Biotech firms flock to JPMorgan Healthcare Conference

Attendees of the 41st annual JP Morgan Healthcare Conference listen to an opening remark delivered by Mike Gaito, Global Head of Healthcare Investment Banking at JP Morgan, at the Westin St. Francis hotel in San Francisco, Monday. (Samsung Biologics)

Korea Herald correspondent

SAN FRANCISCO -- The 41st Annual JPMorgan Healthcare Conference kicked off on Monday in San Francisco. This year, three South Korean companies will give presentations, while many others will hold meetings to attract new partners and investors.

Around 550 presenting companies have descended on the Californian city, in addition to thousands of investors and biotechnology executives from around the world.

From Korea, Samsung Biologics, Lotte Biologics and SD Biosensor have been invited to speak at the conference. They are expected to bring their latest updates and corporate visions, as well as business expansion plans for the US market.

Samsung Biologics has been giving its presentation at the main conference venue for the seventh consecutive year. Samsung Biologics CEO John Rim will give a presentation on Wednesday. The CEO is expected to introduce the company’s vision to expand its manufacturing capacity and business portfolio.

Lotte Biologics is making its debut at the conference, less than a year after the company was established. During the presentation scheduled on Tuesday, Lotte Biologics CEO Lee Won-jik was to share the company’s plans regarding its operation of Bristol-Myers Squibb's Syracuse manufacturing site that the company has recently acquired, as well as its long-term plans as a newcomer in the industry.

SD Biosensor will outline its M&A plan and new growth engine in its presentation in the Asia Pacific and Latin America section. More on the future cooperation with Meridian Bioscience, which SD Biosensor will complete its acquisition of in January, is also on the agenda. The company will also explain how the company will increase its presence in the US market.

Other Korean pharmaceutical and biotech firms will be seeking investment and partnership opportunities in meetings held on the sidelines of the conference.

SK Bioscience, Hanmi Pharmaceutical and GI Innovation have been officially invited by JP Morgan for one-on-one meetings.

Traditional pharmaceutical companies such as Dong-A ST, Cha Biotech, LG Chem and Yuhan will also hold business meetings to seek potential partnership and investment opportunities.

Other Korean companies on the list include JW Pharmaceutical, Genome & Co., Kangstem Biotech, ABL Bio, SCM Lifescience, among many others.

“The latest event could provide a great opportunity for local pharmaceutical and biotech firms to find new partnerships and investments amid persisting volatility in the market,” an industry source said.

Mike Gaito, global head of Healthcare Investment Banking at JP Morgan, said during opening remarks Monday that the volatility will continue in 2023. Cash flows and margins will continue to remain pressured by the ongoing inflationary environment, he added.

However, Gaito also noted that the appetite for M&A in pharma remained robust last year amid losses of exclusivities. That appetite will persist in 2023 led by big firms, including Johnson & Johnson, Pfizer and Amgen.

Lee Seung-kyou, the Korea Biotechnology Industry Organization vice president, said, “Korean companies could potentially benefit from the pharmaceutical giants’ large-sized spending.”

By Shim Woo-hyun(ws@heraldcorp.com)