In keeping with this goal, Samsung Electronics Co., Ltd. (SSNLF), and its affiliated companies entered into a strategic partnership with pharmaceutical services company, Quintiles, in early 2011 for the setting up of a joint venture.
The joint venture, Samsung Biologics, was established in April 2011 with Quintiles holding a 10% stake. The remaining 90% is owned by Samsung (Samsung Electronics Co., Ltd., 40%; Samsung Everland, Inc., 40% and Samsung C&T Corporation, 10%).
The establishment of the joint venture marked Samsung’s entry into the biopharmaceutical world. Samsung took another step recently by entering into an agreement with biotech company Biogen Idec (BIIB) for the setting up of a joint venture for the development, manufacturing and marketing of biosimilars. Biosimilars are generic versions of biologics.
The $300 million joint venture, which will be based in Korea, will not be involved in the development of biosimilars of Biogen’s branded products.
Majority Stake to be Held by Samsung
While Samsung will contribute $255 million to the joint venture for an 85% stake, Biogen will invest $45 million for a 15% stake in the joint venture. The agreement brings together Biogen’s expertise in biologics and Samsung’s acumen and experience in new business development.
The setting up of the biosimilars joint venture should help Samsung achieve its goal of commercializing biosimilars by 2016.
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