Mir Akhter Hossain Limited, a listed construction company, has received a new government project in Lalmonirhat worth Tk 174.62 crore. The project includes building a primary school, installing solar power, improving roads, constructing bridges and culverts, and tree plantation. It will take 24 months to complete.

However, the company is facing serious financial pressure because it is not getting payments for its ongoing government projects on time. As a result, its business operations have become difficult.

In the July–September quarter of this financial year, Mir Akhter’s revenue fell sharply to Tk 9 crore, which is 75% lower than the previous year. Its main construction unit made a loss of Tk 2.54 crore, but income from joint projects helped the company report a small net profit of Tk 2 crore.

Last fiscal year was also weak. The company’s revenue dropped to Tk 133.95 crore and net profit fell to Tk 20 crore. It declared a 10.50% cash dividend, lower than before.

A senior official said the country’s infrastructure sector is very slow at the moment. Big projects are not being approved, and payments for running projects are stuck, which has created a severe liquidity crisis for the company.

Currently, Mir Akhter is working on 21 projects worth a total of Tk 8,013 crore, including major road and airport development works. But due to delayed payments, arranging the required funds has become difficult.

The company also failed to raise new funds. A plan to issue Tk 250 crore preference shares did not get regulatory approval, and a Tk 300 crore corporate bond proposal was canceled earlier.

Mir Akhter’s share price has also fallen to Tk 28.30, less than half of its IPO price of Tk 60.