Alteogen Secures 200 Billion Won Investment from National Growth Fund and Others for New Technology and Facility Expansion

1 trillion won CPS and 1 trillion won RCPS issued
New production facility in Daejeon, external pipeline introduction
"Securing new growth engines beyond ALT-B4"

Alteogen will attract an investment totaling 200 billion won from National Growth Fund and Skylake. The funds raised will be used to build new production facilities and to acquire external products and technologies, aiming to secure new growth drivers following the subcutaneous injection formulation platform 'ALT-B4'.

On October 6, Alteogen announced that it will issue a total of 200 billion won worth of preferred shares to 'Skyalt', which was established in partnership with the National Growth Fund and Skylake.

Aerial view of Alteogen headquarters and research center in Daejeon. Alteogen

Alteogen plans to issue 100 billion won worth of convertible preferred shares (CPS) and 100 billion won worth of redeemable convertible preferred shares (RCPS), respectively. The issue price for RCPS was set at 10.3% above the base price.

The National Growth Fund is a policy fund created to provide long-term capital for advanced strategic industries and future growth industries. This year, it plans to supply a total of 30 trillion won, with the indirect investment sector being operated via sub-funds managed by private investment firms. Skylake was selected this year as the delegated manager for the large-cap league of the National Growth Fund.

Alteogen will use a portion of the funds to build new production facilities in Daejeon. The aim is to secure manufacturing capacity in advance, enabling the company to respond to the expansion of the ALT-B4 business and product commercialization.

The remaining funds will be used to introduce external pipelines such as new products and technologies. Alteogen plans to actively seek acquisition and introduction targets to diversify its business structure, which currently centers around ALT-B4, and to secure mid- to long-term growth momentum.

Alteogen has entered into license agreements with global pharmaceutical companies such as MSD, AstraZeneca, Sanofi, Novartis, GSK, Biogen, Daiichi Sankyo, and Sandoz, based on its proprietary subcutaneous formulation conversion platform 'Hybrozyme' and its core substance ALT-B4.

The subcutaneous formulation of MSD’s Keytruda which incorporates ALT-B4 has been approved in the United States, Europe, Canada, Korea, and Japan, raising expectations of increased milestone and royalty revenues. Alteogen's strategy is to channel its current revenue base into new business investments to proactively secure new growth engines following ALT-B4.

Former CEO Jeon stated, "With this investment, we aim to connect our current business achievements to future growth momentum, and create a sustainable growth foundation by acquiring new products and technologies." He added, "As global commercialization of ALT-B4 is expanding, our goal is to secure the company's next growth engines early by aggressively acquiring new products and technologies, continuously increasing corporate value."

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