Runner to buy land for its three-wheeler plant

Runner Automobiles is going to buy land to set up its CNG and LPG-run three-wheeler manufacturing plant near its existing factory in Bhaluka, according to a posting on the Dhaka Stock Exchange (DSE) website.

The leading local bike maker will buy a 359.72 decimal plot in the area for Tk 4.32 crore, including registration costs.

The investment will be carried out with Runner's own funds, the company's disclosure said.

"We will use the new facility for making three-wheelers," said Hafizur Rahman Khan, chairman of Runner Group.

Runner Automobiles joined hands with Bajaj Auto, a global market leader based in India, to set up a Tk 300 crore manufacturing plant last year.

This will be the first-ever international three-wheeler manufacturing plant to be set up in Bangladesh.

Bajaj's line of three-wheelers are the market leaders in Bangladesh, according to the company. Runner went public on May 21, 2019, raising a Tk 100 crore fund from the stock market.

The company's shares fell 0.59 per cent to trade at Tk 50.80 at the DSE yesterday.

It also disclosed yesterday that its third quarterly earnings per share were higher than those of the previous year.

Runner's EPS rose to Tk 0.85 in the January-March period of 2021 while it was Tk 0.55 during the same period the previous year. Khan said the country's economy was mostly active amid the ongoing Covid-19 pandemic and so, its business was not affected much other than during the two-month lockdown last year.

"Especially in the countryside business is almost normal," he added.