Samsung Biologics Offers 1.5 Billion Francs for Swiss Peptide Manufacturer PolyPeptide

The offer is subject to a minimum acceptance threshold of 66 percent as well as regulatory approvals. The full offer prospectus from Samsung Biologics is expected to be published by August 2026. Closing of the transaction is anticipated toward the end of 2026. PolyPeptide's share rose in Zurich by 5.00 percent to 43.84 francs, while Samsung Biologics' share declined in South Korea by 3.65 percent to 1,345,000 won.

Half-Year Results Exceed Expectations

Alongside the takeover announcement, PolyPeptide presented surprisingly strong half-year results. Revenue climbed in the first half to 236.6 million euros, an increase of 41.6 percent compared with the prior-year period. The result for the period swung from minus 26.5 million euros to approximately plus 9 million euros. The EBITDA margin improved from 2.7 to 20.7 percent, with a one-off effect from the sale of intangible assets contributing around 3.9 percentage points.

The main driver was the metabolic therapies business, which grew to 161.7 million euros and now accounts for around 68 percent of revenue, compared with roughly 56 percent in the prior-year period. For the full year, PolyPeptide is raising its guidance to revenue growth of 25 to 30 percent and an EBITDA margin in the high teens.

PolyPeptide's Position in the Peptide Market

PolyPeptide is focused on a particularly high-growth market: the manufacturing of peptides. These are needed in huge quantities above all for the production of weight-loss injections. In addition to its headquarters in Baar, the company has further production sites in Sweden, France, the USA, and India.

Samsung Biologics has built up a leading market position within just a few years through investments in massive production facilities in South Korea. The two companies will grow together to serve pharmaceutical firms as a preferred contract manufacturer «in the coming decades», according to the announcement.

Swiss Pharma Location in Competition

Switzerland ranks among the leading locations worldwide in the peptide field. In terms of competitiveness, the market observers at BAK Economics place Switzerland in third place, though now only tied with Denmark. At the top are the USA and Ireland. Alongside PolyPeptide, two other leading peptide manufacturers — Bachem and Corden Pharma — are also headquartered in Switzerland. Other listed contract manufacturers of pharmaceuticals in Switzerland include Bachem, Siegfried, and Dottikon ES.

Lonza was once likewise active in peptide manufacturing, but in 2017 sold the plant responsible for this to none other than PolyPeptide. Leading drug manufacturers headquartered in Switzerland include Roche, Novartis, and Lonza. For the first time last year, South Korea also managed to break into the ten most competitive pharma locations.

Major Shareholder Secures Minimum Acceptance

According to the announcement, a major shareholder holds around 55.65 percent of the shares in PolyPeptide and has already committed to tendering its shares. This brings the minimum acceptance threshold of 66 percent within reach.