KUALA LUMPUR, Jan 24 — Switzerland-based electrical measurement company LEM is investing between CHF 5 million (RM21 million) and CHF 10 million to establish a new production plant in Penang in order to meet growing demand from its customers in the industrial and automotive sectors.
In a statement today, chief executive officer Frank Rehfeld said the new production plant in Malaysia would give the company more flexibility in the face of geopolitical events that could have an impact on its customers’ supply chain.
The new plant will complement LEM’s main existing production sites in China, Bulgaria and Switzerland.
Malaysia’s production site will be inaugurated during LEM’s 2021/2022 financial year and employ around 50 people in the first year to reach up to 250 employees at full capacity after five years.
Meanwhile, LEM is also investing CHF 10 million in a new global headquarters in Meyrin (Geneva).
However, the changing role of teams around the world has led to the loss of 21 workstations in Geneva.
The company said the employees involved will benefit from personalised support to help them in their reorientation and will result in a non-recurring charge of CHF 1.5 million on LEM’s results for the 2019/2020 financial year. — Bernama