Beximco Pharmaceuticals Limited (“BPL” or “Company"; AIM Symbol: BXP) today announces that all resolutions put before shareholders at the Company’s Annual General Meeting held on 13 June 2015 were duly passed.
The resolutions passed at the AGM included the approval of a 10% cash dividend and a 5% stock dividend. The cash dividend being 10% of the nominal value per ordinary share of Tk.10 (Tk.1 per ordinary share/per global depository receipt (“GDR”) held in respect of GDR holders) will be paid to holders of ordinary shares/GDRs (who were on the register of shareholders/GDR holders as on the date of record) within 30 days from the date of approval i.e. on or before 13 July 2015. The cash dividend will be paid after deduction of taxes as per Bangladesh Tax law. Note that the record date for GDR holders was 21 May 2015.
It is intended that the new ordinary shares/GDRs arising from the 5% stock dividend i.e. 5 ordinary shares/GDRs per 100 ordinary shares/GDRs (in respect of GDR holders) held, will be credited to shareholders/GDR holders accounts on or before 13 July 2015.
Application will be made for admission of the new GDRs arising from the stock dividend (“New GDRs”) to be admitted to trading on AIM (“Admission”). Admission is expected to take place shortly after the New GDRs are credited to the respective accounts and a further announcement will be made in due course with the expected date of Admission.
Following issuance of the stock dividend, the total issued share capital of the Company will be 386,244,234 ordinary shares of Taka 10 (“Ordinary Shares”), of which 86,612,979 will be represented by GDRs. The new Ordinary Shares will rank pari passu in all respects with the existing issued Ordinary Shares, all having voting rights.
The Annual Report for 2014 is available from the Company’s website, which includes the audited accounts that were previously sent to shareholders and a review of operations for the year to 31 December 2014.
During the course of the meeting, Chairman of the Company, Ahmed Sohail Fasiur Rahman, made the following statement to shareholders:
Dear Shareholders,
It is great pleasure to welcome you all to the thirty-ninth annual general meeting of Beximco Pharmaceuticals Limited.
In 2014 the Company crossed Taka 10 billion mark in domestic sales for the first time in its history. This is a proud achievement for all of us. Despite political turmoil, especially in the first quarter of 2014, the Company managed to achieve 9% growth in the domestic market. With our continued focus on research and development to strengthen the product portfolio, strategic priority on export business and investment to enhance our manufacturing, marketing and supply chain capabilities, the Company continues to progress in the right direction to deliver sustainable returns for the shareholders.
In my last report, I mentioned that we needed to make investment in building manufacturing facilities to further diversify our portfolio and increase capacity to meet the growing demands. Moreover, some of our manufacturing facilities built in the late 80s need upgrading, replacement and expansion. You will be happy to note that the Company is now implementing a number of projects worth Taka 1,000 crore over the period of 2014-17. The projects include creating facilities for a number of new therapeutic categories and relocation, expansion and upgrading of some of our old facilities. The projects are to be financed using the Company’s own funds as well as through the use of external debt. We have already made a significant amount of investment in this regard from our own sources. We have signed a loan agreement for US $ 51.559 million with BHF Bank, Germany to partly finance the plant and machinery to be procured for the projects. We believe, once implemented, these projects will help secure Company’s current and future growth.
As stated in the Managing Director’s Statement and Directors’ Report, your Company has achieved GMP clearance from Health Canada and Taiwan FDA, both first-time for a Bangladeshi company. The Company also successfully completed US FDA inspection in January 2015, without any 483 observations. In the first quarter of 2015, we commenced export to Australia, which is again a milestone achievement for the Bangladesh pharma industry. We believe that export of generic medicines has high potential for growth and our reputation as a manufacturer of high quality medicine and reliable supplier will help us further expand our footprint in the global market.
Our Board of Directors has seen some changes during the year. It is with deep regret I inform you that one of our Independent Directors Mr. Mahbubul Alam passed away on 6 June 2014. Mr. Alam was also the Chairman of the Audit Committee. As mentioned in my last report, Mr. Mohammad Abul Qasem, one of the founding directors of Beximco Group, also passed away on 19 April 2014. On behalf of the Board of Directors I would like to express my sincere appreciation and gratitude for their valued contribution to the Company. Their experience and guidance will be greatly missed.
On a positive note, I am pleased to welcome Mr. Shah Monjurul Hoque who has joined the Board as an Independent Director. He will also serve as a member of the Audit Committee.
2015 also began with political turmoil hampering normal business activities. However, there are visible signs of recovery and we hope the situation in the country will remain peaceful in the coming days. Our focus as always will be on achieving the targets we have set for the year and striving to exceed them. We also hope to reach new milestones during the year.
I would like to conclude my statement by conveying my personal appreciation to all our shareholders for their continued support at all times and special thanks to all our employees for their dedication and hard work that have made Beximco Pharma what it is today.
Thank You,
A S F Rahman
Chairman
For further information please visit www.beximco-pharma.com or enquire to:
Beximco Pharma
Nazmul Hassan MP, Managing Director
Tel: +880 2 58611001, Ext.20080
Md. Asad Ullah, FCS, Executive Director & Company Secretary
Tel; +880 2 58611891, +880 2 58612040, Ext 10140
SPARK Advisory Partners Limited (Nominated Adviser)
Mark Brady / Sean Wyndham-Quin
Tel: +44 (0)20 3368 3551 / 3555
Daniel Stewart & Company plc (Broker)
Martin Lampshire
Tel: +44 (0)20 7776 6550
FTI Consulting
Simon Conway / Victoria Foster Mitchell
Tel: +44 (0)20 3727 1000
Notes to Editors
About Beximco Pharmaceuticals Limited
Founded in 1976 and based in Dhaka, Bangladesh, Beximco Pharma manufactures and sells generic pharmaceutical formulation products and active pharmaceutical ingredients. The Company also undertakes contract manufacturing for multinational and leading global generic pharmaceutical companies. The Company operates from a 23 acre site in Dhaka and has manufacturing facilities for producing various drugs in different delivery systems such as tablets, capsules, liquids, semi-solids, intravenous fluids, metered dose inhalers, dry powder inhalers, sterile ophthalmic drops, prefilled syringes, injectables, nebulizer solutions, oral soluble films etc. Ensuring access to quality medicines is the powerful aspiration that motivates 3,000 employees of the Company.
Beximco Pharma’s state-of-the-art manufacturing facilities are certified by global regulatory authorities of Australia, Europe, Latin America and Canada among others. The Company’s products are sold to retail outlets, medical institutions and other pharmaceutical manufacturers in Bangladesh, in regional markets such as Sri Lanka, Nepal, Bhutan, Vietnam, Cambodia and Myanmar and in other markets overseas, principally in Africa, including Mauritius, Kenya, Ghana and Nigeria, Pacific Island, Latin and Central American countries, Middle East, Central Asia, South East Asia, including Singapore, Malaysia, Philippines and Hong Kong, and Europe, Austria and Australia.
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