Samsung BioLogics, a contract manufacturer of biologic drugs under Samsung Group, will apply for preliminary approval to begin its initial public offering process this week, the Korea Exchange said Monday.
The South Korean drugmaker plans to submit its application to pursue am IPO on the country’s main bourse KOSPI on Thursday, the KRX said. Under this timeline, Samsung BioLogics will likely complete its public listing by November as scheduled.
Samsung BioLogics declined to comment on the potential size of the IPO. However, industry analysts estimate at least 3 trillion won ($2.6 billion) worth of new shares will be issued through the offering and that its market valuation stands at around 10 trillion won.
The Samsung affiliate’s stock market debut is slated to be Korea’s largest IPO of the year after the much-anticipated 5 trillion won IPO of Hotel Lotte was delayed following a major embezzlement probe into Lotte Group that began in early June.
Founded in 2011, Samsung BioLogics is a contract manufacturer of biologic drugs developed by global pharmaceutical companies. It stands at the center of Samsung Group’s recent push in the biopharmaceuticals business, which is viewed as a lucrative industry to propel the conglomerate’s future growth.
The company stated that it would use the new capital generated by the IPO to “innovate and invest in its technology, product quality and customer service,” with aims to enhance global competitiveness.