Confidence Cement buys 51 pc of Zodiac Power

Confidence Cement has bought 51 percent shares of Zodiac Power Chittagong from Confidence Power Holdings.

Confidence Cement said the decision came into effect on August 6.

Sources say that the company has bought the 51 lakh shares of Zodiac Power at a face value of Tk10.

The 54.263 MW power plant started commercial production on August 30.

Four power stations of the Confidence Group are producing 393.4 MW of electricity. Confidence Cement owns 40 percent or 165.3 MW of the production, while the rest is owned by Confidence Power Holdings.

Confidence Power Holdings owns Confidence Power Rangpur Ltd, which produces 113 MW of electricity, and 99 percent of Unit-1 and 2 of Confidence Power Bogra Ltd. which produces 226 MW of electricity.

The power stations have been commercially active since 2018.

However, Confidence Cement also owns 41 percent share of Confidence Power Holdings.

“The profits of Confidence Cement will rise as the company has bought more than 50 percent shares of Zodiac Power,” said Delwar Hossain, company secretary of Confidence Cement.

In the third quarter of 2018-19 (July-March) the Earning Per Share (EPS) of the company was Tk4.47. The EPS was Tk5.09 in the same period of the previous year.

The company distributed 15 percent cash and 20 percent stock dividends in 2018 to its shareholders.

The paid-up capital of Confidence Cement is Tk65 crore, and the closing price of the company’s share was Tk144.70 on Wednesday.