Aramit to diversify business to aluminium composite panels, power sectors
Sunday, 23 May 2010
FE Report
Aramit Ltd, a leading listed company engaged in manufacturing and marketing of asbestos cement products is going to diversify its business areas.
"As part of our new diversification strategy, we are going to invest more in power, aluminium composite panels and other areas of business," a top source of the company told the FE Saturday.
Aramit Ltd has already decided to make equity investment worth Tk 20.69 million, 45 per cent of the company's paid-up capital as sponsor shareholder in 'Aramit Alu Composite Panels Ltd'.
The aluminium panel board project is first of its kind in the country.
According to company insiders, setting-up of a big coal-based power plant is in the offing and a 50-bigha land to be bought adjacent to the existing location.
An associated company titled ' Aramit Power Ltd' is already in operation under the banner of Aramit Group.
The other enterprises of the Chittagong-based conglomerate are Aramit Cement, Aramit Thai Aluminium, Aramit SS Pipe Ltd and Aramit Footwear Ltd.
The authorized capital of Aramit Alu Composite Panels Ltd, the new venture of Aramit Ltd is Tk 250 million and the initial paid-up capital is Tk 46.2 million while the total project cost is Tk 80 million.
The proposed venture will produce aluminium panel board from imported aluminium coil, low density polyethylene, adhesive film and protected film.
The attainable capacity of the new project will be 6 million square feet per year.
"According to our market survey, the demand for aluminium panel boards is about 4 million square feet and the annual growth rate is 25 per cent," the Aramit source pointed out.
Since the housing and infrastructure sector is witnessing a phenomenal growth, the new Aramit venture will be a profitable entity, market insiders forecast.
At present, Bangladesh has to import the products to meet the local demand.
The company is going to hold its annual general meeting on June 26 next and the board of directors has already recommended 50 per cent stock and 15 per cent cash dividends for the shareholders for the year ended December 31, 2009.
According to the latest annual report, the company's earning per share rose to Tk 20.70 in 2009 against Tk 17.72 of 2008 and Tk 14.10 of 2007.
The company's face value is Tk 10.
The company's pre-tax profit and net profit rose by 15.52 per cent and 16.81 per cent respectively in the year ended December 31, 2009.
Aramit Ltd, a leading listed company engaged in manufacturing and marketing of asbestos cement products is going to diversify its business areas.
"As part of our new diversification strategy, we are going to invest more in power, aluminium composite panels and other areas of business," a top source of the company told the FE Saturday.
Aramit Ltd has already decided to make equity investment worth Tk 20.69 million, 45 per cent of the company's paid-up capital as sponsor shareholder in 'Aramit Alu Composite Panels Ltd'.
The aluminium panel board project is first of its kind in the country.
According to company insiders, setting-up of a big coal-based power plant is in the offing and a 50-bigha land to be bought adjacent to the existing location.
An associated company titled ' Aramit Power Ltd' is already in operation under the banner of Aramit Group.
The other enterprises of the Chittagong-based conglomerate are Aramit Cement, Aramit Thai Aluminium, Aramit SS Pipe Ltd and Aramit Footwear Ltd.
The authorized capital of Aramit Alu Composite Panels Ltd, the new venture of Aramit Ltd is Tk 250 million and the initial paid-up capital is Tk 46.2 million while the total project cost is Tk 80 million.
The proposed venture will produce aluminium panel board from imported aluminium coil, low density polyethylene, adhesive film and protected film.
The attainable capacity of the new project will be 6 million square feet per year.
"According to our market survey, the demand for aluminium panel boards is about 4 million square feet and the annual growth rate is 25 per cent," the Aramit source pointed out.
Since the housing and infrastructure sector is witnessing a phenomenal growth, the new Aramit venture will be a profitable entity, market insiders forecast.
At present, Bangladesh has to import the products to meet the local demand.
The company is going to hold its annual general meeting on June 26 next and the board of directors has already recommended 50 per cent stock and 15 per cent cash dividends for the shareholders for the year ended December 31, 2009.
According to the latest annual report, the company's earning per share rose to Tk 20.70 in 2009 against Tk 17.72 of 2008 and Tk 14.10 of 2007.
The company's face value is Tk 10.
The company's pre-tax profit and net profit rose by 15.52 per cent and 16.81 per cent respectively in the year ended December 31, 2009.