Selle Therapeutics "Securing Financial Soundness and Expanding Pipeline... Will Strengthen Communication with Shareholders"

[Asia Economy Reporter Hyunseok Yoon] Yoon Byung-hak, chairman of Cellma Therapeutics, has strengthened communication with shareholders by revealing the recent business structure reorganization and financial structure improvement.

On the 28th, Chairman Yoon posted a 'Letter to Shareholders' on the company website, stating, "The recent name change (from Medipartners Biotechnology to Cellma Therapeutics) was a choice to wind down the business of the former Medipartner Biotechnology management," adding, "We have secured financial soundness through business structure reorganization and restructuring." He continued, "By boldly eliminating inefficient business operations of past management, we were able to reduce fixed costs by about 6 billion KRW annually."

Cellma Therapeutics has been undergoing intensive restructuring by winding down past dental businesses and reorganizing the organization centered on core personnel, reducing about 70% of the total workforce. This led to a successful capital raise of 5 billion KRW.

Chairman Yoon also explained the background and effects of acquiring a new cash cow along with securing financial soundness. Earlier this year, Cellma Therapeutics focused on discovering a cash cow by acquiring shares of Bebig, a Russian company specializing in radiation embolic agents and medical devices. He stated, "With the acquisition of Bebig, which has generated annual profits exceeding 10 billion KRW, we have secured a definite cash cow," and added, "Along with the current revenue source from Bebig, we will devote all efforts to expanding the pharmaceutical pipeline, which will be a future growth engine."

Cellma Therapeutics currently holds four pipelines (anticancer drugs, Covid-19 antiviral agents, dental bone graft proteins, and NASH therapeutics). He said, "In addition to the existing pipelines, we are preparing to secure 2 to 3 additional pipelines and will grow into an essential new drug development company through continuous discovery of new businesses." He added, "We will always strive to become a trustworthy company that prioritizes shareholder interests."