[People人] On the Brink of Retirement, at the Forefront of the 'COVID War'... Rising from Bio to the Largest Pharmaceutical Company

Seo Jung-jin, Chairman of Celltrion Group
COVID-19 Antibody Treatment Clinical Trials Imminent
Approval Process to Complete in Q1 Next Year
Direct Entry into Production Facility Construction in China
Business Expansion into All Health Sectors

Chairman Seo Jung-jin of Celltrion Group during the online press conference held last March

[Asia Economy Reporter Choi Dae-yeol] "It's not about commercial value. It's to ensure that the public can quickly access treatments in line with the national crisis situation..." (March 12 this year, online briefing)

"Our company usually holds about a year's worth of product inventory, but if we minimize this as much as possible, I believe we can secure treatments for 5 million people (for COVID-19)." (June 23, NextRise keynote speech)

This is what Seo Jung-jin, Chairman of the Celltrion Group, recently said in a public setting. Having set his retirement date firmly at the end of this year, his full attention is focused on the novel coronavirus infection (COVID-19). Five months after the virus outbreak, he is leading the 'war against COVID' by encouraging research institute staff to accelerate R&D internally, while actively engaging in external activities to prevent society from shrinking back amid the pandemic.

Leading the Frontlines in COVID Response

The antibody treatment Celltrion is developing is on the verge of human clinical trials. Efficacy has been confirmed in animal tests up to recently, and trials on primates are underway. At the 'NextRise' event held late last month, Chairman Seo stated, "We will begin human clinical trials on July 16 and complete the approval process by the first quarter of next year." Despite the many variables and complex procedures in drug development, the ability to specify this timeline indicates that Chairman Seo is personally leading the development process and maintaining close communication with regulatory authorities.

Compared to synthetic drugs, biopharmaceuticals like antibody treatments generally have shorter development periods, but developing a new drug typically takes about 18 months. Celltrion, which has focused on biopharmaceuticals from the start, is among the few companies worldwide developing antibody treatments, taking into account the frequent mutations characteristic of the coronavirus.

From the phase after completing safety and efficacy verification in Phase 3 clinical trials, plans are also underway to involve a large number of patients. Chairman Seo said during the March briefing, "Rather than waiting until after clinical trials to provide treatment, we will discuss with relevant agencies to expand the clinical trial scale so that patients can benefit from the drug during the clinical phase."

Direct Entry into China from Research and Production to Sales

Until early this year, COVID-19 seemed to hold back Chairman Seo. On January 20, when the first COVID-19 patient was reported in Korea, Vice Chairman Ki Woo-sung and other company officials signed an agreement to build one of the largest biopharmaceutical production facilities in China, located in Wuhan, Hubei Province. This marked the official first step of Seo’s long-planned direct entry into China. The Chinese pharmaceutical market is valued at 150 trillion won, making it the second largest in the world after the United States.

Wuhan, chosen by Chairman Seo, is home to about 300 research institutes and production facilities of global pharmaceutical and bio companies, and is considered a bio-industry hub in China. Seo envisioned a business encompassing R&D, production, and sales within China, but as COVID-19 escalated into a pandemic beyond China and Korea, the company had to pause and regroup.

Although more pharmaceutical and buyer companies have exported products or technologies overseas than before, direct entry into a specific country remains difficult due to strict regulations and high barriers in the pharmaceutical industry. It is said that the timing was the only issue, and no alternatives to China were considered. This reflects Chairman Seo’s characteristic persistence in doing what others do not.

From Startup to Korea’s Largest Pharmaceutical Company in 20 Years

Seo’s official role within the company is 'Future Strategy.' To put it bluntly, he initiates many projects. Beyond COVID response and China entry, he recently expanded the synthetic drug business by acquiring Asia-Pacific rights from Takeda Pharmaceutical, and is traveling worldwide to prepare for 'U-Healthcare' integrating advanced technologies.

While the company has grown through biosimilars (biopharmaceutical generics), it now plans to cover all health-related fields. As of the first quarter of this year, Celltrion’s sales reached 345.7 billion won (separate basis), the highest among all domestic pharmaceutical and bio companies. When Seo entered the bio industry empty-handed 20 years ago, he was considered an outlier, but now the possibility of him leading the century-old Korean pharmaceutical industry is growing.