Salman F Rahman dropped from Beximco Pharma board

Salman F Rahman, vice chairman of the company and former private industry and investment adviser to former prime minister Sheikh Hasina, has been dropped from the board of directors of Beximco Pharmaceuticals. The Bangladesh Securities and Exchange Commission (BSEC), the capital market regulator, has approved the reconstituted board of the company by dropping him.

The new board was approved in the context of Beximco Pharmaceuticals’ application at the commission meeting of BSEC on Tuesday (September 29).

It has been learnt from BSEC sources that a total of nine members will remain in the reconstituted board. Among them, three are sponsor directors—Ahmed Sohel Fasihur Rahman (ASF Rahman), Osman Kaiser Chowdhury and Iqbal Ahmed.

Besides, four independent directors will remain on the board. A representative of IFIC Bank as a shareholder and the managing director (MD) of the company by virtue of the post will remain members of the board.

For the first time in the history of Beximco Pharmaceuticals, the managing director has been made a member of the board of directors. Alongside, as independent directors have the majority, their role will increase in the new board compared to before.

Earlier, it was informed in a letter given to BSEC from the side of Beximco Pharmaceuticals that Salman F Rahman had agreed to step down from the board of directors. The initiative for reconstituting the board was taken on the basis of his consent.

In the context of the company’s application, BSEC also agreed to the reconstitution of the board. After completing the formal process, the regulatory body approved the reconstituted board on Tuesday.

Concerned sources claimed that considering the pressure created over the business activities and reputation of various institutions of the Beximco Group after the political change, Salman F Rahman agreed to step down from the board. Sources said that the matter of ensuring that the company’s business and shareholders are not harmed due to his involvement has also been taken into consideration.

Salman F Rahman was arrested after the political change in August 2024. He is currently in jail.

Beximco Pharmaceuticals is listed on the country’s share market as well as on the Alternative Investment Market (AIM) of the London Stock Exchange.

Concerned sources said that foreign investors of the company have also agreed with the plan to drop Salman F Rahman from the board considering business interests.

Several changes have come in the management structure of the company due to the formation of the new board. Especially, the majority of independent directors and the inclusion of the managing director in the board are being viewed as important changes in the new structure.

Despite various political and business pressures, Beximco Pharmaceuticals has maintained profit.

According to the company’s latest financial report, the institution made a profit of Tk 222 crore in the January-March quarter of the current year. Earlier, the company’s profit was Tk 694 crore in the 2024-25 fiscal year.

Share market-related people will now keep an eye on what kind of changes come in the company’s management and business activities after the new board takes charge.