Bangladeshi shareholders own a very insignificant script of Marico Bangladesh, the top dividend paying company operates here in the country which means its rates on dividend declaration will benefitted actually its Indian owners.

Only 4.5 lakhs of share have been distributed into the share traders at Dhaka and Chittagong bourses out of its 3.15 crores of scripts. Ninety percent of its shares have been hold by the company’s Indian sponsors directors, DSE data shoes.

“Such fundamentally sound multinational companies usually release a very small numbers of share among the local share holders for which it can contribute minimum in improving country’s weak bourses,” Mortuzar Rahman, a local trader told Business Mirror.

The Indian based company mainly sell coconut oil here in Bangladesh  reported a net profit of Tk 387 crore in financial year 2023, the highest since its listing on the stock market, thanks to an increase in sales and product prices.

The company however claimed that its cost of production and exchange rate volatility slowed down the profit growth. Otherwise, the net profit would be much higher, he added.

The company’s cost of production rose 14 per cent year-on-year to Tk 6.18 billion during the year as raw material prices rose amid sharp depreciation of local currency against the dollar.

Listed in 2009, the company’s stock price has been languishing at the floor price at Tk 2,421.50 each since October 18 last year.

Marico Bangladesh started its journey 24 years back with its flagship brand, Parachute Coconut Oil. Marico Bangladesh is the first subsidiary of Indian Marico Ltd. Since then, the company has expanded to 42 brands in 10 categories, including hair care, skincare, baby-care, hygiene and food products.

To meet the growing demand for coconut oil and food products, the company invested Tk 292 million to set up a new manufacturing unit three years back in its factory site in Gazipur.

Marico has also made an investment of Tk 2.27 billion in phases in a new manufacturing unit in Mirsarai Economic Zone since 2021 for enhancing its production capacity.

Marico Bangladesh Limited is amongst the top 3 FMCG MNC companies and a trusted brand in beauty and wellness space in Bangladesh. The company touches the lives of 1 out of every 2 Bangladeshis with an array of brands in various categories, including hair nourishment, edible oil and male grooming, through a strong distribution network that reaches more than 790,000 outlets throughout the country.