Coson Secures Majority Shareholder Status in DesignCell, a 3rd Generation Gene-Equipped Stem Cell Biosign Company

[Asia Economy Reporter Yoo Hyun-seok] Coson has secured the largest shareholder status of 'DesignCell,' which is developing third-generation stem cell-based treatments for intractable diseases, and is set to actively promote new business ventures to acquire bio technology.

On the 29th, Coson announced through a public disclosure on the 30th that it will acquire 51.69% (18,333 shares) of DesignCell's shares for approximately 15.5 billion KRW. In addition to acquiring shares to add a bio business to its existing cosmetics business, it also signed a memorandum of understanding (MOU) for business cooperation.

Coson's management has reviewed new business initiatives over a long period to secure mid- to long-term growth engines. Starting with the acquisition of DesignCell shares, internal organizational restructuring and recruitment of external experts for the new business are expected to accelerate.

DesignCell was established in 2016 by Professor Kim Yun-bae of Chungbuk National University, who also serves as the CEO. It is a third-generation stem cell research company. The company has accumulated know-how mainly through research focused on treating intractable diseases and has succeeded in developing 'functional gene-loaded stem cells.' It possesses a pipeline applicable not only to brain diseases such as dementia, stroke, and cerebral palsy but also to various diseases including glaucoma, multiple sclerosis, and arthritis.

Among these, the dementia treatment stem cells were successfully co-developed with the University of British Columbia (UBC) Hospital in Canada and have been highly evaluated for their technological value. Based on current research results, DesignCell holds an advanced dementia treatment pipeline. While preparing for clinical trials of stem cells to overcome intractable brain diseases, it is actively expanding overseas by establishing branches not only in Korea but also in China.

Recently, the company has attracted significant attention from industry insiders by successfully developing a new material called 'exosome-rich culture medium.' Exosomes are substances that deliver 'functional' proteins to target cells or damaged areas, regulating bodily functions and regenerating cells and tissues. DesignCell has succeeded in extracting 50 to 100 times more exosomes compared to existing methods and plans to develop treatments for intractable diseases by utilizing functions such as inflammation suppression, tissue repair, and functional recovery, with potential expansion into cosmetics.

The 'Enforcement Rules of the Act on Safety and Support for Advanced Regenerative Medicine and Advanced Biopharmaceuticals' announced by the Ministry of Health and Welfare on August 28 has created a favorable environment for the fruition of ongoing research and efforts.

Professor Kim was recognized for his high reputation and research achievements in the related field, being selected as an expert member of the Central Pharmaceutical Review Committee by the Ministry of Food and Drug Safety in August this year. He has published 332 papers in the field of stem cell research and filed about 30 domestic and international patents, earning a reputation as a top researcher in the bio field. He was also inducted into the Chungbuk National University 'Hall of Fame' after being selected as the best professor for three consecutive years in recognition of his contributions to the commercialization of bio technology and industry-academia cooperation.

A Coson official said, “The bio business, which is being promoted as a new business, is significant in securing Coson's mid- to long-term growth engine. The existing cosmetics business is also expected to grow positively as it recently completed a large-scale factory and has entered the process of full-scale business expansion.”

Coson recently completed the new factory 'Cosatique' in Osan City, which is three times the size of its existing first factory. It plans to strengthen its original design manufacturer (ODM) business and actively enter the global market, with an annual production capacity of 100 million color cosmetics, 50 million basic cosmetics, and 41 million mask packs. Including the currently operating first factory and the factory in China, it can produce 338 million products annually.

This content was produced with the assistance of AI translation services.