Samsung Biologics (KRX:207940) launched an all-cash tender offer to acquire Swiss peptide drug manufacturer PolyPeptide, expanding its contract development and manufacturing business into the fast-growing peptide therapeutics market.
The South Korean biotechnology company is offering 44.31 Swiss francs in cash for each PolyPeptide share, valuing the company at about 1.46 billion francs.
The offer represents a 40% premium to PolyPeptide's unaffected closing share price on April 10, before market speculation about a potential acquisition emerged.
The transaction has received unanimous backing from PolyPeptide's independent and non-conflicted board members. It is also supported by the company's largest shareholder, which has irrevocably agreed to tender its about 55.65% stake.
"After a comprehensive review of strategic options, the Board is convinced that Samsung Biologics' offer is compelling for our shareholders, delivering an attractive cash price and immediate, certain value today," PolyPeptide Chairman Peter Wilden said.
Based in Baar, Switzerland, PolyPeptide was spun off from pharmaceutical company Ferring in 1996 and has developed and manufactured more than 1,000 therapeutic peptides.
The acquisition will expand Samsung Biologics' capabilities beyond antibodies and antibody-drug conjugates to include peptide-based active pharmaceutical ingredients.
The move targets a rapidly growing market fueled by rising demand for treatments for obesity and diabetes, including GLP-1 therapies.
"This acquisition reinforces our long-term growth strategy by not only broadening our service portfolio with modality expansion into peptides, including GLP-1, but also by boosting our geographic reach and proximity further within the U.S., Europe and India," Chief Executive John Rim said.
PolyPeptide operates manufacturing, research and development facilities across Sweden, Belgium, France, the United States and India, giving Samsung Biologics a broader global production network and expanding its presence in key pharmaceutical markets.
The tender offer is expected to launch by the end of August and close toward the end of 2026, subject to regulatory approvals and a minimum acceptance threshold of PolyPeptide's fully diluted share capital.
Following completion, Samsung Biologics intends to acquire any remaining minority shares and delist PolyPeptide from the SIX Swiss Exchange.
While not directly related to the transaction, the deal comes as peptide-based medicines and ingredients face growing regulatory attention.
The U.S. Food and Drug Administration's Pharmacy Compounding Advisory Committee is set to review several peptide substances for possible inclusion on the agency's bulk drug substances list at a July 23-24 meeting.
