PGCB to hold EGM on major financial issues

Power Grid Company of Bangladesh (PGCB) has announced plans to hold an extraordinary general meeting (EGM) in order to fortify its financial standing and provide support for its ongoing projects.

The company, as per a DSE disclosure, aims to achieve several goals through several resolutions concerning its authorised share capital and the issuance of shares, and its shareholders are expected to endorse the changes during the EGM.

One of the key resolutions proposed involves increasing the authorised share capital.

Currently valued at Tk 10,000 crore, the company intends to raise it to Tk 15,000 crore, and this will be accomplished by dividing the authorised share capital into two segments.

The first segment will consist of 1,300 crore preference shares valued at Tk 10.00 each, totalling Tk 13,000 crore.

The second segment, on the other hand, will include 200 crore ordinary shares valued at Tk 10.00 each, amounting to Tk 2,000 crore.

The shareholders’ approval during the EGM will be required for this change, as well as for bringing in necessary updates to the company’s memorandum of association (MoA) and articles of association (AoA).

Additionally, the state-controlled company plans to issue a substantial number of shares, which includes 20 crore ordinary shares valued at Tk 10.00 each, along with a premium of Tk 10.00, totaling Tk 402 crore.

Furthermore, the it also intends to issue 764 crore irredeemable and noncumulative preference shares valued at Tk 10.00 each, amounting to Tk 7641 crore.

These shares will be issued in favour of the secretary of the Power Division, subject to the regulatory approval.

The issuance will make use of the government equity already allocated to various projects of the company.

By increasing its authorised share capital and issuing new shares, Power Grid Company of Bangladesh aims to bolster its financial capabilities and secure the necessary funding for its ongoing ventures.