[Click e-Stock] "MicroDigital Joins M.AX Alliance... Selected as AI Bioreactor Company"

On September 15, IBK Investment & Securities analyzed that MicroDigital is expected to become a key player in the artificial intelligence (AI) bioreactor company development project. The company maintained its "Buy" investment opinion and a target price of 27,000 won.

The Ministry of Trade, Industry and Energy, together with the Korea Chamber of Commerce and Industry, held a joint launch ceremony for the "M.AX Alliance" at the Westin Josun Hotel in Seoul on September 10. The alliance is named M.AX, combining manufacturing and AX. Lee Geonjae, a researcher at IBK Investment & Securities, explained, "The companies participating in M.AX include leading manufacturers, AI companies, and materials, parts, and equipment firms for each business sector, who will jointly develop AI models and products specialized by industry." He added, "The government plans to support the public-private manufacturing AX alliance by providing research and development (R&D) budgets, funds, and infrastructure."

Among these, the AI Bio Alliance aims to develop AI models specialized for drug design and manufacturing processes by 2029. Participating companies include Samsung Biologics, Daewoong Pharmaceutical, Kyungdong Pharmaceutical, and MicroDigital. He emphasized, "MicroDigital is at the core of the AI bioreactor development project and is carrying out projects to improve the efficiency of domestic biopharmaceutical production." He added, "As the first bio equipment company selected as a top materials, parts, and equipment company, MicroDigital is expected to benefit from government support, including funding."

He also analyzed that MicroDigital's penetration into the North American market with its cell culture system (Single Use Bioreactor) is proceeding smoothly. He said, "Key partner Parker Hannifin officially unveiled the new product OrbTec, supplied by MicroDigital under a private label (PL) arrangement, on its official website on August 21, marking the start of full-scale sales activities." He continued, "Expansion into the North American market has already begun, and related changes can be continuously monitored through performance results."

He further explained, "For the business targeting India, additional contracts are currently being negotiated with Serum Institute of India (SII), and it has been confirmed that a bulk order for 3D bags for the initially supplied equipment has been placed." He added, "The bulk order for 3D bags indicates that the equipment is operating normally and has been successfully commercialized, and additional orders for 3D bags for the first batch of equipment are expected to continue." He concluded, "A contract for the second batch of equipment is also expected to yield tangible results within this year, making the company's export events in the second half of the year worth anticipating."