BFBIO raises nearly Rs2bn in its October 2024 IPO, utilizes Rs707m

April 11, 2025 (MLN): BF Biosciences Limited (PSX: BFBIO) concluded its Initial Public Offering in October 2024, raising gross proceeds of Rs1.92 billion, of which Rs707.34 million had been utilized as of the reporting period.

This was revealed by BFBIO in its quarterly/half-yearly progress report for the period ended 31 December 2024.

The IPO funds allocated for the purchase of plant and machinery by BF Biosciences Limited amounted to Rs697.87m.

These funds are being used for the acquisition and installation of key production and quality control equipment aimed at enhancing the company’s manufacturing capabilities.

A sum of Rs115.99m has been earmarked for the acquisition of an inspection machine.

The user requirement specifications (URS) for the machine have been finalized, and the management is in the process of obtaining quotations and finalizing the vendor. Completion is expected within Q1 FY26.

An amount of Rs126.53m has been allocated for the Pre-filled Syringes (PFS) Machine Cartridge System.

The technical design of the cartridge system is being finalized with the manufacturer, after which the procurement phase will commence. This project is also on track for completion in Q1 FY26.

The company has committed Rs35.1mfor change parts required for the filling machine. Orders, along with advance payments, have already been placed.

The project is progressing in line with the schedule, with completion targeted for Q4 FY25.

To support its quality assurance processes, BF Biosciences has allocated Rs43.08m for quality control equipment.

The majority of this equipment has already been procured, with the remainder currently in the procurement phase. The company expects full implementation by Q4 FY25.

The formulation vessel and UPS are being procured at a cost of Rs126.53m. A partial order for formulation vessels has been placed, and based on the delivery results expected by March 2025, additional units will be acquired.

The UPS order has also been placed, with delivery expected by the same period. Completion is scheduled for Q1 FY26.

A total of Rs8.77m has been allocated for walkthrough gates. The company is currently in the process of collecting quotations and expects installation to be completed by Q4 FY25.

Stability chambers, essential for testing the shelf life of pharmaceutical products, are being acquired at a cost of Rs7.02m.

Most of the required chambers have been purchased, with the rest in the procurement phase. Completion is expected by Q2 FY25.

The filling line system for Line I is undergoing an upgrade process at a cost of Rs46.39m.

The order has been placed, and a visit from foreign engineers is scheduled for Q3 FY25. The upgrade is projected to be completed by Q4 FY25.

For the cartridge machine for the Pre-filled Syringes Machine, Rs137.5m has been allocated.

However, due to recent technological developments post-IPO regarding the product mix for cartridge lines, the company will make a final decision after further assessment.

Lastly, Rs50.94m has been set aside for installation and contingency expenses. This includes the purchase of various ancillary equipment and spare parts as required.

The management is confident of completing all installations by Q1 FY26.

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