Amid a heavy bank debt burden and prolonged closure of its operations, Beximco Group has taken an initiative to reopen one of its factories under a new business model, with two British and Chinese companies proposing a combined investment of $23 million.

Production at the factory could resume as early as April next year, subject to the necessary government approvals.

The group plans to reopen Prefix Fashions Ltd as the first of 16 closed garment and textile units at Beximco Industrial Park in Kashimpur, Gazipur.

Under the proposal, British company Charter HCP Ltd and Chinese company Besting Ltd will provide the investment. Revival Global, a Japanese-Bangladeshi joint venture, is acting as the asset manager for the initiative.

Under the proposed structure, the foreign investors will enter into a five-year lease or agreement with Beximco Group. Export proceeds will be deposited directly into a bank account, from which the lien-holding banks will automatically deduct loan instalments.

This arrangement will keep Beximco Group from directly managing funds earmarked for debt repayment. The entrepreneurs believe it will help ensure regular debt servicing.

Officials from Beximco and Revival Global are scheduled to meet the chairman of Invest Bangladesh, the country’s apex investment facilitation agency, on 11 October to discuss progress on the initiative.

The process of reopening Prefix Fashions can move forward once the necessary approvals are secured from the Bangladesh Investment Development Authority (BIDA) and Bangladesh Bank.

Once operational, the factory is expected to initially employ around 2,500 workers. Most of its garments will be produced for international markets, with jackets expected to account for around 90 per cent of total production.

The entrepreneurs expect the factory to generate around $500 million in garment exports within two to three years after production begins.

If the Prefix Fashions initiative succeeds, Beximco plans to gradually reopen the remaining 15 closed units at the industrial park.

The move could create employment opportunities for more than 30,000 workers who lost their jobs after the factories shut down.

Beximco Group’s factories faced vandalism and arson following the change of government on 5 August 2024. The interim government subsequently announced the closure of the factories in March 2025 after the group failed to pay workers’ wages and other benefits.

Earlier, the government had provided Tk526 crore in financial assistance to clear workers’ arrears.

Salman F Rahman, former private industry and investment adviser to then prime minister Sheikh Hasina, is associated with the ownership of Beximco Group. He is currently in jail.

According to reports, Beximco Group’s total bank liabilities exceed Tk40,000 crore. Of this, the 32 factories at the Gazipur industrial park account for Tk29,925 crore in bank loans.

State-owned Janata Bank holds the largest share of the debt, with around Tk23,285 crore owed to the bank.

Against this backdrop, Beximco has adopted a plan to restart production and exports by initially reopening one factory through foreign investment.

If the Prefix Fashions initiative proves successful, the same model could pave the way for reopening other closed units at the industrial park.