Korean biopharmaceutical firm Pharma Research Products will acquire BIOCND in a bid to bolster its anti-wrinkle injection business, the company announced on Nov. 30.
It has signed a memorandum of understanding to buy a controlling 50 percent stake in the neighbouring biotech firm for around 31.3 billion won (US$28.86 million).
With the acquisition, Pharma Research Products seeks to broaden its portfolio of medical cosmetics by adding BIOCND’s botulinum toxin candidate.
Pharma Research Products develops skin care products made of polynucleotide, a tissue regeneration material including its dermal filler treatment Rejuran Healer and wrinkle cream D+Cell. The development for hyaluronic acid filler is also underway.
In July, BIOCND completed construction of a new plant iin Gangneung, Gangwon Province, that has the capability to produce 240 vials of botulinum toxin per year. BIOCND has also sought approval from the drug regulator to initiate phase 1 clinical trials of its botulinum toxin BCD200.
“We will spur BIOCND’s plans, including the stock’s relocation to KOSDAQ bourse from KONEX, granting marketing approval and exports,” a company official said.
The tie-up is expected to boost Pharma Research Products’ exports, which currently account for over 30 percent of total sales, according to analysts.
“Synergies will be possible by utilizing the existing sales network as Pharma Research Products’ Rejuran has successfully hit the Chinese and Japanese markets,” Jung Kyu-bong, a Shinyoung Securities analyst said.
By Park Han-na (firstname.lastname@example.org)