BFBIO seeks to double exports, local sales post-capacity expansion

KARACHI: BF Biosciences Limited (BFBIO), Pakistan’s first biopharmaceutical manufacturer plans to almost double its exports in the next few years mainly on the back of export certifications, and plans to obtain registrations for various global markets.

Initially, BFBIO is eyeing less regulated markets in Central Asian states, Africa, and Central American countries for expanding its export base.

The biotech pharmaceutical leader is looking to raise up to Rs 1.93 billion rupees from stock investors through an Initial Public Offering (IPO) on September 25-26 to expand its key product lines and obtain export certifications, specifically PIC/S.

“After the IPO, BF Biosciences is aiming to achieve Rs 700 million exports target in the first year and Rs 1.2 billion target in the second year,” said Muhammad Farhan, Chief Operating Officer (COO).

The money raised from the IPO will be used to secure international certifications that would not only pave the way for increase in exports of biotech pharmaceutical products from Pakistan, but will also help securing toll opportunities in the region, he added.

Post export certification, the company will be focusing on more regulated markets, including Indonesia, Belarus, Ukraine, and others. The company’s current major export destinations include Sri Lanka, Myanmar, Uganda, Kenya, and the Philippines.

“Pakistan’s current pharma exports stand at about $300 million which can easily cross $1 billion given the Pakistan’s quality of medicines and exports potential” said BF Biosciences’ Director, Osman Khalid Waheed.

BFBIO is a joint venture company set up by Ferozsons Laboratories Limited and Argentina’s Bagó Group. The Company was the only Pakistani corporate licensed by Gilead Sciences for local manufacture and export of Remdesivir to countries in three continents.

The company exported to over fifteen countries, including Indonesia, Belarus, Ukraine, and other PIC/S regulated nations during the Covid-19 pandemic.

Once its Line II becomes operational in the second quarter of current financial year (2024-25), BFBIO is targeting PIC/S certification after which it can export to more regulated markets. In the meanwhile, the Company plans to start exporting its medicines to Central American, Far Eastern and Central Asian countries where Bagó and Ferozsons Laboratories have a strong presence.

“These markets will be our primary focus in the short to medium term,” Farhan said adding the regulators from Uganda, Kenya, Ghana and Yemen have already audited the company’s manufacturing plant.”

“We are working on the local distributors in these countries to finalize the business plans,” said the COO.

The company has received a tentative forecast from the distributors in Afghanistan and expects to start selling its first product range of anticoagulant called Noxane in the neighbouring country in the third quarter of this fiscal year.

The company has already registered majority of its new products for exports, which is bound to positively reflect on its revenues going forward.

With the local market share of its existing brands ranging from 25 percent to 100 percent, BFBIO has a strong portfolio of biosimilars including products like Erythropoietin (used in kidney dialysis patients) Terlipressin (used in liver cirrhosis), and Filgrastim (used in cancer patients).

Besides boosting exports, Pakistan’s biopharmaceutical pioneer is also trying to expand into key therapeutic areas and address significant healthcare needs in Pakistan particularly in diabetes management. Its new pipeline includes Ferulin (recombinant human insulin), Sematide (Semaglutide) and Ferium (IV iron carboxymaltose).

In Pakistan, over 30 million people (30 percent of the adult population) are diabetic, representing the world’s highest prevalence of diabetes mellitus. Ferulin (Insulin) and Sematide (Semaglutide) address a huge unmet need in a patient population that is growing by an estimated 20 percent per annum.

In the recent years, Pakistan faced an acute shortage of insulin after the departure of a few multinational pharmaceutical players. “BF Biosciences is committed to address unmet needs for quality, affordable insulin.” Farhan said. “We want to make quality insulin accessible for every diabetic patient in Pakistan, who needs it.”

“BFBIO also has a plan to tap the Rs 2.2 billion market of ferric carboxy maltose by launching the iron-deficiency-anemia treatment in October. The company is also launching heparin sodium in the second quarter. Both carboxy maltose and heparin sodium, complement BFBIO’s existing product portfolio of erythropoietin used in chronic kidney diseases (CKD) in Pakistan,” Farhan said.

Pakistan’s ageing population is another significant revenue driver for the local pharmaceutical industry as about 16.5 million or 6.9 percent people in this country have grown beyond the age of 60 years. Of this 53 percent are women.

Just recently, the company got a nod from the Drug Regulatory Authority of Pakistan (DRAP) for its brownfield expansion that includes pre-filled syringes line, liquid, lyophilized line and product development section.

Copyright Business Recorder, 2024