A view of SK Pharmteco’s plant in Virginia, USA. (Image courtesy of Yonhap)
SEOUL, June 26 (Korea Bizwire) – SK Group, one of South Korea’s largest conglomerates, is reportedly reviewing its business portfolio across various sectors, including its pharmaceutical and biotech divisions.
The move comes as part of the group’s broader strategy to streamline overlapping operations and secure liquidity for future investments.
According to industry sources on June 25, SK Pharmteco, a contract development and manufacturing organization (CDMO) subsidiary of SK Inc., has been in discussions with Novo Nordisk, the Danish pharmaceutical giant known for its obesity drug Wegovy, regarding the potential sale of one of its U.S. manufacturing facilities.
The facility in question is located in Virginia and is one of SK Pharmteco’s three drug manufacturing plants in the United States.
This development aligns with Novo Nordisk’s recent announcement of a $4.1 billion investment to construct a new production facility in Clayton, North Carolina, as part of its strategy to expand its manufacturing capabilities in the U.S.
SK Pharmteco’s Virginia plant specializes in the production of active pharmaceutical ingredients, primarily for synthetic drugs. The facility boasts a production capacity of 188 cubic meters on a 600,000 square meter site.
Industry observers speculate that this potential sale might indicate SK Pharmteco’s intention to shift its focus more towards biopharmaceuticals rather than synthetic drugs.
This hypothesis is supported by SK Pharmteco’s recent acquisitions, including the French cell and gene therapy (CGT) CDMO firm Yposkesi in 2021 and the U.S.-based CGT CDMO company CBM last year.
However, SK Inc. has responded to these reports, stating, “The Virginia plant is a small-scale synthetic drug facility and not a core biotech plant. Nothing has been finalized regarding its sale.” The company further clarified, “As part of our business operations, we are considering various options.
However, we are not targeting any specific pharmaceutical company or site. This is a routine part of our CDMO business operations and is entirely unrelated to portfolio restructuring.”
Ashley Song (ashley@koreabizwire.com)
