[Company analysis] Alteogen, Inc. (알테오젠)

「Alteogen, Inc.(알테오젠)」is a bio company focusing on biosimilars, and is developing next-generation anti-cancer antibody drugs and biopharmaceuticals, Hyaluronidase and Eylea biosimilars. However, since they only have small-scale facilities for research and development in-house, so the mass production of products was carried out by domestic CMOs. The number of employees is about 67.

 

1. Company Profile

2. Summary and Features

3. Major Business

4. Financial Information

 

 

 

1. Company Profile

 

※Unit is KRW 10 million, as of 2019

Company name	Alteogen, Inc.
Company name (Korean)	알테오젠
Company name (Japanese)	アルテオジェン
Date of establishment	May 13, 2008
Headquarters location	대전광역시 유성구 유성대로 1628번길 62
Capital	687
Consolidated sales	2,923
Consolidated operating profit	(225)
Consolidated total assets	8,598
Consolidated capital	7,020
Capital adequacy ratio	81.6%
Consolidated number of employees	67

 

 

 

2. Summary and Features

 
The original antibody drugs, which drive the global drug market, have a monopoly position in the market. However, because of its high price, the financial burden on medical insurance is large, and there is a great market need to reduce drug prices. So many pharmaceutical companies, like「Celltrion(셀트리온)」, are working on developing biosimilar products, and this 「Alteogen」is one of them.

Established in 2008 and listed in the KOSDAQ market as a technical exception in 2014,「Alteogen」 basically utilizes Antibody Drug Conjugate(ADC) technology and other technologies to improve existing biopharmaceuticals in a bio-better business. And theyare currently developing biosimilars such as Eylea and Herceptin targeting emerging markets. As source technologies, this company has ADC technology, NexPTM fusion technology that increases the half-life of biopharmaceuticals, and hybrozyme technology that changes intravenous injection to subcutaneous injection preparation.

However, unlike「Celltrion」, which has mass production facilities in-house level,「Alteogen」has only a small-scale production facility for research and development of about 50 liters. Their products are manufactured through domestic CMO(Contract Manufacturing Organization). In addition, from the initial stage of biopharmaceutical development, they make joint development and commercialization agreement with a foreign pharmaceutical company. Then they are transferring technology step by step while proceeding with joint R&D with a partner company.

The majority of research-related professionals are masters and doctoral graduates, and the ratio of R&D expenses to sales in fiscal 2019 reached 88.37%. Currently, they are intensively conducting research and development of biopharmaceuticals, and there are no other new businesses they are promoting now. However, it seems that they are considering the development of additional pipelines by utilizing basic technologies such as NexP fusion technology, NexMab ADC technology, and Hybrozyme technology.

 

 

 

3. Major Business

 

■ Development of biosimilar products
「Alteogen」is co-developing and commercializing bio-better and bio-similar in cooperation with domestic and overseas pharmaceutical companies.

 

 

 

4. Financial information

 

※Unit is KRW 10 million

		2017	2018	2019
Consolidated sales		1,210	1,370	2,923
Consolidated operating profits		-617	-766	-225
Consolidated total assets		4,301	7,138	8,598
Consolidated net assets		3,985	6,670	7,020
Breakdown of sales	Technology transfer fee	241	100	1,332
	Technology development service	7	30	1
	Sales of goods	963	1,237	1,434
	Sales iof Products	0	4	156

 

 

 

 

Breakdown of technology transfer fee	2017	2018	2019	Description
Persistent growth hormone	0	0	51	Technology transfer fee of「Cristalia」in Brazil
Human hyaluronidase	0	0	1,169	Technology transfer contract fee of world's top 10 pharmaceutical companies
Herceptin/Enbrel/Humira biosimilar	136	100	111	Technology transfer fee of「QILU」in China
Eylea biosimilar	105	0	0	Technology transfer fee of「Kissei Pharmaceutical(キッセイ製薬工業)」in Japan according to Joint development