Deshbandhu Polymar to float Tk 100m IPO by Oct
Sunday, 9 August 2009
Jasim Uddin Haroon
Deshbandhu Polymar Limited (DPL), a leading plastic bag manufacturer, said Saturday that it would float initial public offering (IPO) by October aiming to mobilise fund for expansion.
It will raise Tk 100 million through issuing a total of 10 million primary shares with a face value Tk 10 each, the company officials told the FE.
Company sources said it has already submitted application to the Securities and Exchange Commission (SEC) for permission to float the IPOs.
"We expect to float IPOs by October and the money to be realised will be spent on expansion of our existing plant," Md Golam Mustafa, chairman of the DPL, told the FE.
The DPL is located at Polash in Narsingdi and it mainly produces woven bags and other kinds of bags needed mainly in poultry feed plants, fertiliser factories, cement, food grains and chemicals factories.
DPL chairman said it wants to manufacture large size bags, which have potential export market. "Our foreign buyers want to import jumbo bags and we have planned to manufacture this kind of bag after realisation of money from public."
Such a bag usually has capacity of at least 500 kilogrammes of goods.
DPL chairman said it will repay bank loans as well from the money to be realised through IPOs.
DPL is now producing different kinds of bags and its major customers in the country are Bangladesh Chemical Industries Corporation, Kafco, Kazi Farms.
Currently, Sinobangla, National Polymar and Miracle Industries, who are involved in production of such bags, are listed on the country's bourses.
Local plastic bag factories manufacture bag using imported raw materials like thermo plastic moulding compound in primary form, a petroleum product, from Singapore, India, Middle East countries and others.
DPL, which is the third largest plastic bag manufacturer in the country, said it is currently producing 55,000 pieces of bag a day.
Deshbandhu Polymar Limited (DPL), a leading plastic bag manufacturer, said Saturday that it would float initial public offering (IPO) by October aiming to mobilise fund for expansion.
It will raise Tk 100 million through issuing a total of 10 million primary shares with a face value Tk 10 each, the company officials told the FE.
Company sources said it has already submitted application to the Securities and Exchange Commission (SEC) for permission to float the IPOs.
"We expect to float IPOs by October and the money to be realised will be spent on expansion of our existing plant," Md Golam Mustafa, chairman of the DPL, told the FE.
The DPL is located at Polash in Narsingdi and it mainly produces woven bags and other kinds of bags needed mainly in poultry feed plants, fertiliser factories, cement, food grains and chemicals factories.
DPL chairman said it wants to manufacture large size bags, which have potential export market. "Our foreign buyers want to import jumbo bags and we have planned to manufacture this kind of bag after realisation of money from public."
Such a bag usually has capacity of at least 500 kilogrammes of goods.
DPL chairman said it will repay bank loans as well from the money to be realised through IPOs.
DPL is now producing different kinds of bags and its major customers in the country are Bangladesh Chemical Industries Corporation, Kafco, Kazi Farms.
Currently, Sinobangla, National Polymar and Miracle Industries, who are involved in production of such bags, are listed on the country's bourses.
Local plastic bag factories manufacture bag using imported raw materials like thermo plastic moulding compound in primary form, a petroleum product, from Singapore, India, Middle East countries and others.
DPL, which is the third largest plastic bag manufacturer in the country, said it is currently producing 55,000 pieces of bag a day.