Samsung Biologics met the minimum acceptance condition of 66.7% in the interim results of its public tender offer for global peptide contract development and manufacturing organization (CDMO) PolyPeptide Group, with 87.88% of shares submitted.
On Tuesday, Samsung Biologics said the "Provisional Interim Result" of the public tender offer for PolyPeptide Group shares conducted from the 15th of last month to the 12th of this month.
The company conducted the tender offer through its special purpose vehicle (SPV) subsidiary, Samsung Peptide, established specifically for the acquisition of PolyPeptide Group. The target was all issued shares excluding treasury stock (33,016,411 shares), with a price of 44.31 Swiss francs per share (approximately 71,472 won).
According to the interim tender offer results, a total of 29,014,418 shares were submitted, including all shares held by Draupnir Holding, PolyPeptide Group's existing largest shareholder (18,375,000 shares).
This corresponds to 87.88% of the target shares for purchase, exceeding the minimum acceptance condition of 66.7%. Based on total issued shares, the ownership ratio is 87.59%. The "Definitive Interim Result," which has undergone verification by an independent auditor, will be announced on the 16th.
Samsung Biologics plans to complete the transaction by paying the consideration within 10 business days after an additional submission period from the 19th to the 30th and obtaining regulatory approvals from relevant authorities in Europe, India, Australia, Brazil, and other regions.
It signed an acquisition contract with PolyPeptide Group in July. It is scheduled to complete the final acquisition by the end of next month. The acquisition amount is 146 million Swiss francs (approximately 2.7 trillion won), the largest scale among mergers and acquisitions (M&A) cases in the domestic pharmaceutical and bio industry.
Through the acquisition of PolyPeptide Group, Samsung Biologics will expand its business scope from antibody drugs and messenger ribonucleic acid (mRNA) and antibody-drug conjugates (ADCs) to the peptide field, which has recently been experiencing high growth. This is a strategy to diversify its portfolio and secure medium- to long-term growth drivers.
Peptides are attracting attention as a key raw material for diabetes and obesity treatments in the global pharmaceutical and bio market. According to analyses by global investment banks (IBs) and others, the global obesity treatment market is expected to grow to a maximum of 150 billion dollars (approximately 200 trillion won) by 2035, driven by surging demand and expanded treatment indications. Consequently, demand for peptide-based treatments, which are key raw materials, is also expected to increase.
A Samsung Biologics official said, "We will maximize business synergy by combining the know-how (experience) accumulated in designing and operating large-scale production facilities with PolyPeptide Group's peptide development and production technologies."
The official added, "Going forward, we will also consider expanding production facilities to respond promptly to customer demand as the peptide market expands."
in THEBIO
