National Polymer eyes $3.8m expansion
National Polymer Industries plans to expand its existing production capacity with a foreign credit of $3.8 million.
“The expansion will be financed by Standard Chartered Bank with a foreign loan facility of $3.8 million (around Tk 30 crore),” the company said on the Dhaka Stock Exchange website yesterday.
Bangladesh Investment Development Authority gave its approval to the foreign credit facility on March 8, the web posting added. National Polymer produces PVC pipes and fittings, doors, sheets, plastic products and furniture.
The expansion will increase the production capacity of National Polymer from an existing 19,708 tonnes to 29,562 tonnes.
The company will also import machinery to manufacture 24-inch-diameter PVC pipes, sheets, doors, thread tape and plastic household products. “It is expected that production will start from August 1, after the installation of the new machinery,” the company said.
National Polymer was listed on the stockmarket in 1993. Its net profit stood at Tk 4.98 crore at the end of June 2016 and earnings per share were Tk 2.87, rising from Tk 4.59 crore and Tk 2.7 respectively in the previous year.
Each share of the company traded between Tk 97.5 and Tk 101 before closing at Tk 97.9 on the premier bourse yesterday.
Sponsors hold a 52.4 percent stake in National Polymer, while institutional investors own 8.75 percent and retail investors 38.85 percent.
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