Samsung Biologics Logistics announced on the 3rd that it signed a new contract worth approximately 434.3 billion won (324.8 million dollars) for contract manufacturing organization (CMO) services with a global pharmaceutical company on the 2nd. The company disclosed this information on the 3rd. The name of the client and the product were not disclosed due to confidentiality clauses. The contract period runs until December 31, 2031.
With this contract, Samsung Biologics Logistics’ cumulative order backlog since its founding has increased to a total of 22.3 billion dollars (approximately 30 trillion won). Based on disclosures this year, the company has signed a total of nine contracts.
In particular, this contract is considered significant as it represents a large-scale new agreement achieved amid challenging conditions, including global economic uncertainty, intensifying competition in the contract development and manufacturing organization (CDMO) market for biopharmaceuticals, and conflicts with labor unions. Samsung Biologics Logistics expects that this contract will help secure a stable order backlog and strengthen its medium- to long-term revenue base.
Samsung Biologics Logistics emphasized that it maintains close cooperative relationships with numerous partners, including the majority of the top 20 global pharmaceutical companies. The company explained that it has established cooperation systems covering all stages from drug development to commercial production with each partner. Going forward, the company plans to focus its efforts on attracting new clients and expanding contracts with existing customers in line with increasing global demand for biopharmaceuticals and trends toward supply chain diversification.
Samsung Biologics Logistics is continuing its “Three-Pillar Expansion” strategy, which simultaneously pursues production capacity expansion, portfolio strengthening, and geographic hub expansion to broaden collaboration with existing and potential clients. The company is expanding production capacity to proactively respond to global biopharmaceutical demand while diversifying its business portfolio into areas such as antibody-drug conjugates (ADCs) and peptides. Additionally, the company opened a European sales office in the Netherlands in August, securing sales hubs in three major markets: the United States, Japan, and Europe.
The labor-management conflict at Samsung Biologics Logistics continues. Although management and union representatives were originally scheduled to begin negotiations on this day, the talks were postponed after the company proposed a two-week period for rebuilding trust. The union stated that it plans to continue preparations for industrial action.
An official from Samsung Biologics Logistics said, “Samsung Biologics Logistics will continue to enhance global customer trust and steadily expand its orders based on its overwhelming production capacity, diversified business portfolio, geographic hubs, and quality competitiveness.”
in THEBIO
