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| Seo Jung-jin, founder and honorary chairman of Celltrion Group / Yonhap |
By Baek Byung-yeul
Seo Jung-jin, founder and honorary chairman of Celltrion, may return to management after two years, on expectations he can save the biotechnology group that is facing growing business uncertainties, according to company officials, Friday.
The biotechnology group said its affiliates held board meetings respectively and agreed to recommend the honorary chairman as an in-house director and co-chairman of each company's board.
If Seo receives approvals at both the board meetings and shareholders' meetings, which are scheduled to be held on March 28, the founder will lead the group for the next two years.
Celltrion said the management of each company requested Seo's return.
"Amid recent global economic uncertainties, the management of the companies asked the board to return the founder to the business temporarily. The honorary chairman promised to return to the group as a 'firefighter' in the event of a drastic change in the environment surrounding the group when he resigned from management in March, 2021," the company said.
Celltrion Group estimated that Seo will serve a critical role for the group, which is trying to increase its share in the global market. The group expects he will make all-out efforts to create a growth opportunity in the U.S. market, the largest pharmaceutical market in the world, and to actively lead decisions on key issues needed to quickly release products there.
Celltrion is waiting for approvals to sell its biosimilar products such as Vegzelma and Yuflyma in the U.S. These products have already been released in the European market. Also, Celltrion Healthcare is about to begin a direct sales system there.
"We desperately needed quick decision-making on issues like the approval of products, new drug pipelines and mergers and acquisitions as we face the global economic crisis," a spokesman of the group said.
"With the approval of the shareholders' meeting and the board of directors, the honorary chairman's unique leadership will greatly help overcome the global economic crisis and further pave the way for sustainable future growth of the group," the official added.
On the announcement of Seo's possible return, investors showed a positive response, expecting that the founder can find a breakthrough for the group's businesses.
Three companies listed on the stock market ― Celltrion, Celltrion Pharm and Celltrion Healthcare ― saw their stock price soar at least 4 percent or more than 15 percent on Friday compared to the previous day. Celltrion's shares closed at 150,600 won, up 4.8 percent from a day ago, while stock prices of Celltrion Pharm and Celltrion Healthcare rose 15.58 percent and 7.05 percent, respectively.
