Samsung Biologics and AstraZeneca announced on 22 September about new long-term supply agreement.
Unlike many spheres and companies Samsung rise their funds from the novel coronavirus pandemic, and it’s accelerating its expansion plans. Only in August the company opened up plans to build $2 billion “Super Plant” at its Incheon, South Korea hub.
“In this continuously evolving climate, we are strategically positioning ourselves to respond to the needs of our global clients who are producing new medicines that are more complex and diverse, and deliver superior client satisfaction,” said Dr. Tae Han Kim, CEO of Samsung Biologics. “With the production of Plant 4, our ‘Super Plant,’ Samsung Biologics is investing in a total line refinement and addition of new mid- and small-scale facilities to ensure production efficiency and provide top-notch services to raise the bar even further to establish ourselves as the leading global standard.”
Those plans closely connected to the fact that the company booked $1.5 billion in orders in the first half of 2020—a 150% increase over its 12-month total last year.
$330.8 Million Agreement
According to Samsung press-release, agreement between them and AstraZeneca valued at approximately $330.8 million. “Under this agreement, Samsung Biologics will provide large-scale commercial manufacturing for drug substance in its Plant 3 as well as drug product to support AstraZeneca’s biologics therapeutics, which could be increased to $545.6 million,” – published in article.
On the terms of mutually beneficial cooperation, Samsung Biologics robust expertise and capabilities in the manufacturing of high-quality biopharmaceuticals will help AstraZeneca to expand its biologics manufacturing capabilities into Asia Pacific. In its turn AstraZeneca expected to accelerate Korean bio-health innovation.
Before the deal, in June was sight a LOI (letter of intent). Signing event was held at Samsung Biologics’ headquarters in Incheon with utives of both companies, Samsung Biologics CEO Tae Han Kim and AstraZeneca Korea’s country president Juno Kim in attendance. Leif Johansson, Chairman of the Board and Ms. Margareta Ozolins Nordvall, Senior Vice President Supply APAC of AstraZeneca joined the event via a virtual meeting platform due to global travel restrictions amid COVID-19.
“South Korean government officials, Mr. Jae Joon Kim, Director of Bio-Convergence Industry from Ministry of Trade, Industry, and Energy and Ms. Tae Gil Jung, Director of Division of Health Industry Promotion from Ministry of Health and Welfare also joined the signing event,” – Samsung Biologics said.
AstraZeneca COVID-19 Vaccine
Need to be said, that AZD1222, AstraZeneca’s potential vaccine is still on the leading position in “Operation Warp Speed“, despite pause un reserches on August-September, 2020. That’s why this deal can be helpful to speed up vaccine production.
“This long-term partnership with Samsung Biologics strengthens our manufacturing capabilities, and ensures we are well-positioned to continue to deliver our exciting portfolio of new and established biologics medicines to patients with quality, speed and efficiency.” said Pam Cheng, EVP Global Operations and IT, AstraZeneca.
“We are very proud to partner with AstraZeneca, a company that uses a rich history of science-led innovation to serve patients,” said Dr. Tae Han Kim, CEO of Samsung Biologics. “At Samsung Biologics, our people share this common purpose to help our clients bring innovative solutions to an array of diseases, and we look forward to delivering on our promise to aid in AstraZeneca’s ongoing expansion program.”