From Humble Beginnings to Global Dominance: The Journey of Eskayef (SK+F) Pharmaceuticals Limited

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Introduction

Eskayef Pharmaceuticals Ltd., often referred to as SK+F, is a leading pharmaceutical company in Bangladesh known for producing and distributing therapeutic drugs, animal health products, bulk pellets, and nutritional supplements. Following the merger of SmithKline & French (USA) and Beecham (UK), the Bangladeshi operations were acquired by Transcom Group in 1990 and rebranded as Eskayef Bangladesh Limited. In 2017, it adopted the name Eskayef Pharmaceuticals Ltd. to reflect its expanding global footprint. Today, Eskayef has a notable presence across Europe, the Americas, Australia, Africa, and Asia.

Business Description of Eskayef Pharmaceuticals Ltd

Eskayef Pharmaceuticals Ltd. is headquartered in Dhaka, Bangladesh, specifically at Plot 82, Road 14, Block-B, Banani. Eskayef Pharmaceuticals Ltd. (SK+F) employs approximately 2,952 people and total revenue of approximately USD 300 million.

Key sites include:

Tongi Site: This facility houses a non-beta-lactam facility, a cephalosporin block, a liquid sterile block, and an eye drops and sterile vial block. It is one of the primary production hubs for the company.

Gazipur Site: This site is focused on research and development activities.

Rupganj  Site: This facility includes an agro vet facility, a penicillin unit, a sachet line, a carbapenem facility, and an oncology facility.

Mirpur Site: Another non-beta-lactam manufacturing unit.

Available Products of SK+F Pharmaceuticals Ltd.

Human sector

  • Tab.Esoral mups 20
  • Cap.Cefaten
  • Cap. Ceflon
  • Clix Suspension
  • Quinox  Injection
  • Tab. Cilny
  • Tab. Levetam
  • Dasatab
  • Hi – C Syrup
  • Mixavit  Syrup 
  • Solbion  Injection
  • Tab.Alben-DS

Animal sector

  • BetaMax Vet Solution
  • Gasnil Vet Solution
  • Eskavit ADE Solution
  • Marbo  Vet Injection
  • Tufnil Vet Injection
  • Hepatonic Solution
  • Doubledex Vet Bolus
  • Protimin Solution
  • Eskavit DB Plus Powder
  • FL Care Vet Powder

SWOT Analysis

Stands for Strengths

  • Achieve collaborative manufacturing
  • Optimize production process
  • Assure quality & compliance
  • Gain visibility into inventory and its movement across the supply chain
  • Get accurate costing of products and charges
  • Have the ability to response fastly for customer demands

Stands for weakness

  • High levels of debt
  • Inadequate supply chain
  • Lack of capital
  • Weak band
  • Higher than average turnover

Stands for Opportunity

  • High momentum scores
  • Relative outperformance
  • Market share
  • Govt. cuts tariffs
  • Govt. good business policy

Stands for Threats

  • Global supply chain disruption
  • Rising costs for materials
  • Tight labor supply
  • Increasing competition
  • Economic and political instability
  • Regulatory and compliance challenges

Stages of Business Development

Entrepreneur

Mr. Latifur Rahman, the founder and chairman of Transcom Group, is a renowned business figure in Bangladesh. He established Transcom Group from the ground up, making it the leading business conglomerate in the country. The group comprises 16 companies operating in 10 diverse sectors, including Eskayef Pharmaceuticals among others. Recognized for his ethical conduct and integrity in business, Mr. Rahman was honored with the Oslo Business for Peace Award in 2012, a prestigious accolade often likened to the Nobel Prize in the business community. He was the first Bangladeshi entrepreneur to receive this distinguished award. Today, his legacy continues as his eldest daughter, Simeen Rahman, serves as the Managing Director and CEO of SK+F Pharmaceuticals Ltd.

Ambition

Eskayef continues to march forward actions that guided by the Founder Chairman’s vision of consistent long-term success, global quality standards with manufacturing products, and unwavering commitment to ethical business practices.

Marketing and advertising of SK+ F Pharmaceuticals Ltd.

Diverse Product Range: The company offers a comprehensive portfolio of therapeutic drugs, with significant products like generic Remdesivir for treating COVID-19.

Emphasis on Quality and Innovation: Eskayef’s marketing strategy highlights its dedication to quality and innovation, positioning itself as a leading provider of sophisticated pharmaceuticals.

Ethical Conduct and Corporate Values: The company is dedicated to ethical business practices and emphasizes its commitment to corporate social responsibility.

Integrated Marketing Approach: Eskayef utilizes a combination of digital and traditional marketing strategies to reach its audience.

Community Involvement and Social Responsibility: Eskayef is actively involved in community engagement and corporate social responsibility, providing free medical aid to schools and supporting various healthcare initiatives.

Financing

Initial funding of SK+F Pharmaceuticals Ltd.

Transcom Group, founded by Latifur Rahman, provided the initial funding and support necessary for Eskayef to grow and evolve into one of Bangladesh’s top pharmaceutical companies.

Different stages of Funding of SK+F Pharmaceuticals Ltd.

Inception and Early Development (1990): The origins of the company trace back to when Transcom Group acquired the Bangladesh operations of SK&F, USA. This acquisition was pivotal in establishing Eskayef Pharmaceuticals as a future leader in the Bangladeshi pharmaceutical sector.Initial Growth Phase (2004-2006): Eskayef significantly enhanced its production capabilities by investing in new manufacturing facilities. In 2004, the company embarked on constructing a cutting-edge manufacturing plant in Tongi, with design contributions from Elomatic and Pharmalab, adhering to European standards.

Expansion and Accreditation (2005-2012): This period marked Eskayef’s strategic focus on broadening its export markets and securing international accreditations.

Diversification and Technological Investment: Eskayef expanded its product range to include a variety of therapeutic drugs, veterinary products, and innovative medicines. Concurrently, the company invested in advanced manufacturing technologies to uphold superior quality standards.

Ongoing Developments and International Growth: Recent reports highlight Eskayef’s continued global expansion, with the company now exporting to over 65 countries.

Unique strategy: Unique selling properties

Global Standards and Certifications: Regulatory Endorsements – SK+F boasts accreditations from prestigious bodies including the US FDA, UK MHRA, EU GMP, TGA Australia, and ANVISA Brazil. These certifications underscore the company’s unwavering commitment to high-quality manufacturing and adherence to international regulatory standards.

State-of-the-Art Manufacturing: Advanced Infrastructure – SK+F’s production facilities are outfitted with the latest technology, ensuring efficient, high-quality manufacturing processes.

Strategic International Collaborations: Global Partnerships – SK+F has established strategic partnerships with major global pharmaceutical firms such as Novartis, GlaxoSmithKline, and Servier.

Innovative Product Line: Diverse Offerings – The company’s product range is extensive, including generic drugs, specialized high-tech formulations, veterinary products, and nutritional supplements.

Proactive Health Crisis Response: Swift Medication Development – SK+F’s capability to rapidly develop and distribute essential medications during global health crises, like the COVID-19 pandemic, showcases their innovative and adaptable product development skills.

Oncology and Specialty Focus: Oncology Investments – SK+F has significantly invested in its oncology division, producing cost-effective, high-quality anticancer medications.

Dedication to Quality and Ethics: Quality Management – The company employs a rigorous quality management system, prioritizing prevention of issues over detection.

Corporate Social Responsibility: Community Involvement – SK+F is deeply involved in CSR activities, contributing to public health and community development by producing affordable essential medicines and participating in health awareness programs.

The success story of SK+ F Pharmaceuticals Ltd.

Eskayef Pharmaceuticals Ltd. stands as a premier pharmaceutical company in Bangladesh. Initially founded in 1979 as a subsidiary of SmithKline & French (SK&F), USA, it transitioned to Eskayef Bangladesh Limited in 1990 following its acquisition by Transcom Group. In 2017, reflecting its growing global reach, it was rebranded as Eskayef Pharmaceuticals Ltd. Renowned for its stringent quality standards, the company holds certifications from the US FDA, UK MHRA, EU GMP, and others.A landmark in Eskayef’s journey was becoming the first Bangladeshi pharmaceutical company to export injectable products to the USA, a testament to their adherence to rigorous regulatory standards. This was made possible through their advanced manufacturing facilities, which also produce insulin and other sophisticated products in partnership with global leaders like Novo Nordisk. During the COVID-19 pandemic, Eskayef was instrumental in rapidly developing and exporting crucial antiviral medications such as Remdesivir, Molnupiravir, and Ritonavir to over 49 countries.Today, Eskayef’s products reach 68 countries across various continents. The company’s relentless pursuit of excellence, ethical conduct, and innovative practices underpins its growth and solidifies its reputation both within Bangladesh and on the international stage.

Challenges faced by SK+ F Pharmaceuticals Ltd.

Transition from Multinational to Local Ownership: When Transcom Group acquired SmithKline & French’s Bangladesh operations in 1990, transforming it into Eskayef Bangladesh Limited, the company faced the challenge of transitioning from a multinational subsidiary to a locally-owned entity. This involved setting up new management practices, corporate governance structures, and operational frameworks suited to the Bangladeshi business environment.

Developing Manufacturing Capabilities: Eskayef needed to establish state-of-the-art manufacturing facilities that conformed to international standards.

Ensuring Regulatory Compliance: Achieving compliance with local and international regulatory standards, such as those set by the US FDA, UK MHRA, and EU GMP, presented a significant challenge.

Market Penetration and Brand Establishment: Initially, building a robust market presence both domestically and globally was difficult.

Research and Development Investments: Eskayef faced hurdles in sourcing the expertise, funding, and technology necessary for a competitive R&D program to develop a diverse product portfolio.

Logistics and Supply Chain Management: Creating an efficient supply chain for raw materials and a distribution network for finished products was another significant challenge.

Human Resources Management: Recruiting and retaining skilled professionals in areas such as pharmaceutical manufacturing, quality control, and regulatory affairs posed major difficulties.

Financial Constraints: Securing sufficient financial resources to support expansion projects, research initiatives, and operational costs was a critical challenge in the company’s early years.

Future plan of SK+F Pharmaceuticals Ltd.

Expanding Global Presence: Eskayef is focused on amplifying its presence in international markets, particularly targeting Europe and North America. With approvals already secured from regulatory bodies such as the US FDA, UK MHRA, and EU GMP, the company is well-positioned to penetrate these markets.

Growth in Oncology: A core component of Eskayef’s strategic vision involves expanding its oncology division. The company is dedicated to manufacturing high-quality, affordable anticancer medications utilizing cutting-edge technology.

Embracing Technological Advancements: Eskayef is committed to continually upgrading its manufacturing facilities to align with the latest global standards. This includes integrating innovative technologies and processes to enhance production efficiency and ensure rigorous quality control.

Investing in Research and Development: Significant investments are being channeled into R&D to develop new products and refine existing formulations.

Expansion of Animal Health Division: As part of its growth strategy, Eskayef is also focusing on its Animal Health Division. The company aims to broaden its range of veterinary products and boost exports to new international markets.

Conclusion

Eskayef Pharmaceuticals Ltd. is a prominent force in the Bangladeshi pharmaceutical sector, known for its superior product quality, global reach, and innovative approach. Over the years, SK+F has achieved significant growth and earned international acclaim, evidenced by certifications from the US FDA, UK MHRA, and EU GMP. With its broad product portfolio, cutting-edge manufacturing technologies, and robust international presence, Eskayef Pharmaceuticals Ltd. exemplifies excellence in innovation, quality, and strategic global expansion. Looking ahead, SK+F aims to advance healthcare and sustain its industry leadership, positioning itself for continued success in the global pharmaceutical market.

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