With the launching of the second unit, the production capacity of the company reaches a total of 700 tonnes per day (tpd), said MCL Managing Director Anisur Rahman while speaking at the inauguration of the second unit located on the banks of the Meghna, 40 km from Dhaka.

The first unit with a 100 tpd capacity will be now brought under BMRE (balancing, modernisation, renovation and expansion), he added.

Modern Cement is utilising proceeds of Tk 10 crore raised through initial public offering (IPO) in January 2002 for the installation of its second unit.

Referring to future plans, Rahman said operations of the company will be brought under full computerised system.

Housing and Public Works Minister Mirza Abbas inaugurated the operation of the unit. The function was also attended, among others, by Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) President Abdul Awal Mintoo, Mohammad Abdul Hai MP and founder president of Bangladesh Cement Manufacturers Association AKM Muhit Uddin.

Speaking at the function, the FBCCI president said every year around 20 lakh workers join the job market aggravating the unemployment problem.

"So, more investment in the private sector is needed for creating employment," he said adding, “We should ensure an environment conducive to private sector investment.”

MCL raised Tk 6 crore in pre-IPO placement and Tk 4 crore from general investors through IPO which was managed by issue manager Equity Partners Limited.

MCL was incorporated under the Companies Act, 1994 on October 1, 2000, as a Public Limited Company with an authorized Capital of Tk. 200,000,000 divided into 20,000,000 ordinary shares of Tk 10 each.

However, MCL was launched in 1992, the first-ever private sector cement company in Bangladesh which was inaugurated by then prime minister Khaleda Zia. The paid-up capital of the company was Tk 10,00,000 (ten lakh) with 100,000 ordinary shares of Tk 10 each.

On January 1, 2001, MCL entered into Vendor's Agreement with Modern Structural Services Limited (MSSL), the owner of a cement unit of 100 tpd capacity on a 638-decimal land on the bank of the Meghna.

MSSL also owns a re-rolling unit. Under the agreement, Modern Cement took over all the assets and liabilities of MSSL's cement unit as per their Audited Accounts for the period ending December 31, 2000.

As per the agreement, MCL issued 7,222,300 ordinary shares of Tk 10 each in favor of MSSL against the net asset value.

From the paid up capital of Tk. 1,000,000 (ten lakh) during incorporation, Modern Cement has been able to raise it up to Tk 73,223,000 through the acquisition of MSSL's assets.

Later, through the public participation, the paid up capital of the company reached Tk 173,223,000. The Modern Group also owns Modern Brick, which is in the market for the past 25 years.