Wedoany.com Report-Nov. 27, Janata Bank, a state-owned lender in Bangladesh, has issued public notices to auction 193 decimals of land and all buildings at Beximco Industrial Park. The property had been mortgaged as collateral for loans extended to three of Beximco's textile and garment factories.

Beximco reportedly has outstanding loans totalling approximately $2.9bn.

The auction notices follow a recent board decision by the bank. Additional notices covering three more factories are expected to be published shortly, according to banking sources. Beximco Group's total outstanding borrowing is reported to be approximately $2.9 billion.

The move comes despite ongoing efforts by Bangladesh's Ministry of Labour and Employment to restart the affected factories in order to protect employment and preserve export revenue from the country’s important ready-made garment sector.

Earlier this year, in February, authorities announced plans to secure alternative employment for around 40,000 workers impacted by the closure of Beximco textile and garment units.

At the end of 2024, Beximco Group terminated operations at 16 textile and garment facilities and laid off more than 40,000 employees, representing over 57 percent of its roughly 70,000-strong workforce. The affected units included Shinepukur Garments, Urban Fashions, Yellow Apparels, Prefix Fashions, RR Washing, Beximco Fashions, Bextex Garments, New Dacca Industries, International Knitwear & Apparels, Esses Fashions, Escorp Apparels, Crescent Fashion and Design, and Crescent Accessories.

The closures were attributed to a sharp decline in overseas orders from international clothing brands and retailers.

Following the shutdowns, the Bangladesh Securities and Exchange Commission formed an independent board to supervise the potential sale and management of the closed factory units. Many of the facilities previously held international certifications recognized by global buyers.

Beximco did not respond to requests for comment on the auction notices. The development highlights continuing financial challenges facing one of Bangladesh's largest conglomerates and raises concerns over the future of thousands of jobs in the country's export-oriented garment industry.