Biogen to Increase Stake in Samsung Bioepis Joint Venture for $700 Million
Biogen will pay Samsung BioLogics approximately $700 million to increase its stake in Samsung Bioepis to approximately 49.9%.
On June 28, 2018, Biogen announced that it intends to purchase additional shares in Samsung Bioepis, the biopharmaceutical joint venture company it established in 2012 with Samsung BioLogics, for $700 million, under a share purchase option built into the original joint-venture agreement. The transaction is expected to close in the second half of 2018.
Under the 2012 agreement, Biogen will pay Samsung BioLogics approximately $700 million for the option shares, increasing Biogen’s ownership in Samsung Bioepis from approximately 5.4% to approximately 49.9%. The exact share purchase price will depend on the timing of the closing and foreign currency exchange rates at that time.
Samsung Bioepis is developing a broad pipeline of biosimilar candidates that includes six late-stage candidates in the therapeutic areas of immunology, oncology, and diabetes.
“We are very pleased with the progress made to date at Samsung Bioepis and believe exercising this option is an opportunity to create meaningful value for our shareholders,” said Michel Vounatsos, CEO at Biogen, in a company press release. “This option allows us to increase our ownership share in a leading biosimilar company at what we believe are attractive terms. We look forward to building an important relationship with Samsung BioLogics.”
Source: Biogen
