A central bank intervention fund of N1 billion for pharmaceutical companies came in handy for Pharmaceutical Company, May and Baker having spent its 2019 N1.8 billion Rights Issue servicing debt and paying dividends.
Nairametrics reports that the company in its annual report, said it received an intervention fund of N1 billion from the Central Bank of Nigeria (CBN) in the first quarter of 2020.
“The amount came in timely as it was just before the COVID-19 pandemic broke across the country causing an economic shut down that has negatively impacted industries across the country.
The fund increased the company’s net loans from N482.5 million in December 2019 to N1.7 billion in the first quarter of this year.
This is not the first time the company had received intervention funds; it had also received a CBN fund for manufacturers to the tune of N920 million in October 2010.
May & Baker is well-positioned to take advantage of the expected resurgence of the health care sector, particularly since the 2020 COVID-19 pandemic broke.
For example, it recently reported that during the year it signed a Joint Venture Agreement to produce a nutritional supplement with FIIRO through the Ministry of Health.”