Shasha Denims Ltd., one of the leading denim fabric producers in Bangladesh, is reportedly acquiring 40 per cent shares in EOS Textile Mills Limited at BDT 480 million, the local media reports claimed.
EOS Textile, founded in 1998, is a Dhaka-based leading cotton fabric manufacturer and also a sister concern of Italian venture Berto Industria Tessile.
According to the media reports, of the total amount, Shasha will raise BDT 300 million through Initial Public Offering (IPO) after receiving the nod from the shareholders of the company and the rest will be collected from its own funds.
In this regard, a Memorandum of Understanding (MoU) signing ceremony was held at Westin Hotel in the national capital on February 24, 2018, and both the companies agreed to the terms and conditions of the acquisitions.
Parveen Mahmud and Shams Mahmud, Chairman and Managing Director of Shasha Denims Ltd. and Giuseppe Berto, Managing Director of EOS Textile, took part in the deal signing ceremony on behalf of their respective organisations.
However, it was not clear about the purpose of the acquisition from the Shasha’s point of view as the company’s spokesperson was unreachable.