Dhaka, Bangladesh(BBN)-Zaheen Spinning Ltd, a Narayangonj based cotton yarn manufacturer, has decided to increase their production capacities by installing new spindles, officials said.
“The Board of Directors have already opened three L/Cs on June 17, 2015 to import a set of Capital Machineries valuing Tk 158.50 million (approx) for installing 15,480 spindles,” said a web post on the Dhaka Stock Exchange (DSE) on Monday.
“After successful installation of Machineries, the company’s production capacity will increase 4,240 Kg (approx) yarn per day and their expected net profit after tax will go up by Tk 40 million (55.55 per cent expected),” said the DSE web post.
Following the news, the company’s share rose 3.14 percent to close at Tk 22.9 on Monday despite the overall market fell marginally.
Zaheen Spinning, the textile sector listed company, made trading debut on the bourses – Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) on March 25, this year under ‘N’ category.
Using the fixed price method, the company floated 12 million ordinary shares of Tk 10 each and raised a fund worth Tk 120 million from the public.
Of the total shares – sponsor-directors held by 44.39 per cent, institutional investors held 38.94 per cent while public held by 16.67 per cent, according to DSE web site information.
Meanwhile, the Board of Directors of the company has recommended 15 per cent stock dividend for the year ended on December 31, 2014.
The final approval will come from the annual general meeting (AGM) scheduled to be held today (Tuesday) at 10:00am at the Sughandha Community Centre, Plot 75/A, Road 5/A, Sat Masjid Road, Dhanmondi, Dhaka-1209.
The company has also reported consolidated Net Profit after tax of Tk 88.55 million, consolidated EPS of Tk 1.36, consolidated NAV per share of Tk 12.98 and consolidated NOCFPS of Tk (0.74) for the year ended on December 31, 2014.
BBN/BB/SK