Samsung Biologics completes acquisition of US manufacturing facility
Officials cut a ceremonial ribbon during an event marking Samsung Biologics’ acquisition of a biopharmaceutical manufacturing plant in Rockville, Md., Tuesday (local time). From front row fifth from left, are Korean Ambassador to the United States Kang Kyung-wha, Samsung Biologics CEO John Rim, Maryland Gov. Wes Moore and Congresswoman April Delaney. Courtesy of Samsung Biologics
Samsung Biologics has closed the deal to acquire GSK’s facility in Rockville, Md., establishing the biopharmaceutical firm’s first manufacturing base in the United States, the company said Wednesday.
In its regulatory filing, the Korean company said its wholly owned subsidiary Samsung Biologics America has completed the acquisition of Human Genome Sciences, which owns a drug substance manufacturing facility in the U.S. from GSK for a total of $353.1 million.
Of the amount, $280 million is for the acquisition of the facility and equity, while the remaining $73.1 million was paid for the transfer of inventories and raw materials held by Human Genome Sciences.
The deal’s closure came three months after Samsung Biologics announced the acquisition on Dec. 22 last year, as part of its efforts to mitigate risks stemming from the Trump administration’s tariffs on biopharmaceuticals, as well as to expand its contract drug manufacturing capacity beyond Korea.
Samsung Biologics’ biopharmaceutical manufacturing site in Rockville, Md. / Courtesy of Samsung Biologics
The Rockville site is comprised of two manufacturing plants with a combined 60,000-liter drug substance capacity, supporting both clinical and commercial biologics production across multiple manufacturing scales.
The acquisition increased Samsung Biologics’ total global manufacturing capacity to 845,000 liters per year from 785,000 liters.
Despite being one of the world’s largest contract drug manufacturers, Samsung Biologics had been exposed to supply chain risks, as all of its manufacturing facilities were located in Korea prior to the acquisition.
With the acquisition, Samsung Biologics will be able to provide clients with more flexible multi-site manufacturing options in both the U.S. and Korea, strengthening collaboration with North American customers and enhancing its ability to respond to regional changes in the supply environment.
Samsung Biologics said it will continue supplying the products previously manufactured at the site to GSK under the terms of the agreement, as well as serving additional contract manufacturing needs. The company plans further investments to expand the site’s capacity and upgrade technologies. It will retain more than 500 employees at the site to ensure operational continuity and stability.
Samsung Biologics CEO John Rim speaks during a ceremony marking the company’s acquisition of a biopharmaceutical manufacturing plant in Rockville, Md., Tuesday (local time). Courtesy of Samsung Biologics
“This represents a meaningful step in expanding our U.S. manufacturing footprint,” Samsung Biologics CEO John Rim said.
“The addition of the Rockville site strengthens our ability to operate a geographically diversified manufacturing network. … The Rockville team brings deep expertise and strong operational experience that will further strengthen the site as part of our global manufacturing network.”
