Bangladesh’s stock market is set to see its first book-building initial public offering (IPO) in more than two years, with Confidence Power and Energy PLC preparing to raise Tk400 crore from investors.
The planned offering would be the first under the book-building method since Techno Drugs Limited debuted on the stock exchanges in July 2024.
Of the targeted capital, the power producer will spend Tk230 crore to implement its 100MW grid-tied solar power project in Cox’s Bazar.
Tk102 crore will be invested in equity for another 100MW solar project in Mongla. Tk60 crore will be used for partial repayment of loans, and the remaining Tk8 crore will be spent on the IPO process.
Confidence Power has invited eligible investors to a roadshow on 18 October. After getting the reference price from institutional investors, the company will go for bidding to determine the selling prices of the shares.
UCB Investment Limited is acting as issue manager, while Prime Bank Investment PLC is the registrar to the issue.
According to the company’s red-herring prospectus, it earned nearly Tk1,771 crore in revenue in the financial year ended 30 June 2026, down from nearly Tk2,400 crore in the previous year.
However, its net profit after tax slipped slightly to Tk477.4 crore from Tk486.4 crore.
Its latest annual earnings per share stood at Tk31.83, while net asset value was Tk193.23 per share as of 30 June.
The company’s pre-IPO paid-up capital stands at about Tk150 crore. Its post-IPO paid-up capital will depend on the number of shares required to raise the targeted Tk400 crore.
Confidence Power holds long-term and short-term credit ratings of AA1 and ST-1, respectively, from Credit Rating Agency of Bangladesh.
From one plant to an expanding portfolio
Confidence Power and Energy began as Confidence Power Bogra Unit-2 Limited in August 2017 and was converted into a public limited company in October 2024. Its name was changed to Confidence Power and Energy PLC in September 2025.
Its own 113MW heavy fuel oil power plant at Birgram in Bogura began commercial operations in March 2019. The plant sells its entire output to the Bangladesh Power Development Board (BPDB) under a 15-year power-purchase agreement.
Confidence Power also controls three other operating power companies.
It owns 99.99 per cent of Confidence Power Bogra Ltd, which operates a 113MW HFO-fired plant in Bogura, 99.99 per cent of Confidence Power Rangpur Ltd, which runs another 113MW HFO plant in Rangpur, and 99.99 per cent of Zodiac Power Chittagong Ltd, which operates a 54.363MW HFO plant in Chattogram.
The company also owns 60 per cent of Confidence and Doreen Power Ltd, which is developing a 100MW solar plant near the Mongla grid substation in Bagerhat under a 20-year contract with BPDB. That project remains under construction.
According to the red-herring prospectus, the company’s current operating capacity is 393MW, with 400MW of solar capacity under development and a portfolio target of more than 2,000MW by 2035.
Betting on power demand
Confidence Power is seeking investors at a time when Bangladesh’s electricity sector is shifting from rapid capacity expansion towards reliability, energy security, affordability and a larger role for renewable power.
In August 2026, the Bangladesh Power Development Board reported 29,143MW of installed grid capacity, with the private sector accounting for around 10,423MW, or 36 per cent.
The company’s prospectus points to a longer-term expansion in electricity demand and cites projections of about 52GW of peak demand by 2041.
It also highlights government renewable-energy targets of 20 per cent of electricity generation by 2030 and 30 per cent by 2040.
That creates a mixed backdrop for the company.
Its existing earnings are heavily tied to HFO-fired generation, while its expansion plans include solar power at a time when Bangladesh is trying to diversify its energy mix.
