Leveraging 67 Years of Advanced Purification Technology and Manufacturing Facilities
Synergies Expected with Existing Materials Business
Daesang is accelerating its entry into the global pharmaceutical and bio market by acquiring a German company specializing in pharmaceutical-grade amino acids.
On December 18, Daesang announced that it will acquire 100% of the shares of AMINO GmbH, a German company specializing in pharmaceutical-grade amino acids, for approximately 50.2 billion KRW. The company is currently undergoing the necessary approval procedures and plans to complete the acquisition process by March next year.
Founded in 1958, AMINO GmbH produces amino acids required for the manufacture of medical infusion solutions, medical nutrition for patients, cell culture media, and excipients for biopharmaceuticals. The company operates a research institute and three production plants (covering approximately 6,000 square meters) in the northern German region of Frellstedt. It has established stable business relationships with major global biopharmaceutical and medical nutrition companies.
Through this acquisition, Daesang plans to enter the pharmaceutical-grade amino acid market. This sector is experiencing annual growth of 10%, driven by increasing demand for infusion solutions and medical nutrition due to an aging society and the expansion of medical infrastructure. In particular, as the market for biopharmaceuticals such as protein, gene, and cell therapies grows, demand for amino acids used in cell culture media, excipients, and reagents is also rising, indicating significant growth potential in the future.
With this acquisition, Daesang will secure not only the manufacturing facilities and equipment owned by AMINO GmbH, but also its advanced purification technology accumulated over 67 years and its regulatory approval capabilities within Europe. In addition, by leveraging AMINO GmbH's global network of major clients, Daesang aims to maintain its market share in Europe while expanding its business into North America and Asia. Synergies are also expected with Daesang's existing feed-grade amino acid business.
Daesang entered the pharmaceutical and bio business in 2014 through Daesang Cellzin. Daesang Cellzin was launched as an in-house venture of the Daesang Group and became a subsidiary in 2021 after Daesang invested 2.5 billion KRW. Daesang Cellzin produces recombinant proteins for use in cosmetics and medical applications using proprietary technology to genetically engineer the microalga Chlorella. In 2023, the company also signed an investment agreement worth 7.5 billion KRW with Amtix Bio, a new drug development company focused on treatments for microbial infectious diseases and related conditions.
Lim Jeongbae, CEO of Daesang, stated, "This acquisition is a strategic investment to expand our business into the high value-added pharmaceutical and bio market, leveraging the amino acid technology we have accumulated in our existing materials business. We will secure competitiveness in the pharmaceutical-grade amino acid market through AMINO GmbH's technological capabilities and global network."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
