Samsung Biologics and Episholdings See Combined Market Cap Jump by 6.8 Trillion Won on First Day of Relisting (Comprehensive)

Samsung Biologics Closes 0.45% Below Opening Price
Solid Performance and Contract Wins... Reports Projecting Up to 2.09 Million Won
Samsung Epys Holdings Down 28.23%
Market Still Values Only the Biosimilar Business
Share Price Likely t

On November 24, the first day that Samsung Biologics and Samsung Episholdings were simultaneously relisted on the KOSPI market, their combined market capitalization surpassed 93 trillion won.

At the close of trading that day, Samsung Biologics ended at 1,789,000 won per share, while Samsung Episholdings closed at 438,500 won per share. Their respective market capitalizations were approximately 82.8145 trillion won and 10.9112 trillion won. The combined market capitalization of the two companies reached about 93.7257 trillion won, an increase of roughly 6.8257 trillion won compared to the pre-split market cap of 86.9 trillion won.

Based on net asset value, applying a 65 to 35 split ratio, Samsung Biologics was valued at about 56.5 trillion won, and the newly established Samsung Episholdings was valued at approximately 30.4 trillion won. For companies relisted after a spin-off, unlimited price fluctuations are permitted during the single-price trading session from 8:30 a.m. to 9:00 a.m. before the market opens. Samsung Biologics was relisted at 1,797,000 won in the single-price session, up 47.17%, with a market capitalization of 85 trillion won. Samsung Episholdings was relisted with a market cap of around 15 trillion won, about 50% lower than the split ratio market cap.

The market appears to have highly valued Samsung Biologics' strong performance and its ability to secure orders from major pharmaceutical companies. In contrast, the assessment of Samsung Episholdings was primarily based on the value of its subsidiary Samsung Bioepis's biosimilar business. The initial evaluation deferred the valuation of new business areas such as new drug development.

Samsung Biologics has secured a total antibody drug production capacity of 780,000 liters, the largest single-site capacity among global contract development and manufacturing organizations (CDMOs). In addition to 604,000 liters from Plants 1 to 4, Plant 5 began operations this year with an 180,000-liter capacity. Once Plants 6 to 8 are completed by 2032, total capacity will reach 1,324,000 liters, demonstrating a significant competitive edge over other CDMOs.

Industry experts believe that if Samsung Biologics establishes a local production base in the United States, which is currently under consideration, its supply chain competitiveness in handling long-term and large-volume orders from global clients will be further strengthened. In particular, the "full-cycle CRDMO model," which integrates contract development (CDO), contract manufacturing (CMO), and contract research (CRO) services into a single system, has rapidly increased the number of customers over the past three years and has become the foundation for Samsung Biologics' external growth. With the spin-off resolving internal conflicts of interest, there is also an expectation that the company will be able to expand order transactions with large pharmaceutical companies in the future.

Samsung Episholdings aims to serve as a "domestic big pharma platform" dedicated to new drug development, investment, and open innovation. Rather than relying on a single treatment for a specific disease, the company seeks to continuously generate a variety of new drug candidates through active internal collaboration within its ecosystem. To this end, Samsung Episholdings has made Samsung Bioepis a wholly owned subsidiary and established a new subsidiary, Epis Next Lab, to drive future bio growth businesses. The company plans to secure next-generation new drug pipelines through an open innovation strategy that involves discovering and collaborating with external biotech firms possessing promising technologies.

The market capitalization structure on the first day of relisting demonstrates that the effects of this strategic separation are being reflected in the market. Samsung Biologics has reaffirmed its performance-based stability within a high-growth industry, while Samsung Episholdings faces the challenge of how quickly it can realize its growth potential based on new drugs, antibody-drug conjugates (ADCs), and an investment ecosystem, in addition to its existing biosimilar revenues.

Jung Yuntaek, Director of the Pharmaceutical Industry Strategy Research Institute, stated, "As Samsung Biologics continues to strengthen its existing capabilities in production capacity and contract orders as a CDMO, the evaluation of Samsung Episholdings will depend on what new drug pipelines it secures and the results of its investments."

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