Pakistani textile firm Sapphire Fibres establishes UAE arm, to invest $200,000
Sapphire Fibres Limited (SFL) has established a new subsidiary in the UAE with a $200,000 investment to expand its global footprint and explore international business opportunities.
- SFL's strategic global expansion initiatives.
- Significant investments in US market and power sector.
- Amalgamation plans with Reliance Cotton Spinning Mills.
Sapphire Fibres Limited (SFL), a Pakistani textile manufacturer, has set up a new subsidiary in the United Arab Emirates (UAE) to expand its international presence and support overseas business.
The listed yarn manufacturer disclosed the development in a notice to the bourse on Wednesday.
“Sapphire Fibres Limited has established a wholly owned subsidiary under the name ‘Saphir Holding L.L.C-FZ’ in the United Arab Emirates (UAE),” read the notice, adding that the company has completed all requisite legal and regulatory formalities in this regard.
“Subsequent to the incorporation, the company is in the process of remitting an amount of $200,000 as equity investment in the said subsidiary,” it said.
Sapphire Fibres shared that the establishment of this entity is part of its strategic initiative to explore international business opportunities and expand its global footprint.
SFL was incorporated in Pakistan in 1979 as a public limited company. The company’s principal activity is the manufacturing and sale of yarn, fabric, and garments. It operates three production plants, two located in Sheikhupura and one in Lahore.
In recent years, the company has been actively expanding and diversifying its business portfolio beyond traditional textile manufacturing.
Last year, SFL acquired 50% shares each in UCH Power (Private) Limited, a 586MW gas-based power plant, and UCH-II Power (Private) Limited, a 404 MW gas-based power plant, both located in Dera Murad Jamali, Balochistan.
Moreover, the company also announced to invest an additional $2.5 million as equity in its wholly-owned US subsidiary, Sapphire USA, LLC, following an earlier $5 million investment in March 2025.
This aims to strengthen its presence in the US market and enhance profitability through improved market access, it said back then.
Last year in September, SFL’s Board of Directors approved a scheme for the amalgamation of Reliance Cotton Spinning Mills Limited (RCSML), an associated company, with and into SFL.
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