Japan’s Mitsui & Co Ltd has entered into a strategic partnership with ACI Logistics Limited, operator of Shwapno, by extending a foreign currency-denominated convertible loan through its Singapore-based subsidiary Mitsui & Co Asia Pacific Pte Ltd, subject to regulatory approvals.
Following the signing in Dhaka on Wednesday, ACI Logistics noted that the structured convertible financing is designed to provide long-term growth capital, with an option for future conversion into equity.
This investment is expected to enhance Shwapno’s financial strength and provide greater flexibility to support its expansion plans.
The proceeds will be used for the retail chain’s network expansion, digital capabilities and long-term value creation initiatives alongside reinforcing backward linkages through integration with the group’s agri-business and farmer network.
Operating in more than 60 countries, Mitsui will provide capital as well as Mitsui’s know-how, global sourcing capability and cross-industry expertise.
Recognising Shwapno’s ability to deliver superior shopping experiences and access to quality goods, alongside its operational capability, growth trajectory and leadership position in modern retail, Mitsui will collaborate in driving operational excellence, governance enhancement, supply chain optimisation and sustainable growth.
A subsidiary of ACI PLC, ACI Logistics has been investing in Shwapno since 2008 and now operates more than 836 outlets nationwide.
After securing operating profit for several consecutive years, ACI PLC is working on the financial restructuring of its retail chain subsidiary.
ACI PLC Chief Financial Officer Md Monir Hossain Khan told TIMES of Bangladesh that Mitsui will provide both capital and capability through this partnership. It is a long-term collaboration that brings capital, capability, and global expertise to support sustainable growth and create lasting value for customers, partners, and the broader retail ecosystem in Bangladesh.
He confirmed the loan is denominated in foreign currency but declined to disclose the amount, tenure and interest rate at this point.
ACI Logistics’ Managing Director (MD) and CEO Sabbir Hasan Nasir said Mitsui had engaged with the company through a steering mechanism before formalising the investment.
He said it will continue supporting governance development as the partnership evolves.
The collaboration is focused on strengthening governance processes, operational discipline and supply chain efficiency to support sustainable growth, he added.
According to ACI, the partnership will support logistics transformation, advance the development of organised retail, and enhance availability of quality products nationwide.
The agreement was signed at ACI Centre on Wednesday in the presence of ACI PLC Chairman M Anis Ud Dowla, MD Arif Dowla, ACI Logistics’ MD and CEO Sabbir Hasan Nasir, ACI PLC CFO Md Monir Hossain Khan, and Mitsui & Co Asia Pacific Chief Operating Officer Consumer-Centric Business Development Unit Kazuhide Nakajo, along with senior representatives from Mitsui and ACI.
