SK Pharmteco Operating 8 Drug Substance Plants Globally
SK Inc., the holding company of SK Group, is increasing domestic production in order to increase its presence in the global pharmaceutical contract development and manufacturing (CDM) market.
SK Biotek announced on Oct. 4 that its new facilities in Sejong City were put into operation last month. SK Biotek is SK Pharmteco’s subsidiary in South Korea, SK Pharmteco is in charge of the group’s pharmaceutical CDM business, and SK Inc. owns 100 percent of SK Pharmteco.
As a result of the plant expansion in the city, SK Biotek’s annual production capacity has increased from 190 cubic meters to 290 cubic meters, which is equivalent to an annual drug substance output of 150 tons. SK Biotek’s annual sales, which were 150 billion won or so last year, are expected to increase to 220 billion won or more. The company is planning to further increase its capacity to 400 cubic meters next year.
SK Pharmteco, in the meantime, posted sales of 830 billion won last year. The world’s fifth-largest company in the market currently has eight drug substance plants in California, Pennsylvania, Virginia, Texas, Ireland, France, Sejong and Daejeon City. The company is expanding its facilities in the United States and Ireland as well and its annual sales are expected to exceed one trillion won in a couple of years.
SK Inc. began to speed up its expansion in the industry in 2017, when it acquired Bristol Myers Squibb’s plant in Ireland. In 2018, it acquired AMPAC Fine Chemicals in the United States. SK Pharmteco was founded in 2019 for CDM business integration and it acquired Yposkesi in France in March last year. It became the second-largest shareholder in The Center for Breakthrough Medicines in the United States in January this year and is expected to become the largest shareholder in the near future.