ADB Signs $40M Deal with Ananta Knitwear for New Knit Fabric Factory in Bangladesh

The new factory aims to receive platinum certification under the Leadership in Energy and Environmental Design (LEED), a globally recognized green building rating system.

The Asian Development Bank (ADB) has signed a $40 million financing package with Ananta Knitwear Limited (AKL) to support the establishment of a new knit fabric factory in Narshingdi, Bangladesh. AKL is part of the Ananta Group, a leading exporter of ready-made garments in the country.

The financing includes a $20 million loan directly from ADB and a syndicated B-loan of $20 million from the ILX Fund, an Amsterdam-based asset manager focused on the Sustainable Development Goals (SDGs), with ADB acting as the lender of record. As the mandated lead arranger, ADB was responsible for structuring and syndicating the financing package.

The new factory aims to receive platinum certification under the Leadership in Energy and Environmental Design (LEED), a globally recognized green building rating system. It will feature advanced automated energy-efficient machinery and equipment based on the latest technology. The construction phase is expected to create 200 jobs, while the operational phase will generate 1,000 jobs.

Suzanne Gaboury, ADB Director General for Private Sector Operations, emphasized the significance of this project: "Bangladesh's textile industry is a major contributor to the economy, but its impact extends beyond economics. It supports livelihoods and enhances national resilience. The textile industry employs millions, drives exports, and sustains families. ADB's support will help attract much-needed financing to this strategically crucial part of the national economy."

Sharif Zahir, Managing Director of Ananta Group, expressed gratitude for the financing: "We are delighted to receive this financing from ADB and ILX. This is a symbol of trust from our partners and a sign to international lenders about the global quality and development impact of our industry. Partnering with an internationally reputable financial institution such as ADB affirms our shared vision of quality service, inclusivity, and sustainability. It is a significant step towards our company's sustainable growth goals."

Ananta Group, which has been in operation for over 30 years, manufactures a wide range of products including jeans, suits, sweaters, lingerie, activewear, and outerwear. The company generates total revenue of approximately $400 million and employs over 30,000 people across seven factories.

The new knit fabric factory not only represents a significant investment in sustainable manufacturing but also reinforces Bangladesh's position as a key player in the global textile industry, contributing to economic growth and job creation in the region.