Samsung Biologics has agreed to acquire global peptide contract development and manufacturing organization (CDMO) PolyPeptide Group in a landmark transaction worth approximately CHF 1.46 billion (about KRW 2.7 trillion or US$2 billion), marking the largest merger and acquisition ever undertaken by South Korea's pharmaceutical and biotechnology industry.
The company announced on July 20 that it had signed an acquisition agreement with PolyPeptide Group and plans to secure full ownership through the purchase of the controlling stake and a subsequent tender offer. Samsung Biologics expects to complete the transaction by the end of this year.
The acquisition represents a major strategic expansion beyond Samsung Biologics' existing strengths in antibody therapeutics, messenger RNA (mRNA), and antibody-drug conjugates (ADCs). By entering the peptide CDMO business, the company aims to broaden its technology portfolio while securing a new long-term growth engine in one of the fastest-growing segments of the global pharmaceutical market.
Samsung Biologics will also inherit PolyPeptide Group's existing CDMO contracts, allowing the company to maintain stable business operations and revenue immediately after the acquisition is completed.
The deal is expected to generate significant synergies by combining Samsung Biologics' large-scale manufacturing capabilities and operational expertise with PolyPeptide's advanced peptide development and production technologies. The company also plans to evaluate additional capacity expansion to meet growing global customer demand.
The acquisition comes as peptide-based medicines gain increasing attention, driven primarily by the rapid growth of GLP-1 obesity and diabetes therapies. Industry analysts project the global obesity treatment market could reach as much as US$150 billion by 2035, making peptide manufacturing one of the most attractive growth opportunities for CDMO companies.
As pharmaceutical companies continue to accelerate the development of peptide-based therapeutics, demand for specialized manufacturing partners with large-scale production capabilities is expected to rise significantly.
Industry observers view the acquisition as a transformative step for Samsung Biologics. By adding peptide manufacturing to its existing biologics platform, the company will be able to offer pharmaceutical clients a broader range of end-to-end development and manufacturing services while enhancing its competitiveness in the rapidly evolving global CDMO market.
The transaction also reflects an industry-wide shift toward expanding capabilities across multiple therapeutic modalities rather than relying on a single manufacturing platform. Analysts believe Samsung Biologics is positioning itself to compete more effectively with the world's leading CDMO providers by building a diversified technology portfolio.
"The peptide manufacturing market is becoming increasingly important as demand for obesity therapies continues to surge," an industry official said. "This acquisition is not simply about increasing scale—it is a strategic investment designed to secure Samsung Biologics' leadership in the next generation of biopharmaceutical manufacturing."
John Rim, President and CEO of Samsung Biologics, described the acquisition as a milestone for the company's future growth.
"This transaction strengthens our three core growth pillars—manufacturing capacity, business portfolio and global footprint," Rim said. "By combining the strengths of both companies, we will provide broader and more comprehensive solutions to our customers while further reinforcing our leadership in the global CDMO market."
Peter Wilden, Chairman of the Board of PolyPeptide Group, also welcomed the agreement.
"PolyPeptide has built its reputation as a leading global peptide CDMO through technological excellence and a strong customer-focused approach," Wilden said. "Together with Samsung Biologics' world-class manufacturing capabilities and operational expertise, we expect to deliver even greater value to customers and establish a stronger competitive position in the global peptide CDMO industry."
