SEOUL, Jan. 11 (Korea Bizwire) — SK Pharmteco Inc., a biopharmaceutical arm of South Korea’s No. 3 conglomerate SK Group, aims to generate US$2 billion in annual sales in the next three years with a focus on cell and gene therapy business, its parent company SK Inc. said Tuesday.
Aslam Malik, CEO of SK’s contract development and manufacturing organization (CDMO) affiliate, made the statement during a presentation at J.P. Morgan HealthCare Conference on Monday (U.S. time), vowing to become a top five global player, according to SK’s press release.
“With the sustained growth of the small molecule APIs, SK Pharmteco is aiming to become a CDMO with annual sales of $2 billion by 2025, leveraging the cell and gene therapy business as the new growth engine,” Malik was quoted as saying.
He said SK Pharmteco plans to expand its global manufacturing capacity by 50 percent from the current 1,000 cubic meters by 2025.
SK Pharmteco was established in 2019 as SK’s global CDMO operation and has SK Biotek, U.S.-based AMPAC Fine Chemicals, Yposkesi in France and Swords Manufacturing Plant in Ireland under its wing.
Its tentative sales for 2021 reached a record $740 million, 7.5 times higher than 2017, when the company launched a global expansion, SK said.
SK has been expanding investment in the bio business, one of the four core areas that it targets as future growth drivers, lately having become the second largest stakeholder of U.S. gene therapy company The Center for Breakthrough Medicines with $350 million investment.