Samsung Biologics Secures $1.05B Manufacturing Deal with U.S. Drugmaker

• Samsung Biologics has signed a $1.05 billion manufacturing agreement with an unnamed U.S. drugmaker.

• The deal represents over 39% of Samsung Biologics’ total sales from last year.

Samsung Biologics, a Korean contract development and manufacturing organisation (CDMO), has announced a substantial manufacturing agreement with a large, unnamed U.S. drugmaker. The deal, valued at 1.46 trillion Korean won (approximately $1.05 billion), was disclosed on Tuesday and signifies a significant boost to Samsung Biologics’ production portfolio.

The agreement, which accounts for more than 39% of Samsung Biologics’ total sales from the previous year, was cemented with a letter of intent signed on June 5. The contract is set to run through the end of 2030, although the exact manufacturing period may be subject to further negotiation between the two companies.

This latest contract continues Samsung Biologics’ streak of successful deals and record-breaking earnings, particularly noted in the first quarter of 2024. Despite a general downturn in the contract manufacturing industry last year, Samsung Biologics has bucked the trend, securing multiple production agreements and achieving an all-time earnings high.

“We are pleased to enter into this agreement and look forward to delivering high-quality manufacturing services,” a spokesperson for Samsung Biologics stated, reflecting the company’s ongoing commitment to expanding its global footprint in the CDMO sector.