Samsung Biologics Signs US$262M CMO Contract with European Pharma, Lifting Cumulative Orders to US$21.9B
The US$262.182 million (about KRW 350.8 billion) contract will be manufactured at Samsung Biologics' Songdo site and runs through December 31, 2033. It is the sixth contract disclosed this year and lifts cumulative order intake to US$21.9 billion. The client and product were not disclosed under confidentiality terms.
Samsung Biologics (KRX: 207940.KS) announced on September 10, 2026 that it has signed a biologics contract manufacturing (CMO) agreement worth US$262.182 million (about KRW 350.8 billion) with a European-headquartered pharmaceutical company. Under confidentiality terms, the client and product details were not disclosed.
Production will take place at Samsung Biologics' Songdo site in Incheon, South Korea, with the contract running through December 31, 2033. The company said securing a long-term contract — with production and supply continuing through 2033 — is particularly significant amid global economic uncertainty and intensifying CDMO competition, helping secure a stable backlog and reinforce its medium- to long-term revenue base.
Cumulative Orders Reach US$21.9B, Sixth Disclosure This Year
The contract brings Samsung Biologics' cumulative order value since inception to US$21.9 billion and marks the sixth contract disclosed this year.
On capacity, Samsung Biologics currently operates 845,000 L in total — 785,000 L in Songdo and 60,000 L at its Rockville, Maryland site, acquired from GSK in March 2026 as its first US manufacturing base. The company plans to build Plants 6 through 8 sequentially at Bio Campus II in Songdo, lifting total capacity to 1,385,000 L. It has also secured land for Bio Campus III, planned for construction from 2027 to 2034.
CFO Seungho Ryu said on a recent investor call that the four plants at Bio Campus I in Songdo are at full capacity, and that Plant 5 — which opened in April 2025 at a cost of KRW 1.9 trillion — is ramping up as scheduled. Responding to concerns that continued expansion could weaken utilization, he forecast market supply-demand utilization rising from the mid-70% range in 2026 to the low-80% range by 2030, indicating the market will remain undersupplied.
Three-Pillar Expansion Strategy
The deal furthers the company's three-pillar strategy across capacity, portfolio and geographic footprint. In addition to existing antibody and mRNA medicines, Samsung Biologics has established dedicated ADC production facilities. In July 2026 it announced plans to acquire Swiss peptide manufacturer PolyPeptide Group, marking its entry into the peptide CDMO market.
To fund expansion and the acquisition, Samsung Biologics announced on August 28 a rights offering of approximately KRW 3 trillion (about US$2.2 billion), of which roughly KRW 2.71 trillion is allocated to the PolyPeptide acquisition and about KRW 290 billion to Bio Campus II expansion. On the commercial network side, the company plans to open a European sales office in the Netherlands in Q3 2026, establishing another hub after the United States and Japan.
On quality and compliance, the company reported a 99% batch success rate in 2025 and, as of September 2026, had accumulated 464 global regulatory manufacturing approvals. Samsung Biologics said it will continue to enhance global customer trust and expand orders based on its production capacity, diversified portfolio, geographic presence and quality competitiveness.