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A consortium of three Pakistani banks has arranged a syndicated term finance facility of Rs 347.6 million to set up a new spinning unit at Khurrianwala.
Addressing the signing ceremony here at Serena, the Regional General Manager (Corporate Centre) Habib Bank Limited, Muhammad Latif Tahir, said that a processing & weaving unit (Ittehad Group) would establish spinning unit with the capacity of 33000 spindles.
Out of it, 20,000 spindles would be installed immediately, while remaining 13,000 spindles would be added subsequently within a period of one year.
He said that HBL would arrange funding of Rs 200 million while Allied Bank and Bank of Punjab would contribute Rs 100 million and Rs 47.60 million, respectively.
Ittehad Group Chairman Maqsood Ahmad said that the latest spindles of Reiter would be installed to manufacture only fine counts. The overall daily production of this unit will be 125 bags, he added.
Muhammad Aslam, Regional General Manager ABL, Regional GM, Bank of Punjab, and Directors of Ittehad Private also signed the agreement.

Copyright Business Recorder, 2004

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