Beximco Pharma borrows $51.5 million to fund expansion

Bangladesh-based Beximco Pharmaceuticals (AIM: BXP) has entered into a new loan agreement to borrow up to $51.559 million to partially finance the purchase of new plant and machinery to expand its production facilities in Dhaka.

The loan, which is secured on the plant and machinery being purchased, will be drawn down in four tranches against delivery and installation of the plant and machinery starting now. The installation is due for completion in June 2016, with commissioning to be completed by September 2016.

Nazmul Hassan, managing director of Beximco Pharmaceuticals, said: “We are delighted to have had formal approval for the new Loan Agreement, which enables us to fund the purchase of new plant and machinery to expand our facilities in Dhaka. The investment is aimed at securing the company’s current and future growth, increasing the production capacity and adding new products in the portfolio to cater to the demand of domestic and international markets.”