30 September 2024
BEXIMCO
PHARMACEUTICALS LIMITED
Clarification on Writ Petition filed in Bangladesh in which
Beximco Pharmaceuticals is cited as one of several
Respondents
Beximco Pharmaceuticals Limited
("Beximco Pharma", "BPL" or "the Company"; AIM Symbol: BXP, LEI
No.: 213800IMBBD6TIOQGB56) today provides clarification regarding a
recently filed Writ Petition with the Supreme Court of Bangladesh
by a Mr. Masood Sobhan, a citizen of Bangladesh and practicing
lawyer of the Supreme Court of Bangladesh as the Petitioner. The
Writ Petition has been filed as a Public Interest Litigation. This
Writ Petition includes Beximco Pharmaceuticals, in addition to the
Bangladesh Bank, The Bangladesh Ministry of Finance, and Salman F.
Rahman as separately listed and distinct Respondents. Inter alia, the writ asks the Court to
direct the Bangladesh Bank to "appoint a Receiver to manage the
companies of [the] Beximco Group of Companies".
This civil action is in addition to
the already noted allegations of which Beximco Group has been
accused, following a preliminary review by the financial crime unit
of the Bangladesh CID, of taking loans from seven banks through
fraud over a number of years. As per the Company's announcement of
3 September 2024, Beximco Pharmaceuticals is not a party to any of
the loans of Beximco Group.
On 5 September 2024, The Supreme
Court of Bangladesh issued an Interim Order, pending a hearing on
this Writ Petition, which inter
alia directed The Bangladesh Bank to "appoint a Receiver to
manage the companies of Beximco Group of companies for a period of
06 (six) months from date …".
Beximco Pharmaceuticals, has sought
legal advice, wherein it has been opined, among other things,
that:
"The interim order directing
appointment of a receiver for the Beximco Group of Companies does
not in our opinion affect BPL as BPL is a publicly listed company
with both institutional, retail and international shareholders and
does not in any way connected or can be regarded as a 'Beximco
Group of Companies.'"
Beximco Pharma has total shares in
issue, represented by ordinary shares and GDRs, of 446,112,089. Of
this total, only 10.02% is held by associated companies and 4.07%
held by Directors/Sponsors. As such, Salman F. Rahman (who holds
only a 2.04% direct holding in the Company) in no way has a
majority shareholding in Beximco Pharmaceuticals.
Separately the Company argues that
the Petitioner also lacks the Legal Standing to prosecute this Writ
Petition in the Supreme Court.
The Company will take all necessary
action to establish its factual and legal position with regards to
the Writ Petition including whether: (i) Beximco Pharmaceuticals
has been wrongly made a party to this suit, (ii) the interim order
cannot be applied to Beximco Pharma.
Further announcements will be made
in due course.
For further information please
visit www.beximcopharma.com
or enquire to:
Beximco Pharma
S M Rabbur Reza, Chief Operating
Officer
Tel: +880 2 58611001,
Ext.20111
Mohammad Ali Nawaz, Chief Financial
Officer
Tel: +880 2 58611001,
Ext.20030
SPARK Advisory Partners Limited
(Nominated Adviser)
Mark Brady / Andrew Emmott / Adam
Dawes
Tel: +44 (0) 20 3368 3551 /
3555
SP Angel Corporate Finance LLP
(Broker)
Matthew Johnson
Tel: +44 (0) 20 3470 0470
FTI Consulting
Simon Conway / Victoria Foster
Mitchell / Sam Purewal
Tel: +44 (0) 20 3727 1000
Notes to Editors
About Beximco Pharmaceuticals
Limited
Beximco Pharma is a leading
manufacturer and exporter of medicines based in Bangladesh. Since
its inception in 1976, the Company remains committed to health and
wellbeing of people across all the continents by providing access
to contemporary medicines. Company's broad portfolio of generics
encompasses diverse delivery systems such as tablets, capsules,
liquids, semi-solids, intravenous fluids, metered dose inhalers,
dry powder inhalers, sterile ophthalmic drops, insulins, prefilled
syringes, injectables, nebuliser solutions, oral soluble films etc.
The Company also undertakes contract manufacturing for
multinational and leading global generic pharmaceutical
companies.
Beximco Pharma′s state-of-the-art
manufacturing facilities are certified by global regulatory
authorities of USA, Europe, Australia, Canada, GCC and Latin
America, among others and it has a geographic footprint in more
than 50 countries. More than 5700 employees are driving the company
towards achieving its aspiration to be among the most admired
companies in the world.