Samsung Biologics announced on Sept. 18 that it has signed a contract manufacturing organization (CMO) agreement worth US$242 million (321.3 billion won) with BMS. The agreement entails the supply of biopharmaceuticals to BMS over the next seven years, extending until 2030.
BMS, ranked 7th globally in terms of sales last year, is a major pharmaceutical company and makes the first client for Samsung Biologics since its entry into the CMO business. BMS signed its initial CMO contract with Samsung Biologics in 2013 when the company’s first plant started operations, and it has continued to forge additional contracts, maintaining a partnership for over a decade.
With the successful CMO contract with BMS, Samsung Biologics has now recorded cumulative orders of approximately 2.69 trillion won for this year. The company is now approximately 300 billion won away from surpassing the 3 trillion won milestone.
The volume of the contract with BMS will be produced at Samsung Biologics’ fourth plant in Songdo, Incheon, which boasts an annual production capacity of 240,000 liters of biopharmaceuticals, making it the world’s largest single-plant capacity. The fourth plant, which began full-scale operations in June, has now become the production hub for BMS’s flagship immuno-oncology drugs.
Samsung Biologics is maximizing its production capacity in order to meet the surging global demand for biopharmaceuticals. With the operation of the fourth plant, the company’s total production capacity has reached an overwhelming 604,000 liters, solidifying its position as the world’s leading biopharmaceutical manufacturer.