After a two-month closure due to a lack of gas supply, Pacific Denims, a 100% export-oriented apparel manufacturer, resumed its operation on 22 June, according to a public disclosure on Monday (24 June).
On 9 June, the publicly listed firm announced that its factory had completely stopped after Titas snapped its gas supply line.
The company's share price surged by 9.57% to Tk10.30 each on the Dhaka Stock Exchange (DSE) on Sunday following the announcement of the factory's resumption of operations.
Over a dozen factories in Gazaria, Munshiganj, including paper, cement, feed, electronics, and cable factories, suspended operations due to an unexpected gas supply cut by the state-owned gas transmission and distribution company.
The supply was halted on April 28, when Titas Gas shut off the main line from Gazaria to Daudkandi Bridge as part of a drive to sever illegal household connections.
According to Titas sources, the overall system loss of Titas was 5.28% in the last fiscal year, but in the Gazaria region, it exceeded 40%.
After removing the illegal connections on 13 July, the Titas restored gas connections to 13 industries located in Gazaria after 47 days.
Pacific Denims, which has an annual export turnover of around Tk150 crore and employs arou0nd 2,000 people, had kept its factory closed for two months, said its Company Secretary Md Sorhab Ali.
"As gas supply resumed, the factory operation started on 22 June. Now, the production of the company is running in full swing," he added.
Pacific Denims Limited, which is involved in manufacturing, dyeing, weaving, and finishing denim fabrics, was incorporated in 2003 and got listed on the bourses in 2017.
Its paid-up capital is Tk183.55 crore and its authorized capital is Tk200 crore. In 2022-23, it made a profit of TK2.26 crore.
As of 31 May 2024, sponsors and directors held 30.12% of the company's shares, institutional investors held 9.44%, and general investors held 60.44%.
Source: The Business Standard