility for these devices would be located at its existing plant in the Bin Qasim Industrial Park, Special Economic Zone, Port Qasim, Karachi.