Beacon Pharmaceuticals Ltd------- Prospectus

Light for Life
BEACON
Additional Disclosures by the Management of the Company
1.00 Negative Cash flows from operating activities:
Negative operating cash flow occurred for huge amount payment to supplier. It was about 84% of sales collection.
2.00 Current liabilities exceeding current assets of the Company:
As on 30th June 2009 Beacon Pharmaceuticals Ltd. has a short term loan balance of Tk.56,70,76,684. Most of the
loan has utilized for capital nature expenditure. Though the loan nature is current liability but it was not expended to
increase the current assets. That is why current liability exceeds the current assets. But subsequently we have
refunded most of the short term loan and as on 31st January 2010 the loan balance stands on Tk.14,12,07,667. Now
the current assets balance is higher than current liability.
3.00 Accumulated losses:
Beacon Pharmaceuticals Ltd has started its commercial operation as on 1 st October 2006 by utilizing 1/10 th of it's
production capacity. Because most of the product line was uncompleted. Volume of production as well as sales
volume was very little but by this time beacon has appointed it's most of the employees and started marketing
promotional activities in full swing, which causes large amount of day to day operational expenses. Due to this Beacon
did not reach the break even point in first two years. Low volume of sales and large volume of operational expenses
occurs cumulative loss for first two years. But now sales volume is increasing and last year beacon has earned a profit
of Tk.1.85 crore.
Sd/-
(Md. Ebadul Karim)
Managing Director
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PROSPECTUS