Malek Spinning Mill to receive financial aid from EBL

04 Sep '08

2 min read

In accordance with the Paripassu Security Sharing Agreement, the Eastern Bank Limited along with seven other leading financial institutions of the country would provide Tk3,520 million to Malek Spinning Mills Limited.

Of the total, Tk630 million would be provided as term loans, Tk230 million as working capital while Tk2660 million will be given as non-funded working capital. The seven other financial institutes are Bank Limited, HSBC, One Bank Limited, Trust Bank Limited, Shahjalal Islami Bank Limited, IPDC Limited and CitiBank N.A.

The signing ceremony of the agreement was attended by A Matin Chowdhury, Managing Director of Malek Spinning Mills Ltd, Ali Reza Iftekhar, Managing Director and CEO of Eastern Bank Limited, Shahed Noman, Managing Director of Dhaka Bank Ltd, Farman R Chowdhury, Managing Director of One Bank Ltd, Muhammad Ali, Managing Director of Shahjalal Islami Bank Ltd, Masih-Ul Huq Chowdhury, Managing Director of IPDC Ltd, Ishtiaque Ahmed Chowdhury, Deputy Managing Director of Trust Bank Ltd, Syed Rafiqul Haque, Executive Vice President and Area Head, Corporate Banking of EBL, Abrar A Anwar, Director and Head of Corporate Banking, CITI Bank NA, and Mahbub-Ur-Rahman, Head of Corporate Banking, HSBC.

While addressing the guests on the occasion, Mr Chowdhury expressed gratitude to the banks for their relentless support and announced that in order to make the most of the growing demand for the company's quality products, the mill would head for a further expansion by going to the capital market within this year.

Cotton USA Licensee Malek Spinning Mills Ltd started operations in 1990 with 6,000 spindles and currently it has around 63,000 spindles. Last year, the mill achieved a total production of 12.58 million kilograms of yarn and a turnover of Tk2,400 million.

They have recently started another mill called Salek Textile Ltd. which will produce 42 tons of open end yarn per day.

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