Samsung Biologics, Pfizer sign $411.3 mn agreement for long-term CDMO

Samsung Biologics Co., the world’s No. 1 contract drugmaker, announced a groundbreaking strategic partnership with Pfizer on Thursday, marking a historic milestone in the field of multi-product contract manufacturing.

The partnership is valued at about $411 million, surpassing Samsung Biologics' previous record of $351 million with AstraZeneca.

Under the agreement, Samsung Biologics will produce a wide range of biosimilar products from Pfizer's portfolio, including therapies for tumors, inflammation and immune disorders.

The manufacturing operations will take place at Samsung Biologics' recently completed Plant 4 facility, known for its cutting-edge capabilities.

The contract size represents about 17.83% of Samsung Biologics' revenue in the previous year. This achievement follows a significant $184 million contract signed between the two companies in March, further demonstrating their shared commitment to advancing the field.

"The successful completion of Plant 4 has paved the way for this agreement, precisely as scheduled earlier this month," Samsung Biologics CEO John Rim said.

"We continue to fortify our capabilities by expanding our Second Bio Campus, poised to offer our clients even more advanced contract manufacturing services."

"I am delighted that our strategic collaboration with Samsung Biologics is expanding and enduring," Pfizer's Chief Global Supply Officer Mike McDermott said.

"This endeavor will empower us to provide enhanced treatment options to patients worldwide, further exemplifying our unwavering dedication to revolutionizing global healthcare solutions." 

Write to Min Su Han at hms@hankyung.com