SS Steel to invest Tk 184 crore in Al-Falah Steel

SS Steel to invest Tk 184 crore in Al-Falah Steel

SS Steel, a Chattogram-based listed steel manufacturer, is going to invest Tk 184 crore in Al-Falah Steel and Re-Rolling Mills, a Narayangonj-based company.

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The company disclosed the investment plan in a post on the website of the Dhaka Stock Exchange (DSE) today.

Earlier, the board of directors of SS Steel has decided that the company is going to make an equity investment in Al-Falah Steel and Re-Rolling Mills Limited.

It would invest Tk 87.46 crore to subscribe around 99 per cent stake of its existing equity shares and a further Tk 96.68 crore investment would be made for the smooth operation of the company.

However, Al-Falah Steel and Re-Rolling Mills Limited will issue new shares to SS Steel against the investment of Tk 96.68 crore.

Al-Falah Steel Mills produces around 64,800 tonnes annually and sells steel by its renowned brand name.

The company said after the investment, it is expected that the turnover of SS Steel Limited will be increased by approximately Tk 450 crore per annum this year.

The invested amount will be financed by the company’s retained earnings and partly from the bank or financial institutions through SS Steel, according to the DSE website.

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