Loads Limited signs non-binding MoU with China’s Xinhuida to explore copper sector opportunities

Loads Limited has signed a non-binding Memorandum of Understanding (MoU) with Anhui Xinhuida New Material Technology Co., Ltd. to explore cooperation in Pakistan’s copper sector and international markets, the company said in a notice to the Pakistan Stock Exchange on Monday.

Anhui Xinhuida New Material Technology Co., Ltd. is incorporated in the People’s Republic of China and is engaged in the recycling, processing, manufacturing and trading of copper, advanced copper materials and technology-intensive industrial products.

Load said in its notice that Xinhuida operates an integrated platform covering recycled copper rods, copper processing, copper products, power and communication cables, electric vehicle wiring systems, digital energy harnesses, photovoltaic connectors, semiconductor-related components and other copper-based products.

The company said the MoU provides a framework for both companies to explore potential cooperation in copper trading, processing, manufacturing, exports, strategic investment, technology transfer, supply chain integration and related commercial opportunities.

Under the MOU, the parties initially intend to pursue copper trading and supply chain opportunities while evaluating a potential joint venture in Pakistan.

The proposed joint venture may focus on investment in copper, advanced copper materials, value-added products and technology-intensive industrial businesses.

The companies may also jointly assess possible acquisition opportunities in Pakistan’s copper manufacturing sector as a platform for expansion and export-oriented growth.

The cooperation may further include the establishment of new manufacturing facilities, technology transfer, development of export-oriented operations and introduction of advanced copper materials, components, wiring solutions and energy infrastructure products for domestic and international markets.

Loads said all proposed arrangements, including any joint venture or acquisition, remain subject to due diligence, negotiation of definitive agreements and all required corporate and regulatory approvals.

The company clarified that the MoU does not create any binding obligation on either party, except customary confidentiality undertakings.

Loads advised shareholders and investors that discussions are at a preliminary stage and there is no assurance that any transaction will materialise.

The company said it would keep the Pakistan Stock Exchange and shareholders informed of any material developments in line with applicable laws and disclosure requirements.