MIRA INFORM REPORT

 

 

Report Date :

25.11.2008

 

IDENTIFICATION DETAILS

 

Name :
GLAXOSMITHKLINE PAKISTAN LIMITED

 

 

Registered Office :

35-Dockyard Road, West Wharf, Karachi - 74000

 

 

Country :

Pakistan

 

 

Financials (as on) :

30.09.2008

 

 

Year of Establishment :

1948

 

 

Com. Reg. No.:

00000304

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Manufacture and Marketing of research based ethical specialties, other pharmaceutical, animal health and consumer health care products

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

Fairly Large

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

                                   

Business Name

 
GLAXOSMITHKLINE PAKISTAN LIMITED

 

 

Full Address       

 

Registered Address

35-Dockyard Road, West Wharf, Karachi - 74000, Pakistan

                       

Tel

92 (21) 2315101 - 8 & 2315478 - 82

Fax

92 (21) 2311105 & 2314898

 

 

Factories

Address

F/268, S.I.T.E., P.O. Box No. 3686, Karachi, Pakistan.

Tel

92 (21) 2570665 - 9 & 2564355 - 65

Fax

92 (21) 2564749 & 2564729

 

           

 

 

 

Address

19.5 KM, Ferozpur Road, P.O. Box 244, Lahore, Pakistan.

Tel

92 (42) 5811931 - 4

Fax

92 (42) 5811940

 

Address

D/43, Textile Avenue, S.I.T.E., P.O. Box No. 3686, Karachi, Pakistan.

Tel

92 (21) 2578600 – 9

Fax

92 (21) 2563668

 

 

Short Description Of Business

 

Nature of Business           

Manufacture and Marketing of research based ethical specialties, other pharmaceutical, animal health and consumer health care products.

Year Established

1948  

Registration #

00000304  

 

 

Auditors

           

A. F. Ferguson & Co.

(Chartered Accountants)

 

 

Legal Status

 

The company is incorporated in Pakistan as a limited liability company and is listed on the Karachi and Lahore Stock Exchanges of Pakistan.

           

 

 

Change of name

           

The Company’s name changed from “Glaxo Wellcome Pakistan Limited” to “GlaxoSmithKline Pakistan Limited”. The change takes place following the legal merger of the business of M/S Smith Kline & French of Pakistan Limited and Beecham Pakistan (Private) Limited with Glaxo Wellcome Pakistan Limited in 2002.

 

 

Details of Chief Executive/Directors

 

Names

Designation

Mr. M. Salman Burney

 

Mr. Tariq Iqbal Khan

 

Mr. Rafique Dawood

 

Mr. Shahid Mustafa Qureshi

 

Mr. Ghulam Mustafa Aziz

 

Dr. Muzaffar Iqbal

 

Dr. Iffat Yazdani

Chairman / Chief Executive

 

Non-Executive Director

 

Non-Executive Director

 

Non-Executive Director

 

Legal & Regulatory Affairs Director

 

Technical Director

 

Area Director Asia Pacific

 

 

Categories of Shareholders               

 

Categories of Shareholders
Number

  Shares Held

    Percentage

Individuals

Investment Companies

Insurance Companies

Joint Stock Companies

Financial Institutions

Associated Companies

Central Depository Company (b)

Others

        2,620

               4

               5               14

               8                 2

1,003                 5                

3,855,132

2,109

2,622,897

41,013

43,428

68,840,073

11,963,783

15,549

4.41

0.00

3.00

0.05

0.05

78.78

13.69

0.02

 

 

Holding Company                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     

 

GlaxoSmithKline plc incorporated in United Kingdom is the parent company. As at December 31, 2004, GlaxoSmithKline International Luxembourg and SmithKline Beecham Intercredit, B.V. Netherlands (subsidiaries of the parent company), and their nominees held 40,385,875 and 28,454,363 shares of Rs. 10 each respectively.

 

 

Products

 

Augmentin, Amoxil, Ampiclox, Ceporex, Bactroban, Septran, Penbritin, Zinacef, Zinnat, Fortum, Floxy, Orbenin, Wellcodox, Syraprim, Panadol, Calpol, Dicofen, Empirin Compound, Iodex, Seretide, Ventide, Ventolin, Flixotide, Beconase, Serevent, Becotide, Amphyll, Avandia, Zantac, Tagamet, Marzine, Milk of Magnesia, Seroxat, Imigran, Requip, Lamictal, Kemadrin, Migril, Egerix –B, Havrix, Infanrix, Tritanrix, Fluarix, Hiberix Typherix, Varilrix, Priorix, Fefol-Vit, Revitale-M, Revitale-B, Starvits, Cytacon, Uniplex, Cytamen, Wellcosine, Cytexin, Zeffix, Valtrex, Zovirax, Hepsera, Betnesol, Cortisporin, Polyfax, Betnesol, Otosporin, Lidosporin, Actified, Piriton, Actidil, Cutivate, Betnovate, Polyfax, Cicatrin, Lotrix, Pilzcin, Betnelan, Furacin, Silvate, Lanoxin, Angised, Halfan, Dependal-M, Furoxone, Tracrium, Hycamtin, Zofran, Zyloric, Imuran, Thyroxin, Relifex, Aquafresh, Macleans, Sensodyne, Horlicks, ENO.

 

 

Number of Employees

 

1,902

 

 

Capacity And Production

 

 The capacity and production of the company’s plant is indeterminable as it is multi-product and involves varying processes of manufacture.

 

 

Distribution / Sales Offices (All Over Pakistan)

 

(1) F/268, S.I.T.E., P.O. Box No. 3686, Karachi.

(2) Cordeiro House, Plot No. 27, Kot Lakhpat Industrial Estate, Kot Lakhpat, Lahore.

(3) Plot No. 77/80, Block ‘B’, Friends Co-operative Housing Society, Akhuwat      Nagar, Shahrah-e-Tasneem, Airport Road, Sukkur.

(4) Aleem House, Plot No. 409, Sector 1-9, Industrial Area, Islamabad.

(5) Islam-ud-din House, Mehmood Kot, Bosan Road, Multan.

(6) D’souza House, Nasirpur, Near Abid Flour Mills, G.T. Road, Peshawar.

 

 

Exports

 

Exports, which mainly comprised of Betnovate Cream, Actified Syrups and Septran, were to Adechsa-Switzerland and Glaxo Wellcome Sri Lanka.

 

 

Bankers

 

(1) The Royal Bank of Scotland, Pakistan.

(2) Citibank NA, Pakistan.

(3) Habib Bank Limited, Pakistan.

(4) Standard Chartered Bank, Pakistan.

(5) HSBC Bank Middle East Limited, Pakistan.

 

 

Payment

 

Regular.

 

 

Future Outlook

 

GlaxoSmithKline Pakistan aims to create value for its shareholders by continuing to provide affordable healthcare products to its customers many of which are the most cost effective treatment options available to the doctors and patients. The Company will also continue to focus on introducing innovative medicine which are developed through it’s global R & D efforts. An area of particular focus for the Company in Pakistan is the area of preventive healthcare & vaccines. GlaxoSmithKline is the world’s leading developer and manufacturers of vaccines. The potential to cost effectively prevent disease and protect health in Pakistan is significant and the Company sees this as an area of great opportunity for adding value to the healthcare situation in the country. The year 2008 is likely to be challenging, in particular for the Pharmaceutical industry in Pakistan. The industry has great potential for growth, however, its sustained success depends on a regulatory environment which is able to balance the interests of this research based industry, with the need for affordable healthcare. Prices for pharmaceutical products remain unchanged since 2001 and there has been no offset given to account for the adverse impact of increasing inflation (particularly in energy and fuel costs), raw and packing material costs and devaluation.

 

 

Foreign Exchange Rates

 

Currency

 

Unit

Pakistani Rupee

US Dollar

1

            Rs. 78.00

UK Pound

1

            Rs. 117.00

Euro

1

            Rs. 99.40

 

 

Comments

 

Subject Company is well known and directors are resourceful and experienced businessmen. Trade relations are reported as fair.  Payments to creditors etc are reported as normal. The Company can be considered good for normal business dealings at usual trade terms and conditions. MAX CREDIT LIMIT: PKR 20 MILLION.

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.49.85

UK Pound

1

Rs.76.60

Euro

1

Rs.64.68

 

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

NR

In view of the lack of information, we have no basis upon which to recommend credit dealings

No Rating

 

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions