Tongyang Networks became the largest shareholder of Medegene, a German pharmaceutical company. It was the first time for a Korean company to acquire a global pharmaceutical company listed on the German stock market.
Tongyang Networks announced through a public disclosure announcement on May 28 that the company acquired 1,650,000 shares of Medegene, a publicly traded company in the Frankfurt Stock Exchange, for 30.3 billion won.
After the acquisition, its stake will stand at 6.72%, earning Tongyang Networks a position as the largest shareholder. "We are also considering securing additional stakes if needed," a Tongyang Networks official said.
Medegene is developing TCR (T-Cell Receptor)-T, next-generation chemotherapy with similar mechanisms to CAR-T in the field of solid cancer. While most CAR-T-based immunotherapy drugs being developed by Korean bio companies are marking time at an early stage, Medegene's immunotherapy drug is expected not to take much time for its commercialization as the drug was licensed out.
"The next-generation immunotherapy drug being developed by Medigene in Germany is currently undergoing Phase 1 of its clinical test in Germany," said Kim Dae-woong, president of Tongyang Networks. “We already signed a license-out contract worth 1.6 trillion won on six carcinomas with Bluebird Bio with market capitalization of ten trillion won."