The new factory Capital Board Mills Limited (CBML), a sister concern of Capital Paper and Pulp Industries Ltd, will mainly produce newsprint, duplex board and liner paper with yearly production capacity of 30,000 tonnes.

Dhaka Bank Ltd has arranged a Tk 68 crore syndicated term loan for the project. Three other banks of the syndication are Arab Bangladesh Bank Limited, Uttara Bank Limited and The Premier Bank Limited, according to a Dhaka Bank press release.

The company is set to start trial production by 2008.

Shahed Noman, managing director of Dhaka Bank Limited, Kaiser A Chowdhury, president & managing director of Arab Bangladesh Bank Limited, Shaikh Aminuddin Ahmed, consultant and head of CRM of Uttara Bank Limited, and Nurul Alam Chowdhury, additional managing director of Premier Bank Limited, signed the deal on behalf of their organisations at a hotel in Dhaka on Thursday.