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Beximco Group takes right decisions at the right time

Beximco Group took business initiatives after the COVID-19 outbreak and all the initiatives proved to be right. The company that calls itself the country's largest private-sector employer turned the COVID-19 outbreak into an opportunity and showed its ability to churn out advanced products.

The pharmaceutical business of Beximco Group was the first to start making and exporting a generic version of remdesivir, a drug in the spotlight as a treatment for COVID-19.The textile and apparel unit of the company, one of the largest in Bangladesh, in May 2020 exported 6.5 million medical gowns custom made to the specifications of the U.S. Federal Emergency Management Agency.

Beximco Group has a long history of doing the right thing at the right moment. It also has a history of coming forward in times of need. The group, founded by siblings Ahmed Sohail Fasihur Rahman and Salman Fazlur Rahman, began as a commodity trading house in the 1970s before expanding into sectors including energy, banking, information technology, real estate and media. Salman Rahman serves as Prime Minister Sheikh Hasina's private industry and investment adviser.

Today it generates more than $1.4 billion in annual revenue and employs 65,000 people worldwide. Beximco is committed to fighting this unprecedented pandemic, in all possible ways, employing its competitive R&D and manufacturing skills.

The company's pharmaceutical business, Beximco Pharma, is Bangladesh's top pharmaceutical exporter and third-largest overall producer by sales. Since last month, Beximco Pharma has exported 25,000 vials of Bemsivir to customers in Nigeria, Azerbaijan, the Philippines, Venezuela and Pakistan, where it is cooperating with local drugmaker Searle.

Beximco has also been donating Bemsivir to local public hospitals since getting approval for its formulation on May 21. Authorities in Bangladesh, the U.S., Japan, India and elsewhere have endorsed intravenous use of remdesivir to treat critically ill COVID-19 patients.

Beximco Pharma already exports five drugs to the U.S. and has regulatory approval for nine others there. Its production facilities have also been certified by regulators from Europe, Australia, Canada and other nations. COVID-19, however, has had a mixed impact on the company. In reporting its fiscal third-quarter results last month, Beximco Pharma noted that the pandemic had depressed visitation to hospitals and clinics and caused prices for active ingredients for its drugs to climb.

The unit warned its revenue growth for the year ended June 30 would likely be less than previously expected while noting that sales for the first nine months had risen 13.3% to 19.11 billion taka ($221.31 million). Analysts surveyed by Refinitiv estimate that Beximco Pharma's annual gross profit margin contracted by almost 1.5 percentage points to 46.4%.

Beximco's textiles and apparel operation supplies products to Western retailers including Target, Zara, Michael Kors, PVH, Tommy Hilfiger and Calvin Klein. The group's new PPE unit, set up with a $30 million investment in late March, is now making 50 million masks, gowns and other types of protective gear a month.

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