Dong-A Enters Biosimilars Biz

Signs MOU to build bio complex in IFEZ by 2014 and signs tie-up with Meiji Seika Pharma of Japan

Dong-A Pharmaceutical Co. has decided to take up the biosimilars manufacturing business, joining companies in the sector such as Samsung Electronics, Hanwha Chemical, Celtrion, and LG Life and Science to heat up competition in the industry.
The leading drug maker in Korea said recently it has signed an MOU with the Incheon Free Economic Zone Authority to build a plant complex in the zone for the bio industry on a site 145,200 square meters in area.
The pharmaceutical firm plans to develop and produce "Herceptin," a biosimilar for the treatment of breast cancer, and sell it on the world market. In order to prepare for the company's new venture, Chairman Kang Shin-ho went to Tokyo to sign an agreement on cooperation with Meiji Seika Pharma.
Herceptin is an antibiotic drug effective for the treatment of breast cancer that is spread by HER2 when it is overproduced in a woman, causing the cancer to spread to other parts of the body.
Both Dong-A and Meiji agreed that they will develop the drug through clinical tests and Dong-A will have the right to market the drug in Korea, while Meiji will market it in Japan. The two partners will set up a joint firm for the global sale of the new drug.
Officials of Dong-A said, "We chose Meiji for a partner because a Korean firm setting up operations in the Incheon Free Economic Zone is required to have a foreign partner holding at least a 10 percent stake in order to set up shop in the zone."
Industry sources believe that Dong-A will join others firms such as Samsung Electronics and Celtrion to develop the bio industrial complex in the IFEZ in Songdo, Incheon, as a mecca of the industry.
Chairman Kang said the Songdo bio complex would be a forward base for the development of bio drugs and commercialization of the industry with a great future.
Dong-A stands at the forefront of Korea's pharmaceutical industry; motivated by its respect for life and health to continuously innovate and develop products that enhance people's quality of life. Dong-A is working hard to grow internationally and become one of the world's most respected pharmaceutical firms.
According to the company website, "The greatest value is life, and the prospect of improving people's lives is the motive for everything we do. For more than 70 years Dong-A has poured its energies into helping people live healthier and happier, based on our belief that life is precious, and nature is the source of all life."
Dong-A's competitive advantage arises first and foremost from its continuous focus on R&D. Their top-quality research center is responsible for the development of Stillen®, a gastritis treatment, and Zydena® for erectile dysfunction. Both products are domestic blockbusters and are recording strong overseas sales.
Dong-A has also made a firm commitment to biopharmaceutical research. The market for biopharmaceuticals is growing rapidly, attracting many multinationals to this dynamic new source of growth. Dong-A made early investments in biopharmaceutical research infrastructure, securing an initial advantage and a pipeline that now comprises a majority of bio-medical products.
To raise the efficiency of its R&D operations, Dong-A has reorganized its research headquarters and formalized plans to construct a new research center. Its R&D activities are focused on expanding the application of existing patents to new markets, and continuing forward with research into atopy and asthma treatments. As the company's R&D spending continues to grow, Dong-A will remain a leading center for new drug development.
Dong-A will advance into global markets to deliver effective and affordable medical therapies to more people. To that end, the company is establishing a multi-layer overseas business platform to carry out R&D, investment, and marketing functions. Dong-A's goal is to record 40 percent of its revenue from foreign sales by 2017, making it a genuinely global enterprise. nw

Dong-A Pharmaceutical Co. chairman Kang Shin-ho, third from left, holds contract documents along with Incheon Mayor Song Young-kil, second from left, at the Sheraton Incheon Hotel, Incheon, on Oct. 19. courtesy of Dong-A Pharmaceutical Co.

Photo on courtesy of Dong-A Pharmaceutical Co.