Confidence Cement to invest in power, cement plant

The board of directors of Confidence Cement Limited has agreed to invest in the new Power Plant Projects located at Bogra, Rangpur and Chittagong, said an official disclosure on Wednesday.

The power plants, under Confidence Power Holdings Limited, will produce be 339.54 MW electricity.

The Bogra power plants will be 226 MW, Rangpur 113 MW and Chittagong 54.363 MW, according to the disclosure posted on the Dhaka Stock Exchange (DSE) website.

Confidence Cement has 41 per cent shareholding in Confidence Power Holdings.

The Power Purchase Agreement (PPA) between Confidence Power Holdings with Bangladesh Power Development Board and Implementation Agreement (IA) between Confidence Power Holdings Limited with Power Division, Ministry of Power, Energy & Mineral Resources have been completed for 2 power plant projects located at Bogra (113 MW) and Rangpur (113 MW) respectively.

Besides these, for 2 other aforementioned projects, letter of Intent (LOI) has been received by Confidence Power Holdings from Bangladesh Power Development.

The board of directors has also decided to invest in another Cement Plant with a capacity of 5,000 MT per day named as Confidence Cement Dhaka Limited located at Narshingdi, the disclosure said.

Confidence Cement Limited will have 50 per cent shareholding in Confidence Cement Dhaka Limited.

Each share of the Confidence Cement, which was listed on the Dhaka bourse in 1995, closed at Tk 154.40 on Tuesday at Dhaka Stock Exchange (DSE).

The company’s paid-up capital is Tk 539.92 million and authorised capital is Tk 1.0 billion, while the total number of securities is 53.99 million.

The sponsor-directors own 30 per cent stake in company, while institutional investors own 34.13 per cent, foreign 0.05 per cent and the general public 35.92 per cent as on December 28, 2017, the DSE data shows.

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