BSC gets first of six new vessels

The company's share price falls despite the news


FE Report | Published: July 31, 2018 10:36:49 | Updated: August 01, 2018 11:20:42


Bangladesh Shipping Corporation (BSC), a listed company, has received the first of six new vessels from China and added in its fleet.

The China-built first ship, M.V. Banglar Joyjatra, has already been handed over by the New Yang G Shipyard Authority of China, according to a disclosure posted on the Dhaka Stock Exchange (DSE) website on Monday.

"The ship has started journey towards Bangladesh with cargos after engaging in trades from different ports," it said.

Moreover, the remaining five ships will be added in the fleet of Bangladesh Shipping Corporation phase by phase within February 2019, said the disclosure.

The rest five -- Banglar Samriddhi, Banglar Arjan, Banglar Agrajatra, Banglar Agradoot and Banglar Agragoti- are set to be delivered on August 25, December 18, November 02, December 18 this year and February 14 next year.

Of the six vessels, three are oil tankers and the rest freighters. Each of the vessels is of 39,000 deadweight tonnage (DWT).

The total cost of the vessels is more than Tk 18.43 billion. Of the total cost, China would provide Tk 14.48 billion in loans and the BSC would bear the remaining expenses.

A BSC official expressed the hope of saving a huge amount of foreign currency once all six ships will add in the BSC fleet.

The process of purchasing the ships began in September 2011 when China National Machinery Import and Export Corporation (CMC) proposed to provide the BSC with financial assistance from the Chinese government.

A Memorandum of Understanding (MoU) was signed between BSC and CMC on June 15, 2012.

The stare-run BSC, which was listed on the Dhaka bourse in 1977, disbursed 10 per cent cash dividend for the year ended on June 30, 2017.

Despite the news, the company's share price fell 0.47 per cent to close at Tk 42 on Monday.

In nine months for July, 2017 to March, 2018, the company's earnings per share (EPS) stood at Tk 1.07 as against Tk 0.78 for July, 2016 to March, 2017.

The net asset value (NAV) per share was Tk 53.77 as on March 31, 2018 and Tk 52.70 as on June 30, 2017.

The net operating cash flow per share (NOCFPS) was Tk 0.15 for July, 2017 to March, 2018 as against Tk 1.44 for July, 2016 to March, 2017.

The company's paid-up capital is Tk 1.52 billion and authorised capital is Tk 10 billion while the total number of securities is 152.53 million.

The government owns 52.10 per cent in the BSC while the institutional investors own 21.10 per cent and the general public 26.80 per cent as on May 31, 2018, the DSE data shows.

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