This study attempts to examine the impact of talent development on retention and the mediating effect of talent engagement between talent development and retention. The study analysed 450 samples of top, mid, and lower-level officers working in pharmaceutical companies of Bangladesh. Data were collected using google form. Structural Equation modelling (SEM) was employed using AMOS to test the research framework. Talent development was connected positively with both retention and engagement. The positive relationship between talent engagement and retention was also accepted. Furthermore, the mediating impact of talent engagement between talent development and retention was found significant. The findings may be helpful for practitioners to comprehend the importance of taking care of talents that foster high engagement and would ultimately contribute to retaining talents to gain sustainable competitive advantages. If managers can develop talents properly, they may tend to attach to the company for a longer period of time.