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SQURPHARMA

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SQURPHARMA 12-Dec-2019

(Continuation news of SQURPHARMA): using the acquisition method when control is transferred to the Company. The consideration transferred in the acquisition is generally measured at fair value, as are the identi?able net assets acquired. As the consideration transferred in the acquisition date is equals to net assets acquired at acquisition date, there is no goodwill or gain on bargain purchase arises as per para-9 of lFRS 3. (end)

SQURPHARMA 12-Dec-2019

(Continuation news of SQURPHARMA): Compensation of shareholders of Square Herbal & Nutraceuticals Ltd. is based on cash at a book value shares as on 30 June, 2017 subject to approval by the Court of Jurisdiction, Hon'ble High Court Division of the Supreme Court of Bangladesh. IFRS Followed for the Business Combination: The Company accounts for business combinations (cont. 7)

SQURPHARMA 12-Dec-2019

(Continuation news of SQURPHARMA): Purchase Consideration: Square Pharmaceuticals Ltd. holds 99.50% of the Paid-up Capital of Square Formulations Ltd. with only 0.50% being held by the minority shareholders. Compensation of the minority shareholders is based on cash at a book value shares as on 30 June, 2017 subject to approval by the Court of Jurisdiction, Hon'ble High Court Division of the Supreme Court of Bangladesh. (cont. 6)

SQURPHARMA 12-Dec-2019

(Continuation news of SQURPHARMA): the scheme of amalgamation of Square Formulations Ltd. with Square Pharmaceuticals Ltd. on 29th October, 2018. After approval of Board of Directors and consent of shareholders, the Hon'ble High Court Division of the Supreme Court of Bangladesh has sanctioned the scheme of amalgamation of Square Herbal & Nutraceuticals with Square Pharmaceuticals Ltd. on 29th October, 2018. The merger has been executed with effect from January 01, 2019. (cont. 5)

SQURPHARMA 12-Dec-2019

(Continuation news of SQURPHARMA): the separated operations of various aspects of SFRL is a complex one. Since SPL holds 99.50% of the Paid up Capital of SFRL with only 0.50% being held by the minority shareholders, Board of Directors have recommended for amalgamation under provision of section 228 and 229 of the Companies Act 1994. Reason of merger between Square Herbal and Nutraceuticals Ltd. and Square Pharmaceuticals Ltd. is to reform Square Pharmaceuticals Ltd; (cont. 3)

SQURPHARMA 12-Dec-2019

(Continuation news of SQURPHARMA): whereby the Subsidiaries will merge with the Company, and the Company shall be the surviving entity. Our opinion is not modi?ed in respect of this matter. The financial statements reflects financial result of the amalgamated entity. Note 1.28 Merger with Square Formulations Ltd. and Square Herbal and Nutraceuticals Ltd.: As the project of Square Formulations Ltd. (SFRL) is located within the premises of Square Pharmaceuticals Ltd. (SPL) at Kaliakoir, (cont. 2)

SQURPHARMA 12-Dec-2019

Emphasis of Matter: We draw attention to Note 1.28 of the separate ?nancial statements which describe the amalgamation of the fully owned subsidiary the Square Formulations Ltd. and the Square Herbal and Nutraceuticals Ltd. with the Company. The Board of Directors of the Company in its meeting held on 16th October 2017 approved the amalgamation of the Company with the Subsidiaries (cont. 1)

SQURPHARMA 12-Dec-2019

(Continuation news of SQURPHARMA): into a diversi?ed high performance and value added company, Board of Directors considered a proposal for amalgation of Square Herbal and Nutraceuticals Ltd. with Square Pharmaceuticals Ltd. under provision of section 228 and 229 of the Companies Act 1994. The Process of Merger: After approval of Board of Directors and consent of minority shareholders, the Hon'ble High Court Division of the Supreme Court of Bangladesh has sanctioned (cont. 4)

SQURPHARMA 19-Nov-2019

Trading of the Shares of the Company will resume on 20.11.2019 after record date.

SQURPHARMA 18-Nov-2019

Trading of the shares of the Company will remain suspended on record date i.e., 19.11.2019.

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