"Excel Therapeutics Seeks New Path Through Collagen Distribution After Struggles in Domestic Media Market"

Secures Exclusive Korean Rights to Xiangya Bio's "Triple Helix Collagen"

"Aiming for Over KRW 50 Billion in Sales Within Five Years"

Since its listing, Excel Therapeutics has continued to struggle with lackluster stock performance, but is now seeking a new growth driver in the distribution of bio-materials. As its flagship business model—cell culture media (nutrient solutions for growing cells)—has faced difficulties competing against foreign brands, the company is planning to diversify its revenue structure by introducing cosmetic collagen raw materials from its Chinese partner.

On the 25th, Excel Therapeutics held an exclusive distribution contract ceremony for the "Triple Helix Structure Recombinant Human Collagen Type III" raw material with China's XiangyaBio at its headquarters in Gangnam-gu, Seoul. Lee Euil, CEO of Excel Therapeutics, stated, "We will quickly expand our supply to high value-added areas such as medical applications and grow this into a core business pillar capable of generating sales of tens of billions of won within the next few years."

Lee Euiil, CEO of Excel Therapeutics, is speaking at the "Sangya Bio Triple Helix Structure Recombinant Human Collagen Type III Raw Material Exclusive Distribution Contract Ceremony" held on the 25th at the Excel Therapeutics headquarters in Gangnam-gu, Seoul. Photo by Park Jeongyeon

With this contract, Excel Therapeutics has secured the exclusive domestic distribution rights for XiangyaBio's "Triple Helix Structure Recombinant Human Collagen Type III" product.

According to XiangyaBio, this product features a "natural-type triple helix structure" that imitates human collagen. Unlike conventional collagen raw materials that are extracted from animal tissues such as cow or pig skin, this product uses recombinant methodology in which cells directly produce the human collagen sequence, eliminating the need for animal-derived materials. The company explains that this approach reduces the risk of pathogen transmission and the burden of immunogenicity associated with heterologous proteins.

Excel Therapeutics, a company specializing in chemically defined media for cell and gene therapies (CGT), was listed on KOSDAQ in 2024 through a special technical listing program. While the market initially had high expectations with the company’s goal of "domestic production of essential bio materials and components," it has struggled to achieve results due to competition from foreign cell culture media. Last year, its revenue stood at around 1.9 billion won, while its operating loss reached 10.9 billion won.

This poor performance has also led to concerns about maintaining its listing status. Under the revised delisting system announced by financial regulators in February, the minimum KOSDAQ market capitalization was raised to 20 billion won as of July 2026, and will increase to 30 billion won in January 2027. If a company's market capitalization falls below the standard for 30 consecutive trading days, it will be designated as an issue under management, and if it fails to meet the standard for 45 consecutive trading days within the subsequent 90 trading days, it becomes subject to delisting review. In recent weeks, Excel Therapeutics' market capitalization has fallen below 20 billion won, putting it at risk under these stricter exit thresholds.

During a press conference on the same day, CEO Lee identified the collagen raw material business as a critical point for improving short-term sales. He said, "As cell culture media are a next-generation product, it will take some time for the market to fully embrace them. However, collagen is already a widely familiar material in the industry, and the technological advancement of using the recombinant method has already attracted inquiries from many companies."

He also announced concrete targets. Starting with a full-scale entry into the B2B market next year, the company aims to grow sales of the collagen business to 50 billion won or more within five years, and expects double-digit operating margins, although these may vary by segment such as cosmetics, medical devices, and food. While Excel Therapeutics holds exclusive domestic distribution rights, it has also reached agreements to allow overseas supply to certain companies. Target applications include cosmetic medical devices such as skin boosters and fillers, functional cosmetics, and the food sector.

CEO Lee emphasized that the ultimate purpose of the collagen business is to provide resources to revive the cell culture media business. He said, "We expect meaningful sales growth in the media business next year and the following year, but it will take more time to achieve profitability. Revenue generated from the collagen business will serve as the foundation for strengthening our media business."

This content was produced with the assistance of AI translation services.