Celltrion, a leading biopharmaceutical company, announced on Tuesday a significant contract manufacturing agreement with a global pharmaceutical company. The deal, valued at 294.9 billion won ($198 million USD), focuses on the supply of drug substance.
The three-year contract, effective from 2027 to 2029, includes an option for expansion to 375.4 billion won upon mutual agreement, showcasing the potential for a long-term partnership.
This contract further emphasizes Celltrion’s growing presence in the global contract development and manufacturing organization (CDMO) market. Earlier this year, the company secured a 678.7 billion won CMO deal with Eli Lilly, pushing its cumulative order backlog beyond 1 trillion won within the first quarter, demonstrating strong market confidence.
To effectively manage the escalating demand from global pharmaceutical clients, Celltrion is bolstering its sales and project management capabilities through its subsidiary, Celltrion BioSolutions. Simultaneously, the company is streamlining operational efficiencies across its entire CMO business.
Celltrion is strategically positioning itself with technology-driven services, notably its “formulation conversion CMO,” which leverages proprietary subcutaneous drug delivery technologies. These technologies were developed for products like Remsima SC (marketed as Zymfentra in the US) and Herzuma SC, showcasing innovative solutions for drug delivery.
The increasing demand for biologics manufacturing is highlighting Celltrion’s robust production capabilities. The company boasts a combined manufacturing capacity of 316,000 liters across its state-of-the-art facilities in Songdo, Incheon (South Korea), and Branchburg, New Jersey (USA).
With the continued global sales growth of its proprietary products, Celltrion plans to allocate a larger portion of its manufacturing capacity to in-house production. Concurrently, the company is actively preparing to expand its facilities to effectively meet the rising CDMO demand, ensuring it can serve its partners’ needs.
“This large-scale agreement underscores our increasing recognition and trust within the global market,” stated a Celltrion official. “We are committed to continually expanding our manufacturing capacity to support both our proprietary pipeline and the growing demand from our global partners, solidifying our position as a leading CDMO provider.”
stlee0329
