Leader Universal's Saudi JV called off

KUALA LUMPUR: LEADER UNIVERSAL HOLDINGS BHD’s joint venture (JV) plan to supply cable and cable related equipment in Saudi Arabia has been called off by mutual agreement with its JV partners.

It said on Tuesday, March 22 that its unit Leader Universal (Labuan) Ltd (LULL) had entered into a termination agreement with Al-Ghazalah Development Co (Al-Ghazalah) and Suasana Daya Sdn Bhd (Suasana) to call of the joint venture.

The parties had on July 8, 2009 entered into an agreement to set up the JV for the purposes of selling and supplying of cables and cable related accessories and equipment with customers in Saudi Arabia, as well installation of cables and turnkey projects and supply and/or CONSTRUCTION of power transmission, distribution, substation and related projects in that country.

LULL was to hold 51% of the JV, while Al-Ghazalah was to have 30% and Suasana 19%.

Leader said that due to a change of plans, the parties had agreed not to pursue with the formation of the JV.

“However, the parties would continue to jointly explore business opportunities in Saudi Arabia,” it said