BBS Cables Ltd has planned to increase 37 per cent production capacity as it imported capital machineries by utilizing IPO proceeds.
The cable manufacturer raised Tk 200 million from the public by issuing 20 million ordinary shares using the fixed price method in May 2017 for acquisition of plant and machinery, partial repayment of bank loans and IPO expenses.
The company is planning to start the commercial production from the new machineries from January 12, 2019, said a disclosure posted on the Dhaka Stock Exchange (DSE) website on Wednesday.
The current installed annual production capacity of the company is 16,600 MT as on June 30, 2018 as a result of installing the new machineries, the annual production will increase by 37 per cent (6,100 MT) that will stand up to 22,700 MT (approx.) annually, the value of which is about Tk 12 billion approximately, said the disclosure.
Each share of the company, which was listed on the DSE in 2017, closed at Tk 106.90 on Tuesday.
In the last one year, the company’s share price hovered between Tk 70.10 and Tk 139.20 each.
The company’s paid-up capital is Tk 1.38 billion and authorised capital is Tk 3.0 billion, while the total number of securities is 138 million.
The sponsor-directors own 33.33 per cent stake in the company, while institutional investors own 11.96 per cent, foreign investors 1.02 per cent and the general public 53.69 per cent as on November 30, 2018, the DSE data shows.
The company approved 10 per cent cash and 15 per cent stock dividend for the year ended on June 30, 2018.
Its earnings per share (EPS) rose to Tk 3.06 for July-September 2018 as against Tk 1.57 for July-September 2017.
© 2017 - All Rights with The Financial Express