The Financial Express

United Power to acquire two power plants

| Updated: June 30, 2018 10:23:58

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The board of directors of United Power Generation & Distribution Company Limited has decided to acquire two power plants of the United Group.

United Power will acquire majority shares (92.41 per cent) at face value, in principal, in the United Ashuganj Energy Ltd. (UAEL), a company having generation capacity of 195 MW power (Gas Based) located at Ashuganj, Brahmanbaria-3402, according to a disclosure on Thursday.

United Ashuganj Energy is a PPP (Public Private Partnership) project with the Ashuganj Power Station Company Limited (APSCL) and has a fixed term of 15 years from the date of Commercial Operations i.e May 08, 2015.

The board has also decided to acquire through outright purchase the 53 MW power generation plant (gas based) located at Char Chartola, Ashuganj, Brahmanbaria, belonging to the United Energy Ltd. (UEL), at the net asset value of the plant, the disclosure said.

The above acquisitions are subject to the clearances from the Power Division, Ministry of Power Energy & Mineral Resources and Foreign/Local Lenders, as applicable, with retrospective effect from July 01, 2018.

The company will hold an extraordinary general meeting (EGM) in this respect to get approval from the shareholders of the Company.

Details of the EGM, record date, time, venue etc. will be notified subsequently.

Each share of the power generation company closed at Tk 261.30 on Wednesday at the Dhaka bourse.

United Power, which was listed on the Dhaka bourse in 2015 under book building method, disbursed 90 per cent cash and 10 per cent stock dividend for the year ended on June 30, 2017.

The company’s paid-up capital is 3.99 billion, authorised capital is Tk 8.0 billion and the total number of securities is 399.24 million.

Sponsor-directors own 90 per cent stake in the company while institutional investors 6.44 per cent and the general public 3.56 per cent as on May 31, 2018.

The company’s nine months earnings per share (EPS) stood at Tk 8.41 for July 2017 to March 2018 as against Tk 8.05 for July 2016-March 2017.

The net asset value (NAV) per share was Tk 37.71 as on March 31, 2018 and Tk. 37.47 as on June 30, 2017.

The net operating cash flow per share (NOCFPS) was Tk 8.0 for July 2017 to March 2018 as against Tk 8.60 for the same period of the previous year.

The net asset value (NAV) per share was Tk 37.71 as on March 31, 2018 and Tk 37.47 as on June 30, 2017.

The principal activity of the company is to generate electricity by two gas fired power plants.

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