Karachi: Citi Pharma Ltd has published its annual progress report for the period from January 1, 2024, to June 30, 2024, detailing substantial advancements in its Active Pharmaceutical Ingredient (API) and Formulation Segments. As per the report, the company has made considerable investments amounting to PKR 113.40 million and PKR 183.40 million in the API and Formulation Segments, respectively. However, the report noted that no investment has been made in the Hospital Facility as of the period’s end.
This report is part of Citi Pharma’s compliance with the “Public Offering Regulations, 2017,” specifically clause 16 (i)(ii) concerning post-issue reporting and disclosures. The findings are based on agreed-upon procedures conducted in line with international standards on relating services (ISRS) 4400, aimed at assisting the company’s investors in assessing the expansion progress.
According to information available from the Pakistan Stock Exchange (PSX), Citi Pharma Ltd has demonstrated transparency and adherence to regulatory requirements, reinforcing investor confidence. The report includes detailed inspections of the company’s financial documents and board meeting minutes, confirming that the required information has been appropriately disclosed as per regulatory standards.
The auditors, maintaining the highest professional ethics and quality control standards, verified several financial aspects during this engagement. They confirmed that the financial figures, such as procurement of plant and machinery and civil works for both API and Formulation Segments, align with the data in the company’s books and accounts as well as the prospectus issued on February 12, 2021.
The report also outlines the approval of capital expenditures by the Board of Directors (BOD) and the alignment of funds required for implementation with the figures stated in the prospectus. The actual expenditures incurred up to June 30, 2024, were also found to be in agreement with the company’s records.
For the API Segment, a total of PKR 555.19 million was spent on procurement of plant and machinery, while the Formulation Segment saw an expenditure of PKR 557.63 million. In contrast, the Hospital Facility segment did not utilize any funds during this period, with no civil work or procurement of plant and machinery recorded.
The report also highlighted the allocation and utilization of excess proceeds, which included PKR 54.20 million for repayment of borrowings, PKR 108.90 million for working capital, and PKR 127.67 million for IPO expenses, summing up to a total of PKR 290.77 million.
Citi Pharma Ltd’s report provides a clear insight into the company’s financial health and strategic investments, which are vital for stakeholders and potential investors to make informed decisions.