Apimez Signs Formulation Technology Transfer Agreement with Zhongsutai Pharmaceutical

[Asia Economy Reporter Hyungsoo Park] InscoBio is entering the overseas market in the formulation technology sector by partnering with a Chinese pharmaceutical company.

InscoBio announced on the 16th that its subsidiary Apimez has signed a formulation technology transfer contract worth $250,000 (approximately 300 million KRW) with China's Suitai Pharmaceutical.

Formulation technology is one of the essential elements in developing pharmaceuticals. It is used to manufacture the final finished product form so that the active ingredient of the drug administered to the human body can exert its effect.

Following the contract, Apimez will develop and transfer technology for the manufacturing and analysis of antibiotic products requested by China's Suitai Pharmaceutical. To enter the formulation sector, Apimez made large-scale investments in its research institute last year to establish state-of-the-art research facilities and also expanded its workforce. The formulation technology business is expected to grow.

Apimez has so far promoted its experience and excellence in formulation technology to domestic and international pharmaceutical companies. The industry is paying attention to the fact that the first contract was signed with an overseas pharmaceutical company rather than a domestic one. If the contract is successfully completed in the Chinese market, which is known for its strict regulations, the growth speed of Apimez’s formulation technology-related business model is expected to accelerate.

Established in May 2019, China's Suitai Pharmaceutical has shown excellent performance in the import and distribution of overseas new drugs within China. It recorded sales of 500 million yuan last year.

A company official stated, "Signing the first contract for the formulation technology-related business model with an overseas pharmaceutical company proves the reliability of Apimez’s formulation technology," and added, "We will actively promote sales so that the formulation technology sector can become a new revenue model for Apimez."

InscoBio is pursuing business diversification, recently entering the improved new drug sector through an agreement with BC World Pharm.