SS Steel to spend Tk 20cr to expand
Listed steel product manufacturer SS Steel Ltd will invest Tk 20 crore to expand its business, according to a disclosure on the Dhaka Stock Exchange (DSE) website yesterday.
"Our investment is a continuous process," said Javed Opgenhaffen, chairman of SS Steel.
"The fund will be used to purchase land and capital machinery and build infrastructure," he added.
As per the disclosure, the company's board recommended a 2 per cent cash dividend for general shareholders and an 8 per cent stock dividend for all shareholders.
Earnings per share rose to Tk 2.31 in the 2020-21 financial year from Tk 1.55 a year before.
"SS Steel has already acquired Saleh Steel Industries and is now in the process of buying a major stake in Southeast Union Ceramic Industries," Opgenhaffen said, adding that a bank loan has been approved to this end.
In August 2020, the company declared its plans to acquire Saleh Steel with an investment of about Tk 158 crore in order to capture a larger portion of the overall steel industry.
In January this year, SS Steel took aim to expand its product base in the construction sector by acquiring a 75 per cent stake in Southeast Union Ceramic Industries for Tk 200 crore.
The company's stocks dropped 4.44 per cent to Tk 21.50 yesterday.
Comments