November 21, 2024

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Samsung Biologics Plant 4 in Songdo, Incheon (Samsung Biologics)

Samsung Biologics is off to a promising start this year with two large-scale contract manufacturing deal signings in March alone.

According to Samsung Biologics on Wednesday, the company recently inked a contract manufacturing deal with MSD Switzerland, worth some $71 million. The deal, set to expire in December 2032, is a separate deal from the previous 277 billion won ($210 million) deal signed between the two companies in 2022.

Samsung Biologics declined to reveal the product details of the new deal, citing contract conditions. It added the contract period could be adjusted upon mutual consent.

The new deal comes after the company announced a $352.7 million deal with Belgium-based biopharmaceutical firm UCB earlier this month. The deal was an addition to the initial $41.65 million contract the two companies made in 2017.

With the new deals signed this month, Samsung Biologics is keeping a close track of its performance last year, when the company secured record-breaking annual orders worth 3.5 trillion won.

As of March last year, Samsung Biologics had signed deals worth some 490 billion won, slightly above the company’s order backlog amounting to 475 billion won this year.

“Samsung Biologics will strengthen its efforts to boost its competitiveness in the global contract manufacturing organization market by increasing its production capacity, expanding its portfolio and establishing new overseas offices in search of new clients,” an official from Samsung Biologics said.

Samsung Biologics is currently building its fifth plant. When completed in April 2025, the company will have a total production capacity of 784,000 liters, the highest level globally.

By Shim Woo-hyun (ws@heraldcorp.com)
The Korea Herald