Three subsidiaries to merge with parent Intraco Refueling Station
The subsidiaries to be merged are M HYE & Co CNG Refueling Station in Hobiganj, Nessa & Sons in Pabna, and Good CNG Refueling Station in Gabtoli
Three CNG refueling stations, which are among the five subsidiaries of Intraco Refueling Station Limited, are going to be merged with their parent company.
The subsidiaries to be merged are M HYE & Co CNG Refueling Station in Hobiganj, Nessa & Sons in Pabna, and Good CNG Refueling Station in Gabtoli.
After the merger, Intraco Refueling Station will be the only surviving entity. The merger is subject to approval by the company's shareholders, regulatory authorities, concerned banks, and also the court.
The three CNG stations are now operating on rented lands. Intraco holds more than 95% stake in each of these subsidiaries.
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Meanwhile, Intraco's share price rose by 9.84% to Tk41.3 each on Monday at the Dhaka Stock Exchange (DSE).
According to the company's DSE disclosure, its board of directors unanimously approved the draft amalgamation scheme of Intraco's three CNG stations for better profitability and efficient management.
According to its annual report for 2021-22, Intraco has invested Tk5.81 crore in the three subsidiaries, and the subsidiaries made Tk2.24 crore profit in the 2021-22 fiscal year.
Intraco's total dividend receivable from these subsidiaries is Tk7.14 crore till June 2022.
In June last year, Intraco decided to merge its five subsidiaries to avail corporate tax benefits and reduce administrative expenses as listed companies have to pay 20% corporate tax, while non-listed ones 27.50%.
The Intraco Refueling Station is going to transport surplus gas in compressed form from Bhola gas fields to industries in Dhaka and Gazipur.
To this end, the firm listed on the stock market entered into a 10-year deal with Sundarban Gas Company — a state-owned gas distributor in Bhola and Khulna divisional city — on 21 May.
Intraco Refueling Station, involved in the operation of CNG refueling stations in different places in Bangladesh, got listed on the stock exchanges in 2018.
The company has taken an initiative to establish an LPG cylinder manufacturing plant in Cumilla to consider its potentiality.
In the first nine months of the fiscal 2022-23, it has reported a 27% growth in revenue to Tk116 crore and 85% growth in profit to Tk13.28 crore.
In the 2021-22 fiscal year, the company made a profit of Tk10 crore and paid a 10% cash dividend to its shareholders.
