In a notification to Pakistan Stock Exchange, the board of directors of AGP Limited said that in a meeting held on June 19, 2020, they authorized the company to evaluate inorganic growth and acquisition-related investment opportunities and conduct necessary feasibility studies, engage consultants, valuator, and advisors after deliberation.
The board further authorized the management to enter into non-binding discussion, negotiations, and arrangements and present them to the board for final consideration.
A.A.H Soomro, Managing Director at Khadim Ali Shah Bukhari Securities told ProPakistani,
The company has a history of growing the business through mergers and acquisitions. They have been out for a hunt for a while now. Given the growth opportunities in healthcare, companies could and should look for expansion across the chain.
The company started the year continuing with its growth trajectory until uncertainty and volatility hit the business and economic environment due to COVID-19 at the close of the first quarter of 2020.
It had reported a profit of Rs. 434 million during the first quarter of 2020 as compared with Rs. 425 million as recorded in the same period last year.
Overall, sales of the company during the first quarter of 2020 were recorded at Rs. 1.75 billion, reflecting a growth of 9% compared to the same period last year. The domestic portfolio delivered steady performance and impressive improvement in institutional business also supported the growth in total sales.
AGP is Mylan’s exclusive distributor in Pakistan, which is the world’s second-largest generic drug manufacturer.
The Honorable High Court of Sindh vide its order dated 07 May 2019 has sanctioned the Scheme of Arrangement (the Scheme) entered among OBS Pakistan (Private) Limited, OBS Healthcare (Private) Limited, OBS Ophthalmics (Private) Limited and Aitkenstuart Pakistan (Private) Limited.
Consequently, the 141,485,434 ordinary shares (representing 50.53% shareholding) of the company held by OBS Pakistan (Private) Limited have been transferred to Aitkenstuart Pakistan (Private) Limited [APPL] under the Scheme by virtue of which APPL becomes the parent company and West End 16 Pte Limited Singapore is the ultimate parent company.
As of now, Aitkenstuart Pakistan (Private) Limited holds 52.98% of the share capital of the Company.
AGP Limited was incorporated as a public limited company in May 2014 under the repealed Companies Ordinance 1984 (now Companies Act 2017). The company got listed on Pakistan Stock Exchange Limited on 05 March 2018.
AGP began its commercial operations in 1989 as an independent pharmaceutical manufacturing company in Karachi, Pakistan. It has steadily grown through manufacturing and marketing products under licensing arrangements with many companies of international repute and also through manufacturing and marketing its own brands.