Mir Akhter to issue Tk250cr zero-coupon bonds
Since zero-coupon bonds are sold at a discounted price, the company’s real receipt would be lower than the face value
Construction company Mir Akhter Hossain Ltd has announced to issue zero-coupon bonds having a total face value of Tk250 crore.
Since zero-coupon bonds are sold at a discounted price, the company's real receipt would be lower than the face value.
In zero-coupon bonds the issuer discounts the present value of all the interest payable until maturity, while coupon bearing bonds are issued at the face value and the investors get interest against the coupons from time to time.
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Mir Akhter Hossain Ltd began its contract construction business in the late 1960s as a partnership firm and it became a private company in 1980.
It has a large portfolio of accomplished and ongoing construction projects that include roads, bridges, railways, airport, power plants, large hotel infrastructure, public office and commercial buildings.
The company was listed on the stock market earlier this year.
In the 2020-21 fiscal year, Mir Akhter Hossain's earnings per share (EPS) increased to Tk4.21 from the previous year's Tk3.43. Its board of directors recommended 12.5% cash dividends, which is subject to the approval of its shareholders in the upcoming general meeting.
On the other hand, its quarterly EPS for the July-September period came down to Tk0.56, from Tk0.86 in the same quarter a year ago.
On 30 September this year, the company's net asset value per share stood at Tk46.56.
