Steady Growth
Samsung BioLogics co., the contract drug manufacturing unit of Samsung Group, announced that it has won a biologic drug consignment production contract worth US$262.35 million (306.6 billion won) from Cilag GmbH International, a subsidiary of multinational pharmaceutical company Johnson & Johnson, on November 16.
Samsung said that it will disclose the exact period and terms of the contract after 2020 since it is a non-disclosure agreement.
The existing order backlog of Samsung BioLogics stood at US$2.7 billion (3.17 trillion won) and the latest deal accounts for 9.7 percent of the existing order backlog. Previously, the company made a manufacturing agreement with global pharmaceutical firms Switzerland's Roche and the United States' Bristol-Myers Squibb and Roche as well as its subsidiary Samsung Bioepis.
Accordingly, sales of Samsung BioLogics are expected to steadily grow. The company’s revenue last year amounted to 91.2 billion won (US$77.68 million). The current bio drug production capacity of Samsung BioLogics is 18,000 liters a year. Once the third facility with the production capacity of 180,000 liters, which is now under construction, is completed in 2018, the company will become the world’s largest bio drug manufacturer.
A Samsung Biologics spokesperson said, “In the deal with Cilag, the amount of supply can increase in the future according to negotiations with the partner.”