Samsung Biologics has secured a contract worth 434.3 billion KRW (approximately 324 million USD) for biopharmaceutical contract manufacturing with a global pharmaceutical company.
The company announced on Tuesday that it had inked a new contract manufacturing agreement worth approximately 434.3 billion KRW (about 324 million USD), set to run until December 31, 2031. Due to confidentiality clauses, the client’s identity and product details remain undisclosed.
This latest deal brings Samsung Biologics’ cumulative order value since its inception to 22.3 billion USD. The firm has reported a total of nine contracts this year.
Samsung Biologics stated that this long-term agreement would help secure a stable order backlog and bolster its mid to long-term revenue base, especially crucial given the intensifying competition in the global Contract Development and Manufacturing Organization (CDMO) market.
The company boasts partnerships with numerous clients, including most of the top 20 global pharmaceutical firms. Moving forward, Samsung Biologics aims to expand its client base and strengthen existing relationships, aligning with the growing demand for biopharmaceuticals and the trend towards supply chain diversification.
To achieve these goals, the company is implementing a three-pillar expansion strategy, focusing on enhancing production capacity, diversifying its business portfolio, and expanding its geographical footprint. This involves not only increasing biopharmaceutical production capabilities but also branching out into areas such as antibody-drug conjugates (ADCs) and peptides.
ADCs are innovative therapies that combine cancer-targeting antibodies with potent drugs, enabling selective drug delivery to cancer cells. Peptides, short chains of amino acids, are being explored for treating various conditions, including obesity and diabetes.
In August, Samsung Biologics established a European sales office in the Netherlands, completing its sales network across the three major markets of the U.S., Japan, and Europe.
A Samsung Biologics spokesperson stated that it plans to leverage the production capacity, diverse business portfolio, global sales network, and quality competitiveness to strengthen collaborations with clients and consistently expand the order book.
