Power management company Eaton (NYSE: ETN) has formed a joint venture with a Saudi Arabian company to produce and service low- and medium-voltage switchgear in the Middle East.
The joint venture with Abunayyan Holding will do business as Eaton Arabia. It will have locations in Dammam, Saudi Arabia, and Dubai, United Arab Emirates, Eaton said in a news release issued Wednesday morning, Feb. 19.
Eaton and Abunayyan each will own 50% of the joint venture. Abunayyan will consolidate the joint venture’s results.
Abunayyan, through its subsidiaries, engages in trading, manufacturing, servicing and investing in water, oil, gas and power markets in Saudi Arabia and the Gulf countries. It’s headquartered in Riyadh, Saudi Arabia, and employs about 4,500 people in subsidiaries in Saudi Arabia, the Middle East and Africa.
Tim Darkes, Eaton’s president, Europe, Middle East and Africa Region, Corporate and Electrical Sector, said in a statement that Abunayyan’s “strong presence in the Kingdom of Saudi Arabia, combined with Eaton’s global scale and access to the broader Middle East, will strengthen our offerings to customers in the region.”
Eaton is based in Dublin, Ireland, but has its North American headquarters in Beachwood. It posted revenues of $21.4 billion in 2019 and has about 101,000 employees worldwide.