Salvo Chemical Industry will invest BDT 700 million to construct a cornstarch factory in a bid to explore the product’s tremendous market potential. Annually the new cornstarch plant will produce around 25,000 tons of the material.
This multipurpose powder is used in textile sectors, food processing, pharmaceutical and paper. The decision to undertake this initiative was taken by during the company’s recent board meeting.
With this project, Salvo Chemical will be able to supply the key raw material to its own liquid glucose manufacturing plant, which will decrease costs as well as deliver a exclusive product for sale.
Salvo Chemical, whose paid-up capital was Tk 65 crore, was listed with the country’s bourses in 2011. Its sponsors jointly hold a 22.14% stake in the company at present.
Meanwhile, the company’s board of directors announced 1% cash dividend for the year that ended on June 30, 2020.
In the previous year, it disbursed 5% dividend to its shareholders.
In the last fiscal, Salvo Chemical’s earnings per share stood at Tk 0.30 while its net asset value per share was Tk 12.46.
