Al-Madina Pharmaceuticals Limited wants to raise Tk5 crore through a qualified investor offer (QIO) from the SME platform of the Dhaka Stock Exchange under the book-building method.
As per the book-building criteria, the company will arrange a virtual roadshow on 20 March in Dhaka, where it will introduce itself to institutional investors.
Al-Madina Pharma was incorporated on 27 July 2006. Its factory is situated in Tongi, Gazipur.
The company manufactures, buys, sells, refines, imports, and exports pharmaceutical, medical, and medicinal products.
Currently, it manufactures more than 150 veterinary drugs and imports more than 70 human drugs.
Prime Bank Investment Limited and EC Securities Limited are working as issue managers of the company.
From July to December 2021, the company's revenue was Tk32.67 crore, which was Tk20.93 crore in the same period the previous year.
During the period, its net profit stood at Tk1.85 crore, which was Tk0.76 crore in the previous year.
The company's earnings per share were Tk1.24, and its net asset value per share stood at Tk12.54 as of December 2021.
Insights of the sector
The pharmaceutical industry has developed considerably in Bangladesh. In the post-independence period, Bangladesh was almost 100% dependent on imported foreign medicines. But now, Bangladeshi medicines are being exported to 180 countries of the world.
Local companies are now meeting 98% demand of the domestic market. They are developing and producing a variety of complex and international standard medicines including vaccines, medicines for heart and cancer diseases, and insulins.
According to IQVIA, an American multinational pharmaceutical company, Bangladesh's pharmaceutical market surpassed Tk27,000 crore in 2020 with an annual growth of more than 10%. Also, Bangladeshi companies export medicines worth around Tk1,500 crore per year. However, 71% of the country's total medicines are sold by the top 10 companies in the pharma industry.
According to the Export Promotion Bureau, revenue from drug exports in FY21 was Tk1,433 crore.
In that year, the income growth in this sector was 24.5%. In FY20, Bangladesh exported medicines worth Tk1,153 crore.