Dhaka, Bangladesh (BBN) – The United Power Generation & Distribution Company Limited has decided to acquire 99 percent stake of United Energy, a sister concern of the United Group.
United Power will acquire the said amount of shares at face value, according to a disclosure posted on the Dhaka Stock Exchange website on Wednesday.
United Energy is also a power generation company established under the Private Sector Power Generation Policy of Bangladesh.
The company is operating two power plants – 53 MW at Ashuganj and 28 MW at Sylhet.
United Energy also has equity (92.41 percent) investment in the United Ashuganj Energy Ltd. (UAEL), a company having generation capacity of 195 MW power (Gas Based) located at Ashuganj, Brahmanbaria-3402.
United Ashuganj Energy is a PPP (Public Private Partnership) project having a fixed term of 15 years from the date of commercial operation on May 08, 2015.
These are subject to necessary regulatory and contractual clearances, if any.
The company has also stated that this is in replacement of their earlier price sensitive information (PSI) news disseminated on June 28 this year.
Each share of the power generation company closed at BDT 298.60 on Tuesday at the Dhaka bourse.
Its share traded between BDT 149.70 and BDT 375 in the last one year.
United Power, which was listed on the Dhaka bourse in 2015 under book building method, disbursed 90 percent cash and 20 percent stock dividend for the year ended on June 30, 2018.
The company has also reported EPS of BDT 11.51, NAV per share of BDT 40.80 and NOCFPS of BDT 10.81 for the year ended on June 30, 2018 as against BDT 10.46, BDT 37.47 and BDT 10 respectively for the same period of the previous year.
In 2017, the company paid 90 percent cash and 10 percent stock dividend.
The company’s paid-up capital is BDT 4.79 billion, authorised capital is BDT 8.0 billion and the total number of securities is 479.08 million.
Sponsor-directors own 90 percent stake in the company while institutional investors 5.81 percent, foreign 0.12 percent and the general public 4.07 percent as on October 31, 2018.