Latest news with #JohnRim
Korea Herald
22-05-2025
- Business
- Korea Herald
Samsung Biologics splits biosimilar business to boost CDMO, investment flexibility
Spin-off aims to sharpen operational focus, build client trust, enhance shareholder value Samsung Biologics, the biotech arm of Samsung Group, announced Thursday that it will spin off its biosimilar operations into a new holding company, separating them from its contract development and manufacturing organization business to sharpen the strategic focus of each unit. Through the structural realignment, Samsung Biologics will concentrate solely on its CDMO business, while the newly created holding company, tentatively called Samsung Epis Holdings, will oversee the biosimilar unit Samsung Bioepis. Kim Kyung-ah, CEO of Samsung Bioepis, will concurrently serve as CEO of the new holding company. Samsung Bioepis was established in 2012 as a joint venture between Samsung Biologics and US-based Biogen, with Samsung initially holding an 85 percent stake. In 2022, Samsung Biologics acquired Biogen's remaining shares for $2.3 billion. 'This split reflects our decision to enhance competitiveness by responding swiftly to global changes and sharpening strategic focus,' said Samsung Biologics CEO John Rim. 'Both entities will accelerate their growth and are well-positioned to establish themselves as global leaders in biopharma.' Samsung Biologics clarified that the creation of Samsung Epis Holdings through the spin-off bears no relation to the governance structure of Samsung Group. The separation also aims to address concerns from CDMO clients regarding the in-house biosimilar unit. The dual-track model had raised conflict-of-interest concerns, particularly related to potential technology leakage. 'We've invested significant time and resources to ease these concerns, yet it's realistically difficult to eliminate all worries across our client base,' said Ryu Seung-ho, executive vice president of Samsung Biologics, at a press conference on Thursday. 'This restructuring will further allow each business to be properly valued in the market and give shareholders more flexibility to invest based on their own strategies," he added. Under the deal, shareholders will receive shares in both companies based on current book values — approximately 0.65 shares in Samsung Biologics and 0.35 shares in Samsung Epis Holdings for each share held. With the restructuring expected to fuel focused growth, both entities have outlined distinct long-term goals. Samsung Biologics will double down on its ambition to become a global top-tier CDMO by investing in three key areas: expanding production capacity, diversifying its service portfolio, and widening its international footprint. New initiatives will target next-generation biomanufacturing technologies, including antibody-drug conjugates or ADCs, adeno-associated viruses or AAVs, and pre-filled syringes. Samsung Epis Holdings will focus on expanding Samsung Bioepis's biosimilar portfolio to over 20 products, while also developing platform technologies and exploring investment opportunities in emerging technologies and global markets. 'Samsung Epis Holdings plans to establish new subsidiaries in addition to managing the existing Samsung Bioepis,' said Kim Hyoung-joon, vice president of Samsung Bioepis, at the press conference. 'These new entities will focus on developing platform technologies for future growth. We also aim to generate revenue through investments in domestic and global companies,' he added. Regarding the upcoming procedures, the company will submit a registration statement on July 29, followed by a shareholder meeting for approval on Sept. 16. Upon completion of the spin-off, effective Oct. 1, Samsung Epis Holdings will make Samsung Bioepis its wholly owned subsidiary. Both Samsung Biologics and Samsung Epis Holdings are scheduled to be relisted on Oct. 29. Trading of Samsung Biologics shares will be temporarily suspended from Sept. 29 through Oct. 28.
Korea Herald
28-04-2025
- Business
- Korea Herald
Samsung Biologics boosts contract wins with $513m US deal
Samsung Biologics, the biotech arm of Samsung Group, has secured its second contract manufacturing deal this year, signing a major agreement worth 737.3 billion won ($513 million) with a US-based pharmaceutical company. In a regulatory filing Monday, the company said the new contract with the undisclosed partner will run through the end of 2031. The deal is equivalent to 16.2 percent of Samsung Biologics' revenue in 2024. This latest win follows Samsung Biologics' largest-ever contract manufacturing agreement, a 2.07 trillion won deal signed in January with a European pharmaceutical firm. With the two deals combined, Samsung Biologics' total cumulative contracts for the year have reached 2.8 trillion won, accounting for more than 50 percent of last year's total deal value of 5.4 trillion won. The company's total annual contract volume last year was driven by three major deals, each valued at over 1 trillion won. Samsung Biologics now counts 17 of the world's top 20 pharmaceutical companies as clients. Last year, on a consolidated basis, the company posted record sales of 4.54 trillion won, up 23 percent from the previous year, while operating profit rose 19 percent to 1.32 trillion won. For the first quarter of this year, Samsung Biologics' operating profit more than doubled to 486.7 billion won, compared to 221.3 billion won a year earlier, while sales rose 37.1 percent to 1.29 trillion won. 'We sustained solid momentum in the first quarter, supported by the efficient operations across all our plants and continued partnerships with our clients,' said CEO John Rim. To meet the growing demand for biologics, Samsung Biologics has been expanding its production capacity. The company currently operates five production plants in Songdo, Incheon, and plans to expand to eight by 2032, targeting a combined production capacity of around 1.32 million liters. Starting this month, it began operations at its fifth plant, bringing its total capacity to 784,000 liters — the largest biomanufacturing capacity in the world. 'The launch of the fifth plant and our dedicated antibody-drug conjugate facility marks another milestone in expanding our capacity to cater to diverse client demands,' Rim said, explaining the company's commitment to delivering long-term value for clients and shareholders through strategic investments in technology. Samsung Biologics plans to continue bolstering its contract pipeline throughout the year. While operating a dedicated facility for antibody-drug conjugates as part of its strategic move into the next-generation cancer therapeutics market, the company also recently opened a sales office in Japan, adding to its existing locations in New Jersey and Boston to strengthen relationships across key global markets.
Korea Herald
21-04-2025
- Business
- Korea Herald
Samsung Biologics turns 14, eyes W5tr milestone on global expansion
Founded in 2011, Samsung Biologics has rapidly ascended to become a top-tier global CDMO, with further capacity and portfolio expansion on the horizon Samsung Biologics, the biotech arm of Samsung Group, celebrated its 14th anniversary on Monday and reaffirmed its commitment to global biopharmaceutical leadership, guided by a growth strategy built on three pillars: production capacity, portfolio diversification and global expansion. After posting a record 4.5 trillion won ($3.2 billion) in sales last year, the company is now aiming for 5 trillion won this year — just five years after it first crossed the 1 trillion won mark in 2020. 'Over the past 14 years, Samsung Biologics has provided top-quality service to global clients and led the contract development and manufacturing organization market,' said CEO John Rim. 'We will continue to make proactive investments to enhance our competitiveness as we work together to realize our vision of enriching human life.' Since entering the biopharmaceutical CDMO market in 2011 as a latecomer, Samsung Biologics has swiftly risen to industry leadership through aggressive capacity expansion and a rigorous focus on quality. Its growth momentum was accelerated under the leadership of John Rim, who took the helm as CEO in late 2020. His 35 years of experience in the biopharmaceutical industry, along with an extensive global network, has helped the company break records in both orders and sales. The production scale of the Korean biopharmaceutical company is now at an all-time high. The company currently holds the world's largest biomanufacturing capacity at 784,000 liters, while maintaining top-tier inspection pass rates and securing more than 350 manufacturing approvals from global regulatory authorities. With the completion of its fifth plant this month, which would add 180,000 liters of capacity, the company plans to build three additional facilities of similar scale by 2032, aiming for a total production capacity of approximately 1.32 million liters. The company's expanded capacity is closely tied to its high volume of contract deals. With 17 of the world's top 20 pharmaceutical companies now among its clients, the company has been bringing its presence closer to key partners through overseas offices in places such as New Jersey and Tokyo. Since its founding, the company has secured 99 contract manufacturing agreements and 133 contract development deals, with cumulative orders totaling $16.3 billion. Samsung Biologics surpassed 5 trillion won in total annual contract volume last year, driven in part by three major deals, each valued at over 1 trillion won. In January, the company secured its largest-ever contract manufacturing agreement worth 2.07 trillion won. Samsung Biologics is also broadening its portfolio as part of its efforts to expand its global footprint. In March, the company began operating a dedicated facility for antibody-drug conjugates, marking a strategic move into the market for next-generation cancer therapeutics. Future investments, the company said, will focus on new modalities, particularly in cell and gene therapies. Beyond its commercial growth, the company remains committed to environmental, social and corporate governance initiatives within the biopharma sector. In February, the company received the "Leadership" designation (A- rating) from the Carbon Disclosure Project in recognition of its efforts to mitigate climate-related risks. According to the company, CEO John Rim is currently involved in the Sustainable Markets Initiative — a platform led by King Charles III to advance a sustainable future — which aims to decarbonize health care systems in collaboration with global partners.
Korea Herald
10-03-2025
- Business
- Korea Herald
Samsung Biologics to enhance global ties at DCAT Week 2025
Samsung Biologics, the biotech arm of Samsung Group, said Monday that it will participate in DCAT Week 2025, taking place March 17-20 in New York, as part of its efforts to expand its global business network. Organized annually by the Drug, Chemical & Associated Technologies Association, the event has a history of over 130 years and is a premier networking platform for the global pharmaceutical and biotech industries. Samsung Biologics has participated in DCAT Week every year since 2016, except in 2020, when the event was canceled due to COVID-19. This year, the company will host over 50 business meetings with global pharmaceutical firms at its dedicated meeting space. CEO John Rim will attend for the third consecutive year, engaging with industry leaders to expand strategic partnerships and highlight Samsung Biologics' competitive strengths. The company aims to accelerate its global expansion by securing new contracts and attracting potential clients. Additionally, on March 20, Samsung Biologics will sponsor DCAT Week's main gala dinner, alongside major contract manufacturing firms Lonza and Thermo Fisher Scientific, providing networking opportunities with over 2,500 industry executives. The company also plans to attend the Festival of Biologics USA in April and the PEGS Boston Summit in May to further strengthen its global business network.
