Samsung Group is gearing up to make more investments and reinforce research and development in the biopharmaceutical sector, which the company sees as a future growth engine.

According to the Incheon Free Economic Zone Authority, Samsung BioEpis, a biopharmaceutical affiliate of the country’s largest business conglomerate, recently purchased 42,999 square meters of land in Songdo, Incheon, for 27.7 billion won ($25.1 million). 

“The exact use of the place is unknown but since Samsung BioLogics R&D center is situated nearby, we are expecting similar facilities to be established,” an IFEZ official said.

In 2010, biopharmaceutical was handpicked as the company’s next growth engine.

Samsung is aiming at joining the world’s top 10 pharmaceutical companies by 2020 and reportedly plans to invest 2.1 trillion won into the project. The company acquired ultrasonographer-maker Medison in 2011, cardiac disease diagnosis solution maker Nexus and Neurologica which makes CT machines in 2012.

It is currently focusing on biosimilar production. Samsung Group heir and Samsung Electronics vice chairman Lee Jay-yong has met with leaders of global pharmaceutical companies to discuss future collaboration.

Renowned biosimilar versions of rheumarthritis treatments Enbrel, Remicade and Humira, as well as breast cancer treatment Herceptin are currently near the final stages of clinical tests here.

Samsung BioLogics is also on course to become the world’s third-largest biosimilar producer once its plant with the capacity to produce 150,000 liters of drugs a year commences operation in 2016.

By Bae Ji-sook (baejisook@heraldcorp.com)