MIRA INFORM REPORT

Report No. :	334719
Report Date :	01.08.2015

IDENTIFICATION DETAILS

Name :	SQUARE PHARMACEUTICALS LIMITED
Registered Office :	Square Centre, 48, Mohakhali C/A, Dhaka-1212
Country :	Bangladesh
Financials (as on) :	31.12.2014
Date of Incorporation :	10.11.1964
Com. Reg. No.:	C-2252
Legal Form :	Public Listed Co
Line of Business :	Manufacturer, Distributor and Exporter of Pharmaceutical Finished Products, Basic Chemicals, Agro Vet Products Pesticide Products, Small Volume Parental Ophthalmic Products and Insulin Products.
No of Employees :	5868

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

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – March 31, 2015

Country Name	Previous Rating (31.12.2014)	Current Rating (31.03.2015)
Bangladesh	A2	A2

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderate Low Risk	B1
Moderate Risk	B2
Moderate High Risk	C1
High Risk	C2
Very High Risk	D

BANGLADESH ECONOMIC OVERVIEW

Bangladesh's economy has grown roughly 6% per year since 1996 despite political instability, poor infrastructure, corruption, insufficient power supplies, slow implementation of economic reforms, and the 2008-09 global financial crisis and recession. Although more than half of GDP is generated through the service sector, almost half of Bangladeshis are employed in the agriculture sector with rice as the single-most-important product. Garment exports, the backbone of Bangladesh’s industrial sector, accounted for more than 80% of total exports and surpassed $18 billion in 2014. The sector has remained resilient in recent years amidst a series of factory accidents that have killed over 1,000 workers and crippling strikes that shut down virtually all economic activity. Steady garment export growth combined with remittances from overseas Bangladeshis - which totaled $14 billion and 8% of GDP in 2014 - are the largest contributors to Bangladesh’s current account surplus and rising foreign exchange holdings.

Source : CIA

IDENTIFICATION DETAILS
Correct company Name	:	Square Pharmaceuticals Limited
Head Office	:	Square Centre, 48, Mohakhali C/A, Dhaka-1212, Bangladesh.
Tel No	:	88-02-8833047-56, 9859007 (10 lines)
Fax No	:	88-02- -8834941, 8828768
E-mail	:	info@squaregroup.com
Website	:	www.squarepharma.com.bd
Date/ Year of Incorporation	:	10.11.1964
Incorporation No.	:	C-2252
Legal Form (General)	:	Public Listed Co Public (but not listed) Private Co State-owned Co Sole Proprietorships Partnership Not Registered others (please specify) ________________
Legal form (Specific)	:	LTD CORP INC CO others (please specify) ________________
Issuing Authority	:	Registrar of Joint Stock Companies & Firms City Corporation Municipal Administration Union Council Cantonment Board Chief Controller of Import & Export (CCIE)

FINANCIALS- SUMMARY
Year	Turnover/ Sales	Assets	Income
31-03-2014	BDT 6,946,968,912 (Oct-Decem,2013)	BDT 31,046,074,531	BDT 1,508,640,019 (Oct-Decem,2013)
31-12-2014	BDT 7,381,026,502 (Oct-Decem,2014)	BDT 33,464,963,470	BDT 1,527,591,890 (Oct-Decem,2014)
Exchange Rate	USD1-Tk. 77.8200 EUR 1- Tk. 100.2711 GBP 1- Tk.118.5354 AUD 1 - Tk.82.8563 JPY 1 - Tk.0.9286	CAD 1 - Tk.80.1887 SEK 1 - Tk.12.2870 SGD 1 - Tk.65.3045 CNH 1 - Tk.12.8399

FULLCHECK REPORT DETAILS
Information Parted By
Name	:	Mr. Khandaker Habibuzzaman
Designation	:	Company Secretary
Contract No	:	N/A

Locations Details
Business Address	:	Square Centre, 48, Mohakhali C/A, Dhaka-1212, Bangladesh.
Tel No	:	88-02-8833047-56, 9859007 (10 lines)
Fax No	:	88-02- -8834941, 8828768
E-mail	:	info@squaregroup.com
Website	:	www.squarepharma.com.bd

Location :

: Owned

Ö

Rented

Leased

Area

8500

Sq. ft.

	Type of Office :	: Commercial Office Bldg.			Ö		Semi-commercial office Bldg.
		Retail shop				Industrial Park
		Business Center				Home Office
		Residential Bldg.
Factory-1:
Address			:	Momin Nagar, Gorai, Mirzapur, Tangail, Bangladesh
Tel No			:	N/A
Fax No			:	N/A

Location :

Owned

Ö

Rented

Leased

Area

5

Acres

Factory-2:
Address	:	Square Road, Salgaria, Pabna, Bangladesh.
Tel No	:	N/A
Fax No	:	N/A

Location :

Owned

Ö

Rented

Leased

Area

2.5

Acres

Factory-3:
Address	:	Board Ghar Bazar Kaliakoir, Gazipur, Bangladesh.
Tel No	:	N/A
Fax No	:	N/A

Location :

Owned

Ö

Rented

Leased

Area

2

Acres

Branches:
Address	:	N/A
Tel No	:	N/A
Fax No	:	N/A

Employee:
No. of Employees	Executive	:	2829	Worker	:	1288
	Non-executive	:	1751	Total	:	5868
Details:

OWNERSHIP/SHAREHOLDERS
Names of Shareholders	No. of Share
Mr. Samuel S Chowdhury	34,043,600
Mrs. Ratna Patra	32,627,676
Mr. Tapan Chowdhury	34,784,813
Dr. Kazi Harunar Rashid	18,443,474
Mr. Anjan Chowdhury	35,225,253
Mr. Kazi Iqbal Harun	20,037,245
Mr. Md. Kabir Reza	6,121
Mr. Khandaker Habibuzzaman	182
Mr. Anjan Kumar Paul	80,862
Mr. Muhammadul Haque	28,956
Mr. Mahbubur Rahman	4,823
Foreign Investors	72,521,297
Financial and Other Institutions	49,839,364
General Public	256655486

DIRECTORS
Name	Designation
Mr. Samuel S. Chowdhury	Chairman
Mrs. Ratna Patra	Vice Chairman
Mr. Tapan Chowdhury	Managing Director
Dr. Kazi Harunar Rashid	Director
Mr. Anjan Chowdhury	Director
Mr. Kazi Iqbal Harun	Director
Mr. M. Sekander Ali	Independent Director
Mrs. Nihad Kabir	Independent Director

Management
Name	:	Mr. Parvez Hashim
Job Description	:	Head of Operations
Nationality	:	Bangladeshi
Email address	:	N/A
Other details	:	N/A
Name	:	Mr. M Ashiqul Hoque Chawdhury
Job Description	:	Head of Admin & Supply Chain
Nationality	:	Bangladeshi
Email address	:	N/A
Other details	:	N/A
Name	:	Mr. Md. Kabir Reza
Job Description	:	Head of Accounts & Finance
Nationality	:	Bangladeshi
Email address	:	N/A
Other details	:	N/A

BUSINESS OPERATIONS
Nature of Activity :	Manufacturer	Ö	Trader	Dealer	Distributor	Ö
	Exporter	Ö	Importer	Services	Others

Range of Products:
Products	:	Pharmaceutical Finished Products, Basic Chemicals, Agro Vet Products Pesticide Products, Small Volume Parental Ophthalmic Products and Insulin Products.
Production Capacity	:	N/A
Last Year Production	:	N/A

Trading Terms:

Purchasing Terms:	L/C	Ö	Cash	Others
	Credit :		30 days	60 days	Ö	90 days	days

Selling Terms :	L/C		Cash	Ö	Others
	Credit :	Ö	30 days		60 days	90 days	days

DETAILED DATA
Trade Reference & Related Parties	:	Overseas Clients		:	N/A	Local Clients	:	Local Pharmacy
		Overseas Suppliers		:	N/A	Local Suppliers	:	N/A
Trade Markets	:	Exports		:	Sri lanka, India, Bhutan, Vietnam.
		Imports		:	China, India, Germany, Singapore, UK
Brand Name	:		Square
Certified	:		Nil
Auditors	:		M/s. Das Chowdhury Dutta & Co. Chartered Accountants Well Tower, 1st Floor, Flat-A/1 12/A Purana Paltan Line, Dhaka
Operation Status	:		Active
Member	:		Dhaka Chamber of Commerce & Industry

CAPITAL STRUCTURE
Authorized Capital	:	BDT 10,000,000,000
Paid-up Capital	:	BDT 5,542,991,520	No. of Shares	:	554299152	Share Value	:	Tk.10.00Each
Main Assets	:	BDT 33,464,963,470

FINANCIAL STATEMENT- DETAILED
Balance Sheet :
	Currency	: Tk.
	Denomination	: 1
	Financial Year Ending	: 31-12-2014

Income Statement :
	Currency	: Tk.
	Denomination	: 1
	Financial Year Ending	: 31^st March’2014

ASSOCIARES/SUBSIDIARIES/ RELATED PARTIES
Sister concerns	:	Squre Yarns Ltd. Unitrend Limited Square Fashion Ltd. Square Air Limited Mediacom Limited Square Textiles Ltd. Square Hospitals Ltd. Square Spinning Ltd. Square InformatiX Ltd. Square Knit fabrics Ltd. Square Toiletries Limited Square Consumer Products Ltd. Square Herbal and Nutraceuticals Ltd. Square Agro Development and Processing Ltd
Subsidiary	:	Square Cephalosporins Ltd. Square Formulations Ltd.
Name of The Group	:	Square Group

BANKING
Bank Name	:	HSBC Citibank N.A Trust Bank Ltd. Bank Asia Ltd. Janata Bank Ltd Prime Bank Ltd. Bank Alfalah Ltd. Eastern Bank Ltd. Standard Chartered Bank Shahjalal Islami Bank Ltd. Commercial Bank of Ceylon

ADVERSE DATA MONITORING
Dishonored Checks	:	No Record Found
Debt	:	No Record Found
Litigation	:	Clear
Performance Defaults	:	No Record Found
Adverse Local Media Coverage/ Adverse Filling History	:	No Record Found

SITE VISIT COMMENTARY

Our representative visited the subject company Head address which is situated at 48, Mohakhali C/A, Dhaka-121, Bangladesh. It is situated at commercial area which is a well decorated modern office.

GENERAL COMMENTS

The subject company is a well-known reputed company in Bangladesh. Their products popular to the local customers. So day by day the subject companies increase their goodwill. Based on the financial statements, SC’s financial performance appears to be Strong.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs. 64.01
UK Pound	1	Rs. 99.84
Euro	1	Rs. 70.16

INFORMATION DETAILS

Analysis Done by :	DIV
Report Prepared by :	ASH

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	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
--	NB	New Business	--

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

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.