SK bioscience, a global vaccine and biotech company with its headquarters in South Korea, today announced the successful completion of its acquisition of a controlling stake in IDT Biologika, a leading CDMO providing end-to-end services in the development and manufacture of viral vaccines, cell and gene therapy products and aseptic fill-finish of other biologics and sterile injectable products. 

In June 2024, SK bioscience has signed an agreement with Klocke Group to acquire a controlling stake in IDT Biologika, Klocke Group’s affiliate. Following the signing of the sale and purchase agreement, SK bioscience finalized the acquisition of IDT Biologika after receiving all necessary approvals. SK bioscience has acquired 60 percent of the shares in IDT Biologika from the Klocke Group. Klocke Group remains the second largest stakeholder and retains a 40 percent stake in IDT Biologika.

At the same time, both companies established a plan for a post-merger integration (PMI) process, lasting approximately 100 days to improve both companies’ management effectiveness and encourage systematic integration for business growth.

During the PMI, the companies intend to build a foundation for the growth of IDT Biologika by carrying out a series of projects. They will first seek to maximize the utilization rate of IDT Biologika’s manufacturing facilities and new capacities for DS (drug substance) and DP (drug product) for major projects with global pharmaceutical companies.

In addition, SK bioscience wants to create the framework to expand existing contracts, but also to win further projects for clinical trials and late-stage cell and gene therapy (CGT) projects. In parallel, the portfolio of available cell lines will be expanded to address new customers and the development of recombinant vaccines will be advanced.

SK bioscience will also invest in high-growth businesses such as pre-filled syringes (PFS), recombinant vaccines, and CGT, which encompasses oncolytic virus (OV), adeno-associated virus (AAV), and lentivirus (LV). Additionally, the company will transfer its technology and production to IDT Biologika for main products such as flu, shingles, chickenpox, and typhoid vaccines.

To ensure synergies, key executives from both companies including Carsten Klocke, CEO of the Klocke Group, and Jaeyong Ahn, President and CEO of SK bioscience, will serve on IDT Biologika’s Advisory Board. The advisory board will ensure IDT Biologika’s independent management while carrying out cultural integration.

Dr. Sally Choe, Head of Development HQ of SK bioscience, has been appointed Co-CEO of IDT Biologika. She will be leading the company alongside Dr. Ulrich Valley. Dr. Sally Choe, who holds a Master’s and Ph.D. in Pharmaceutics from the University of Michigan, has worked for global pharmaceutical companies such as Pfizer, Bristol-Myers Squibb (BMS) and Parexel Regulatory Consulting firm. She has 12 years of tenure at the U.S. Food and Drug Administration (FDA), where she served as a Deputy Director in the Office of Translational Sciences (OTS) and as Super Office Director of the Office of Generic Drugs (OGD).

Dr. Ulrich Valley, CEO of IDT Biologika, said: “I am convinced that this milestone will contribute to future growth and to our vision of a leading CDMO. This global strategic cooperation is an important driver for our innovative strength, competitiveness and sustainable success, built on a foundation of trust and common goals. I am certain that we, SK bioscience and IDT Biologika, can achieve great things together by combining our competences and capabilities.” 

Jaeyong Ahn, President and CEO of SK bioscience, added: “With the successful completion of IDT Biologika acquisition, we are rapidly stabilizing management as SK bioscience and IDT Biologika now unite one family. The capabilities and technologies of the two companies are expected to generate significant synergies, and we will accelerate our global expansion.”