Confidence Cement issues shares for two new projects

Bangladesh-based Confidence Cement is planning to issue convertible preference shares worth BDT1500m (US$14.2m) to invest in associate companies and to repay a portion of its long-term loans. According to The Business Standard, the shares will be converted at a 20 per cent annual rate, and in five years the preferred shares will be fully converted into ordinary shares.

“The preference share proceeds will be invested in two projects,” Imran Karim, vice chairman of Confidence Cement told The Business Standard. “Firstly, in an under-construction cement mill in Dhaka, which is owned by a subsidiary of Confidence Cement. The mill is expected to go into production in the middle of 2024. And secondly, in a 660MW gas-based power plant which is being built by Confidence Cement's associate company and where it holds a 36 per cent stake. Commercial operations will be started in 2026.”