Get the Latest Investment Ideas Delivered Straight to Your Inbox.

Vir Partners with Samsung Biologics on Large-Scale Manufacture of COVID-19 Antibody Treatment

Source:

Vir Biotechnology reported it has entered into an agreement with Samsung Biologics valued at $362 million for large-scale manufacture of SARS-COV-2 antibodies for potential COVID-19 treatment. Though U.S. markets are closed for the Good Friday holiday, Samsung Biologics shares traded nearly 17% higher today on the Korean Stock exchange.

Clinical-stage immunology company Vir Biotechnology Inc. (VIR:NASDAQ), which is focused on treating and preventing serious infectious diseases, and contract manufacturing and laboratory testing firm Samsung Biologics (207940:KS), yesterday evening announced "a manufacturing agreement under which Samsung Biologics will perform large scale manufacturing services for Vir's SARS-CoV-2 monoclonal antibody (mAb) program." The deal is valued at approximately US$362 million with production scheduled to commence by Samsung Biologics in October 2020.

Dr. Tae Han Kim, CEO of Samsung Biologics, commented, "We are proud to be working as a partner with Vir in their response to the global COVID-19 pandemic...With millions of people being impacted by this virus, accessibility to effective treatment is paramount. Vir's candidate molecules supported by Samsung Biologics' production scale have the potential to bring hope to countless lives across nations suffering from COVID-19."

Vir reported that "its lead SARS-CoV-2 mAb development candidates, VIR-7831 and VIR-7832, have demonstrated high affinity for the SARS-CoV-2 spike protein and are highly potent in neutralizing SARS-CoV-2 in live-virus cellular assays and that the company plans to proceed directly into a phase 2 clinical trial within the next three to five months."

Vir Biotechnology's CEO George Scangos, Ph.D., remarked, "Given the trajectory of the COVID-19 pandemic, our expectation is that there will be a significant need around the world for antibody therapies...Accordingly, we are taking proactive steps to reserve large scale manufacturing capacity to be ready to move quickly with any of our antibody candidates that prove to be clinically safe and effective. We are pleased to partner with Samsung Biologics who share our commitment to work with exceptional speed to address this pandemic."

The agreement between the two companies is valued at approximately $362 million. Samsung Biologics is expected to commence manufacturing in as early as October with potential commercial batches to be manufactured beginning in 2021. The parties are still negotiating the complete details and hope to form and execute a definitive agreement prior to July 31, 2020.

Samsung Biologics is a fully integrated contract development and manufacturing organization (CDMO) based in Songdo, South Korea. The company stated that it offers state-of-the-art contract development, manufacturing and laboratory testing services and that it has the largest capacity and fastest throughput which allows it to meet the needs of biopharmaceutical companies globally.

Vir Biotechnology is headquartered in San Francisco, Calif., and is a clinical-stage immunology company focused on treating and preventing serious infectious diseases. The company noted that it has developed four technology platforms created to stimulate and enhance the immune system and identify and observe natural immune processes. The company's stated that its product pipeline candidates are being developed to target hepatitis B, influenza A, SARS-CoV-2, human immunodeficiency virus and tuberculosis.

Vir Biotechnology has a market capitalization of around $3.24 billion with approximately 109.8 million shares outstanding. VIR shares did not trade today as U.S. equity markets are closed for the Good Friday holiday. The company's shares closed Thursday afternoon at $29.50 per share prior to the announcement.

Samsung Biologics has a market capitalization of around KRW 36.968 trillion (approximately US$30.5 billion at an exchange rate of KRW 1 = US$ 0.000825177). The firm's shares, which trade under the numerical symbol 207940, opened 4.5% higher today at KRW 500,000 (+KRW 21,500, +4.49%) over yesterday's KRW 478,500 closing price. The stock traded today between KRW 494,500 and KRW 603,000/share and closed the day at KRW 559,000 (+KRW 80,500, +16.82%).

[NLINSERT]

Disclosure:
1) Stephen Hytha compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.
6) This article does not constitute medical advice. Officers, employees and contributors to Streetwise Reports are not licensed medical professionals. Readers should always contact their healthcare professionals for medical advice.

Learn More about Red Cat Holdings Webinar
Learn More about Which Online Broker is Right for You?

Want to read more about Biotechnology / Pharmaceuticals investment ideas?
Get Our Streetwise Reports Newsletter Free and be the first to know!

A valid email address is required to subscribe