Last checked at 14 Jan 2021 09:00
14 January 2021
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014
BEXIMCO PHARMACEUTICALS LTD.
Update on the supply of COVID-19 vaccine into Bangladesh
Further to the Company's announcement on 5 November 2020, Beximco Pharmaceuticals Limited ("Beximco Pharma" or "the Company"; AIM Symbol: BXP, LEI No.: 213800IMBBD6TIOQGB56), the fast-growing manufacturer of generic pharmaceutical products and active pharmaceutical ingredients, provides the following update in relation to the Memorandum of Understanding ("MOU"), signed in November 2020, for the supply and distribution of 30 million doses of the Oxford University/AstraZeneca SARS-CoV-2 vaccine, AZD1222 ("the Vaccine"), in Bangladesh, the status of regulatory approvals required and the Company's plans to purchase and distribute the Vaccine to the private healthcare market in Bangladesh.
In its announcement on 5 November 2020, the Company outlined the terms of the MOU, signed with the Serum Institute of India Pvt. Ltd ("SII") and the Government of Bangladesh ("GOB"). A formal purchase agreement ("the Agreement"), in the same terms as the MOU, was subsequently entered into by the parties in December 2020. The Agreement was subject to the Vaccine receiving either (i) "Emergency Use Listing" by the World Health Organisation, or (ii) "Emergency Use Authorisation" by the UK's Medicines & Healthcare products Regulatory Agency (MHRA) or the US Food and Drug Administration (USFDA), as well as permission from the Bangladesh Director General of Drug Administration's ("DGDA") for import into the country. As announced by the GOB, the Vaccine was approved by DGDA for emergency use in Bangladesh on 7 January 2021.
All doses of the Vaccine being purchased by the GOB for its mass vaccination programme are contracted to be supplied within six months of approval. The first doses are expected to arrive in Bangladesh towards the end of January 2021, with further deliveries taking place on a monthly basis thereafter until June 2021. Under the Agreement, Beximco Pharma is acting as the exclusive distributor for the Vaccine in Bangladesh.
In addition, and separate to the Agreement, the announcement on 5 November 2020 noted that the Company had agreed to import a further one million doses of the Vaccine from SII for sale and distribution to the private pay market in Bangladesh. The first 500,000 doses are expected to be delivered to Beximco Pharma at the end of January 2021 and will be offered for sale from February 2021 after GOB commences its mass vaccination programme. The remaining 500,000 doses are expected to arrive towards the end of February 2021. The Company, which is paying $8 (Cost and Freight basis) for each private pay market dose, is targeting a retail price of 1,200 taka (approx. $14) inclusive of vaccination charges although the final pricing decision is subject to approval from the DGDA.
Also stated in the announcement on 5 November 2020, Beximco Pharma may look to import additional quantities of the Vaccine for the private pay market, dependant on demand. Since approval of the Vaccine, the Company has requested up to a further two million doses from SII for delivery to Beximco Pharma over four months from March 2021. However, given worldwide demand for the Vaccine there is no guarantee SII will be able to fulfil this request and no purchase order has been agreed.
As announced in November 2020, whilst the terms and costings for these transactions have not yet been finally determined, Beximco Pharma believes that the Agreement, together with plans to supply the private pay market with one million doses of the Vaccine, could make a material positive difference to the Company's results for the year ended 30 June 2021, if delivery of vaccine to GOB is largely completed within the financial year, as planned.
The Company intends to update the market on progress as and when appropriate.
For further information please visit www.beximcopharma.com or enquire to:
Beximco Pharma |
Nazmul Hassan MP, Managing Director Tel: +880 2 58611001, ext.20080
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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
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SPARK Advisory Partners Limited (Nominated Adviser) Mark Brady / Andrew Emmott Tel: +44 (0)20 3368 3551 / 3555
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SP Angel Corporate Finance LLP (Broker) Vadim Alexandre / Abigail Wayne Tel: +44 (0) 20 3470 0470
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FTI Consulting Simon Conway / Victoria Foster Mitchell Tel: +44 (0)20 3727 1000
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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 5,500 employees are driving the company towards achieving its aspiration to be among the most admired companies in the world.