acme lab

1. Company analysis of ACME Laboratories Ltd.
The ACME Laboratories Ltd. started its commercial operation in the year 1954 as a proprietorship concern.Later
on, the enterprise converted into a privatelimited company on 17 March 1976 vides registration no. C‐4745/163
of 1975‐76 under the Companies Act‐1913 and itwas converted into a public limited company on 30 November
2011.In the way of its over six decades journey, ithas transformed itself from good to better and ithas been
moving towards the great from better through converting into a public limited Company. Right now, it is peeping
into the Capital Market.
Formation of the Company and changes of its status
In 1954, year of foundation of ACME as proprietorship firm
In 1976, the firmconverted into a PrivateLimited Company
In 2011, ACME converted into a Public limited Company
In 2013, the Company raised paid up capital amountingBDT2060 million by issuing39.63 million
Ordinary shares
Details of capacity/facility creation, Launching of plant, products and marketing
In 1983, Started commercial operation in modern facilities after BMRE projectat Dhamrai
In 1995, ACME started its firstjourney to International Operation by exportingmedicines to Bhutan
In 1999, ISO 9001:1994 certification for its Quality Management System & In the same year launched
Veterinary Division
In 2006, ACME completed 18‐storied corporateoffice
In 2007, Inclusion veterinary section under QMS scopeof ISO 9001:2000
In 2009, Up‐gradation of QMS as per latest version of ISO 9001:2008
In 2011, launched Modern new state of the ART facilities ASPLfor solid Dosages
In 2012, ASPL achieved certification of ISO 9001‐2008 for the new state–of–the art solid dosages
In 2013, ASPL amalgamated with The ACME Laboratories Ltd.
In 2014, the Company started its commercial operation in followingfacilities:
 Cephalosporin unitwhich is oneof the largeststate of the artCephalosporin facilities in theCountry
 Liquid in hard gelatin products facilities
 Parenteral Products facility under BFS technology which is highly automated facility
key Management Personnel
In 1995, Mr. Mizanur Rahman Sinha became ManagingDirector of the Company
In 2014, Mr. Afzalur Rahman Sinha became Chairman of the Company.
Market
All of the products' markets are throughout the Bangladesh and approximately 170 products areexporting outside
the country.
Employee jobsatisfaction & Our observations
Workersjobsatisfactionsare average , and theyholdstrongvalues aboutloyalty.Acme organizes
trainingsandworkshopsheldtotrainthe rural people aboutcultivatingagrovetproductssuchasAashak
Adovashandthose massivelyusedYunani drugs.
Staffsorganizational behavior’s:ACMEhave a fully computerizedbookkeepingsystemandauditsystem
isveryhightheyalso have strongbondswiththeirteam.Theybrag abouttheirteamworkthatlead

2. acme to one of the acme of pharmaceuticalsindustryinBangladesh.
itsall about strongbondand group negotiationthattheyvalue whichultimatelyleadthemtothe
Avggrowth rate 16% thisishow acme operateswiththeirteamworkendeavor.
As a resultthere islesscommunicationgapintheirworksystem.
Theirrigidbutaverage managementsystemleadstohighproductivitybutdecreasessometimesthe
expectationsof the peers.Sothisiswhatactuallyhappensinthe workplace they said.
Alsosome of the biasestheymade thatis nepotismasitisunavoidable bysome employee.
But our utmostconcernis as thisindustryisleadbyinnovation&we foundlackof investmentand
initiativeinR&Dsection.Lackof developmentisina sense thatfuture predictsthatif youdon’tinnovate
than youlag behindthisisthe mantra.
ACME’s Strategies
1) Ensure health, vigor and happiness for all;
2) Ensure stableand long‐term return to our investors;
3) Maintain state‐of‐the‐art manufacturingfacilities for ensuringbestquality products to the customers;
4) Obtain word classaccreditation by proper execution of ISO 9001:2008 standard,WHO cGMP standard and
best practices thatare proven effective;
5) Expand existingand develop new largescaleprojects to diversethe product range and related
diversification;
6) Strengthening our existingmarket share,cope with the changingscenario in the pharma industry to

3. ensure higher prescription rates,transparency and improved products and services for our existingand
potential customers;
7) Comprehensive marketing and distribution network (Both in domestic and i nternational markets);
8) Excellent relationship with health careprofessionals,chemists and other concerned stakeholders;
9) Seek new ways of workingto improve efficiency and ensure sustainability.
Prospectus of ACME
Observations
Comforts:
Average business and financial performance
Wide distribution network
Experienced corporate management
Sound production facilities
State‐Of‐The‐Art technology
Good number of products in the market
Adequate ETP facility
Regular loan repayment history
Concerns:
Moderate debt based capital structure
Moderate liquidity
Increasein costof goods sold
Long cash conversion cycle
TRIPS Agreement expiration risk
Foreign currency risk
Competition risk
Opportunity:
Cheap skilled human resource base
Launchingof new products
Establishmentof backward supply linkage
Exploringmore export markets
Immense opportunity of penetration in foreign market
Friendly government drug policy
Challenges:
Limited scopeof local rawmaterial sources
Severe competition in local market
Maintenance of international standard
Risk factors
1. Operational & MaintenanceRisk
2. Quality Control Risk
3. Raw Material Supply Risk
4. Power Supply Risk
5. Competition Risk

4. 6. Foreign Exchange Risk
7. TRIPS Agreement Expiration Risk
plant, products, marketing, change in ownership and/ or key management personnel etc.;
5 years sales of The ACME Laboratories Ltd. (Amount in BDT)
Year/Sales 2013‐2014 2012‐2013 2011‐20122010‐2011 2009‐2010
Domestic Sales 9,854,662,369 8,635,790,556 8,645,975,391 6,742,610,671 5,332,867,274
Export Sales 363,269,096 337,528,776 192,116,522 254,140,010 224,370,444
Total Sales 10,217,931,465 8,973,319,332 8,838,091,913 6,996,750,681 5,557,237,718
Pharmaceuticalsproducts aremet one of the basic needs for all livingbeing.Itis one of the fastestgrowing
industries
in the world.
Relative contribution of Products/Services contributing more than 10% of the total revenue
There is no product that accountfor more than 10% of the Company’s total revenue.
ACME Distribution Network
ACME has its own distribution network to distributeits products throughout the country. All products produced in
then factory, arebrought to the central depot at Hemayetpur, Savar,before a fleet of 100 vehicles of the company
distributethe products to 19 other sales centers/depots located across the country. Partof the sales network is
outsourced.