Korea United Pharm signs contract to supply medicines to Saudi Arabia

Korea United Pharm. Inc. announced on Monday that it signed a contract to supply nine types of medicines, including 11 anticancer drugs, to Saudi pharmaceutical companies. The deal is worth $4.5 million and marks the company's effort to comply with Saudi Arabia's strengthened regulations on drug imports.

The company had previously exported the drugs to Saudi Arabia through unregistered tenders since 2012, but recently strengthened regulations prompted the company to enter into a formal supply agreement, achieving the latest result over the past month and this month.

As its Sejong 2 plant, which is dedicated to producing anticancer drugs, received approval from the Saudi Arabian regulatory body for GMP at the beginning of this year, Korea United Pharm will start full-scale production and supply to begin this year.

"We plan to choose Saudi Arabia, one of the largest pharmaceutical markets in the Middle East and Africa, as a base for entering the region and continue to seek ways to advance into other major markets in the Middle East and Africa," said an official of Korea United Pharm.

Write to Jung-Eun Kim at likesmile@hankyung.com