Renata has further expanded its European market by dispatching its first consignment of therapeutics to Portugal, having navigated a stringent approval process.
The company currently commercialises an extensive portfolio across the UK and several European territories, including Ireland, France, Denmark, Sweden, Norway, Finland, and Cyprus. Portugal represents a key addition to this repertoire.
Officials said Renata has marked a major step forward in its global expansion strategy by entering the Portuguese market.
The company’s initial shipment includes Amantadine 100 mg capsules, manufactured at the EU-GMP-approved Rajendrapur General Facility, alongside Fludrocortisone 0.1 mg tablets and Cabergoline 0.5 mg tablets, produced at the EU-GMP-approved Mirpur Potent Facility.
Amantadine is an anti-Parkinson medication meant to reduce involuntary muscle movements and alleviate stiffness in patients.
Fludrocortisone is a synthetic corticosteroid used for hormone replacement therapy in adrenal insufficiency, including Addison’s disease, while Cabergoline 0.5 mg—also sold in Bangladesh under the brand ‘Cabolin’—is prescribed for the correction of hyperprolactinemia.
“This entry into Portugal represents a significant step in Renata’s ongoing international expansion strategy across Europe,” said Md. Jubayer Alam, company secretary of Renata.
Renata aims to build a reputation in Portugal for exceptional quality and reliability, much as it has done in other European markets.
To ensure the registration of its products in the EU market, Renata went through a long process, said company officials.
European drug authorities monitored the factory-wise manufacturing of products by Renata based on real-time data. Designated teams also visited the company’s factory to examine product validation while holding regular meetings with the company’s scientific officer.
After completing some other relevant processes, the drugs received registration in Portugal, as in other EU countries.
“Now, our agent will be allowed to distribute our products in the market. As the door is opened, Renata will get more orders for its products from Portugal,” Mr Alam said.
Renata delivered outstanding revenue growth of 13.7 per cent year-on-year in FY25, riding on brand equity, resilient market demand, and operational excellence.
Despite this robust revenue growth, the company’s consolidated profit after tax declined 38.6 per cent year-on-year to Tk 2.22 billion in FY25, primarily due to sustained cost pressures.
During the year, the company’s material costs increased by 22 per cent, while factory overheads increased by 17.3 per cent, and selling, marketing, distribution, and administrative expenses increased by 17.8 per cent.
According to the financial statement, these increases were largely attributable to pronounced currency devaluation, elevated inflation, higher labour expenses following the August unrest, expanded workforce requirements, and depreciation associated with newly commissioned capacity investments.
In addition, net financing costs rose significantly by 143.6 per cent.
While manufacturing and operating costs have risen sharply, no corresponding price adjustment has been approved by the regulatory authority for several years, further constraining profitability, said the company.
Against this backdrop, Renata has undertaken several strategic initiatives, including tighter working capital management, debt optimisation to reduce interest expenses, and proactive foreign exchange risk mitigation through the drawdown of an IFC loan at a highly competitive single-digit rate backed by an interest rate swap with Standard Chartered Bank.
Meanwhile, the stock price of Renata, which distributed a 55 per cent cash dividend in FY25, closed at Tk 405.6 per share on May 20. It later rose to Tk 479.10 on July 28, and finally settled at Tk 472.40 on Thursday.
https://today.thefinancialexpress.com.bd/public/stock-corporate/renata-expands-european-footprint-with-entry-into-portugal-1786034665