Appollo Ispat Complex Limited, producer of the renowned "Rani Marka Dheu Tin" brand of corrugated iron sheets, is drowning in loans with production shut for over two years. 

The company informed its investors through a post on the Dhaka Stock Exchange (DSE) website yesterday that its factory has been out of production for the last two years.

It said to be currently bearing a "huge financial burden, which is approximately Tk 900 crore (including penal interest) and other liabilities of Tk 200 crore".

The company has not been publishing any financial reports since 2019 so the data regarding the losses it incurred is not available.

A former official of the company, preferring anonymity, said the company was struggling to survive mainly due to embezzlement of funds by a former director in connivance with some officials.

Afterwards, the Appollo Ispat started failing to pay loan instalments and incurring losses, he added.

The company became listed with the stock market in 2013. It collected Tk 220 crore issuing 10 crore ordinary shares of Tk 10 each with Tk 22 as premium per share.

Premium on stock is defined as the amount of extra money which the company's investors are ready to pay to the company for the purchase of the company's stock over its par value.

On the basis of the company's good performances, it won the premium and people rushed to buy its stock in 2013.

However, the stock investors of the company are now in peril as their investments are stuck due to the absence of buyers.

Sponsors of the company hold 20 percent of the shares while 59 percent is held by general investors and 21 percent by institutional investors.

The company provided 3 percent stock dividend for its shareholders at the end of 2018. After that, it started incurring losses and was downgraded to junk category, that is Z.