Epic Garments Manufacturing Company Limited – a sister concern of the Hong Kong-based Epic Group – intends to join the board of the listed Envoy Textile Limited.
Epic, which manufactures ready-made garment products in Bangladesh through a joint venture with the Sheltech Group, owns a 2.65 per cent stake in Envoy Textile as an institutional shareholder.
In price-sensitive information regarding its upcoming annual general meeting (AGM), Envoy announced that the board recommended Sunil Daulatram Daryanani, nominated from Epic Garments, as a candidate for election to the position of director, subject to the availability of a vacancy.
The candidature application filed per Article 127.1 of the company’s articles of association was accepted under certain restrictions, based on the price-sensitive information.
Following Envoy Textile, the annual general meeting (AGM) is scheduled for March 28. During the meeting, the general shareholders will have the authority to elect three directors, approve the audited financial statements for 2022–2023; declare dividends; and discuss other matters.
According to information sent to its shareholders, for decades, Epic Group has been a cornerstone of the apparel industry, evolving from a textile trading house to a leader in sourcing quality fabrics.
Since 2005, it has operated as a state-of-the-art manufacturing company with facilities spanning Bangladesh, Jordan, Vietnam, and Ethiopia.
Epic Garment Manufacturing was established in 2008, and its factory is located at Adamjee Export Processing Zone. The principal export products of Epic Garments are bottom pants, denim jeans, and bottom shorts.
Kutubuddin Ahmed, chairman of Epic Garments, also serves as the chairman of Envoy Textile.
Its revenue increased to Taka 690.95 crore in the first half of fiscal 2023–24, and it turned a Taka 24.27 crore profit. It recorded revenue of Taka 1,109.49 crore for the fiscal year 2022–2023, a decrease of 10.54 per cent from the prior fiscal year.
Its profit for the fiscal year 2022–2023 was Taka 32.73 crore, a considerable decrease from Taka 50.13 crore. It has recommended—and the shareholders will accept at the next AGM—a 15 per cent cash dividend for its shareholders.
Previously, in 2022, following Kutubuddin Ahmed’s divorce from Envoy Textiles Limited’s parent business, Envoy Group, a court dispute over supremacy erupted inside the world’s first LEED-certified platinum denim plant.
The legal saga commenced in June 2022 when Abdus Salam Murshedy contested a potential cessation of his position as managing director of Envoy Textile.
Then, subject to holding an EGM to get the consent of the shareholders, the High Court named Tanvir Ahmed as the company’s new managing director and Shehrin Salam Oishee as deputy managing director.
At the Envoy Textiles EGM on 2nd March at the Gulshan Shooting Club, shareholders approved the nomination of a managing director for the business.