Samsung Biologics to spin off biosimilar unit, launching a two-track strategy

South Korean Samsung Group’s biopharmaceutical business is being reorganized into two separate tracks: contract development and manufacturing organization (CDMO) and biosimilars.

In a regulatory filing, Samsung Biologics revealed plans to conduct a vertical spin-off, separating its subsidiary management and new investment functions to establish a new entity, tentatively named Samsung Epis Holdings. Samsung Biologics will become a pure-play CDMO, while the new holding company will oversee Samsung Bioepis and focus on biosimilar operations.

Samsung Biologics announced the plan following a board resolution on May 22. The effective date of the spin-off is October 1. Existing shareholders will receive shares in Samsung Biologics and Samsung Epis Holdings in a ratio of 0.6503913 to 0.3496087. On October 29, Samsung Biologics will undergo a revised listing, and the newly created Samsung Epis Holdings will also be listed.