The Frankfurt office of Debevoise & Plimpton LLP has advised Beximco Pharmaceuticals on a new loan agreement with BHF-Bank Aktiengesellschaft to borrow up to $52 million. The loan will be covered by German export credit agency Euler Hermes and is the largest ECA financing in Bangladesh ever.
The loan will be used by Beximco to partially finance the purchase of new plant and machinery, and to expand its production facilities in Dhaka, Bangladesh. It is secured by the plant and machinery being purchased, and will be drawn down in four tranches against delivery and installation of the plant and machinery, commencing now and due for completion in June 2016, with commissioning to be completed by September 2016. The loan will attract interest at the rate of 2.25% per annum above LIBOR.
Founded in 1976 and based in Dhaka, Bangladesh, Beximco manufactures and sells generic pharmaceutical formulation products and active pharmaceutical ingredients. It is one of Bangladesh's largest and most diversified industrial conglomerates, and one of the largest pharmaceutical companies in South East Asia.
The Debevoise team advising Beximco was led by Frankfurt based international counsel Philipp von Holst
, and included Frankfurt associate Klaudius Heda
and London associate Patrick Moore.
Debevoise & Plimpton LLP is a premier law firm with market-leading practices, a global perspective and strong New York roots. The firm’s commercially savvy lawyers regularly lead strategic transactions and complex disputes for world-class clients.