Financial Statement Analysis
ProjectManager
2017_AnnualReport1.pdf
Annual Report
The 7th Accounting Period
From January 1, 2017
To December 31, 2017
April 2, 2018
To. Financial Services Commission
Korea Exchange
Type of Corporation Subject to Submit Stock-listed Corporation
Reason for Exemption Not applicable
Name of Company Samsung BioLogics Co., Ltd.
CEO Kim Taehan
Place of Principal Office 300, Songdo Bio-daero, Yeonsu-gu, Incheon, Korea
(Songdo-dong, Samsung BioLogics Co., Ltd.)
(Tel.) 82-032-455-3114
(Homepage) http://www.samsungbiologics.com
Principal Officer (Title) Director of Business Resources Innovation Center
(Name) Kim Dongjoong
(Tel.) 82-032-455-3114
I. Company Overview
1. Company Overview
A. Legal and commercial name
The Company’s name is ‘Samsung BioLogics Co., Ltd.’
B. Establishment date
Samsung BioLogics Co., Ltd. was established on April 22, 2011.
C. Address, telephone number, and homepage
Address of head office: 300, Songdo Bio-daero, Yeonsu-gu, Incheon, South Korea
(Songdo-dong, Samsung BioLogics Co., Ltd.)
Telephone number: 82-032-455-3114
Homepage: http://www.samsungbiologics.com
D. Status of SME
Samsung BioLogics Co., Ltd. (hereinafter, the Company) does not fall within small and medium
enterprises (SMEs) in accordance with Article 2 of the Framework Act of Small and Medium
Enterprises and Article 3 of the Enforcement Decree of the Framework Act on Small and Medium
Enterprises as of the date when the report is submitted.
E. Main business
The Company provides CMO (Contract Manufacturing Organization) services that serve other
domestic and international pharmaceutical companies on a contract basis to produce high-tech bio-
medicine as of the date when the business report is submitted; and Samsung Bioepis Co., Ltd., its
main subsidiary, engages in the research & development and commercialization of biosimilar
products. For the details of business by segment, refer to II. Business Overview.
F. Matters regarding affiliates
The Company is an affiliate of Samsung Group under the Monopoly Regulation and Fair Trade Act,
which has 63 domestic affiliates including 16 listed companies and 47 unlisted companies as of the
quarter ended of December 31, 2017.
(As of December 31, 2017)
Category No. of
companies Name of company Business registration no.
Listed companies
16
Samsung C&T Corporation 1101110015762
Samsung Electronics Co., Ltd. 1301110006246
Samsung SDI CO., Ltd. 1101110394174
Samsung Electro-Mechanics Co., Ltd. 1301110001626
Samsung Fire & Marine Insurance Co., Ltd. 1101110005078
Samsung Heavy Industries Co., Ltd 1101110168595
Samsung Life Insurance Co., Ltd. 1101110005953
Multicampus Corporation 1101111960792
Samsung Securities Co., Ltd. 1101110335649
Samsung SDS Co., Ltd. 1101110398556
Samsung Card Co., Ltd 1101110346901
Samsung Engineering Co., Ltd. 1101110240509
S-1 Corporation 1101110221939
Cheil Worldwide Inc. 1101110139017
Hotel Shilla Co., Ltd. 1101110145519
Samsung BioLogics Co., Ltd. 1201110566317
Unlisted companies
47
Seoul Lake Side Co., Ltd. 1101110504070
Samwoo Architects & Engineers Co., Ltd. 1101115494151
CVnet Corporation 1101111931686
Samsung Bioepis Co., Ltd. 1201110601501
Samsung Display Co., Ltd. 1345110187812
Samsung Corning Advanced Glass LLC. 1648140000991
SUMaterials Co., Ltd. 1648110061337
Steel Structure Technologies Co., Ltd. (STECO)
1647110003490
SEMES Co., Ltd. 1615110011795
Samsung Electronics Service Co., Ltd. 1301110049139
Samsung Electronics Sales Co., Ltd. 1801110210300
Samsung Electronics Logitech Corporation 1301110046797
Suwon Samsung Football Club Co., Ltd. 1358110160126
Samsung Medison Co., Ltd. 1346110001036
Samsung Claim Adjustment Service Co., Ltd. 1101111595680
Samsung Fire Service Co., Ltd. 1101111237703
Samsung Fire & Marine Financial Service Co., Ltd. 1101116002424
Daejeong Offshore Wind Farm 2201110095315
Samsung Futures Inc. 1101110894520
Samsung Asset Management Co., Ltd. 1701110139833
Saengbo Real Estate Trust Co., Ltd. 1101111617434
Samsung Life Service Claim Adjustment Co., Ltd. 1101111855414
Samsung SRA Asset Management Co., Ltd. 1101115004322
Samsung Life Financial Service Co., Ltd. 1101115714533
SD Flex Co., Ltd. 1760110039005
Cheil Fashion Retail Co., Ltd. 1101114736934
Natural 9 Ltd. 1101114940171
Samsung Welstory Co., Ltd. 1101115282077
S-Printing Solution Co., Ltd. 1358110303346
SECUI Co., Ltd. 1101111912503
STM Co., Ltd. 2301110176840
S-Core Co., Ltd. 1101113681031
Open Hands Co., Ltd. 1311110266146
Miracom Inc Co., Ltd. 1101111617533
Samsung Card Customer Service Co., Ltd. 1101115291656
Human TSS Co., Ltd. 1101114272706
S1CRM Corporation 1358110190199
Shilla Stay Co., Ltd. 1101115433927
HDC Shilla Duty Free Ltd. 1101115722916
Samsung Economic Research Institute (SERI) 1101110766670
Samsung Lions Co., Ltd. 1701110015786
Samsung Venture Investment Corporation 1101111785538
Samsung Active Asset Management Co., Ltd. 1101116277382
Samsung Hedge Asset Management Co., Ltd. 1101116277390
Harman International Korea 1101113145673
Redbend Software Korea 1101113145673
SBTM Co., Ltd. 1101116536556
Total 63
※ For the details of domestic and international affiliates, refer to IX. Matters Regarding Affiliates.
G. Overview of the consolidated subsidiaries
- Not applicable as of the date when the report was submitted.
H. Changes in the consolidated subsidiaries
- Not applicable as of the date when the report was submitted.
I. Matters regarding credit rating
- Not applicable
2. Company History
A. Place of principal office and its changes
Changes in the place of principal office since the establishment of the Company are as follows:
Date Address Remarks
2011.04.22 104-B, Pilot Plant, 7-50, Songdo-dong, Yeonsu-gu, Incheon, South Korea Establishment
2012.01.26 30-3, Songdo Technopark IT Center M, 172-1, Songdo-dong, Yeonsu-gu, Incheon,
South Korea -
2012.06.26 201-2, Songdo-dong, Yeonsu-gu, Incheon, South Korea -
2014.01.07 125, Cheomdan-daero, Yeonsu-gu, Incheon, South Korea (Songdo-dong,
Samsung BioLogics Co., Ltd.)
Replace with a road
name-based address
2016.07.04 30 Songdo Bio-daero, Yeonsu-gu, Incheon, South Korea Change of the road
name-based address
B. Important changes in management executives (change of more than 1/3 including CEO)
Date Title Before After
2016.08.10
CEO Kim Taehan Kim Taehan
Inside Director Lee Kyusung Kim Dongjoong
Non-executive Director Kang Wooyoung
- Anand Tharmaratnam
Independent Director -
Yoon Byungchol
Jeong Seokwoo
Kwon Soonjo
Auditor Kim Yongkwan -
C. Changes in the largest shareholder
Date Before After Remarks
2014.07.04 SamsungEverlandInc.
SamsungElectronicsCo.,Ltd.
(Old)CheilIndustriesInc.
SamsungElectronicsCo.,Ltd.
The largest shareholder’s company’s name
is changed.
2015.09.02 (Old) Cheil Industries Inc.
Samsung ElectronicsCo., Ltd. SamsungC&TCorporation
After (Old) Cheil Industries Inc. and (Old)
Samsung C&T Corporation were merged, the
company name of (Old) Cheil Industries Inc. was
changed to Samsung C&T Corporation.
D. Change of trade name
- Not applicable
E. Details and results in case the Company went through or currently goes through
compositions, reorganization proceedings, and other equivalents
- Not applicable
F. Details in case the Company experienced merges
- Not applicable
G. Type of business or changes in main business
Not applicable
H. Other important matters related to the management activities
(1) Samsung BioLogics Co., Ltd.
Date Details
2011.04.22 Established Samsung BioLogics Co., Ltd.
2011.04.28 Signed a lease agreement for the plant site in Songdo
2011.05.06 Started the construction of Songdo Plant #1
2012.02.28 Established Samsung Bioepis Co., Ltd.
2013.07.18 Signed a contract with BMS regarding DS manufacturing
2013.09.23 Started the construction of Songdo Plant #2
2013.10.18 Signed a contract with Roche regarding DS manufacturing
2014.04.16 Signed a contract with BMS regarding DS manufacturing enhancement and
DP manufacturing
2014.06.23 Established a joint venture, Archigen Biotech Ltd.
2014.07.04 Changed the largest shareholder’s company name (Samsung Everland Inc. →
Cheil Industries Inc.)
2015.09.02
Changed the largest shareholders (Before: Samsung Electronics Co., Ltd. 46.79%, Cheil
Industries Inc. 46.79%, Samsung C&T Corporation 4.25%
→ After: Samsung C&T Corporation 51.04%, Samsung Electronics Co., Ltd. 46.79%)
2015.11.12 Started the construction of Songdo Plant #3
2015.11.30 Obtained an approval of Songdo Plant #1’s manufacturing license from FDA
(no observation)
2016.04.01 Signed a contract with Samsung Bioepis regarding biosimilar manufacturing
2016.05.03 Signed a contract with a US pharmaceutical company regarding DP manufacturing
2016.07.29 Obtained an approval of Songdo Plant #1’s manufacturing license from EMA
2016.11.10 Became listed on the KOSPI
2016.11.16 Signed a contract with Cilag regarding DS manufacturing
2017.01.24 Signed a contract with a swiss pharmaceutical company regarding DS manufacturing
2017.07.04 Signed a contract with Sun Pharma regarding DS manufacturing
2017.07.20 Signed a contract with a Europe pharmaceutical company regarding DS manufacturing
2017.09.06 Signed a contract with a Europe pharmaceutical company regarding DS manufacturing
2017.09.22 Obtained an approval of Songdo Plant #2’s manufacturing license from FDA
2017.11.06 Signed a contract with a US pharmaceutical company regarding DS manufacturing
2017.12.21 Obtained an approval of Songdo Plant #2’s manufacturing license from EMA
2017.12.21 Signed a contract with a Europe pharmaceutical company regarding DS manufacturing
(2) Samsung Bioepis Co., Ltd.
Date Details
2012.02.28 Established Samsung Bioepis Co., Ltd.
2013.02.18 Signed a marketing partnership with Merck (U.S)
2013.12.13 Signed a marketing partnership with Biogen (U.S)
2015.09.07 Obtained a drug license in Korea for Brenzys (Enbrel biosimilar)
2015.12.04 Obtained a drug license in Korea for Renflexis (Remicade biosimilar)
2016.01.14 Obtained a marketing authorization in EU for Benepali (Enbrel biosimilar)
2016.05.26 Obtained a marketing authorization in EU for Flixabi (Remicade biosimilar)
2016.07.22 Obtained a marketing authorization in Australia for Brenzys (Enbrel biosimilar)
2016.08.31 Obtained a marketing authorization in Canada for Brenzys (Enbrel biosimilar)
2016.11.28 Obtained a marketing authorization in Australia for Renflexis (Remicade biosimilar)
2017.01.04 Obtained a marketing authorization in EU for Lusduna (Lantus biosimilar)
2017.04.21 Obtained a marketing authorization in USA for Renflexis (Remicade biosimilar)
2017.07.20 Obtained a provisional approval in USA for Lusduna (Lantus biosimilar)
2017.07.31 Signed a development partnership with Millennium Pharmaceuticals (Takeda’s subsidiary
in US)
2017.08.24 Obtained a marketing authorization in EU for Imraldi (Humira biosimilar)
2017.09.15 Obtained a positive opinion from EU CHMP regarding Ontruzant (Herceptin biosimilar)
2017.09.20 Obtained a drug license in Korea for Hadlima (Humira biosimilar)
2017.11.08 Obtained a drug license in Korea for Sampenet (Herceptin biosimilar)
2017.11.15 Obtained a marketing authorization in EU for Ontruzant (Herceptin biosimilar)
3. Changes in Paid-in Capital
- Status of capital increase (reduction)
(As of December. 31, 2017) (Unit: Won, Share)
Date of stock
issuance
(reduction)
Type of issuance
(reduction)
Details of issued(reduced) shares
Class Volume Face value
per share
Amount
issued(reduced)
per share
Remarks
2011.04.22 - Common stocks 1,500,000 5,000 50,000 Establishment
2011.09.07 Capital increase with
consideration by allocation
to shareholders
Common stocks 1,500,000 5,000 50,000 Increase rates of
100%
2012.01.18 Capital increase with
consideration by allocation
to shareholders
Common stocks 1,500,000 5,000 50,000 Increase rates of
50%
2012.02.23 Capital increase with
consideration by allocation
to shareholders
Common stocks 2,916,567 5,000 48,000 Increase rates of
65%
2012.04.19 Capital increase with
consideration by allocation
to shareholders
Common stocks 1,500,000 5,000 50,000 Increase rates of
20%
2012.08.21 Capital increase with
consideration by allocation
to shareholders
Common stocks 1,355,931 5,000 47,200 Increase rates of
15%
2013.02.19 Capital increase with
consideration by allocation
to shareholders
Common stocks 866,007 5,000 46,189 Increase rates of
8%
2013.08.20 Capital increase with
consideration by allocation
to shareholders
Common stocks 748,520 5,000 43,345 Increase rates of
7%
2014.02.20 Capital increase with
consideration by allocation
to shareholders
Common stocks 4,181,064 5,000 40,516 Increase rates of
35%
2014.08.21 Capital increase with
consideration by allocation
to shareholders
Common stocks 4,298,560 5,000 38,478 Increase rates of
27%
2015.02.24 Capital increase with
consideration by allocation
to shareholders
Common stocks 3,538,930 5,000 37,695 Increase rates of
17%
2015.08.20 Capital increase with
consideration by allocation
to shareholders
Common stocks 3,663,142 5,000 36,526 Increase rates of
15%
2016.09.12 Stock split Common stocks 27,568,721 2,500 - -
2016.11.07 Capital increase with
consideration by ordinary
public offering
Common stocks 11,027,558 2,500 136,000 Increase rates of
20%
4. Stock Information
A. Total number of shares
(As of December. 31, 2017) (Unit: Shares)
Classification
Class
Remarks Common stock Preferred stock Total
Ⅰ. Number of authorized shares 500,000,000 - 500,000,000 -
Ⅱ. Number of shares issued 66,165,000 - 66,165,000 -
Ⅲ. Number of shares decreased - - - -
1. Capital reduction - - - -
2. Number of shares canceled - - - -
3. Redemption of redeemable shares - - - -
4. Others - - - -
Ⅳ. Number of outstanding shares (Ⅱ-Ⅲ) 66,165,000 - 66,165,000 -
Ⅴ. Treasury shares - - - -
Ⅵ. Number of floating shares (Ⅳ-Ⅴ) 66,165,000 - 66,165,000 -
B. Treasury Shares
- Not applicable
C. Types of Registered Stock
- Not applicable
5. Voting Shares
The Company has 66,165,000 shares of common stock outstanding, which accounts for 13.23% of
a total number of authorized shares (500 million shares). The number of shares available for
exercising the voting right is 66,107,808 shares excluding 57,192 shares in a special account of
Samsung Life Insurance Co., Ltd. which is a financial affiliate.
(As of December. 31, 2017) (Unit: Shares)
Classification Number of
shares Remarks
Number of outstanding shares (A) Common stock 66,165,000 -
Preferred stock - -
Number of shares with no voting rights (B)
Common stock - -
Preferred stock - -
Number of shares with no voting rights according to articles of
incorporation (C)
Common stock - -
Preferred stock - -
Number of shares with limited voting rights under relevant laws (D)
Common stock 57,192
Special account of Samsung Life Insurance Co., Ltd.
excluded in accordance with the Insurance Act
Preferred stock - -
Description Class Number of
shares Remarks
Number of shares with revived voting rights(E)
Common stock - -
Preferred stock - -
Number of shares with voting rights (F = A - B - C - D + E)
Common stock 66,107,808 -
Preferred stock - -
6. Shareholder Return
- Matters regarding dividends for the last three business years
※ Basic earnings per share for 2015 presented for comparison due to the stock split in 2016 are retroactively
adjusted.
Description Class 2017 2016 2015
Face value per share (won) 2,500 2,500 5,000
(Consolidated) Current net income (million won) - - -
(Separate) Current net income (million won) -96,972 -176,823 1,920,178
(Consolidated) Earnings per share (won) -1,466 -3,115 38,828
Total cash dividends (million won) - - -
Total stock dividends (million won) - - -
(Consolidated) Cash dividends payout ratio (%) - - -
Cash dividends payout ratio (%)
Common - - -
Preferred - - -
Stock dividends payout ratio (%)
Common - - -
Preferred - - -
Cash dividends per share (won)
Common - - -
Preferred - - -
Stock dividends per share (share))
Common - - -
Preferred - - -
II. Business Overview
[Bio CMO Business / Samsung BioLogics Co., Ltd.]
1. Business Overview The Company is specialized in bio-CMO (Contract Manufacturing Organization) business that
manufactures high-tech biomedicine for pharmaceutical companies at home and abroad, and
Samsung Bioepis Co., Ltd. and Archigen Biotech Limited, its subsidiaries conducting research and
development of biomedicine, are engaged in the development and commercialization of biosimilar
products.
A. Industry status
(1) Characteristics of business
(A) Industry trends
Biomedicine refers to the therapeutic proteins produced using gene recombination and cell culture
technology. As of 2015, the world market of medicines is worth about 1.105 billion dollars, and the
market of biomedicine accounts for 18.5% with 204.8 billion dollars. It is expected that biomedicine
will drive the growth of overall pharmaceutical market with a high level of average annual growth
rate of 9% for ten years from now (Frost & Sullivan, 2016).
Such rapid growth of the biomedicine market led pharmaceutical companies to secure stable supply
of biomedicine to enhance their competitiveness. Generally, more than five years and a massive
investment worth between 500 million dollars and 1 billion dollars are required to build and
operate manufacturing facilities for the commercialization of biomedicine products. However, if a
company decided to make a heavy investment at the developing stage of drugs on the assumption
that they will be approved for marketing, it would have suffered the risk of uncertainty in sales.
To manage the risk of investment in manufacturing facilities, pharmaceutical companies are now
widely using CMO (Contract Manufacturing Organization) which is a company that provides services
outsourced by them instead of making new investment in facility expansion.
As the biomedicine market has grown and intra-industry specialization has become widespread, the
global biomedicine CMO market is expected to grow to about 30 billion dollars in 2025 (Frost &
Sullivan, 2016).
For the last two decades, the biomedicine CMO market has been led by Lonza of Switzerland and
Boehringer Ingelheim of Germany. However as Samsung BioLogics Co., Ltd. with large-scale plant
design/construction and manufacturing capacity has entered the market, the CMO market is
expected to be further boosted.
(2) Growth potential
(A) Growth factor of market
Growth factors of the biomedicine CMO market are as follows:
1) Continued development of blockbuster biomedicines
Blockbuster biomedicines released around the year 2000 (immunosuppressant drugs, anticancer
drugs, antidiabetic drugs, etc.) still shows a high level of sales growth, and new promising antibody
drugs for hyperlipidemia, Alzheimer’s disease, and atopic dermatitis along with immune checkpoint
inhibitors continue to be released.
2) Expansion of production outsourcing by global manufacturing companies
Pharmaceutical companies are expanding the areas of production outsourcing to specialized CMOs
where a massive capital investment is required to minimize the uncertainty in marketing
authorization and sales forecasting of drugs. This market change gives a new opportunity to CMOs.
3) Increasing demand for dual sourcing to secure supply stability
Recently, regulatory authorities across the world have strongly recommended pharmaceutical
companies to secure a source for stable drug production. The U.S. Food and Drug Administration
(FDA) requested pharmaceutical companies to establish a contingency plan, believing that supply
stability cannot be guaranteed in case the drug is manufactured in a single site. Accordingly,
pharmaceutical companies are making use of CMOs to run multiple manufacturers for a single drug.
4) Launch of biosimilars as patents expire
The biosimilar market is expected to continue a significant growth since most patents of existing
blockbuster biomedicines including Humira, Herceptin, Remicade, and Lantus will expire in 5~6
years. In this way, the biosimilar market expansion is expected to further accelerate an increase in
demand for overall biomedicine production.
(B) Market size and forecast
The global biomedicine market accounts for 18.5% of the entire pharmaceutical market, which is
worth 204.8 billion dollars as of 2015. The market is expected to account for 29.7% by 2025 with
488.8 billion dollars at an average annual growth rate of 9.0% (Frost & Sullivan, 2016).
The global bio-CMO market is worth 7.4 billion dollars as of 2015, and forecasted to reach 30.3
billion dollars by 2025 at an average annual growth rate of 15.1% for the future ten years.
(3) Characteristics of economic fluctuation
- Not applicable
(4) Competition situation
The Company runs a bio-CMO business specialized in manufacturing mammalian cell-based antibody
drugs which is commonly used in the biomedicine market; and the market is an oligopoly market
led by a few large CMOs having large-scale manufacturing facilities like Samsung BioLogics.
Switzerland-based Lonza has 260,000-liter mammalian cell culture facilities while Germany-based
Boehringer Ingelheim has a 30,000-liter manufacturing plants with 30,000-liter capacity.
Samsung Biologics Co., Ltd. runs manufacturing plants with 182,000-liter capacity, which is the
third largest in the world, and will become the world’s top CMO outdoing current leading companies
as it can increase production capacity to a total of 362,000 liters if Plant #3 under construction is
completed by 2018.
(5) Raw material sourcing
CMO production is designed to receive manufacturing technologies from a customer and produce
products that meet the customer’s needs. In case a customer supplies raw materials free of charge
or a customer designates a supplier, CMO like the Company separately signs a long-term supply
contract with a supplier, which is a system that allows for a stable supply of raw materials.
(6) Related laws or government regulations
Regulatory authorities from all over the world has a separate law on manufacturing license by item
and approves the license after verifying the overall system of manufacturing process and quality
control of drugs through on-site inspection of new manufacturing facilities. The Company
successfully obtained a total of 7 manufacturing licenses for Plant #1 from the FDA and EMA as of
the end of 2016, proving its competitiveness in offering world-class quality.
B. Company Status
(1) Operation and Production
The Company is growing the fastest in the world in biomedicine CMO business. The Company has a
182,000-liter production capacity including 30,000 liters of Plant #1 and 152,000 liters of Plant #2
(CMP 2,000 liters validated), and will become the number one biomedicine CMO in terms of
production capacity by securing mammalian cell culture facilities of 362,000-liter capacity if Plant
#3 is constructed in 2018, which is double the current level. The Company’s business goal is to
solidify its status as a global leader in biomedicine CMO business by providing high-quality
biomedicine production outsourcing service at reasonable price.
(A) Production activities
The Company built a biomedicine manufacturing process by consulting with a customer and mass
produce drug substance for the biomedicine ordered by the customer.
If the Company signs a CMO contract with a customer, the customer first transfers its manufacturing
technologies to the Company which is so-called ‘Tech Transfer.’ The most important thing in this
process is to minimize the difference between processes by applying the customer’s original process
into the Company’s process. Next, manufacturing stability tests through a series of pilot production
such as Engineering Run and Process Validation Run are carried out. If stability is believed to be
secured, it is needed to apply for a manufacturing approval for produced products and production
process to regulatory authorities (FDA, EMA, etc.).
The Company cultures high-quality cells using a titer appropriate for a customer’s product
specification through an upstream process and refine active pharmaceutical ingredients through a
downstream process. All manufacturing processes need to strictly conform to each country’s good
manufacturing practice and a customer has a right to request the Company for inspection and
necessary measures for the overall manufacturing process. The Company also has to document all
procedures and results and submit them to a customer and a regulatory authority. The Company’s
major manufacturing processes are as follows:
(B) Biomedicine manufacturing plants
[The Company’s plants]
Category Plant #1 Plant #2 Plant #3
Location Songdo Songdo Songdo
Scope 30,000 L
(5,000 liters ×6 units)
152,000 L (15,000liters×10units, 1,000liters×2units)
180,000 L (15,000 liters ×12 units)
Construction period
25 months 29 months 35 months
Construction cost
350 billion won (300 million dollars)
700 billion won (650 million dollars)
850 billion won estimated (740 million dollars)
※ Construction cost converted to USD was calculated by applying average exchange rate during the applicable
plant construction period.
(C) Sales activities
The Company’s global contract sales division is in charge of new business operation and sales
activities, and supports the activities for winning new contracts utilizing local manpower in main
strongholds in the Eastern and Western states of the United States including San Francisco, Boston,
and New Jersey. The sales division regularly holds meetings with global pharmaceutical companies
and continues providing them with information on the Company’s CMO services and manufacturing
facilities at the meetings. The division also continuously sends sales and marketing representatives
to overseas bio-conferences to identify latest technology trends in the market and contact
potential customers as part of strategy to maintain a strategic relationship with customers.
(2) Market share
The Company Since Plant #2 with 150,000-liter production capacity begins operating from February
2016, it is estimated to take a certain period time for Plant #2 to get production and sales on a
normal track. Plant #3 with 180,000-liter production capacity is currently under construction with a
goal of starting operation at the end of 2018.
The Company has the third largest production capacity in the world as of 2016 and it is expected
that the Company will become the leading CMO in terms of production capacity in 2018 when Plant
#3 will be constructed. Considering the Company’s production capacity, Lonza of Switzerland and
Boehringer Ingelheim of Germany will be competitors to the Company.
(3) Details and prospect of new business
The Company is expanding a business area from CMO(Contract Manufacturing Organization) oriented
services to CDO(Contract Development Organization) services.
CDO services provide cell line development and process development for small and medium sized
pharmaceutical companies which do not possess capacity for cell line development and process
development. CDO business is expected to confront 10% annual growth rate with increase in small
biotech companies and biosimilar antibody pipelines.
(Market Size: 2017yr USD 1.1 Bil 2022yr USD 2.2 Bil 2025yr USD 3.0 Bil, CAGR 13.4%)
The Company is constantly expanding manpower and equipment to become the No.1 CDMO
Company in the global CMO and CDO service market. The Company concentrates on attaining
capacity in early stage of CDO services through technical cooperation with advanced enterprises
and self-technology development.
Besides, the Company is currently upgrading its business capability by initiating CDMO service
business based upon capability of quality analysis laboratory in order to intensify CDMO services.
2. Matters regarding major product, etc.
A. Major products
(Unit: million won)
Business Unit Type Item Sales
Amount Share
CMO Goods Antibody drug 375,324 80.46%
Services Others 89,305 19.54%
Total 464,629 100.00%
B. Price fluctuation of major products
The selling prices of products manufactured or to be manufactured by the Company can be
adjusted according to contract conditions, for instance being adjusted by the ratio calculated by
reflecting the annually-announced CPI (Customer Price index) in the initially-determined selling
price or being increased at the fixed rate determined by a contract.
3. Major raw materials
A. Purchase of major raw materials (Unit: million won)
Business Unit
Type Item Amount of purchase
Ratio Remarks
(place of purchase)
CMO
Raw materials Resin etc. 52,114 45.64% - Merck Limited, GE Healthcare, Avantor
Auxiliary materials
Filter etc. 62,083 54.36% -MerckLimited,SartoriusKoreaBiotech, PallCorporation,etc.
Total 114,197 100.00% -
※ The CMO industry generally gets a refund of the full amount of raw/auxiliary materials and handling fees
that belong to BOM (Bill of Material) from customers.
B. Price fluctuation of raw materials and its reasons
Quality check of raw materials to be used by the Company for drug production is performed by a
customer, or purchase is made through a supplier designated by the customer, and the cost of
purchasing raw materials is refunded (ex post settling up) from the customer. Therefore, the risks
relating to the purchase of raw materials like price fluctuation due to the contract terms are
limited.
Meanwhile, the Company signs a long-term contract with a raw material supplier to get a stable
supply of raw materials and applies the inflation rate (about 1~2%) level of raise to a price increase.
Therefore, risks relating to price fluctuation due to the contract terms are limited.
4. Matters regarding production and manufacturing facilities
A. Production capacity and calculation basis
(1) Production capacity
The Company’s production capacity is calculated based on the standard production capacity that took into the account reserve rate (20%) of the maximum production capacity at the stage of commercial production. The actual production capacity may vary change by various factors such as production time intervals, success rates, and the number of products produced by batch.
(Unit: batch)
Item 2017 2016 2015
Biomedicine 260
(2,900,000 liter) 220
(2,300,000 liter) 100
(500,000 liter)
#1) 2016 Plant #2 Operating Rate: Plant #2 initiated its operation in Feb of 2016, but its production capacity
is calculated as 120 batches considering its production initiating time (Apr ~ Dec).
#2) Meanwhile, practical production capacity is calculated through application of multiple factors such as
batch production interval, product attributes (Engineering, Clinical, Commercial, etc.), number of
species for each product and rate of success, etc.
(2) Calculation basis
Production capacity is calculated as follows:
(Annual number of possible working days – number of work stoppage days) / production cycle x
(1 – reserve rate)
B. Production performance and operating rate
(1) Production performance
(Unit: batch)
Item 2017 2016 2015
Biomedicine 186
(1,620,000 liter) 152
(1,080,000 liter) 78
(390,000 liter)
(2) Operating rate
(Unit: batch)
Item Practical production capacity Actual production capacity Average operating rate
Biomedicine 203 127 65.13%
※ Operating rate is calculated based upon practical production capacity
C. Mattering regarding manufacturing facilities
(1) Manufacturing facilities
(Unit: million won)
Assets Beginning of
year Acquisition Disposal Depreciation
Other increase/ reduction
End of year Remarks
Land - - - - - - Note 1)
Building 277,978 3,516 - -9,069 316,973 589,398 -
Fixtures 7,200 - - -188 253 7,265 -
Machinery 561,450 447 - -50,528 84,996 596,362 -
Vehicles 106 463 - -82 - 487 -
Others 11,520 2,301 - -4,321 1,478 10,976 -
Assets under construction
232,706 479,821 - - -403,682 308,845 -
Total 1,090,960 486,548 - -64,188 18 1,513,333 -
Note 1) The Company is exempted from paying rental fees as the Company satisfied the requirements for
rental fee exemption according to the Ordinance of Common Property Management of the Incheon
Metropolitan City by signing a lease agreement with the Incheon Metropolitan City.
Note 2) Skipped as an objective estimation of market value for major tangible assets is difficult.
(2) Investments
Note 1) Since Plant #3 will become the world’s largest plant in size as a single facility and the production
capacity of Samsung BioLogics will increase to 360,000 liters from 180,000 liters if Plant #3 is
constructed, the Company is expected to surpass Lonza of Switzerland (260,000 liters) and Boehringer
Ingelheim of Germany to have the world’s largest production facilities.
Plant Investment
Period Target assets
Total investment
Invested amount
Future investment
Investment resources
Investment effect
Plant #3
2015.10~ 2018.09
Building 340 billion won 250.8 billion won 89.2 billion won IPO fund
Note 1) Plant
#3 2015.10~ 2018.09
Manufacturing facilities
510 billion won 376.2 billion won133.8 billion won IPO fund
5. Matters regarding sales
A. Sales performance (Unit: million won)
Business unit
Type Item 2017 2016 2015
Amount Share Amount Share Amount Share
CMO Goods Antibody drugs 375,324 81% 240,820 82% 40,014 44%
Services Others 89,305 19% 53,802 18% 27,362 30%
Biosimilar Others Milestone, etc. - - - - 23,902 26%
Total 464,629 100% 91,278 100% 91,278 100%
※ The sales of biosimilar above is consisted of sales of products SB4 and SB2, upfront fee which is kind of
a deposit, and milestone based on the development stage.
B. Sales channel
The most important thing for the Company’s sales activities is to sign a contract with customers
since the CMO business in which the Company is engaged is the contract-based industry. It usually
takes 6~12 months to win an order (from the date when a customer’s request for proposal was
received until the date when a contract is concluded), and is implemented as follows:
[Order-winning process]
Category Details
Discover a
potential
customer
Contact the
customer
• Inspect the status of customers (organization, number of products,
clinical test progress, capacity, etc.)
• Contact a customer when participating in exhibitions and introduce
CMO services
Request for
the
customer’s
CMO(send RF)
Meeting of
persons in charge
• Email, telephone, visit and meeting, etc.
• Take the minutes of a meeting
Check the volume
to order
• Sign a confidential agreement, provide corporate profile data (incl.
capacity), attract to visit the Songdo site
Submit a
proposal
Review risks
• Review related divisions of each field
• Financial risk: review differentiated batch prices
• Legal risk: existing products ordered, noncompetitive review with
Samsung BioLogics’ products
-
• Suggest contract terms in which the customer’s conditions for
manufacturing process are reflected
• Consider conditions including contract period, time available to
manufacture, price, scope of services, minimum volume
guaranteed, capacity reserve, etc.
Select a CMO
Select candidate
CMOs • A customer selects 2~3 candidate CMOs
Select a preferred
CMO • A customer selects a preferred CMO through final evaluation
Consult on
contract
terms
Review risks
• Review related divisions of each field
• Financial risk: minimum volume guaranteed/reserve volume,
service sales item, etc.
• Legal risk: liability scope, noncompetitive clauses, etc.
Consult on basic
contract terms
• Negotiate on and adjust major conditions
• Prepare MOU and LOI
Consult on
detailed contract
terms
• Consult on conditions for master service agreement
Win a
contract
Exchange a final
contract • Develop a final contract
Since then, the Company recognized sales at the point of quality release (QR) by a customer for the
products manufactured, and delivers the customer’s inventory stored in the Company’s warehouse
to the place designated by the customer (generally a customer’s carrier) in accordance with the
contract. Meanwhile, the Company does not have separate sales channels including an agency.
C. Sales method and conditions
The sales method and conditions for biomedicine manufactured by the Company are separately
determined by a contract with a customer. According to the contract, annual minimum volume of
production is determined and the volume requested for PO by the customer is manufactured and
delivered to the designated place. Sales recognition and billing are implemented at the time when
the customer’s quality approval is made for the products manufactured, and the payment is
collected within 30~60 days after billing.
D. Sales strategy
The Company has provided company information such as cutting-edge manufacturing facilities,
technological competence, and excellent manpower through various methods including homepage
renewal, advertisements, press releases, overseas exhibitions, and participation and company
presentation in conferences, while striving to raise its profile worldwide as a bio-company of
Samsung Group. Despite a late starter, the Company could have an opportunity to access more than
100 pharmaceutical companies worldwide since the establishment in 2011 with Samsung’s brand
image and full support of Samsung Group including Samsung Electronics Co., Ltd., and has
participated in the BioPhorum every year which is a conference of executives from global
biopharmaceutical manufacturers since joining in 2012.
The Company will make new contracts and expand existing contracts by constantly communicating
about the Company’s production capacity, facility expansion progress, and future plans and
maintaining relationships with existing/potential customers. The Company also leads strategic sales
activities by actively participating in various inner circle meetings to identify demand for
biomedicine production and competitors’ production plans.
6. Contracts (Unit: million dollars)
Item Initial production
year Deadline
Total amount of contracts
Delivered amount Balance of contracts
Antibody drugs 2015 End of 2029 *Depends on the Contract
3,327 587 2,740
Production performance(liter) 18,690,000 2,720,000 15,970,000
Note 1) Total amount of contracts above is calculated based on the sales of products under the condition of
minimum take or pay and may increase since a customer can request more products exceeding the
minimum volume.
Note 2) In addition, the actual sales includes the sales of raw materials which the Company purchases and uses
in the production and the sales of service activities that the Company provides along the production to
support the manufacturing process, to analyze the quality of the products, etc.
Note 3) Total amount of major contracts was recorded according to confidentiality obligation under the
contract.
7. Market risk and risk control
A. Risk control policy
In connection with financial instruments, the Company is exposed to credit risk, liquidity risk, and
market risk. The Company’s risk control policy was established in order to distinguish and analyze
the risks faced by the Company, setting the appropriate limit and control of risk, and prevent risk
from exceeding the limit. The risk control policy and system are regularly reviewed to reflect the
market situation and the changes in the Company’s activities. The Company is aimed to build a
strictly controlled structural environment where all employees can understand their roles and
obligations through training, standards, and procedures for quality control. The Board of Directors
overseas how the Company follows the risk control policy and procedures and reviews if the
Company’s risk control system is appropriate.
B. Credit Risk
Credit risk is the risk that may cause financial loss as the contractual obligations for financial
instruments are not fulfilled by customers or partners. The book value of financial assets represents
the maximum level of exposure to credit risk. The Company’s maximum level of exposure to credit
risk in 2017 and 2016 are as follows:
(Unit: thousand won)
Description End of 2017 End of 2016
Cash and cash equivalents 358,088,091 230,337,601
Short-term financial instruments - 970,000,000
Long-term financial instruments 7,000 8,000
Accounts receivable and other receivables
25,817,150 75,630,820
Guarantee deposits 43,165,000 37,764,300
Total 427,077,241 1,313,740,721
C. Liquidity risk
Liquidity risk is the risk that may cause the Company to have difficulty in satisfying the obligations
related to financial liabilities. The Company’s liquidity management policy is to maintain sufficient
liquidity to pay off its debts prior to the maturity date without risk of causing unacceptable loss in
financially difficult situations or degrading the Company’s reputation.
The ultimate responsibility for liquidity risk management lies with the Board of Directors that
establishes basic policies to properly take care of the Company’s short-, mid-, and long-term
financing and liquidity management regulations. The Company manages liquidity risk by regularly
forecasting and adjusting funds receipts and disbursement to maintain optimal liquidity.
Contractual maturity dates of financial liabilities as of the end of 2017 and 2016 are as follows. The
amount includes interest paid and does not include the effect of netting agreements. The Company
does not anticipate that the cash flow occurs significantly earlier or the amount is significantly
different.
① End of 2017
(Unit: thousand won)
Description Book value Contractual cash flow
In 1 year 1-2 years 2~3 years More than
3 year
Accounts payable and other payables
160,865,484 160,865,484 158,214,846 2,650,638 - -
Bonds 99,926,578 104,407,787 52,993,172 51,414,615 - -
Short-term borrowings 40,000,000 40,760,285 40,760,285 - - -
Long-term borrowings 405,985,570 428,612,072 60,718,045 254,099,571 113,693,973 100,483
Total 706,777,632 734,645,628 312,686,348 308,164,824 113,693,973 100,483
② End of 2016
(Unit: thousand won)
Description Book value Contractual cash flow
In 1 year 1-2 years 2~3 years More than
3 year
Accounts payable and other payables
140,356,755 140,356,755 138,056,375 2,300,380 - -
Short-term borrowings 219,917,877 226,028,338 172,875,223 1,738,500 51,414,615 -
Bonds 623,139,402 657,162,045 248,004,881 50,000,275 306,684,036 52,472,853
Long-term borrowings 983,414,034 1,023,547,138 558,936,479 54,039,155 358,098,651 52,472,853
Total 140,356,755 140,356,755 138,056,375 2,300,380 - -
D. Foreign exchange risk
The Company is exposed to foreign exchange risk for sales, purchases, and borrowings expressed in
currencies other than Korean Won (KRW) which is a functional currency. The main currency used to
express these transactions is USD. The Company established a plan to handle foreign exchange risk
through foreign exchange forward transaction in case that foreign exchange risk needs to be
escaped.
① Exposure to foreign exchange risk
The Company’s level of exposure to foreign exchange risk is as follows:
(Unit: thousand won)
Description End of 2017 End of 2016
USD EUR CHF JPY USD EUR CHF
Assets:
Cashable asset 21,256,612 - - -
Accounts receivable and
other receivables 20,480,232 14,072 - - 64,553,873 22,687 -
Borrowings 25,185,570 - - - 132,339,402 - -
Accounts payable and
other payables 10,869,294 342,467 36,421 3,796 1,649,147 521,643 1,469
Total 5,681,980 (328,395) (36,421) (3,796) 133,988,549 521,643 1,469
① Exchange rate applied during 2017 and 2016 is as follows:
Description 2017 2016
Average rate End of 2017 Average rate End of 2016
USD 1,130.84 1,071.40 1,160.50 1,208.50
EUR 1,276.39 1,279.25 1,283.30 1,267.60
CHF 1,148.72 1,094.72 1,177.36 1,181.33
JPY 1,008.52 949.11 1,068.17 1,036.81
② Sensitivity analysis
The Company regularly estimates the foreign exchange risk for fluctuations in KRW exchange rates.
The impact of fluctuations in exchange rates on income before income taxes when KRW exchange
rates changes by 10% to each foreign currency as of the end of 2017 and 2016 are as follows:
(Unit: thousand won)
Category End of 2017 End of 2016
Increase of 10% Decrease of 10% Increase of 10% Decrease of 10%
USD 568,198 (568,198) (6,943,468) 6,943,468
EUR (32,840) 32,840 (49,896) 49,896
CHF (3,642) 3,642 (147) 147
JPY (380) 380
Total 531,336 (531,336) (6,993,511) 6,993,511
E. Interest rates risk
Out of the Company’s financial instruments, variable interest rate-bearing deposits and borrowings
are affected by change in market interest rates. The impact of a 0.5% change in the interest rates
as of the end of 2017 and 2016 on earnings before taxes is as follows:
(Unit: thousand won)
Description End of 2017 End of 2016
Increase of 0.5% Decrease of 0.5% Increase of 0.5% Decrease of 0.5%
Interest expense (1,047,325) 1,047,325 (1,602,327) 1,602,327
F. Capital management
The Company’s capital management is aimed to maximize the interest of shareholders by
maintaining a sound capital structure, and provides appropriate plans to improve a financial
structure if needed by monitoring financial ratio including debt ratio and net borrowing ratio to
achieve the optimal capital structure.
Debt ratio and net borrowing ratio as of the end of 2017 and 2016 are as follows:
(Unit: thousand won)
Description End of 2017 End of 2016
Liabilities(A) 3,206,640,270 3,450,636,647
Capital(B) 3,976,450,892 4,082,379,460
Cash and cash equivalents(C) 358,088,091 230,337,601
Bonds and borrowings(D) 545,912,148 843,057,279
Debt ratio(A/B) 80.64% 84.53%
Net borrowing ratio((D-C)/B) 4.72% 15.01%
8. Transactions of derivatives and put-back option
Biogen Therapeutics Inc. has the right to purchase the stocks held by the Company according to the
shareholders’ agreement with the Company to increase the share of Samsung Bioepis Co., Ltd. to
the number of shares calculated by subtracting 1 share (if the total is an even number) or 1/2 share
(if the total is an odd number) from 50% of the total value that added up the number of shares held
both by the Company and Biogen Therapeutics Inc. The Company measured the fair value of the
obligation and recognized it as derivative liabilities, and the level-based estimated fair values of
each kind of financial instruments measured by fair value as of the end of 2017 and 2016 are as
follows:
① End of 2017
(Unit: thousand won)
Description Level 1 Level 2 Level 3 Total
Derivative liabilities - - 1,933,562,427 1,933,562,427
② End of 2016
(Unit: thousand won)
Description Level 1 Level 2 Level 3 Total
Derivative liabilities - - 1,874,470,943 1,874,470,943
9. Major contracts for business management
Other party to a contract Typeandobjective
ofacontract Contract date Period How to receive and pay bills
Merck Ltd. Korea Purchasing contract
2014.11.24 ~ 2017.12.30 In 90 days after an invoice is issued
SartoriusKoreaBiotechCo.,Ltd. Purchasing contract
2014.11.27 Automatic renewal
after 1 year In 30 days after an invoice is received
Pall Corporation Purchasing contract
2015.01.14 Automatic renewal
after 1 year In 30 days after an invoice is received
10. R&D activities
A. R&D organization
The Company’s Manufacturing Science and Technology Team serves as the R&D team, and is in
charge of technological support to manufacturing customer products and R&D activities for cell
lines and process.
R&D organizational chart
[Tasks to be performed]
Category Details
Technological
support to
manufacturing
customer products
1) Study to enhance the productivity of a customer product
2) Technology transfer
- Jointly conduct a R&D project with a customer for the manufacturing process of products to be
produced in the Company’s manufacturing facilities
- Get technology transfer from a customer or develop technology
R&D for cell lines
&
process
1) Cell line development service (develop high-productivity cell lines)
2) Process development service (improve the productivity through process development)
- R&D by combining process conditions an culture medium to improve a tire when culturing cells
- R&D for the process to improve target protein refining yield
- R&D related to quality analysis
B. R&D expenses
There are no expenses recognized by the Company as ordinary research cost and development cost
until the date when the report is submitted.
C. R&D performance
The Company has no R&D performance up to date. However, the Company plans to increase R&D
efforts related to cell line process.
D. Future R&D plan
The Company has a process technology team in charge of technological support to manufacturing
customer products and R&D for cell line process and plans to expand the R&D agency area for cell
line process when the CMO business is stabilized. Based on it, the Company will become the CDMO
(Contract Development and Manufacturing Organization) by expanding its business areas even to a
contract development of medicine.
11. Other matters required for investment decision-making
A. Laws and regulations affecting business operation
Laws Details
Pharmaceutical
Affairs Act
- Regulate overall matters concerning medicine manufacturing business such as quality
control and manufacturer designation
- Obtain a manufacturing license according to the Act
- Impose administrative measures (revocation of license) or criminal punishments
(imprisonment or punishment of a fine)
Unfair Competition
and Prevention and
Trade Secret
Protection Act
- Regulate the act of unjustifiably using or disclosing trade secrets of CMO’s client
Act on the
Registration and
Evaluation, Etc. of
Chemical
Substances,
Toxic Chemicals
Control Act
- Regulate the registration, evaluation, and management of chemical substances that
are not controlled as drug and quasi-drug by the Pharmaceutical Affairs Act
- Registration and evaluation requires cost and time to import the drug substances
that fall under chemical substances subject to the Act
Transboundary
Movement, Etc. of
Living Modified
Organisms Act
- Inspect the risks posed by living modified organisms
- Regulate the import of living modified organisms and registration of the research
facility
Fair Trade Act
- Regulate unfair trading practices and unfair collective practices across the entire
business area including winning an order for CMO project, building manufacturing
facilities, and purchasing materials
- Impose corrective measures, penalty, fine, etc. if related matters are violated
B. Business-related important intellectual property rights
- Not applicable
C. Environmental regulations
The Company not only strictly observes environmental regulations concerning the place of business,
but also complies with pollutant emission standards requested by laws to meet the government’s
low carbon green growth policy and responses to climate change, reports emissions and energy
consumption to the government, and disclose relevant information to stakeholders.
(Observe environmental regulations concerning the place of business)
The Company tries to lower the effect on surrounding environment by installing and operating
facilities for water pollution prevention, waste storage/disposal, and noise suppression in order to
minimize the emission of pollutants generated during the production of biomedicine. The
Company’s environmental management of the place of business is being oversighted by related
government departments and local governments, and the Company was selected as the best
company in environmental management by Incheon Metropolitan City in December 2015. The
Company reinforced compliance with environmental regulations and its autonomous management
system through continued investment.
Related domestic and foreign major laws are as follows:
1. Regulate the emission of environmental pollutants:
Water Quality and Ecosystem Conservation Act, Clean Air Conservation Act, Special Act on Seoul
Metropolitan Air Quality Improvement, Noise and Vibration Control Act, Wastes Control Act, Etc.
2. Control the emission of greenhouse gas:
Framework Act on Low Carbon and Green Growth, Act on Allocation and Trading of Greenhouse Gas
Emission, Etc.
3. Other environment-related laws:
Toxic Chemicals Control Act, Act on the Regulation and Evaluation, Etc. of Chemical Substances,
Promotion Of And Support For Water Reuse Act, Soil Environment Conservation Act, Malodor
Prevention Act, Etc.
(Management of greenhouse gas emissions and energy consumption)
The Company’s greenhouse gas emissions and energy consumption that must be reported to the
government in accordance with Article 42 of the Framework Act on Low Carbon and Green Growth
since the Company falls under entities subject to target management of greenhouse gas emission
and energy consumption in 2014 under Article 42 of the same Act are as follows:
Category 2017 2016 2015
GHG (Unit :tCO2e) 85,314 68,479 58,665
Energy (Unit: TJ) 1,726 1,387 1,188
※ Target: Place of manufacturing business (manufacturing and utility facilities), corporate bus, etc.
The Company’s bio-plants are a clean place of business, but continuous extension leads to rising
greenhouse gas emissions. The Company has met the GHG emission allowances and energy
consumption target through investment in utility facilities (replace with high-efficient equipment)
and office environment improvement (replace with LED lamps) in order to reduce greenhouse gas
and energy consumption. The Company strives to observe related laws and standards after falling
under entities subject to the greenhouse gas emission trading schemes in accordance with Article 8
of the Act on Allocation and Trading of Greenhouse Gas Emission Allowances.
※ For the matters concerning green management, refer to J. Green management in 3. Other
matters including current restrictions under XI. Other Matters Required for Investor Protection.
[Biosimilar Business /
Samsung Bioepis Co., Ltd. and Archigen Biotech Limited.]
1. Business Overview
A. Industry status
(1) Characteristics of business
(A) Industry trends
A biosimilar is a biological medical product that copied an existing biomedicine. This kind of drug is
named as a generic medicine (generic) in the field of synthetic drugs, but it is called a biosimilar in
the field of biomedicine. It is because the structure and manufacturing process of biomedicine
begin from living creatures unlike synthetic drugs, making it impossible to perfectly copy the
structure and efficacy of an original drug and possible to develop and produce the drugs with
similarity above a certain level.
(2) Growth potential
As the patents for major original biomedicines will expire soon, the market of biosimilars with same
efficacy to biological products but with lower price is expected to continue expanding. Especially
strating from late 2010, the most of the top ten blockbuster biomedicines will have their patent
expired, expediting the growth of biosimilar market. The market size of biosimilars was 2.7 billion
USD in 2015 and is expect to become 66.3 billion USD with the remarkable average growth rate of
38% per year. (Frost & Sullivan, 2016)
The growth of the biosimilar industry is attributed to the upcoming expiration of patents for
blockbuster biomedicine, the increased demand for low-cost high-efficiency drugs due to global
depression and persistent slow growth, and the biosimilar-favored policies of governments around
the world.
(3) Characteristics of economic fluctuation
(A) Lifecycle
The pharmaceutical industry has a relatively long and stable lifecycle compared to other industries.
It is because the exclusive distribution right for drugs is strictly protected by governments.
(B) Economic fluctuation and seasonality
The biosimilar industry involving the production of drugs for cancers, autoimmune diseases, and
chronic diseases is unlikely to be affected by economic fluctuation or season like the
biopharmaceutical industry.
(C) Alternative market
Medicine should get approved for sales through the process based on the standards strictly
developed by each country, and an alternative market is not easy to be created compared to other
industries since especially prescription-based medicine is institutionally protected to be purchased
only by a prescription.
(4) Competition
Major competitors of Samsung Bioepis Co., Ltd. include Pfizer, Amgen, and Sandoz of the U.S. and
Celltrion Pharm Inc. of South Korea. Sandoz sells anticancer agent Zarxio (Neupogen similar) in the
United States, and started to sell Erelzi (Enbrel biosimilar) in Europe as a second place after
Samsung Bioepis Co., Ltd. Celltrion Pharm Inc. sells Remsima (antibody biosimilar) in Europe, the
U.S. and South Korea. Pfizer and Amgen are carrying out the approval and late phase clinical trials
for multiple antibody biosimilars.
(5) Characteristics of resourcing
Major raw materials of biosimilar include media necessary for the development and production of
products and various kinds of reagents and kits for medical research. Since it is insensitive to raw
material supply unlike other manufacturing areas because biomedicine is produced by culturing and
refining cells, and there is no risk in price change or a sudden difficulty in procuring these materials,
nothing is significant in resourcing in the biosimilar industry.
(6) Related laws or government regulations
Each country has strict regulations and guidelines for biosimilar development and
commercialization.
Domestic biosimilar-related license goes through quality evaluation, non-clinical evaluation, and
indication extrapolation in accordance with the Regulation on Review and Authorization of
Biological Products notified by the Ministry of Food and Drug Safety (MFDS). Biosimilar needs to get
an approval for sales from licensing agencies of each country as in other drugs and goes through a
different approval process from other new drugs or generics.
Rules or instructions that specify standards and procedures for the approvals are guidelines. Since
the first establishment of guidelines for biosimilar in Europe in 2004, the first marketing
authorization for biosimilar was issued in 2006 and many countries including South Korea and Japan
have developed guidelines to introduce biosimilar to their market in 2009. The United States has
developed the draft of guidelines for biosimilar in 2012 and announced the final guidelines in 2015.
B. Company Status
<Samsung Bioepis Co., Ltd.>
(1) Company operation and production
Samsung Bioepis Co., Ltd, the Company’s subsidiary, has been established on February 28, 2012
jointly by the Company and Biogen Therapeutics Inc. and engages in R&D for and commercialization
of biosimilars.
(A) Product pipelines
Samsung Bioepis Co., Ltd. has developed six kinds of biosimilars, and obtained marketing
authorizations for Enbrel biosimilar (product name: Brenzys in South Korea, Benepali in Europe)
from MFDS in September 2015 and from EMA in January 2016, for Remicade biosimilar (product
name: Renflexis in South Korea, Flixabi in Europe) from MFDS in December 2015 and from EMA in
May 2016, and for Lantus biosimilar (product name: Lusuduna) from EMA in January 2017, and for
Humira biosimilar (product name: Hadlima in South Korea, Imraldi in Europe) from EMA in August
2017 and from MFDS in September 2017, and for Herceptin biosimilar (product name: Samfenet in
South Korea, Ontruzant in Europe) from EMA and MFDS in November 2017. Avastin and Lucnetis
biosimilars which are for colon cancer treatment and ophthalmologic disease treatment are
currently being prepared for clinical phase 3 stage. Starting with Brenzys in Dec 2015,
Renflexis/Flixabi have been on sale since 2016 and other products with marketing authorization
approval will also be released sequentially.
(B) Business structure
Samsung Bioepis Co., Ltd. which is specialized in developing biomedicine including biosimilar does
not have a separate manufacturing facility or a sales network. Therefore Samsung Bioepis Co., Ltd.
outsources both production and sales.
Product pipelines of Samsung Bioepis Co., Ltd. and developments
(2) Market share
Samsung Bioepis Co., Ltd. obtained a marketing authorization for Enbrel and Remicade biosimilars
in Korea and EU between the end of 2015 and the end of 2016. Since these products have been
released recently, and Humira and Herceptin biosimilars are not released yet, market share of the
products will not be recorded
(3) Details and prospect of new business
Samsung Bioepis Co., Ltd recently signed a development cooperation contract with Japanese Takeda Pharmaceutical Company as a method for biopharmaceutical business promotion plan. For successful development of pancreatitis medicine candidate substances, cooperation development will be held for the whole course of the process including clinical, approval and commercial processes. In particular, a synergy effect between Takeda’s new drug development capability and Samsung Bioepis’ biopharmaceutical development platform is anticipated.
<Archigen Biotech Ltd.>
(1) Company operation and production
Archigen Biotech Ltd. the Company’s subsidiary, has been established in June 23, 2014 by the
Company and AstraZeneca plc as a 50/50 joint venture and engages in R&D for and
commercialization of biosimilars.
(2) Product pipelines
The Company is currently developing Rituximab biosimilars such as a drug for non-hodgkin
lymphoma (NHL) which is kind of hematologic malignancy and a drug for severe rheumatoid
arthritis. The clinical trials of the biosimilars were approved by FDA in June 2016 and they are
currently in the Phase 1/3 of clinical trial for around 30 countries. If the clinical trials are
successfully completed, they will be released in the global market from the end of 2019.
2. Matters regarding major products
A. Major products (Unit: million won)
Type Item Sales
Amount Share
Biomedicine Milestone, etc. Export 314,757 100.00
Total 314,757 100.00
※ Sales of the biosimilar above consists of upfront fee which is kind of sales and down payment of SB2 and
SB4 products and milestone, etc. depending on development phases.
B. Price fluctuation of major products
The selling price of each product in each country is determined by Biogen and Merck according to
the contract signed by Samsung Bioepis Co., Ltd. and distributors. The distributors provide Samsung
Bioepis Co., Ltd. with data of the quantity and amount of products sold and settle up on a quarterly
or annual basis.
3. Major raw materials
A. Purchase of major raw materials
Not applicable since the biosimilar sector outsourced overall activities relating to product manufacturing to CMO, and settle up by reflecting standard raw material input quantity according to BOM (Bill of Material).
B. Price fluctuation of raw materials and its reasons
Samsung Bioepis Co., Ltd. settle up by calculating standard input quantity and standard unit cost of settlement for raw material settlement according to the outsourcing agreement. Meanwhile, in the event of a sharp fluctuation in the price of raw materials input, both companies will adjust the price through consultation.
4. Matters regarding production and manufacturing facilities
A. Production capacity and calculation basis - Not applicable
B. Production performance and operating rate - Not applicable
C. Mattering regarding manufacturing facilities - Not applicable
5. Matters regarding sales
A. Sales performance (Unit: million won)
Item 2017 2016 2015
Biomedicine 314,757 147,477 23,902
※ Sales of the biosimilar above consists of upfront fee which is kind of sales and down payment of SB4 and SB2 products and milestone, etc. depending on development phases.
B. Sales channel
Samsung Bioepis Co., Ltd. has signed a licensing agreement for major product pipelines with Biogen and Merck. The agreement says that whenever the pipeline being developed by Samsung Bioepis Co., Ltd. at the point of agreement passes a certain development phase, the other parties shall pay milestones to Samsung Bioepis Co., Ltd; Moreover after the product is sold, the profits subtracting manufacturing cost and selling and administrative expenses from gross sales shall be split fifty-fifty to the distributor and Samsung Bioepis Co., Ltd. In case of South Korea, contract with Merck which is previous marketing cooperative company got cancelled, and Enbrel/Remicade biosimilar licensing agreements were made with Yuhan Co., Ltd and Herceptin biosimilar licensing agreement was made with Daewoong Pharmaceutical Co., Ltd.
C. Sales method and conditions
Samsung Bioepis Co., Ltd. signed a marketing partnership with Biogen and Merck, Yuhan, Daewoong to grant exclusive rights/obligations to sell specific products in specific regions, and jointly established a sales strategy by regularly holding a conference with marketing partners.
D. Sales strategy
Samsung Bioepis Co., Ltd. has signed a licensing agreement for major product pipelines with Biogen and Merck, Yuhan, Daewoong and jointly established a sales strategy by regularly holding a conference with marketing partners.
6. Contracts - Not applicable
7. Major contracts for business management
Other party to a contract Contract period
Objective and details of a contract
How to receive bills (standards), etc.
Merck Sharp & Dohme Corp. 10 years Commercialize biosimilar Profit distribution through
settlement
BIOGEN INTERNATIONAL HOLDINGLTD. 10 years Commercialize biosimilar Profit distribution through
settlement
Merck Sharp & Dohme Research GMBH 17 years Develop and commercialize of
insulin Profit distribution through
settlement
Merck SHARP & DOHME CORP 10 years Signan additionalmarketing
partnership with Enbrel Profit distribution through
settlement
Millennium Pharmaceuticals (American Subsidiary of Takeda)
Until marketing allowance approval
Biopharmaceuticaldevelopment cooperation contract
Profit distribution through product development and post-
release settlement
Yuhan Co., Ltd. 5 years CommercializeSB2/4 in S.Korea Profit distribution through
settlement
Daewoong Pharmacuetical Co., Ltd. 5 years CommercializeSB3 inS.Korea Profit distribution through
settlement
8. R&D activities
A. R&D division Samsung Bioepis Co., Ltd.’s R&D organization is as follows:
R&D organizational chart
CEO
R&D Division Clinical Medicine Division
CD Team (Cell Development)
AD Team (Analytical Method Development)
BA Team (Bioanalysis)
Clinical Team Medical Team
PI Team (Process Innovation)
DS Team (Drug Substance)
QA Group (Quality Assuarance)
DP Team (Drug Product)
Samsung Bioepis Co., Ltd.’ R&D organization is consisted of clinical team, R&D division, and its
affiliated eight teams, 1 group; and recruited manpower from global pharmaceutical companies to
secure know-how of leading pharmaceutical companies.
B. R&D expenses
R&D expenses recognized by Samsung Bioepis Co., Ltd. are as follows: (Unit: 100 million won)
Description 2017 2016 2015
Total R&D expenses 2,216 1,537 2,208
Government subsidy - - -
Accounting
Capitalization of development cost (intangible asset)
786 585 1,419
R&D expenses (cost) 1,430 952 789
R&D expenses/sales ratio [Total R&D expenses ÷ current sales x 100]
70% 104% 924%
C. R&D performance
[Samsung Bioepis Co., Ltd.]
Research subject CRO Research status Sales
Six biosimilars
SB2 Remicade Biosimilar,
Infliximab Samsung Bioepis
- Dec. 2015. drug license in Korea - May 2016. marketing authorization in EU - Nov 2016 marketing authorization in Australia - Apr 2017 marketing authorization in the US
Korea and
EU, etc.
SB3 Herceptin Biosimilar,
Trastuzumab Samsung Bioepis
- Nov 2017 drug license in Korea - Nov 2017 marketing authorization in EU
-
SB4 Enbrel Biosimilar,
Etanercept Samsung Bioepis
- Sep 2015 drug license in Korea - Jan 2016 marketing authorization in EU - Jul 2016 marketing authorization in Australia - Aug 2016 marketing authorization in Canada
Korea And
EU, etc.
SB5 Humira Biosimilar,
Adalimumab Samsung Bioepis
- Aug 2017 marketing authorization in EU - Aug 2017 drug license in Korea
-
SB8 Avastin Biosimilar,
Bevacizumab Samsung Bioepis
- Phase III of clinical trial in progress -
SB9 Lantus Biosimilar, Insulin
Glargine Merck
- May 2016 application for marketing authorization in the US - Jan 2017 marketing authorization in EU -
SB11 Lucentis Biosimilar,
Ranibizumab Samsung Bioepis
- Phase III of clinical trial in progress -
D. Future R&D plan
Samsung Bioepis Co., Ltd. develops a next biosimilar. The next product is currently in the early
stage of process development, and products to be developed may be added or change based on
development cost and the future market scope.
6. Other financial matters
A. Matters to be noted for financial statements re-preparation
- Other matters to be noted for the use of financial statements
The Company has established Samsung Bioepis Co., Ltd. in 2012 which is a joint venture with
Biogen Therapeutics Inc. of the United States in order to develop and commercialize biosimilars.
The Company classified Samsung Bioepis Co., Ltd. as the Company’s subsidiary until 2014, but
excluded Samsung Bioepis Co., Ltd. from the Company’s subsidiaries in 2015 as the potential voting
right for Samsung Bioepis Co., Ltd. held by Biogen Therapeutics Inc. became the substantial right at
the end of 2015. The right of Biogen Therapeutics Inc. can be exercised immediately, and if the
right is exercised, the Company is unable to exercise control over Samsung Bioepis Co., Ltd. solely
according to shareholders’ agreement.
B. Establishment of allowance for bad debts
(1) Established allowance for bad debts by account for the last three years
Not applicable
(2) Changes in allowance for bad debts
Not applicable
(3) Plan to establish allowance for bad debts relating to accounts receivable
If financial assets classified as loans and receivables are believed to be lost, the book value is
reduced using allowance for bad debts; if they are believed to be unable to be recovered, they are
eliminated by reducing related bonds and allowance for bad debts. If the eliminated amount is
recovered subsequently, the amount is accounted as profit or loss for current year. The change in
book value of allowance for bad debts is also recognized as profit or loss for current year.
C. Inventories
(1) Inventory status by business unit for the last three years
(Unit: thousand won)
Business unit Category 2017 2016 2015
CMO
Products 95,283,473 93,966,300 80,240,590
Goods in process 22,121,869 347,006 2,763,131
Raw materials 45,196,129 35,630,578 15,328,189
Stored goods 47,385,246 34,276,096 20,845,430
Subtotal 209,986,717 164,219,980 119,177,340
Total 209,986,717 119,177,340 164,219,980
Ratio of inventories to total assets (%) 2.92% 2.18% 2.00%
(2) Due diligence on inventories
① Date
- Due diligence is carried out every year in the early January of the following year
accompanied by independent auditors
- The inventory incoming and outgoing occurred between the due diligence date and the
statement of financial position date is checked using I/O delivery orders.
② Method
- Monthly self-due diligence is performed in the form of total inspection.
- External auditors attend and check the Company’s inventory due diligence and extract
samples for some items to check for presence and completeness of inventories.
D. Issuance of debt securities
(As of Dec. 31, 2017) (Unit: million won, %)
Issuing company Securities
type Issuing method
Issuing date Total face
value Interest
rate Credit rating(ratingagency)
Maturity date
Repayment Org.
SamsungBioLogics Co.,Ltd.
Corporate bond
Private placement
2014.10. 24 50,000 3.48% - 2019.10.24 Before
maturity KB Investment &
Securities Co., Ltd.
SamsungBioLogics Co.,Ltd.
Corporate bond
Private placement
2016.01.28 40,000 2.38% A+(NICEInvestorsService)
A+(KoreaInvestorsServiceInc.) 2017.01.28
Maturity repayment
KBInvestment&Securities Co.,Ltd.
KoreInvestment&Securities Co.,Ltd.
SamsungBioLogics Co.,Ltd.
Corporate bond
Private placement
2016.03.31 80,000 2.28% A+(NICE InvestorsService)
A+(KoreaInvestorsServiceInc.) 2017.03.31
Maturity repayment
ShinhanInvestmentCorp. KoreaInvestment& SecuritiesCo.,Ltd.
SamsungBioLogics Co.,Ltd.
Corporate bond
Private placement
2016.08.12 50,000 2.00% - 2017.08.12 Maturity
repayment Mizuho Bank
SamsungBioLogics Co.,Ltd.
Corporate bond
Private placement
2017.12.21 50,000 2.43% - 2018.12.21 Before
maturity IBK Investment &
Securities Co., Ltd.
Total - - - 270,000 - - - - -
E. Outstanding balance of commercial paper
(As of Dec. 31, 2017) (Unit: won)
Current maturity ≤10 days 10~30 days
30~90 days
90~180 days
180days~ 1 year
1~2 years
2~3 years >3 years Total
Outstanding balance
Private placement - - - - - - - - -
Public offerings - - - - - - - - -
Total - - - - - - - - -
F. Outstanding balance of asset backed short-term bond
(As of Dec. 31, 2017) (Unit: won,)
Current maturity ≤10 days 10~30 days
30~90 days
90~180 days
180days~ 1 year
1~2 years
2~3 years >3 years Total
Outstanding balance
Private placement - - - - - - - - -
Public offerings - - - - - - - - -
Total - - - - - - - - -
G. Outstanding balance of corporate bond
(As of Dec. 31, 2017) (Unit: million won)
Current maturity ≤1 year 1~2 years 2~3 years 3~4 years 4~5 years 5~10 years >10 years Total
Outstanding balance
Private placement - - - - - - - -
Public offerings 50,000 50,000 - - - - - 100,000
Total 50,000 50,000 - - - - - 100,000
H. Outstanding balance of hybrid bond
(As of Dec. 31, 2017) (Unit: won)
Current maturity ≤1 year 1~5 years 5~10 years 10~15 years 15~20 years 20~30 years
>30 years Total
Outstanding balance
Private placement - - - - - - - -
Public offerings - - - - - - - -
Total - - - - - - - -
I. Outstanding balance of contingent convertible bond
(As of Dec. 31, 2017) (Unit: won,)
Current maturity ≤1 year 1~2
years 2~3
years 3~4 years
4~5 years
5~10 years
10~20 years
20~30 years
>3 years Total
Outstanding balance
Private placement - - - - - - - - - -
Public offerings - - - - - - - - - -
Total - - - - - - - - - -
IV. Auditor’s Opinion, Etc.
1. Auditor’s opinion, etc.
A. Auditor’s name and opinion
Business year Auditor Auditor’s opinion Remarks
2017 Samjong KPMG LLC Qualified -
2016 Deloitte Korea Qualified -
2015 Samjong KPMG LLC Qualified -
B. Audit service contract
(Unit: thousand won, hour)
Business year Auditor Details Audit fee Audit hours
2017 Samjong KPMG LLC Review of the interim and annual separate
financial statements 500,000 4,669
2016 Deloitte Korea Audit of annual and semi-annual separate
financial statements 770,000 4,704
2015 Samjong KPMG LLC Audit of separate financial statements 95,580 1,317
C. Non-audit service contract
(Unit: thousand won)
Business year Contract period Service details Service period Service fee Remarks
2017 - - - - -
2016 - - - - -
2015 '15.01.02 Review of Internal
Accounting Control System 2015.01.02 ~
2015.1.31 15,000 -
2. Matters regarding internal control
The Company reviews its internal accounting control system (IACS) operation once a year, and the
Company’s external auditor reviews the Company’s IACS report as of December 31, 2017. As a result,
the auditor presented an opinion that the report has no significant flaws according to the IACS
regulation.
Business year Auditor Auditor’s opinion Remarks
2017 Samjong KPMG LLC Qualified N/A
2016 Deloitte Korea Qualified N/A
2015 Samjong KPMG LLC Qualified N/A
V. Directors’ Management Discussion & Analysis
1. Matters to be noted for forecasts
This report includes forward-looking statements that relate to future events and can be generally
identified by phrases containing words such as “believes,” “expects,” “anticipates,” “foresees,”
“forecasts,” “estimates” or other words or phrases of similar meaning.
‘Forecasts’ involve uncertain events. Uncertainties that may have a positive or negative effect on
the company’s future managerial status and financial performance include the followings:
- Trends of domestic and foreign financial market including changes in exchange rates and
interest rates
- Company’s strategic decision-makings including business acquisition and disposal
- Unexpected sudden change in conditions of major business areas
- Other changes domestically and abroad that can affect management condition and
financial performance
It is important to note that the Company’s actual future performance may have significant
difference, express or implied, from the contents reported here due to the uncertainties. The
Company assumes no obligation to revise or update this report to reflect risks or uncertainties that
arise after the reporting period.
2. Overview
[Samsung BioLogics Co., Ltd.]
Samsung BioLogics has established the global foundation for its growth in the biopharmaceutical industry through continued investment and R&D efforts since its foundation in 2011.
Particularly in 2017, we made significant accomplishments all in terms of construction, quality, and production. We once again appreciate shareholders’ encourage and support to drive us to have such achievements. In 2017 Samsung BioLogics enjoyed remarkable performance in the biopharmaceutical industry in six years of its establishment. Plant #1 is operating at one hundred percent capacity and Plant #2 continues increasing its production capacity as it began ramping up production after being approved for manufacturing. Plant #3 with 180,000 liter production capacity implemented a performance validation and commissioning tests after its mechanical completion in November 2017.
The construction of Plant #3 made us become the world’s top CMO in terms of production capacity and it serves as a milestone for the rise to a global company. With such advances, Samsung BioLogics entered into agreements with eight customers for the production of nine products in 2017.
Samsung BioLogics also won the CMO Leadership Award four times in a row and six prizes especially in 2017. However, we will do not rest on our laurels, but continue to develop through innovation and perfect fulfillment. Further efforts to expand business areas by discovering new domains will be made beyond the CDO business and quality analysis service which were newly launched in 2017.
We will also champion a global change for the better by increasing our competitive advantage in quality, manufacturing process, and price in every business area.
[Samsung Bioepis Co., Ltd.]
Samsung Bioepis Co., Ltd. has been established on February 28, 2012 jointly by Samsung BioLogics
Co., Ltd. and Biogen Therapeutics Inc. and engages in R&D for and commercialization of biosimilars.
Since patents for original biomedicine will expire in the near future, the biosimilar market has been
dramatically growing with price competitiveness compared to original biomedicines. Especially
since late 2010, the patents for most of the top-selling ten biomedicines have expired, the growth
of the biosimilar industry is expected to be further accelerated based on easy accessibility to
patients. The productivity of biosimilar is also high with competitive development cost and period
since biosimilar is easier to produce and less strict to conduct a clinical test than original
biomedicine. For this reason, many companies are making aggressive investment in biosimilar
development.
At present, the Company’s sales consist of commercial sales of SB4 (Brensis and Benepali; Enbrel
biosimilar) and SB2 (Renflexis and Flixabi; Remicade biosimilar) and milestones received from
Biogen and Merck. Since its establishment in February 2012, the Company has been constantly in
deficit with net loss worth 166.6 billion won in 2015 and 106.5 billion won in 2016 and 88.3 billion
won in 2017 based on the consolidated financial statements. Although the commercial sales of SB4
(Brensis and Benepali) and SB2 (Renflexis and Flixabi) has begun, but the Company is still in the red
since it usually requires high initial marketing expenditure. The Company’s profitability is expected
to improve by expanding the market for SB4 (Brensis and Benepali) and SB2 (Renflexis and Flixabi)
as well as new products. Profitability is expected to get better with the expansion of recently
approved product releases such as SB5 (Imraldi and Hadlima) and SB3 (Samfenet and Ontruzant).
3. Financial condition and sales performance
A. Financial condition
[Samsung BioLogics Co., Ltd.]
(Unit: million won)
Description 2017 2016 Increase/ decrease
Increase/ decrease rate
Assets
Ⅰ. Current assets 620,995 1,461,425 -840,430 -57.51%
Cash and cash equivalents 358,088 230,338 127,750 55.46%
Short-term financial instruments - 970,000 -970,000 -100.00%
Accounts receivable and other receivables
25,817 75,631 -49,814 -65.86%
Inventories 209,987 164,220 45,767 27.87%
Other financial assets 22,605 16,289 6,316 38.77%
Other current assets 4,498 4,947 -449 -9.08%
Ⅱ. Non-current assets 6,562,096 6,071,591 490,505 8.08%
Long-term financial instruments 7 8 -1 -12.50%
Investments securities in associates and jointly-controlled entities
5,008,234 4,944,356 63,878 1.29%
Tangible assets 1,513,333 1,090,960 422,373 38.72%
Intangible assets 18,999 14,045 4,954 35.27%
Other financial assets 20,560 21,475 -915 -4.26%
Other non-current assets 963 747 216 28.92%
Total assets 7,183,091 7,533,016 -349,925 -4.65%
Liabilities
I. Current liabilities 2,287,442 2,476,545 -189,103 -7.64%
II. Non-current liabilities 919,198 974,091 -54,893 -5.64%
Total liabilities 3,206,640 3,450,636 -243,996 -7.07%
Total stockholders’ equity 3,976,451 4,082,380 -105,929 -2.59%
Total liabilities and stockholders’ equity 7,183,091 7,533,016 -349,925 -4.65%
- Total assets are 7,183 billion won, decreased by 4.65% from previous year.
Current assets are 621.0 billion won, decreased by 840.4 billion won from previous year. The main
reasons are an increase of investment on Plant #3 and Samsung Bioepis Co., Ltd equity investment
and debt repayment reduced by 886.2 billion won worth current assets and expansion of
production risen by 45.8 billion won worth inventory assets.
Non-current assets are 6,562.1 billion won, risen by 491 billion won from previous year.
The main reason is an increase of subsidiary company’s capital increase worth 63.9 billion won,
and tangible assets worth 422.3 billion won following the construction of Plant #3.
- Liabilities are 3,206.6 billion won, decreased by 7.07% from previous year.
The main reasons are debt repayment reduced by 297.1 billion won worth current portion of long- term debts and long-term borrowings, and increase in worth of Biogen’s call-option risen by 59.1 billion won worth option liability.
- Equity is 3,978 billion won, decreased by 2.59% from previous year.
The main reason is an decrease of Accumulated other comprehensive income worth 6.7 billion won
and a decrease of earned surplus worth 97.0 billion won due to current net loss.
[Samsung Bioepis Co., Ltd.]
[Unit: million won]
Description 2017 2016 Increase/
Decrease
Increase/
Decrease rate
Assets
Ⅰ. Current assets 547,933 474,656 73,277 15.4%
Cash and cash equivalents 89,660 182,120 -92,460 -50.8%
Accounts receivable and other receivables
29,193 28,450 743 2.6%
Inventories 409,414 237,552 171,862 72.3%
Other current assets 19,666 26,534 -6,868 -25.9%
Ⅱ. Non-current assets 637,766 570,584 67,182 11.8%
Long-term financial instruments 8 9 -1 -11.1%
Other receivables 8,804 9,779 -975 -10.0%
Tangible assets 79,026 76,306 2,720 3.6%
Intangible assets 544,041 480,390 63,651 13.2%
Other non-current assets 5,887 4,100 1,787 43.6%
Total assets 1,185,699 1,045,240 140,459 13.4%
Liabilities
Ⅰ. Current liabilities 453,562 573,332 -119,770 -20.9%
Accounts payable and other payables 172,309 229,502 -57,193 -24.9%
Short-term borrowings 105,000 222,323 -117,323 -52.8%
Bonds 32,131 79,895 -47,764 -59.8%
Unearned revenue 142,731 40,452 102,279 252.8%
Deposits 1,391 1,160 231 19.9%
Ⅱ. Non-current liabilities 237,239 89,268 147,971 165.8%
Total liabilities 690,801 662,600 28,201 4.3%
Total stockholders’ equity 494,898 382,639 112,258 29.3%
Total liabilities and stockholders’ equity 1,185,699 1,045,240 140,459 13.4%
- Total assets are 1,185.7 billion won, risen by 13.4% from previous year while liabilities are 690.8
billion won, risen by 4.3% from previous year.
- The main reason of assets increase is an increase of inventories following the commencement of
SB4 and SB2 commercial sales and increase in intangible assets due to alteration of development
expense into an asset.
- Biomedicine has a relatively long lead time from culturing to refining to follow-up process. In 2017,
the Company generated commercial sales and manufactures biosimilars based on demand
forecasts, increasing inventories by 72.3% from previous year. An increase of liabilities is
attributed mainly to an increase of unearned revenues and long-term borrowings due to
transferred products before sales.
B. Sales performance
[Samsung BioLogics Co., Ltd.]
{Unit: million won}
Description 2017 2016 Increase/ decrease
Increase/ decrease rate
Ⅰ. Sales 464,629 294,622 170,007 57.70%
Ⅱ. Cost of sales 332,829 268,088 64,741 24.15%
Ⅲ. Gross profit 131,800 26,534 105,266 396.72%
Ⅳ. Selling and administrative expenses 65,821 56,956 8,865 15.56%
Ⅴ. Operating loss 65,979 -30,423 93,401 -316.88%
Ⅵ. Non-operating profit and loss -181,974 -200,478 18,504 -9.23%
Ⅶ. Earnings(loss) before taxes -115,995 -230,901 114,905 -49.76%
Ⅷ. Income tax expenses (profit) -19,023 -54,077 35,054 -64.82%
Ⅸ. Current net income (loss) -96,972 -176,823 79,851 -45.16%
(1) In spite of the decreased Plant #1 shipments, improved Plant #2 operating rate account for
increased revenues of 170 billion won compare to the last year. Operating profit, though labor
costs and depreciation costs due to the acquisition of Plant #3 have arisen, increased by 96.4
billion won of 66 billion won as a result of increased sales.
(2) According to Major financial ratios in separate financial statements, financial ratios have been
improved compare to 2016 as shown. Operating income: 14.2% (2016: -10.3%); EBITDA: 29.3%
(2016: 101.1%); interest coverage rate: x11.6 (2016: x-1.5).
[Samsung Bioepis Co., Ltd.]
[Unit: million won]
Description 2017 2016 Increase/ decrease
Increase/ decrease rate
Ⅰ. Sales 314,757 147,477 167,280 113.4%
Ⅱ. Cost of sales 123,311 37,551 85,760 228.4%
Ⅲ. Gross profit 191,446 109,925 81,521 74.2%
Ⅳ. Selling and administrative expenses 294,987 208,904 86,083 41.2%
Ⅴ. Operating loss -103,541 -98,978 -4,563 4.6%
Ⅵ. Non-operating profit and loss 15,199 -7,476 22,675 -303.3%
Ⅶ. Loss before taxes -88,342 -106,455 18,112 -17.0%
Ⅷ. Income tax expenses 4 5 -1 -20.0%
Ⅸ. Current net loss -88,346 -106,460 18,113 -17.0%
- Sales increased by 167.3 billion won from previous year due to an increase commercial sales of
SB4 which is Enbrel biosimilars.
- Operating loss were 103.5 billion won increased by 4.6% and current net loss were 103.5 billion
won decreased by 17.0% from previous year, respectively.
C. New business
- Not applicable
D. Reorganization
- Not applicable
E. Effect of exchange rate change
[Samsung BioLogics Co., Ltd.]
The level of exposure to exchange risk is as follows:
(Unit: thousand won)
Samsung BioLogics Co., Ltd. regularly measures the exchange risk of exchange rate fluctuation of
Korean won. As of the end of 2017 and 2016, the effect of 10% exchange rate fluctuation of Korean
won to each foreign currency on earnings before taxes is as follows:
(Unit: thousand won)
Description 2017 2016
Average rate End of 2017 Average rate End of 2016
USD 1,130.84 1,071.40 1,160.50 1,208.50
EUR 1,276.39 1,279.25 1,283.30 1,267.60
CHF 1,148.72 1,094.72 1,177.36 1,181.33
JPY 1,008.52 949.11 1,068.17 1,036.81
Description End of 2017 End of 2016
USD EUR CHF JPY USD EUR CHF
Assets:
Cashable asset 21,256,612 - - -
Accounts receivable and
other receivables 20,480,232 14,072 - - 64,553,873 22,687 -
Borrowings 25,185,570 - - - 132,339,402 - -
Accounts payable and
other payables 10,869,294 342,467 36,421 3,796 1,649,147 521,643 1,469
Total 5,681,980 (328,395) (36,421) (3,796) 133,988,549 521,643 1,469
[Samsung Bioepis Co., Ltd.]
The level of exposure to exchange risk is as follows:
(Unit: thousand won)
Category
Assets Liabilities
Cash and cash equivalents
Accountsreceivable andotherreceivables
Total Short-term borrowings
Accountspayableand otherpayables
Total
End of 2017
USD 38,545,377 26,177,711 64,723,088 (170,898,815) (121,659,317) (292,558,132)
EUR 31,839 1,549,028 1,580,867 - (11,411,187) (11,411,187)
GBP 1,702,180 - 1,702,180 - (3,118,225) (3,118,225)
CHF - - - - (7,603) (7,603)
CAD - - - - (400,533) (400,533)
AUD - - - - (600,581) (600,581)
JPY - - - - (135,532) (135,532)
NOK - - - - (77,694) (77,694)
SEK - - - - (29,524) (29,524)
End of 2016
USD 63,856,614 5,968,828 69,825,442 (67,323,078) (253,231,626) (320,554,704)
EUR - 2,269,798 2,269,798 - (5,440,373) (5,440,373)
GBP 135,462 15,871 151,333 - (4,215,034) (4,215,034)
CHF 19,025 5,334 24,359 - (32,242) (32,242)
CAD - - - - (86,043) (86,043)
AUD 11,170 - 11,170 - (325,472) (325,472)
D - 16,664,504 16,664,504 - (3,493,730) (3,493,730)
TRY 5,053 8,369 13,422 - (1,031) (1,031)
BRL 110,411 6,795 117,206 - (3,200) (3,200)
NOK - - - - (4,406) (4,406)
Samsung Bioepis Co., Ltd. regularly measures the exchange risk of exchange rate fluctuation of
Korean won. As of the end of 2017 and 2016, the effect of 10% exchange rate fluctuation of Korean
won to each foreign currency on earnings/loss before taxes is as follows:
(Unit: thousand won)
Currency End of 2017 End of 2016
Increase of 10% Decrease of 10% Increase of 10% Decrease of 10%
USD (22,783,504) 22,783,504 (25,073,094) 25,073,094
EUR (983,032) 983,032 (317,058) 317,058
GBP (141,605) 141,605 (408,441) 408,441
CHF (760) 760 (3,215) 3,215
CAD (40,053) 40,053 (8,604) 8,604
AUD (60,058) 60,058 (32,481) 32,481
JPY (13,553) 13,553 - -
NOK (7,769) 7,769 (441) 441
SEK (2,952) 2,952 - -
DKK - - 1,317,077 (1,317,077)
TRY - - (11) 11
Total (24,033,286) 24,033,286 (24,526,268) 24,526,268
F. Recognition of assets impairment loss
- Not applicable
4. Liquidity and financing & expenditures
[Samsung BioLogics Co., Ltd.]
A. Liquidity aggregates
Samsung BioLogics Co., Ltd. has liquid funds worth 358.1 billion won. The liquid funds included
both i) cash and cash equivalents and ii) short-term financial instruments, and decreased by 842.2
billion won compared to 1,200.3 billion won of previous year.
The Company’s borrowings at the end of 2017 were 843.1 billion won, increased by 297.1 billion
won from 545.9 billion won at the end of 2016. Net borrowings at the end of 2017 were 485.0
billion won, increased by 1,139.4 billion won at the end of 2016.
B. Financing & Repayment Plan
The Company raised funds through corporate bonds (private placement) worth 50 billion won and
borrowings (loans for equipment) worth 130.0 billion won in 2017 and details are as follows:
(Unit: million won)
Category Issuing company/org. Issuing date Maturity Interest rate (%) Amount
Private placement
5th IBK Investment & Securities
Co., Ltd. 2017-12-21 2018-12-21 2.43% 50,000
Loans for equipment
Borrowing in Korean won
WOORI Bank 2017-09-28 2020-09-28 CD(91Days)+1.43% 30,000
Loans for equipment
Borrowing in Korean won
Shinhan Bank 2017-09-28 2020-09-28 CD(91Days)+1.44% 30,000
Loans for equipment
Borrowing in Korean won
KB Bank 2017-09-28 2020-09-28 CD(91Days)+1.43% 30,000
Loans for equipment
Borrowing in Korean won
Korea development bank 2017-09-28 2020-09-28 CD(91Days)+0.90% 40,000
Total 180,000
Year-based borrowings repayment plan as of December 31, 2017 is as follows:
(Unit: million won)
Category Bonds (face value) Borrowing in Korean won
Borrowing in foreign currency
Total
2018.1.1 - 2018.12.31 50,000 58,750 - 108,750
2019.1.1 - 2019.12.31 50,000 220,300 25,186 295,486
2020.1.1 - 2020.12.31 - 111,650 - 111,650
After 2021.1.1 - 100 - 100
Total 100,000 390,800 25,186 515,986
[Samsung Bioepis Co., Ltd.]
Samsung Bioepis Co., Ltd. has liquid funds worth 89.6 billion won. The Company’s borrowings
(including bonds) at the end of 2017 were 345.9 billion won, increased by 43.7 billion won from
3,022 billion won at the end of 2016. The Company’s current ratio was 110.0%, increased by 27.2%
from 82.8% of 2016. The Company’s stability and liquidity is expected to be enhanced due to the
continued improvement of future business performance
5. Other matters required for investment decision-making
A. Matters regarding important accounting policies and estimates
- For the Company’s matters regarding important accounting policies and estimates, refer to the
matters to be noted for the use of financial information in 6. Other Financial Matters under III.
Matters Regarding Finance.
B. Matters regarding environment and employees
- For the matters regarding environment-related sanctions or administrative measures, refer to 3.
Matters other than sanctions under XI. Other Matters Required for Investor Protection.
- There was no significant change relating to employees including relocation of key employees
during 2017.
C. Matters regarding legal regulations
- For major legal regulations related to the Company’s business, refer to 3. Matters other than
sanctions under XI. Other Matters Required for Investor Protection.
D. Matters regarding derivatives and risk management policy
- The fair value of call options held by Biogen Therapeutics Inc. for the share in Samsung Bioepis
Co., Ltd. was booked as derivative liabilities. The maturity date of derivative liabilities is 2018 and
the option exercise price is the sum of principal investment and accumulated interests. The value
of the derivative liabilities may significantly change depending on market conditions and the
exercise of stock options.
VI. Matters Regarding Executive Organizations
Including the Board of Directors
1. Matters regarding a board of directors
A. Overview of the Board of Directors
As the date when the business report is submitted, the Board of Directors (BOD) consists of two
inside directors (Kim Taehan and Kim Dongjoong) and three independent directors (Yoon Byungchol,
Kwon Soonjo, and Jeong Seokwoo. BOD consists of executive committee, audit committee,
compensation committee, independent director recommendation committee, and internal
transaction committee.
B. Important matters for resolution
No. Date Agenda Result
Independent directors Yoon Byung chol
Kwon Soonjo
Jeong Seokwoo
1st 2017.01.24 1. Approval of FY2016 financial statements and
annual business report Approved For For For
2nd 2017.02.27 1. Decision to convene the 6th(FY2016) AGM 2. Approval of trading with controlling shareholder
Approved Approved
For For
For For
For For
3rd 2017.03.24
1. Appointment of CEO and Directors 2. Appointment of BOD Chairman 3. Appointment of BOD Committee members 4. Setting the remuneration of directors 5. Revision to BOD regulations
Approved Approved Approved Approved Approved
For For For For For
For For For For For
For For For For For
4th 2017.04.25 FY2017 1st quarter earnings report - - - -
5th 2017.05.18 Evaluation and compensation report 1. Approval of transaction with with controlling
shareholder
- Approved
- For
- For
- For
6th 2017.06.30 FY2017 1st half company evaluation report - - - -
7th 2017.07.24 FY2017 2nd quarter earnings report 1. Approval of trading with controlling shareholder
- Approved
- For
- For
- For
8th 2017.10.24 FY2017 3rd quarter earnings report 1. Appointment of legal attache
- Approved
- For
- For
- For
9th 2017.12.15
Evaluation and compensation report 1. Issue of Corporate bond 2. Approval of trading with controlling shareholder 3. Approval of transactions with related party 4. Subscription to retirement pension
- Approved Approved Approved Approved
- For For For For
- For For For For
- For For For For
C. Committees of the DOD
(1) Committees
Committee Name
Composition Name Purpose & authority Remarks
Executive committee (2011.04.22)
2 inside directors
Kim Taehan Kim Dongjoong
[Purpose] To deliberate the matters entrusted by the BOD out of the company’s material management information, matters often entrusted by the BOD, and matters entrusted by the BOD as other material management information
[Main authorities]
① Matters regarding management, etc.
② Matters regarding finance, etc.
③ Other matters to be referred
-
Compensation committee
(2016.08.10)
2 independent
directors 1 inside director
Yoon Byungchol Kwon Soonjo
Kim Dongjoong
[Purpose] To secure objectivity and transparency in determining director compensation [Main authorities]
① Matters regarding the compensation limit of registered directors
② Matters regarding the compensation system of registered directors
③ Matters entrusted by the BOD regarding director compensation
-
Internal transaction committee
(2016.08.10)
3 independent
directors
Kwon Soonjo Jeong Seokwoo Yoon Byungchol
[Purpose] To deliberate large-scale internal transactions in order to strength internal control over internal transactions and external control over shareholders and to enhance the efficiency of supervision over illegal support
[Main authorities]
① To approve internal transactions
② To listen to the report of internal transactions
③ To order an ex offcio investigation of internal transactions
④ To suggest a corrective action against internal transactions
-
※ The composition of the committees of the BOD is based on data at the end of 2017.
※ The audit committee and the independent director recommendation committee were excluded according
to the corporate disclosure preparation standards.
(2) Committee activities
※ The Audit Committee and Independent Director Recommendation Committee were excluded
according to Corporate Disclosure Guidelines set forth by the Financial Supervisory Service
Authority of South Korea.
① Executive committee
Committee
name Date Details of agendas Results
Executive
committee
2017.05.08
1. Extending the due dates of maximum limits of loans with
respect to Shinhanbank
2. Extending the due dates of maximum limits of loans with
respect to Wooribank
3. Extending the due dates of maximum limits of loans with
respect to KEB Hanabank
Approved
2017.08.11 1. Esbalishing the maximum limits of loans with respect to
Wooribank Approved
2. Extending the due dates of maximum limits of loans with
respect to Shinhanbank
2017.09.01 Approving the new letter of intent with binding contract terms Approved
2017.09.22 Esbalishing the maximum limits of loans with respect to Korea
Development Bank Approved
2017.11.07 Approving new contracts with U.S. pharmaceutical companies
※ The Company’s executive committee is composed of inside directors.
② Compensation committee
Committee
name Date Details of agendas Pass
Independent directors
Yoon Byungchol
(100%
attendance)
Kwon Soonjo
(100%
attendance)
Compensation
committee 2017.02.27
- preliminary reviews of the
remuneration of directors Approved For For
③ Internal transaction committee
Committee
name Date Details of agendas Pass
Independent directors
Kwon Soonjo Jeong
Seokwoo
Yoon
Byungchol
Internal
transaction
committee
2017.12.15 - Subscription to
retirement pension Approved For For For
D. Independence of directors
(1) Independence of directors
Directors are appointed at the general meeting of stockholders, and director candidates to be
appointed by the general meeting of stockholders are recommended by the Board of Directors,
which is decided as a bill to be submitted to the general meeting of stockholders. The Company
ensures directors’ independence to make them objectively oversee the company business.
Name Area (task) Recommender Self-dealing
transactions
Relation with majority
shareholders
Kim Taehan CEO BOD - -
Kim Joongdong Inside director BOD - -
Yoon Byungchol Independent
director BOD - -
Kwon Soonjo Independent
director BOD - -
Jeong Seokwoo Independent
director BOD - -
(2) Independent director recommendation committee
The Company has created the independent director recommendation committee on August 10, 2016
for the recommendation of independent director candidates, and the committee will review their
competence and recommend qualified persons. The independent director recommendation
committee is composed of three directors including CEO Kim Taehan and independent directors
Kwon Soonjo and Jeong Seokwoo.
E. Professionalism of independent directors
The Company provides the independent directors with access to support staff so they are able to
perform their duties professionally in the BOD and the Board committees. The support staff
provides the Directors with reference materials corresponding to the meeting agendas well in
advance so Directors will have the ample opportunity thoroughly review the topics to be discussed
before the Board and committee meetings. If necessary, the Directors are provided with separate
information sessions on any item on the agenda and they are also frequently provided updates on
other key management issues
2. Matters regarding an audit system
A. Profile of the member of the audit committee
Name Career
Relationship
with
majority
shareholders
Qualification Remarks
Jeong
Seokwoo
- Prof. in Business School, Korea University
(1997~present)
- Non-executive member, Korea Accounting
Institute (2016~present)
- Non-executive member, Securities & Futures
commission (2013~2016)
- Member, International Commission of Inquiry
(2009~2011)
No N/A
Independent
director
(chairman)
Yoon
Byungchol
- Attorney, Kim & Chang (1992~present)
- Standing commissioner, International Court of
Arbitration, International Chamber of
Commerce (2013~present)
- International legal advisor, Ministry of Justice
(2011~present)
- Arbitrator, International Centre for Settlement
of Investment Disputes, World Bank
(2009~present)
No N/A Independent
director
Kwon
Soonjo
- Prof. in Biological Engineering, Inha University
(2013~present)
- Chairman, International Cooperation
Committee, the American Institute of Biological
Engineering (2011~2013)
- Prof. Utah State University (2006~2013)
- Prof. Florida State University (2002~2006)
No N/A Independent
director
B. Independence of audit committee members
The Company’s audit committee is created in accordance with Article 542-11 of the Commercial Act,
and three independent directors who constitute the audit committee as stated above meet
eligibility requirements both for independent directors and audit committee members.
Provision Details Remarks
Article
415-2
- Consists of more than 3 directors with more than 2/3 of
independent directors - 3 independent directors
Article
542-11
- Meets Article 415-2
- More than one member must be an accounting or financial
specialist prescribed by Presidential Decree.
- Representative of audit committee must be an independent
director.
- 3 independent directors
- Jeong Seokwoo (Prof. of
Business Dept./CPA)
- CEO: Jeong Seokwoo
Article
542-12
- Elect directors at the shareholder’s meeting and appoint
audit committee members among the elected directors
- Elect three independent
directors at general
shareholders’ meeting and
appoint them as an audit
committee member
Meanwhile, the audit committee is eligible to request directors to report company business or
investigate the company’s business operation and financial status for effective auditing.
C. Activities of audit committee
The Company created the audit committee on August 10, 2016, and held an audit committee
meeting on August 10, 2016 as below. The Company’s audit committee is scheduled to perform
activities in accordance with the audit committee regulations.
Committee
name Date Details of agendas Pass
Independent directors
Jeong
Seokwoo
(100%
attendance)
Yoon
Byungchol
(100%
attendance)
Kwon
Soonjo
(100%
attendance)
Audit
committee
2017.01.24
1. Report on FY2016 financial statements and annual business report
2. Report on progress of
FY2016 audit
- - - -
2017.02.27
[Approvals]
1. Appointment of
external auditor
[Reporting]
1. Review of the 6th(FY2016) AGM
2. Report on the internal
accounting management
system
3. Report on audit activities
Approved For For For
2017.07.24
1. Report on FY2017 1st
half-year financial
statements
2. Report on accounting
review activities
- - - -
2017.10.24
1. Report on FY2017 3rd
quarter financial
statements
2. Report on accounting
review activities
- - - -
D. Compliance officer, etc.
Name Career Qualification
Moon Hyung
Woo
- Master degree in Laws, Seoul National University
- Lawyer, Law firm KIM CHANG LEE (2006~2017)
- Team leader, Compliance Part, Samsung BioLogics Co., Ltd.
(2017~present)
Qualified
(Section 2 of Article 41 of
the Act on Implementation
of Commercial Act)
3. Matters regarding the exercise of shareholders’ voting rights
A. Voting system
The Company does not adopt the concentrated vote system, the voting in writing, and the
electronics voting.
B. Exercise of minority shareholders’ rights
Minority shareholders’ rights did not occur in the Company during the time period subject to
disclosure.
C. Competition for management rights
Competition for management rights did not occur in the Company during the time period subject to
disclosure.
VII. Matters Regarding Shareholders
1. Stocks held by the largest shareholder and related parties
A. Stocks held by the largest shareholder and related parties
(As of Dec. 31, 2017) (Unit: Share, %)
Name Relationship Class of stock
No. of shares and ratio
Remarks Beginning of the year Ending of the year
No. of shares Share ratio No. of shares Share ratio
Samsung C&T Corporation
Largest shareholder
Common stock
28,742,466 43.44 28,742,466 43.44 -
Samsung Electronics Co., Ltd.
Related party Common
stock 20,836,832 31.49 20,836,832 31.49 -
SamsungLifeInsuranceCo., Ltd.(specialaccount)
Related party Common
stock 25,419 0.04 39,740 0.06 -
Kim Taehan Related party Common
stock 20,000 0.03 35,000 0.05 -
Kim dong Joong Related party Common
stock 0 0.00 4,300 0.01 -
Total
Common stock
49,624,717 75.00 49,686,790 75.10 -
Preferred stock
- - - - -
B. Overview of the largest shareholder
(1) Corporation Information
Name
Number of
Investors
(Number of
persons)
Chief Executive Officer
(Representative Member)
Business Executive
(Business Member)
Largest Shareholder
(Largest Investor)
Name Share(%) Name Share(%) Name Share(%)
Samsung
C&T
Corporation
141,783
Choi Chihun - - - JY Lee 39.06
Kim Shin 0.00 - - - -
Kim
Bongyung - - - - -
- - - - - -
- - - - - -
Name
Number of
Investors
(Number of
persons)
Chief Executive Officer
(Representative Member)
Business Executive
(Business Member)
Largest Shareholder
(Largest Investor)
Name Share(%) Name Share(%) Name Share(%)
- - - - - -
※ the number of investors above is the number of common stock shareholders of Samsung C&T Corporation
recorded up to the lastest shareholder list closure date which is 2017.12.31. The shares of Chief Executive
Officer, Business Executive, and Largest Shareholder are recorded up to the disclosure date which is
2017.12.31.
- Changes in of Chief Executive Officer, Business Executive, or Largest Shareholder of the Corporation
Date of change
Chief Executive Officer
(Representative Member)
Business Executive
(Business Member)
Largest Shareholder
(Largest Investor)
Name Share(%) Name Share(%) Name Share(%)
2015.09.02 Choi Chihun - - - - -
2015.09.02 Kim Shin 0.00 - - - -
2016.02.18 Yoon Joohwa - - - - -
※ Choi Chihun CEO and Kim Shin CEO became the Chief Executive Officer of Samsung C&T Corporation on
2015.9.2. Yoon Joohwa CEO resigned the Chief Executive Officer of Samsung C&T Corporation on 2016.2.18
(2) Financial status
(Unit: million won)
Description
Total assets 49,048,903
Total liabilities 23,897,653
Total stockholder’s equity 25,151,250
Sales 29,279,046
Operating income 881,268
Current net income 481,104
※ The values above are based on the consolidated financial statements.
(3) Business status
Samsung C&T Corporation, the largest shareholder of Samsung BioLogics Co., Ltd., is located in 123
(Shincheon-dong), Olympic-ro 35-gil, Songpa-gu, Seoul, Korea, and engages mainly in business areas
at home and abroad: the engineering & construction sector including building, civil infrastructure,
plant, and housing; the trading & investment sector including natural resources, steel, chemical &
industrial materials, and living industrial; the fashion sector including apparel products
manufacturing, sales business and textile processing; the resort sector including landscaping and
Everland (drier park), Caribbean Bay (water park), golf club, and catering (Samsung Welstory); and
the biomedicine outsourcing & biosimilar sector.
※ For details of the largest shareholder, refer to Samsung C&T Corporation’s Business Report for
2017 published in the DART (Data Analysis, Retrieval, and Transfer System).
2. Changes of the largest shareholder
Changes of the largest shareholder during the time period subject to disclosure are as follows:
(As of Dec 31, 2017) (Unit: share, %)
Date Largest shareholder No. of stocks held Share ratio Remarks
2011.04.21 (Old) Cheil Industries Inc. 600,000 40,00% Establishment
2011.04.21 Samsung Electronics Co., Ltd. 600,000 40.00% Establishment
2015.09.02 Samsung C&T Corporation 14,069,833 51.04% Note)
Note) Samsung C&T Corporation is the sole largest shareholder, as Cheil Industries Inc., a survival
corporation after merger between Samsung C&T Corporation and (old) Chiel Industries Inc.
which was the largest shareholder was renamed to Samsung C&T Corporation.
3. Distribution of shares
A. Shareholders with over 5% ownership and stocks held by the employee stock ownership
Association
(As of Dec 31, 2017) (Unit: share)
Category Name of shareholders No. of shares Share ratio Remarks
Shareholders with
over 5% ownership
Samsung C&T Corporation 28,742,466 43.44% -
Samsung Electronics Co., Ltd. 20,836,832 31.49% -
Employees Share Ownership Association 318,274 0.48% -
※ The share ratio above is based on 66,165,000 total common stocks issued as of December 31, 2017
B. Minority shareholders
Status of minority shareholders
(As of Dec. 31, 2017) (Unit: share)
Category
Shareholders Shares held
RemarksNo. of
shareholders Ratio
No. of
shares Ratio
Minority
shareholders 80,175 99.95% 14,238,562 21.52%
Shareholders holding stocks below
1/100 of total stocks issued
※ The status above is based on December 31, 2017 when a stockholders’ list was closed.
4. Shareholders service
Details of stock
warrants in the
articles of
incorporation
Article 11 (Issuance and allocation of shares)
① Issuance of new shares by the Company by a resolution of the Board of Directors shall
be in accordance with the following:
2. To the extent not exceeding 30/100 of the total number of shares issued and
outstanding shares, by granting the preemptive rights to subscribe for the new shares
to certain persons by a means other than as prescribed by the Subsection (1) above
(including the Company’s existing shareholders) if necessary for improvement of the
Company’s financials, introduction of new knowledge, protection of control, and
fulfillment of managerial purpose of the Company toward foreign and domestic
financial institutions, investors, partners, etc.
3. To the extent not exceeding 50/100 of the total number of shares issued and
outstanding shares, by granting the preemptive rights to subscribe for the new shares
to public (including the Company’s existing shareholders) by a means other than as
prescribe by the Subsection (1) above, for the purpose of listing or other financing
pursuant to Financial Investment Services and Capital Markets Act.
② If the shares are issued pursuant to the Section (1) Subsection (3) above, the Company
shall issue the new shares as follows by a resolution of the Board of Directors:
1. By offering new shares to public, without setting any criterion for eligibility to subscribe
2. By offering new shares to members of the Employees Share Ownership Association,
and by granting right to subscribe the shares not subscribed by the members of the
Employees Share Ownership Association to public;
3. By granting the preemptive rights to subscribe for the new shares to the Company’s
existing shareholders, and by granting the rights to subscribe for the new shares to
public if there are unsubscribed shares; or
4. By granting the rights to subscribe for the new shares to certain types of persons
pursuant to reasonable criterion prescribed by the relevant law, including a forecast
of demand by an investment trader of an investment broker as an underwriter or an
agent
③ If new shares are issued under the Section (1) Subsection (2) and (3) above, the
Company shall notify the existing shareholders, or give public notice of the
information as required under the Article 416 (1) (2), (2-2), (3), and (4) of the Korean
Commercial Code (the “KCC”) two (2) weeks prior to the payment date; provided that
public disclosure of a material fact report with the Financial Services Commission and
the Exchange pursuant to Article 165-9 of the Financial Investment Services and
Capital Markets Act may be made in lieu of the notification and public notice above.
④ If shares ae issued under each Subsection of Section (1) above, the class, number and
issue price of the shares shall be determined by a resolution of the Board of Directors.
⑤ In case where the Company issues new shares and there are shares not subscribed for
or paid for, the terms of their disposition such as the appropriate issue price shall be
determined by a resolution of the Board of Directors pursuant to the relevant laws.
⑥ In case where the Company issues new shares and there are fractional shares, the
terms of their disposition shall be determined by a resolution of the Board of Directors
⑦ If new shares are issued under the Section (1) Subsection (1), the Company shall issue
the preemptive right certificates to the shareholders.
Closing date December 31 General Shareholders’
Meeting
Within 3 months after the
business year ends
Closure of
stockholders’ list From January 1 to January 31
Type of share
certificates Share certificates in denominations of 1, 5, 10, 50 100, 500, 1,000, and 10,000 shares
Transfer agent Korea Securities Depository
Privileges of
shareholders None
Newspaper for
notice Joongangilbo
Public notice
Homepage (http://www.samsungbiologics.com)
But, publish in Korea Joongang Daily in the event of computer problems or other
unavoidable circumstances
5. Share price and stock trading performance
Class 2017.12 2017.11 2017.10 2017.9 2017.8 2017.7
Common
stock
Share
price
Highest 371,000 406,000 399,000 338,000 286,000 291,000
Lowest 329,000 342,500 347,500 275,500 264,000 260,500
Average 353,947 384,068 377,063 311,429 277,068 277,643
Trading
volume
Highest
(day) 427,710 790,554 752,840 745,221 362,272 720,080
Lowest
(day) 115,824 141,828 149,412 85,742 88,407 133,454
Monthly 4,106 5,977 5,166 5,555 3,280 6,563
※ The Company was listed on the stock market as of November 10, 2016.
VIII. Matters Regarding Executives and Employees
1. Executives and employees
A. Registered executives
(As of Dec 31, 2017) (Unit: share)
Name Sex Date of
birth Position
Registration
status
Employment
status Tasks Career
No. of shares held
Term of
service
Termination
of term
With
voting
rights
Without
voting
rights
Kim
Taehan M 1957.11 CEO Registered
Inside
director CEO
- CEO, Samsung BioLogics Co., Ltd.
(2011.04~)
- New business project team
(2008.05~2011.04)
- Executive, Planning division, Samsung Total
(2000.01~2008.05)
46,000 - 6 years 8
months 2020.03.23
Kim
Dongjoong M 1965.02
Inside
director Registered
Inside
director
General
management
support
- Vice President & CFO, Business Resources
Innovation Center, Samsung BioLogics, Co.,
Ltd. (2017.03~)
- Vice President & CFO, Corporate
Management Office, Samsung BioLogics,
Co., Ltd. (2014.12~2017.03)
- Head of Planning Support Team, Samsung
Electronics Mechatronics & Manufacturing
Technology Center, Samsung Electronics Co.,
Ltd. (2013~2014)
- Team Leader, S.LSI Biz Unit, Samsung
Electronics Co., Ltd. (2012.12~2013.12)
- - 3 years 2019.08.09
Jeong
Seokwoo M 1962.07
Independent
director Registered
Independent
director
Independent
director
(Chairman of
audit committee)
- Prof. in Business School, Korea University(1997.03~)
- Non-executive member, Korea Accounting
Institute (2016.06~)
- - 1 years
4 months 2019.08.09
Yoon
Byungchol M 1962.11
Independent
director Registered
Independent
director
Independent
director
(auditor)
- Attorney, Kim & Chang (1992~) - Standing commissioner, International Court
of Arbitration, International Chamber of
Commerce (2013.04~)
- - 1 years
4 months 2019.08.09
Kwon
Soonjo M 1965.06
Independent
director Registered
Independent
director
Independent
director
(auditor)
- Prof. in Biological Engineering, Inha
University (2013.03~)
- Prof. Utah State University (2006~2013)
- - 1 years
4 months 2019.08.09
B. Unregistered executives
(As of Dec 31, 2017) (Unit: share)
Name Sex Date of
birth Position
Registration
status
Employment
status Tasks Career
No. of shares held Term of
service With
voting rights
Without voting rights
Yun
Gwanghun M 1956.07
Executive
Vice
President
Unregistered Inside
director
General plant
construction/
infrastructure
- Center Leader, Samsung Biologics EPCV Innovation
Center (2017.04~)
- Director, Engineering Division, Samsung BioLogics
Co., Ltd. (2013.01~2017.03)
- Manager,OverseasSales,SamsungEngineering,Co.,Ltd.(1993~2002)
- Hanhyo Institute of Technology (1992~1993)
4,000 - 5 years
Lee
Kyusung M 1960.10
Executive
Vice
President
Unregistered Inside
director
General
manufacturing
technology
- Center Leader, Samsung Biologics Clients
Satisfaction Center (2017.04~)
- Manufacturing Division, Samsung BioLogics Co.,
Ltd. (2011.04~2017.03)
- A. Director, Technology Business, BMS Global (2005~2010)
- Leader, Production Team, Merck Bio (1995~2001)
16,279 - 6 years
8 months
Ronald
Marchesani M 1953.11
Senior
Vice
President
Unregistered Inside
director
General
quality
division
- Center Leader, Samsung Biologics Quality
Assurance Center (2017.04~)
- Quality Control Division, Samsung BioLogics Co.,
Ltd. (2015.01~2017.03)
- VP of Quality, Onyx Pharmaceuticals. (2011~2014)
- - 2 year
11 months
Kim Ingyu M 1965.07 Vice
President Unregistered
Inside
director
Production
process
- Center Leader, Samsung Biologics Manufacturing
Innovation Center (2017.04~)
- Process Division, Samsung BioLogics Co., Ltd.
(2016.01~2017.03)
- UNIWIDE Technologies, Inc./Korea Information
Engineering Services (2001~2002)
- Samsung Engineering Co., Ltd.
- Samsung Total
3,913 - 1 year
11 months
Yoon Hoyeol M 1963.08 Vice
President Unregistered
Inside
director
Business
planning/
operation
support
- Center Leader, Samsung Biologics Business Planning
Center (2017.04~)
- Corporate Business Operation Team, Samsung
BioLogics Co., Ltd. (2015.02~2017.03)
- Leader, Corporate Business Operation Team,
Samsung BioLogics Co., Ltd. (2014.12~2015.02)
- Leader, Support Team, Samsung BioLogics Co., Ltd.
(2011.07~2014.12)
- Leader of Management Planning Team, Samsung
Total (2004~2011)
6,899 - 6 years
Lee Hisung M 1961.06 Vice
President Unregistered
Inside
director Infra support
- Leader, Engineering Support Team, Samsung
BioLogics Co., Ltd. (2017.04~)
- Director, Infra Support Center, Samsung BioLogics
Co., Ltd. (2015.12~2017.03)
- Leader, Facility Maintenance & Utility Operation
Team, Samsung BioLogics Co., Ltd. (2013.12)
- PJ 1 Team Leader, Samsung Total (2009.01~2013.12)
6,000 - 4 years
Yongsin Kim M 1964.05 Vice
President Unregistered
Inside
director General HR
- Leader,CorporateHRTeam,SamsungBioLogicsCo.,Ltd.(2014.12~)
- Manager, Corporate HR Team, Samsung BioLogics
Co., Ltd. (2011.07~)
- Director, HR for VD, Samsung Electronics Co.,Ltd.('10.12~'11.06)
- HRforHungaryCorp.,SamsungElectronicsCo.,Ltd.(2004~2009)
3,971 - 2 years
Wangoo
Hwang M 1972.02
Vice
President Unregistered
Inside
director
Production
process
- EPCV Innovation Center Samsung BioLogics Co., Ltd.('17.11~) - Team leader, MemoryD technology team, Samsung Electronics Co., Ltd. ('15.12~'17.11)
- Leader Memory Environmental safety group,
Samsung Electronics Co., Ltd. ('14.06~'15.12)
- 1 month
Daniel
Slone M 1951.01
Vice
President Unregistered
Inside
director
Refining
Process
- Leader,RefiningProcessTeam,SamsungBioLogicsCo.,Ltd.(2014.01~)
- Director, Biogen (2002~2004) 1,000 - 4 years
James Choi M 1967.08 Vice
President Unregistered
Inside
director
Information
strategy/IT
- CIO, Samsung BioLogics Co., Ltd. (2014.08~)
- CIO, Information Strategy, Beckman Coulter (2009~2014)
- CIO, Information Strategy, Altegrity (2005~2009)
711 - 3 years
4 months
James Park M 1966.04 Vice
President Unregistered
Inside
director
Contract
strategy
planning/
marketing
- Leader, Global BD Planning Team, Samsung
BioLogics Co., Ltd. (2016.05~)
- Global BD Team, Samsung BioLogics Co., Ltd.(2015.12~2016.2)
- Global BD Director, BMS (2004~2015)
- Change Agent, Merck Mfg Division (2000~2004)
3,500 - 2 years
1 months
Nick
Beaumont M 1963.08
Vice
President Unregistered
Inside
director
Quality
assurance
- Director, QA Team, Samsung BioLogics Co., Ltd. (2016.04~)
- Executive, Genetech (2009.10~2016.03)
- Manager, Amgen (2007.01~2009.10)
3,482 - 1 year
9 months
Lee
Chungwoo M 1969.12
Vice
President Unregistered
Inside
director
Facility
operation
- Leader, Facility Technology Team, Samsung
BioLogics Co., Ltd. (2017.04~)
- Leader, Equipment Maintenance Team, Samsung
BioLogics Co., Ltd. ('15.12~'17.03)
- Leader, MV Team, Samsung BioLogics Co., Ltd. ('15.02~'15.12)
- Leader, PM Team, Samsung BioLogics Co., Ltd. ('13.09~'15.02)
- Leader, System Technology Team, Samsung
BioLogics Co., Ltd. ('11.07~'13.08)
- Deputy General Manager, New Business Development
Team, Samsung Electronics Co., Ltd.('10.09~'11.06)
2,171 - 7 months
※ Number of shares held by executives is as of December 31, 2017. For subsequent changes, refer to the ownership report of executives and major shareholders at the
DART (Data Analysis, Retrieval, and Survival Corporation).
C. Interlocking directorate
Director Company
Name Position Name Position
Jeong Seokwoo Independent director Seoul Guarantee
Insurance Independent director
D. Changes of unregistered executives after disclosure reference date
Position Name Date of birth Sex Tasks
New
appointment
Vice
President Byunghwa Shim 1968.01 M Business Innovation Team
New
appointment
Vice
President Michael Garvey 1973.08 M DS Manufacturing Operation
Resignation Executive
Vice
President
Ronald Marchesani 1953.11 M General quality division
E. Employees
(As of Dec 31, 2017) (Unit: million won)
Business unit
Sex
No. of employees
Total
Average length
of service
Gross annual salary
Per capita
average salary
Remarks Regular workers Fixed-term workers
All (Part- time
worker) All
(Part- time
worker) Manufact
uring M 563 - 42 - 605 2.2 - - -
Manufact uring
F 277 - 25 - 302 2.1 - - -
Research M 297 - 158 - 455 2.0 - - -
Research F 353 - 122 - 475 2.0 - - -
Support M 190 - 14 - 204 2.2 - - -
Support F 71 - 7 - 78 2.1 - - -
Total no. of employees
M 1,050 - 214 - 1,264 2.2 91,371 81 -
F 701 - 154 - 855 2.1 43,337 57 -
Total 1,751 - 368 - 2,119 134,708 71 -
※ Gross annual salary is based on gross salary in the statement of earned income payments to be submitted to
a competent tax office in accordance with Article 20 of the Income Tax Act.
2. Executive compensation, etic.
A. Compensation of directors and auditors
(1) Amount approved by General Shareholders’ Meeting
(Unit: million won)
Category No Amount approved Remarks
Registered director 2 - -
Members of audit committee 3 - -
Total 5 9,500 -
(2) Compensation paid
2-1. All of directors and auditors
(Unit: million won)
No. Total compensation Per capital average
compensation Remarks
5 5,045 1,009 _
2-2. Type-based compensation paid
(Unit: million won)
Category No. Total
compensation
Per capital average
compensation Remarks
Registered director 2 4,811 2,406 -
Independent
directors - - - -
Members of audit
committee 3 234 78 -
Auditors - - - -
※ The audit committee consists of three independent directors.
※ The number of persons is as of the date when the business report is prepared.
※ Total compensation is the amount of income paid based on the Income Tax Act to registered directors in
office or retired, independent directors, and members of audit committee as the status of registered
executive during the business year in accordance with Article 159 of the Financial Investment Services and
Capital Market Act and Article 168 of the Enforcement Decree of the Act.
※ Per capital average compensation was calculated by dividing gross compensation by annual average number of
persons.
(3) Criteria for compensation
- As for criteria for compensation of registered directors (2 inside directors and 3 independent
directors), the limit of compensation is determined by a resolution of the Board of Directors
pursuant to Article 40 of the Company’s Articles of Incorporation.
- Total compensation is the amount exclusive of labor costs for appropriation, and per capital
average compensation is averaged by the number of persons at the end of the year.
B. Individual compensation of directors and auditors
(1) Individual compensation paid
(Unit: million won)
Name Title Total compensation Compensation not included in total
compensation
Kim Taehan CEO 3,589 -
Kim Dong Joong Executive Vice President 952 -
(2) Calculation criteria and method
(Unit: million won)
Name Type of compensation Total
amount Calculation criteria and method
Kim Taehan
Earned income
Gross payroll 746
- The amount of compensation is determined by considering the position (Vice Chairman), the characteristics of assigned job, and the results of job performance; and 62 million won is paid on a monthly basis.
Bonus 3,041
- Bonus for holidays: 100% of monthly wage - Target incentive: Decided by CEO based on the level of target attainment by division; and paid twice a year to the extent of 0~200% of monthly wage (vary depending on organization’s performance) - Performance incentive: Decided by CEO and funded with 20% of profits if revenues exceed the break-even point; and paid once a year to the extent of 0~50% of annual base salary (vary depending on individual performance. - Long-term performance incentive: Calculated to the extent of compensation limit set by the General Shareholders’ Meeting based on three-year average annual salary by evaluating ROE, PER, pre-tax profit ratio, etc.; and paid in installments for three years
※ Incentive has accounted contribution of achievement of the biggest annual CMO production capacity of 360K L through mechanical completion of Plant #3 and improvement of company value through continuous growth after IPO in 2016.
Stock option execution profit
-
Other earned income
72 - Fringe benefits: Treatment is offered according to the executive treatment rules
Retirement income - - Other income - -
Kim Dong Joong
Earned income
Gross payroll 204
- The amount of compensation is determined by considering the position (Vice Chairman), the characteristics of assigned job, and the results of job performance; and 18 million won is paid on a monthly basis.
Bonus 679
- Bonus for holidays: 100% of monthly wage - Target incentive: Decided by CEO based on the level of target attainment by division; and paid twice a year to the extent of 0~200% of monthly wage (vary depending on organization’s performance) - Performance incentive: Decided by CEO and funded with 20% of profits if revenues exceed the break-even point; and paid once a year to the extent of 0~50% of annual base salary (vary depending on individual performance. - Long-term performance incentive: Calculated to the extent of compensation limit set by the General Shareholders’ Meeting based on three-year average annual salary by evaluating ROE, PER, pre-tax profit ratio, etc.; and paid in installments for three years
※ Incentive has accounted contribution of continuous growth of company value and stock
price after IPO in 2016, in spite of uncertain industry environment
Stock option execution profit
-
Other earned income
69 - Fringe benefits: Treatment is offered according to the executive treatment rules
Retirement income - Other income -
C. Grant and execution of stock option
Not applicable as of the date when the business report is submitted.
IX. Matters Regarding Affiliates
1. Affiliates
A. Overview of affiliates
(1) Overview of corporate group
① Name of corporate group: Samsung
② Controller of corporate group: Lee Kunhee
(2) Companies to form a corporate group
(As of December 31, 2017)
Category No. of
companies Name of company Business registration no.
Listed companies
16
Samsung C&T Corporation 1101110015762
Samsung Electronics Co., Ltd. 1301110006246
Samsung SDI CO., Ltd. 1101110394174
Samsung Electro-Mechanics Co., Ltd. 1301110001626
Samsung Fire & Marine Insurance Co., Ltd. 1101110005078
Samsung Heavy Industries Co., Ltd 1101110168595
Samsung Life Insurance Co., Ltd. 1101110005953
Multicampus Corporation 1101111960792
Samsung Securities Co., Ltd. 1101110335649
Samsung SDS Co., Ltd. 1101110398556
Samsung Card Co., Ltd 1101110346901
Samsung Engineering Co., Ltd. 1101110240509
S-1 Corporation 1101110221939
Cheil Worldwide Inc. 1101110139017
Hotel Shilla Co., Ltd. 1101110145519
Samsung BioLogics Co., Ltd. 1201110566317
Unlisted companies
47
Seoul Lake Side Co., Ltd. 1101110504070
Samwoo Architects & Engineers Co., Ltd. 1101115494151
CVnet Corporation 1101111931686
Samsung Bioepis Co., Ltd. 1201110601501
Samsung Display Co., Ltd. 1345110187812
Samsung Corning Advanced Glass LLC. 1648140000991
SUMaterials Co., Ltd. 1648110061337
Steel Structure Technologies Co., Ltd.
(STECO)
1647110003490
SEMES Co., Ltd. 1615110011795
Samsung Electronics Service Co., Ltd. 1301110049139
Samsung Electronics Sales Co., Ltd. 1801110210300
Samsung Electronics Logitech Corporation 1301110046797
Suwon Samsung Football Club Co., Ltd. 1358110160126
Samsung Medison Co., Ltd. 1346110001036
Samsung Claim Adjustment Service Co., Ltd. 1101111595680
Samsung Fire Service Co., Ltd. 1101111237703
Samsung Fire & Marine Financial Service Co., Ltd. 1101116002424
Daejeong Offshore Wind Farm 2201110095315
Samsung Futures Inc. 1101110894520
Samsung Asset Management Co., Ltd. 1701110139833
Saengbo Real Estate Trust Co., Ltd. 1101111617434
Samsung Life Service Claim Adjustment Co., Ltd. 1101111855414
Samsung SRA Asset Management Co., Ltd. 1101115004322
Samsung Life Financial Service Co., Ltd. 1101115714533
SD Flex Co., Ltd. 1760110039005
Cheil Fashion Retail Co., Ltd. 1101114736934
Natural 9 Ltd. 1101114940171
Samsung Welstory Co., Ltd. 1101115282077
S-Printing Solution Co., Ltd. 1358110303346
SECUI Co., Ltd. 1101111912503
STM Co., Ltd. 2301110176840
S-Core Co., Ltd. 1101113681031
Open Hands Co., Ltd. 1311110266146
Miracom Inc Co., Ltd. 1101111617533
Samsung Card Customer Service Co., Ltd. 1101115291656
Human TSS Co., Ltd. 1101114272706
S1CRM Corporation 1358110190199
Shilla Stay Co., Ltd. 1101115433927
HDC Shilla Duty Free Ltd. 1101115722916
Samsung Economic Research Institute (SERI) 1101110766670
Samsung Lions Co., Ltd. 1701110015786
Samsung Venture Investment Corporation 1101111785538
Samsung Active Asset Management Co., Ltd. 1101116277382
Samsung Hedge Asset Management Co., Ltd. 1101116277390
Harman International Korea 1101113145673
Redbend Software Korea 1101113145673
SBTM Co., Ltd. 1101116536556
Total 63
※ For the details of domestic and international affiliates, refer to IX. Matters Regarding Affiliates.
(3) Regulations of relevant laws, etc.
① Designation: May 1, 2017
② Summary
-Prohibition of mutual shareholding
-Prohibition of guarantee for affiliate’s debt
-Restriction on financial and insurance affiliates’ voting rights
-Resolution and notice by the board of directors on large-scale intragroup transactions
-Notice of important issues of unlisted affiliates
-Notice regarding the status of corporate group, etc.
(4) Shares of affiliates
① Domestic corporations
※ As of the end of Dec, 2017 and based on common stock (Unit: %) Investee
Investor
Samsung C&T Corporation
Samsung Electronics Co., Ltd.
Samsung SDI Co., Ltd.
Samsung Electro- Mechanics Co., Ltd
Samsung Heavy Industries Co., Ltd
Hotel Shilla Co., Ltd.
Samsung Engineering Co., Ltd.
Cheil Worldwide Inc.
S-1 Corporation
Samsung SDS Co., Ltd.
Samsung Lions Co., Ltd.
Samsung Economic Research Institute (SERI)
Samsung C&T Corporation 4.6 0.1 7.0 17.1 1.0
Samsung Electronics Co., Ltd.
19.6 23.7 16.9 5.1 25.2 22.6 29.8
Samsung SDI Co., Ltd. 2.1 0.4 0.1 11.7 11.0 29.6
Samsung Electro- Mechanics Co., Ltd
2.6 2.3 23.8
Samsung Heavy Industries Co., Ltd
1.0
Cheil Worldwide Inc. 0.1 67.5
Hotel Shilla Co., Ltd.
S-1 Corporation
Samsung Economic Research Institute (SERI)
Samsung SDS Co., Ltd.
Samsung Life Insurance Co., Ltd.
0.1 8.6 0.1 0.3 3.3 7.9 0.1 0.1 5.4 0.1 14.8
Samsung Fire & Marine Insurance Co., Ltd.
1.4 1.4 0.2 1.0
Samsung Securities Co., Ltd.
3.1 1.3
Samsung Card Co., Ltd 1.3 3.0 1.9
Samsung Display Co., Ltd.
Samsung BioLogics Co., Ltd.
Samsung Asset Management Co., Ltd
Miracom INC Co., Ltd.
Harman International Korea
Redbend Software Korea
Total 6.3 14.7 19.7 24.0 23.1 17.2 19.0 28.4 20.6 39.8 67.5 100.0
※ As of the end of Dec, 2017 and based on common stock (Unit: %)
Investee
Investor
Steel Structure
Technologies Co., Ltd. (STECO)
SEMES Co., Ltd.
Samsung Electronics Service Co.,
Ltd.
Samsung Electronic
s Sales Co., Ltd.
Suwon Samsung Football Club Co.,
Ltd.
Samsung Electronics Logitech
Corporation
Samsung Display
Co., Ltd.
Samsung Medison Co.,
Ltd.
Samsung BioLogics Co., Ltd.
Samsung Bioepis
Co., Ltd.
Samsung Corning
Advanced Glass LLC.
SUMaterials Co., Ltd.
Samsung C&T Corporation 43.4
Samsung Electronics Co., Ltd.
70.0 91.5 99.3 100.0 100.0 84.8 68.5 31.5
Samsung SDI Co., Ltd. 15.2
Samsung Electro- Mechanics Co., Ltd
Samsung Heavy Industries Co., Ltd
Cheil Worldwide Inc. 100.0
Hotel Shilla Co., Ltd.
S-1 Corporation
Samsung Economic Research Institute (SERI) Samsung SDS Co., Ltd.
Samsung Life Insurance Co., Ltd.
0.1
Samsung Fire & Marine Insurance Co., Ltd.
Samsung Securities Co., Ltd.
Samsung Card Co., Ltd
Samsung Display Co., Ltd. 50.0 50.0
Samsung BioLogics Co., Ltd. 94.6
Samsung Asset Management Co., Ltd
Miracom INC Co., Ltd.
Harman International Korea
Redbend Software Korea
Total 70.0 91.5 99.3 100.0 100.0 100.0 100.0 68.5 75.0 94.6 50.0 50.0
※ As of the end of Dec, 2017 and based on common stock (Unit: %)
Investee
Investor
CVnet Corporation
Seoul Lake Side Co.,
Ltd.
Samwoo Architects &
Engineers Co., Ltd.
SD Flex Co., Ltd.
Cheil Fashion Retail Co.,
Ltd. Natural 9 Ltd.
Samsung Welstory Co.,
Ltd.
Daejeong Offshore
Wind Farm Co., Ltd.
SECUI Co., Ltd.
Human TSS Co., Ltd.
S1CRM Corporation
STM Co., Ltd
Samsung C&T Corporation 40.1 100.0 100.0 100.0 51.0 100.0 8.7
Samsung Electronics Co., Ltd.
Samsung SDI Co., Ltd. 50.0 100.0
Samsung Electro- Mechanics Co., Ltd
Samsung Heavy Industries Co., Ltd
50.1
Cheil Worldwide Inc.
Hotel Shilla Co., Ltd.
S-1 Corporation 100.0 100.0
Samsung Economic Research Institute (SERI) Samsung SDS Co., Ltd. 9.4 56.5
Samsung Life Insurance Co., Ltd.
Samsung Fire & Marine Insurance Co., Ltd. Samsung Securities Co., Ltd. Samsung Card Co., Ltd
Samsung Display Co., Ltd.
Samsung BioLogics Co., Ltd. Samsung Asset Management Co., Ltd
Miracom INC Co., Ltd.
Harman International Korea
Redbend Software Korea
Total 49.5 100.0 100.0 50.0 100.0 51.0 100.0 50.1 65.2 100.0 100.0 100.0
※ As of the end of Dec, 2017 and based on common stock (Unit: %)
Investor
investee Multicampus Corporation
S-Core Co., Ltd.
Open Hands Co., Ltd.
Miracom Inc Co., Ltd.
Shilla Stay Co., Ltd.
HDC Shilla Duty Free Ltd.
SBTM Co.,
Ltd.
Samsung Life Insurance Co.,
Ltd.
Saengbo Real Estate Trust
Co., Ltd.
Samsung Life Service Claim Adjustment
Co., Ltd.
Samsung SRA Asset
Management Co., Ltd.
Samsung Life Financial
Service Co., Ltd.
Samsung C&T Corporation 19.3
Samsung Electronics Co., Ltd.
Samsung SDI Co., Ltd.
Samsung Electro- Mechanics Co., Ltd
Samsung Heavy Industries Co., Ltd
Cheil Worldwide Inc. 5.2 5.4
Hotel Shilla Co., Ltd. 100.0 50.0 100.0
S-1 Corporation 0.6 0.6
Samsung Economic Research Institute (SERI)
15.2
Samsung SDS Co., Ltd. 47.2 81.8 100.0 83.6
Samsung Life Insurance Co., Ltd.
0.0 50.0 99.8 100.0 100.0
Samsung Fire & Marine Insurance Co., Ltd.
Samsung Securities Co., Ltd.
Samsung Card Co., Ltd
Samsung Display Co., Ltd.
Samsung BioLogics Co., Ltd. Samsung Asset Management Co., Ltd
Miracom INC Co., Ltd. 0.5
Harman International Korea
Redbend Software Korea
Total 62.4 88.1 100.0 89.6 100.0 50.0 100.0 19.3 50.0 99.8 100.0 100.0
※ As of the end of Dec, 2017 and based on common stock (Unit: %)
Investee
Investor
Samsung Fire & Marine Insurance Co., Ltd
Samsung Claim
Adjustment Service Co.,
Ltd.
Samsung Fire Service Co.,
Ltd.
Samsung Fire & Marine Financial
Service Co., Ltd.
Samsung Securities Co., Ltd.
Samsung Card Co., Ltd
S-Printing Solution Co.,
Ltd.
Samsung Card
Customer Service Co.,
Ltd.
Samsung Asset
Management Co., Ltd.
Samsung Futures Inc.
Samsung Venture
Investment Corporation
Samsung Active Asset Management
Co., Ltd.
Samsung C&T Corporation 16.7
Samsung Electronics Co., Ltd. 16.3
Samsung SDI Co., Ltd. 16.3
Samsung Electro-Mechanics Co., Ltd
17.0
Samsung Heavy Industries Co., Ltd 17.0
Cheil Worldwide Inc.
Hotel Shilla Co., Ltd.
S-2 Corporation
Samsung Economic Research Institute (SERI)
Samsung SDS Co., Ltd.
Samsung Life Insurance Co., Ltd. 29.4 71.9 100.0
Samsung Fire & Marine Insurance Co., Ltd.
15.0 100.0 100.0 100.0
Samsung Securities Co., Ltd. 100.0 16.7
Samsung Card Co., Ltd 100.0
Samsung Display Co., Ltd.
Samsung BioLogics Co., Ltd.
Samsung Asset Management Co., Ltd 100.0
Miracom INC Co., Ltd.
Harman International Korea
Redbend Software Korea
Total 15.0 100.0 100.0 100.0 29.4 71.9 0.0 100.0 100.0 100.0 100.0 100.0
※ As of the end of Dec, 2017 and based on common stock (Unit: %)
Investee
Investor
Samsung Hedge Asset Management Co., Ltd.
Harman International Korea
Redbend Software Kor ea
Samsung C&T Corporation
Samsung Electronics Co., Ltd.
Samsung SDI Co., Ltd.
Samsung Electro-Mechanics Co., Ltd
Samsung Heavy Industries Co., Ltd
Cheil Worldwide Inc.
Hotel Shilla Co., Ltd.
S-2 Corporation
Samsung Economic Research Institute (SERI)
Samsung SDS Co., Ltd.
Samsung Life Insurance Co., Ltd.
Samsung Fire & Marine Insurance Co., Ltd.
Samsung Securities Co., Ltd.
Samsung Card Co., Ltd
Samsung Display Co., Ltd.
Samsung BioLogics Co., Ltd.
Samsung Asset Management Co., Ltd
100.0
Miracom INC Co., Ltd.
Harman International Korea 100.0
Redbend Software Korea 100.0
Total 100.0 100.0 100.0
① Overseas corporations
※ As of the end of Dec, 2017 and based on common stock
Investor Investee Share ratio
Samwoo Architects & Engineering SAMOO DESIGNERS & ENGINEERS INDIA PRIVATE LIMITED 100.0
Samsung C&T America Inc. Meadowland Distribution 100.0
Samsung C&T America Inc. SAMSUNG OIL & GAS USA CORP 10.0
Samsung C&T America Inc. Samsung Green repower, LLC 100.0
Samsung C&T America Inc. Samsung Solar Construction Inc. 100.0
Samsung C&T America Inc. QSSC, S.A. de C.V. 20.0
Samsung C&T America Inc. Samsung Solar Energy LLC 100.0
Samsung C&T America Inc. S-print Inc 24.0
Samsung Renewable Energy Inc. SRE GRW EPC GP Inc. 100.0
Samsung Renewable Energy Inc. SRE GRW EPC LP 100.0
Samsung Renewable Energy Inc. SRE SKW EPC GP Inc. 100.0
Samsung Renewable Energy Inc. SRE SKW EPC LP 100.0
Samsung Renewable Energy Inc. SRE GRW LP Holdings LP 100.0
Samsung Renewable Energy Inc. SRE SKW LP Holdings LP 100.0
Samsung Renewable Energy Inc. SRE WIND PA GP INC. 100.0
Samsung Renewable Energy Inc. SRE WIND PA LP 100.0
Samsung Renewable Energy Inc. SRE GRS Holdings GP Inc. 100.0
Samsung Renewable Energy Inc. SRE GRS Holdings LP 100.0
Samsung Renewable Energy Inc. SRE K2 EPC GP Inc. 100.0
Samsung Renewable Energy Inc. SRE K2 EPC LP 100.0
Samsung Renewable Energy Inc. SRE KS HOLDINGS GP INC. 100.0
Samsung Renewable Energy Inc. SRE KS HOLDINGS LP 100.0
Samsung Renewable Energy Inc. SRE Belle River LP Holdings LP 100.0
Samsung Renewable Energy Inc. SRE Armow EPC GP Inc. 100.0
Samsung Renewable Energy Inc. SRE Armow EPC LP 100.0
Samsung Renewable Energy Inc. SRE Armow LP Holdings LP 100.0
Samsung Renewable Energy Inc. SRE North Kent 1 LP H.LP 100.0
Samsung Renewable Energy Inc. SRE Wind GP Holding Inc. 100.0
Investor Investee Share ratio
Samsung Renewable Energy Inc. SRE North Kent 2 LP Holdings LP 100.0
Samsung Renewable Energy Inc. SRE Solar Development GP Inc. 100.0
Samsung Renewable Energy Inc. SRE Solar Development LP 100.0
Samsung Renewable Energy Inc. SRE Windsor Holdings GP Inc. 100.0
Samsung Renewable Energy Inc. SRE Southgate Holdings GP Inc. 100.0
Samsung Renewable Energy Inc. SRE Solar Construction Management GP Inc. 100.0
Samsung Renewable Energy Inc. SRE Solar Construction Management LP 100.0
Samsung Renewable Energy Inc. SRE DEVELOPMENT GP INC. 100.0
Samsung Renewable Energy Inc. SRE DEVELOPMENT LP 100.0
Samsung Renewable Energy Inc. SRE BRW EPC GP INC. 100.0
Samsung Renewable Energy Inc. SRE BRW EPC LP 100.0
Samsung Renewable Energy Inc. SRE North Kent 1 GP Holdings Inc 100.0
Samsung Renewable Energy Inc. SRE North Kent 2 GP Holdings Inc 100.0
Samsung Renewable Energy Inc. SRE Belle River GP Holdings Inc 100.0
Samsung Renewable Energy Inc. SRE NK1 EPC GP Inc 100.0
Samsung Renewable Energy Inc. SRE NK1 EPC LP 100.0
Samsung Renewable Energy Inc. SRE Summerside Construction GP Inc. 100.0
Samsung Renewable Energy Inc. SRE Summerside Construction LP 100.0
Samsung Green repower, LLC SOLAR PROJECTS SOLUTIONS,LLC 50.0
SP Armow Wind Ontario GP Inc SP Armow Wind Ontario LP 0.0
Samsung C&T Oil & Gas Parallel Corp. PLL Holdings LLC 83.6
Samsung C&T Oil & Gas Parallel Corp. PLL E&P LLC 90.0
SRE GRW EPC GP Inc. SRE GRW EPC LP 0.0
SRE SKW EPC GP Inc. SRE SKW EPC LP 0.0
PLL Holdings LLC Parallel Petroleum LLC 61.0
SRE GRW LP Holdings LP Grand Renewable Wind LP Inc. 45.0
SRE SKW LP Holdings LP South Kent Wind LP Inc. 50.0
SRE WIND PA GP INC. SRE WIND PA LP 0.0
SRE GRS Holdings GP Inc. Grand Renewable Solar GP Inc. 50.0
SRE GRS Holdings GP Inc. SRE GRS Holdings LP 0.0
SRE K2 EPC GP Inc. SRE K2 EPC LP 0.0
Investor Investee Share ratio
SRE KS HOLDINGS GP INC. KINGSTON SOLAR GP INC. 50.0
SRE KS HOLDINGS GP INC. SRE KS HOLDINGS LP 0.0
SRE Belle River LP Holdings LP SP Belle River Wind LP 42.5
SP Belle River Wind GP Inc SP Belle River Wind LP 0.0
SRE Armow EPC GP Inc. SRE Armow EPC LP 0.0
SRE Armow LP Holdings LP SP Armow Wind Ontario LP 50.0
SRE North Kent 1 LP H.LP North Kent Wind 1 LP 35.0
SRE Wind GP Holding Inc. SP Armow Wind Ontario GP Inc 50.0
SRE Wind GP Holding Inc. SRE GRW LP Holdings LP 0.0
SRE Wind GP Holding Inc. SRE SKW LP Holdings LP 0.0
SRE Wind GP Holding Inc. SRE Armow LP Holdings LP 0.0
SRE Wind GP Holding Inc. South Kent Wind GP Inc. 50.0
SRE Wind GP Holding Inc. Grand Renewable Wind GP Inc. 50.0
South Kent Wind GP Inc. South Kent Wind LP Inc. 0.0
Grand Renewable Wind GP Inc. Grand Renewable Wind LP Inc. 0.0
North Kent Wind 1 GP Inc North Kent Wind 1 LP 0.0
SRE North Kent 2 LP Holdings LP North Kent Wind 2 LP 50.0
North Kent Wind 2 GP Inc North Kent Wind 2 LP 0.0
SRE Solar Development GP Inc. SRE Solar Development LP 0.0
SRE Solar Construction Management GP
Inc. SRE Solar Construction Management LP 0.0
SRE DEVELOPMENT GP INC. SRE DEVELOPMENT LP 0.0
SRE BRW EPC GP INC. SRE BRW EPC LP 0.0
SRE North Kent 1 GP Holdings Inc SRE North Kent 1 LP H.LP 0.0
SRE North Kent 1 GP Holdings Inc North Kent Wind 1 GP Inc 50.0
SRE North Kent 2 GP Holdings Inc SRE North Kent 2 LP Holdings LP 0.0
SRE North Kent 2 GP Holdings Inc North Kent Wind 2 GP Inc 50.0
SRE Belle River GP Holdings Inc SRE Belle River LP Holdings LP 0.0
SRE Belle River GP Holdings Inc SP Belle River Wind GP Inc 50.0
SRE NK1 EPC GP Inc SRE NK1 EPC LP 0.0
SRE Summerside Construction GP Inc. SRE Summerside Construction LP 0.0
Investor Investee Share ratio
Samsung Solar Energy LLC Samsung Solar Energy 1 LLC 100.0
Samsung Solar Energy 1 LLC CS SOLAR LLC 50.0
Samsung C&T Deutschland GmbH SCNT Investment Atlantic SPRL 0.0
Samsung C&T Deutschland GmbH POSS-SLPC, s.r.o 20.0
Samsung C&T Deutschland GmbH Solluce Romania 1 B.V. 20.0
Samsung C&T Deutschland GmbH Solluce Slovenia 1 B.V. 20.0
Samsung C&T Deutschland GmbH S.C. Otelinox S.A 94.3
Samsung C&T U.K. Ltd. Samsung Nigeria Co., Ltd. 0.1
Solluce Romania 1 B.V. LJG GREEN SOURCE ENERGY ALPHA S.R.L. 78.0
Solluce Slovenia 1 B.V. ZE Solar 1 D.O.O. 70.0
Cassava Investment Korea Pte. Ltd. PT. Cahaya Borneo Sukses Agrosindo 49.0
Cassava Investment Korea Pte. Ltd. PT. Cassava Borneo Sukses Plantation 49.0
Samsung C&T Thailand Co., Ltd Samsung Development (Thailand) Co., Ltd. 67.0
Cheil Holding Inc. Samsung Const. Co. Phils.,Inc. 75.0
Samsung C&T Singapore Pte., Ltd. Samsung Chemtech Vina LLC 48.3
Samsung C&T Singapore Pte., Ltd. S-print Inc 16.0
Samsung C&T Singapore Pte., Ltd. Cassava Investment Korea Pte. Ltd. 12.7
Samsung C&T Singapore Pte., Ltd. PT. INSAM BATUBARA ENERGY 10.0
Samsung C&T Singapore Pte., Ltd. Malaysia Samsung Steel Center Sdn.Bhd 30.0
Samsung C&T Singapore Pte., Ltd. S&G Biofuel PTE.LTD 12.6
S&G Biofuel PTE.LTD PT. Gandaerah Hendana 95.0
S&G Biofuel PTE.LTD PT. Inecda 95.0
Samsung C&T Hongkong Ltd. Samsung C&T Thailand Co., Ltd 13.2
Samsung C&T Hongkong Ltd. 천진국제무역공사 100.0
Samsung C&T Hongkong Ltd. SAMSUNG TRADING (SHANGHAI) CO., LTD 100.0
Samsung C&T Hongkong Ltd. Samsung Precision Stainless Steel(pinghu) Co.,Ltd. 45.0
Samsung C&T Hongkong Ltd. Samsung Corporation (Guangzhou) Limited. 100.0
Samsung Electronics Co., Ltd. Samsung Japan Corporation 100.0
Samsung Electronics Co., Ltd. Samsung R&D Institute Japan Co. Ltd 100.0
Samsung Electronics Co., Ltd. Samsung Electronics America, Inc. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Canada Inc. 100.0
Investor Investee Share ratio
Samsung Electronics Co., Ltd. Samsung Electronics Mexico S.A. De C.V. 63.6
Samsung Electronics Co., Ltd. Samsung Electronics (UK) Ltd. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Ltd. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Holding GmbH 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Iberia, S.A. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics France S.A.S 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Hungarian RT. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Italia S.P.A. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Europe Logistics B.V. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Benelux B.V. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Overseas B.V. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Polska, SP.Zo.o 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Portuguesa S.A. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Nordic Aktiebolag 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Austria GmbH 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Slovakia s.r.o 55.7
Samsung Electronics Co., Ltd. Samsung Electronics Europe Holding Cooperatief U.A. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Display (M) SDN.Bhd. 75.0
Samsung Electronics Co., Ltd. Samsung Electronics(M) SDN.BHD. 100.0
Samsung Electronics Co., Ltd. Samsung Vina Electronics Co., Ltd. 100.0
Samsung Electronics Co., Ltd. Samsung Asia Private Ltd. 100.0
Samsung Electronics Co., Ltd. Samsung India Electronics Private Ltd. 100.0
Samsung Electronics Co., Ltd. Samsung R&D Institute India-Bangalore Private Limited 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Australia Pty. Ltd. 100.0
Samsung Electronics Co., Ltd. PT Samsung Electronics Indonesia 100.0
Samsung Electronics Co., Ltd. Thai Samsung Electronics Co., Ltd. 91.8
Samsung Electronics Co., Ltd. Samsung Malaysia Electronics(SME) Sdn.Bhd. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Hong Kong Co., Ltd. 100.0
Samsung Electronics Co., Ltd. Suzhou Samsung Electronics Co., Ltd. 69.1
Samsung Electronics Co., Ltd. Samsung (CHINA) Investment Co., Ltd. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Suzhou Semiconductor Co., Ltd. 100.0
Investor Investee Share ratio
Samsung Electronics Co., Ltd. Samsung Electronics (Shandong) Digital Printing Co., Ltd. 87.1
Samsung Electronics Co., Ltd. Samsung Electronics Huizhou Co., Ltd. 89.6
Samsung Electronics Co., Ltd. Tianjin Samsung Electronics Co., Ltd. 48.2
Samsung Electronics Co., Ltd. Samsung Electronics Taiwan Co., Ltd. 100.0
Samsung Electronics Co., Ltd. Tianjin Samsung Telecom Technology Co., Ltd. 90.0
Samsung Electronics Co., Ltd. Shanghai Samsung Semiconductor Co., Ltd. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Suzhou Computer Co., Ltd. 73.7
Samsung Electronics Co., Ltd. Shenzhen Samsung Electronics Telecommunication Co., Ltd. 95.0
Samsung Electronics Co., Ltd. Samsung Semiconductor (China) R&D Co., Ltd. 100.0
Samsung Electronics Co., Ltd. Samsung (China) Semiconductor Co., Ltd. 100.0
Samsung Electronics Co., Ltd. Samsung SemiConductor Xian 100.0
Samsung Electronics Co., Ltd. Samsung Gulf Electronics Co., Ltd. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Egypt S.A.E 0.1
Samsung Electronics Co., Ltd. Samsung Electronics South Africa(Pty) Ltd. 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Latinoamerica (Zona Libre) 100.0
Samsung Electronics Co., Ltd. Samsung Electronica da Amazonia Ltda. 87.0
Samsung Electronics Co., Ltd. Samsung Electronics Argentina S.A. 98.0
Samsung Electronics Co., Ltd. Samsung Electronics Chile Limitada 4.1
Samsung Electronics Co., Ltd. Samsung Electronics Rus Company LLC 100.0
Samsung Electronics Co., Ltd. Samsung Electronics Rus Kaluga LLC 100.0
Samsung Electronics Co., Ltd. Tianjin Samsung LED Co., Ltd. 100.0
Samsung Bioepis Co., Ltd. SAMSUNG BIOEPIS UK LIMITED 100.0
Samsung Bioepis Co., Ltd. Samsung Bioepis CH GmbH 100.0
Samsung Bioepis Co., Ltd. SAMSUNG BIOEPIS AU PTY LTD 100.0
Samsung Bioepis Co., Ltd. Samsung Bioepis TR Pharmaceutical Distributor LLC 100.0
Samsung Bioepis Co., Ltd. SAMSUNG BIOEPIS BR PHARMACEUTICAL LTDA 100.0
Samsung Display Co., Ltd. Intellectual Keystone Technology LLC 41.9
Samsung Display Co., Ltd. Samsung Display Slovakia s.r.o. 100.0
Samsung Display Co., Ltd. Samsung Display Vietnam Co., Ltd. 100.0
Samsung Display Co., Ltd. Samsung Suzhou Module Co., Ltd. 100.0
Samsung Display Co., Ltd. Samsung Suzhou LCD Co., Ltd. 60.0
Investor Investee Share ratio
Samsung Display Co., Ltd. Samsung Display Dongguan Co., Ltd. 100.0
Samsung Display Co., Ltd. Samsung Display Tianjin Co., Ltd. 95.0
Samsung Display Co., Ltd. Novaled GmbH 9.9
SEMES Co., Ltd. SEMES America, Inc. 100.0
SEMES Co., Ltd. SEMES (XIAN) Co., Ltd. 100.0
Samsung Medicine Co., Ltd. Samsung Medison India Private Ltd. 100.0
Studer Japan, Ltd. Harman International Japan Co., Ltd 100.0
Samsung Electronics America, Inc. NexusDX, Inc. 100.0
Samsung Electronics America, Inc. NeuroLogica Corp. 100.0
Samsung Electronics America, Inc. Dacor Holdings, Inc. 100.0
Samsung Electronics America, Inc. Quietside LLC 100.0
Samsung Electronics America, Inc. SmartThings, Inc. 100.0
Samsung Electronics America, Inc. Samsung Oak Holdings, Inc. 100.0
Samsung Electronics America, Inc. Joyent Inc 100.0
Samsung Electronics America, Inc. SamsungPay, Inc. 100.0
Samsung Electronics America, Inc. Prismview, LLC 100.0
Samsung Electronics America, Inc. Samsung Semiconductor, Inc. 100.0
Samsung Electronics America, Inc. Samsung Research America, Inc 100.0
Samsung Electronics America, Inc. Samsung Electronics Home Appliances America, LLC 100.0
Samsung Electronics America, Inc. Samsung International, Inc. 100.0
Samsung Electronics America, Inc. Harman International Industries Inc 100.0
Dacor Holdings, Inc. Dacor 100.0
Dacor Holdings, Inc. EverythingDacor.com, Inc. 100.0
Dacor Holdings, Inc. Distinctive Appliances of California, Inc. 100.0
Dacor Dacor Canada Co. 100.0
Samsung Oak Holdings, Inc. Stellus Technologies, Inc. 100.0
Joyent Inc Joyent Ltd 100.0
Samsung Semiconductor, Inc. Samsung Austin Semiconductor LLC. 100.0
Samsung Electronics Canada Inc. PrinterOn Corporation 100.0
Samsung Electronics Canada Inc. AdGear Technologies Inc. 100.0
Samsung Electronics Canada, Inc. SigMast Communications Inc. 100.0
Investor Investee Share ratio
Samsung Research America, Inc SAMSUNG NEXT LLC 100.0
Samsung Research America, Inc VivLabs 100.0
SAMSUNG NEXT LLC SAMSUNG NEXT FUND LLC 100.0
Samsung International, Inc. Samsung Mexicana S.A. de C.V 100.0
Samsung Electronics Mexico S.A. De C.V. Samsung Electronics Digital Appliance Mexico, SA de CV 100.0
Harman International Industries Inc Studer Japan, Ltd. 100.0
Harman International Industries Inc Harman International Industries Canada Ltd. 100.0
Harman International Industries Inc Harman Becker Automotive Systems, Inc. 100.0
Harman International Industries Inc Harman Professional, Inc. 100.0
Harman International Industries Inc Red Bend Software Inc. 100.0
Harman International Industries Inc S1NN USA, Inc. 100.0
Harman International Industries Inc Harman Connected Services Holding Corp. 100.0
Harman International Industries Inc AMX Holding Corporation 100.0
Harman International Industries Inc Harman Financial Group, LLC 100.0
Harman International Industries Inc Harman Belgium SA 100.0
Harman International Industries Inc Harman Consumer Division Nordic A/S 100.0
Harman International Industries Inc Harman Consumer Finland OY 100.0
Harman International Industries Inc Harman France SNC 100.0
Harman International Industries Inc Harman International SNC 0.0
Harman International Industries Inc Harman Inc. & Co. KG 66.0
Harman International Industries Inc Harman KG Holding, LLC 100.0
Harman International Industries Inc Harman Becker Automotive Systems Italy S.R.L. 100.0
Harman International Industries Inc Harman Finance International SCA 100.0
Harman International Industries Inc Harman Finance International GP S.a.r.l 100.0
Harman International Industries Inc Harman Malaysia Sdn. Bhd. 100.0
Harman International Industries Inc Harman International Singapore Pte. Ltd. 100.0
Harman International Industries Inc Harman Industries Holdings Mauritius, Ltd 100.0
Harman International Industries Inc Harman International Mexico S de RL de CV 100.0
AMX LLC AMX UK Limited 100.0
AMX LLC Harman Professional Singapore Pte. Ltd 100.0
Harman Becker Automotive Systems, Inc. Harman International Estonia OU 100.0
Investor Investee Share ratio
Harman Investment Group, LLC Harman Becker Automotive Systems Manufacturing Kft 5.0
Harman Investment Group, LLC Harman Do Brasil Industria Electronica e Participacoes Ltda. 100.0
Harman Professional, Inc. AMX LLC 35.5
Harman Professional, Inc. Southern Vision Systems, Inc. 100.0
Harman Professional, Inc. Harman da Amazonia Industria Electronica e Participacoes 0.0
Harman Professional, Inc. Harman Do Brasil Industria Electronica e Participacoes Ltda. 0.0
Red Bend Software Inc. Red Bend Software SAS France 100.0
Harman Connected Services Inc. Harman Connected Services Engineering Corp. 100.0
Harman Connected Services Inc. Triple Play Integration LLC 100.0
Harman Connected Services Inc. Harman Connected Services South America S.R.L. 100.0
Harman Connected Services Inc. Harman Connected Services UK Ltd. 100.0
Harman Connected Services, Inc. Harman Connected Services Corp. India Pvt. Ltd. 1.6
Harman Connected Services, Inc. Global Symphony Technology Group Private Ltd. 100.0
Harman Financial Group LLC Harman International (India) Private Limited 0.0
Harman Financial Group LLC Harman International Mexico, S. de R.L. de C.V. 0.1
Harman Financial Group LLC Harman de Mexico, S. de R.L. de C.V. 0.0
Harman Connected Services Holding Corp. Harman Connected Services Inc. 100.0
Harman Connected Services Holding Corp. Harman Connected Services AB. 100.0
AMX Holding Corporation AMX LLC 64.5
Samsung Electronics (UK) Ltd. Samsung Semiconductor Europe Limited 100.0
Samsung Electronics Holding GmbH Samsung Semiconductor Europe GmbH 100.0
Samsung Electronics Holding GmbH Samsung Electronics GmbH 100.0
Samsung Electronics Hungarian RT. Samsung Electronics Czech and Slovak s.r.o. 31.4
Samsung Electronics Hungarian RT. Samsung Electronics Slovakia s.r.o 44.3
Samsung Electronics Benelux B.V. Samsung Electronics Mexico S.A. De C.V. 36.4
Samsung Electronics Benelux B.V. SAMSUNG ELECTRONICS BALTICS SIA 100.0
Samsung Electronics Benelux B.V. Samsung Electronics West Africa 100.0
Samsung Electronics Benelux B.V. Samsung Electronics East Africa 100.0
Samsung Electronics Benelux B.V. Samsung Electronics Egypt S.A.E 99.9
Samsung Electronics Benelux B.V. Samsung Electronics Israel Ltd. 100.0
Samsung Electronics Benelux B.V. Samsung Electronics Tunisia S.A.R.L 99.0
Investor Investee Share ratio
Samsung Electronics Benelux B.V. Samsung Electronics Pakistan(Private) Ltd. 100.0
Samsung Electronics Benelux B.V. Samsung Electronics South Africa Production (Propr 100.0
Samsung Electronics Benelux B.V. Samsung Electronics Turkey 100.0
Samsung Electronics Benelux B.V. Samsung Semiconductor Israel R&D Center,Ltd. 100.0
Samsung Electronics Benelux B.V. Samsung Electronics Levant Co.,Ltd. 100.0
Samsung Electronics Benelux B.V. Samsung Electronics Maghreb Arab 100.0
Samsung Electronics Benelux B.V. Samsung Electronics Venezuela, C.A. 100.0
Samsung Electronics Benelux B.V. Samsung Electronica da Amazonia Ltda. 13.0
Samsung Electronics Benelux B.V. Samsung Electronics Chile Limitada 95.9
Samsung Electronics Benelux B.V. Samsung Electronics Peru S.A.C. 100.0
Samsung Electronics Benelux B.V. Samsung Electronics Ukraine Company LLC 100.0
Samsung Electronics Benelux B.V. Samsung R&D Institute Rus LLC 100.0
Samsung Electronics Benelux B.V. Samsung Electronics KZ and Central Asia LLP 100.0
Samsung Electronics Benelux B.V. Samsung Electronics Caucasus Co., Ltd 100.0
Samsung Electronics Nordic Aktiebolag Samsung Nanoradio Design Center 100.0
AKG Acoustics Gmbh Harman Professional Denmark ApS 100.0
AKG Acoustics Gmbh Studer Professional Audio Gmbh 100.0
Harman Professional Denmark ApS Martin Professional Japan Ltd. 40.0
Harman Professional Denmark ApS Harman International s.r.o 100.0
Harman Professional Denmark ApS R&D International BVBA 100.0
Harman Professional Denmark ApS Harman Professional France SAS 100.0
Harman Professional Denmark ApS Harman Professional Germany GmbH 100.0
Harman Professional Denmark ApS Martin Manufacturing UK Ltd. 100.0
Harman Professional Denmark ApS Martin Professional Pte. Ltd. 100.0
Harman Professional Denmark ApS Martin Trading Zhuhai Ltd. 100.0
Harman France SNC Harman International SNC 100.0
Harman Becker Automotive Systems Gmbh Harman International Romania SRL 0.0
Harman Becker Automotive Systems Gmbh Ionroad Technologies, Ltd. 100.0
Harman Holding Gmbh & Co. Kg Harman Becker Automotive Systems Gmbh 100.0
Harman Holding Gmbh & Co. Kg Harman Deutschland Gmbh 100.0
Harman Holding Gmbh & Co. Kg Harman Becker Automotive Systems Manufacturing Kft 95.0
Investor Investee Share ratio
Harman Holding Gmbh & Co. Kg Duran Audio B.V. 100.0
Harman Holding Gmbh & Co. Kg Harman RUS CIS, LLC 100.0
Harman Inc. & Co. KG Harman Holding Gmbh & Co. Kg 100.0
Harman Inc. & Co. KG Harman Management Gmbh 100.0
Harman Inc. & Co. KG Harman Hungary Financing Ltd. 100.0
Harman KG Holding, LLC Harman Inc. & Co. KG 34.0
Harman Connected Services GmbH Harman Connected Services OOO 100.0
Harman Becker Automotive Systems
Manufacturing Kft Harman Professional Kft 100.0
Harman Becker Automotive Systems
Manufacturing Kft Harman Consumer Nederland B.V. 100.0
Harman Becker Automotive Systems
Manufacturing Kft Harman International Romania SRL 100.0
Harman Becker Automotive Systems
Manufacturing Kft Red Bend Ltd. 100.0
Harman Becker Automotive Systems
Manufacturing Kft TowerSec Ltd. 100.0
Harman Hungary Financing Ltd. Harman International Industries Limited 100.0
Harman Finance International GP S.a.r.l Harman Finance International SCA 0.0
Harman Consumer Nederland B.V. AKG Acoustics Gmbh 100.0
Harman Consumer Nederland B.V. Harman Holding Limited 100.0
Duran Audio B.V. Harman Investment Group, LLC 100.0
Duran Audio B.V. Duran Audio Iberia Espana S.L. 100.0
Harman Connected Services AB. Harman Connected Services Japan Co. Ltd. 100.0
Harman Connected Services AB. Harman Connected Services Finland OY 100.0
Harman Connected Services AB. Harman Connected Services GmbH 100.0
Harman Connected Services AB. Harman Connected Services Poland Sp.zoo 100.0
Harman Connected Services AB. Harman Connected Services Limited 100.0
Harman Connected Services AB. Harman Connected Services (Beijing) Solutions Co. Ltd. 100.0
Harman Connected Services AB. Harman Connected Services (Chengdu) Solutions Co. Ltd. 100.0
Harman Connected Services AB. Harman Connected Services Taiwan Inc. 100.0
Investor Investee Share ratio
AMX UK Limited AMX Gmbh 100.0
AMX UK Limited Knight Image Limited 100.0
AMX UK Limited Inspiration Matters Limited 100.0
AMX UK Limited Endeleo Limited 100.0
Harman Automotive UK Limited Harman De Mexico S De Rl De C.V. 100.0
Harman International Industries Limited Harman Automotive UK Limited 100.0
Harman International Industries Limited Arcam Limited 100.0
Harman International Industries Limited Harman International Industries PTY. Ltd. 100.0
Harman Connected Services UK Ltd. Harman Connected Services Morocco 100.0
ARCAM Ltd A&R Cambridge Ltd 100.0
Samsung Electronics Austria GmbH Samsung Electronics Switzerland GmbH 100.0
Samsung Electronics Europe Holding
Cooperatief U.A. Samsung Electronics Czech and Slovak s.r.o. 68.6
Samsung Electronics Europe Holding
Cooperatief U.A. Samsung Electronics Romania LLC 100.0
Samsung Electronics Europe Holding
Cooperatief U.A. Porta Nuova Varesine Building 2 S.r.l. 49.0
Samsung Electronics Europe Holding
Cooperatief U.A. Samsung Electronics Poland Manufacturing SP.Zo.o 100.0
Samsung Electronics Europe Holding
Cooperatief U.A. Samsung Electronics Greece S.A. 100.0
Samsung Electronics Europe Holding
Cooperatief U.A. Samsung Electronics Air Conditioner Europe B.V. 100.0
Samsung Electronics Europe Holding
Cooperatief U.A. Innoetics E.P.E. 100.0
Samsung Electronics Europe Holding
Cooperatief U.A. Samsung Denmark Research Center ApS 100.0
Samsung Electronics Europe Holding
Cooperatief U.A. Samsung France Research Center SARL 100.0
Samsung Electronics Europe Holding
Cooperatief U.A. Samsung Cambridge Solution Centre Limited 100.0
Samsung Electronics Europe Holding
Cooperatief U.A. Novaled GmbH 40.0
Samsung Asia Private Ltd. Samsung Electronics Japan Co., Ltd. 100.0
Samsung Asia Private Ltd. Samsung Electronics Display (M) SDN.Bhd. 25.0
Samsung Asia Private Ltd. Samsung Electronics New Zealand Limited 100.0
Samsung Asia Private Ltd. Samsung Electronics Philippines Corporation 100.0
Investor Investee Share ratio
Samsung Asia Private Ltd. Samsung R&D Institute BanglaDesh 100.0
Samsung Asia Private Ltd. Samsung Electronics Vietnam Co., Ltd. 100.0
Samsung Asia Private Ltd. Samsung Electronics Vietnam THAINGUYEN Co., Ltd. 100.0
Samsung Asia Private Ltd. Samsung Electronics HCMC CE Complex Co. Ltd,. 100.0
Samsung Asia Private Ltd. Samsung SDI(Malaysia) Sdn, Bhd. 25.0
Samsung Asia Private Ltd. Samsung Electro-Mechanics(Thailand) Co., Ltd. 25.0
Samsung Asia Private Ltd. iMarket Asia Co., Ltd. 11.4
PT Samsung Electronics Indonesia PT Samsung Telecommunications Indonesia 100.0
Samsung India Electronics Private Ltd. Samsung Nepal Services Pvt, Ltd 100.0
Thai Samsung Electronics Co., Ltd. LAOS Samsung Electronics Sole Co., Ltd 100.0
Harman Professional Singapore Pte. Ltd AMX Products And Solutions Private Limited 100.0
Harman Connected Services Technologies
Pvt. Ltd. Aditi Technologies Europe GmbH 100.0
Harman Connected Services Technologies
Pvt. Ltd. INSP India Software Development Private Limited 100.0
Harman Connected Services Corp. India
Pvt. Ltd. Harman Connected Services Technologies Pvt. Ltd. 100.0
Samsung Electronics Hong Kong Co., Ltd. iMarket Asia Co., Ltd. 11.3
Harman Connected Services Corp. India
Pvt. Ltd. INSP India Software Development Pvt. Ltd. 1.0
Suzhou Samsung Electronics Co., Ltd. Samsung Suzhou Electronics Export Co., Ltd. 100.0
Samsung (CHINA) Investment Co., Ltd. Suzhou Samsung Electronics Co., Ltd. 19.2
Samsung (CHINA) Investment Co., Ltd. Samsung Mobile R&D Center China-Guangzhou 100.0
Samsung (CHINA) Investment Co., Ltd. Samsung Mobile R&D Center China - Tianjin 100.0
Samsung (CHINA) Investment Co., Ltd. Samsung Network R&D Center China-Shenzhen 100.0
Samsung (CHINA) Investment Co., Ltd. Samsung Electronics Huizhou Co., Ltd. 10.3
Samsung (CHINA) Investment Co., Ltd. Tianjin Samsung Electronics Co., Ltd. 43.1
Samsung (CHINA) Investment Co., Ltd. Beijing Samsung Telecom R&D Center 100.0
Samsung (CHINA) Investment Co., Ltd. Samsung Electronics Suzhou Computer Co., Ltd. 26.3
Samsung (CHINA) Investment Co., Ltd. Samsung R&D Institute China - Nanjing 100.0
Samsung (CHINA) Investment Co., Ltd. Samsung Electronics (Beijing) Service Company Limited 100.0
Investor Investee Share ratio
Harman International (China) Holdings Co., Ltd Harman Automotive Infotech (Dalian) Co., Ltd 100.0
Harman International (China) Holdings Co., Ltd Harman (Suzhou) Audio And Infotainment Systems Co., Ltd 100.0
Harman International (China) Holdings Co., Ltd Harman Technology (Shenzhen) Co., Ltd. 100.0
Harman International (China) Holdings Co., Ltd Harman (China) Technologies Co. Ltd. 100.0
Harman Holding Limited Harman Commercial (Shanghai) Co., Ltd. 100.0
Harman Holding Limited Harman International (China) Holdings Co., Ltd 100.0
Harman Holding Limited Harman Automotive Electronic Systems (Suzhou) Co., Ltd 100.0
Samsung Gulf Electronics Co., Ltd. Samsung Electronics Egypt S.A.E 0.1
Samsung Electronics Maghreb Arab Samsung Electronics Tunisia S.A.R.L 1.0
Harman Industries Holdings Mauritius, Ltd Harman International (India) Private Limited 100.0
Global Symphony Technology Group
Private Ltd. Harman Connected Services Corp. India Pvt. Ltd. 100.0
Ionroad Technologies, Ltd. iOnRoad Limited 100.0
Red Bend Ltd. Red Bend Software KK 100.0
Red Bend Ltd. Red Bend Software Ltd. 100.0
Red Bend Ltd. Broadsense Ltd. 100.0
Samsung Electronics Latinoamerica (Zona Libre) Samsung Electronics Latinoamerica Miami, Inc. 100.0
Samsung Electronics Latinoamerica (Zona Libre) Samsung Electronica Colombia S.A. 100.0
Samsung Electronics Latinoamerica (Zona Libre) Samsung Electronics Panama. S.A 100.0
Samsung Electronica da Amazonia Ltda. Samsung Electronics Argentina S.A. 2.0
Harman DoBrasil Industria Electronica e Participacoes
Ltda. Harman da Amazonia Industria Electronica e Participacoes 100.0
Samsung Electronics KZ and Central Asia LLP Samsung Electronics Caucasus Co., Ltd 0.0
Samsung SDI Co., Ltd. Intellectual Keystone Technology LLC 41.0
Samsung SDI Co., Ltd. Samsung SDI Japan Co., Ltd. 89.2
Samsung SDI Co., Ltd. Samsung SDI America, Inc. 91.7
Samsung SDI Co., Ltd. Samsung SDI Hungary Rt. 100.0
Samsung SDI Co., Ltd. Samsung SDI Europe GmbH 100.0
Samsung SDI Co., Ltd. Samsung SDI Battery Systems GmbH 100.0
Samsung SDI Co., Ltd. Samsung SDI(Malaysia) Sdn, Bhd. 68.6
Samsung SDI Co., Ltd. Samsung SDI Vietnam Co., Ltd. 100.0
Investor Investee Share ratio
Samsung SDI Co., Ltd. Samsung SDI Energy Malaysia Sdn, Bhd. 100.0
Samsung SDI Co., Ltd. Samsung SDI(Hong Kong) Ltd. 97.6
Samsung SDI Co., Ltd. Samsung SDI China Co., Ltd. 100.0
Samsung SDI Co., Ltd. Samsung SDI-ARN (Xi'An) Power Battery Co., Ltd. 50.0
Samsung SDI Co., Ltd. Samsung SDI-Sungrow Energy Storage Battery Co., Lt 65.0
Samsung SDI Co., Ltd. Samsung SDI (Changchun) Power Battery Co., Ltd. 50.0
Samsung SDI Co., Ltd. Samsung SDI（Tianjin）Battery Co.,Ltd. 50.0
Samsung SDI Co., Ltd. Samsung SDI Brasil Ltda. 45.0
Samsung SDI Co., Ltd. Novaled GmbH 50.1
Samsung SDI Co., Ltd. SAMSUNG SDI WUXI CO.,LTD. 100.0
Samsung SDI Co., Ltd. Samsung Chemical Electronic Materials (SuZhou) Co., Ltd. 100.0
Samsung SDI Co., Ltd. Samsung SDI(Wuxi) Battery Systems Co., Ltd. 50.0
Samsung SDI Co., Ltd. iMarket Asia Co., Ltd. 8.7
Samsung SDI America, Inc. Samsung SDI Brasil Ltda. 40.4
Samsung SDI(Hong Kong) Ltd. Tianjin Samsung SDI Co., Ltd. 80.0
Samsung SDI(Hong Kong) Ltd. Samsung SDI Brasil Ltda. 14.6
Samsung Electro-Mechanics Co., Ltd. Samsung Electro-Machanics Japan Co., Ltd. 100.0
Samsung Electro-Mechanics Co., Ltd. Samsung Electro-Mechanics America, Inc. 100.0
Samsung Electro-Mechanics Co., Ltd. SAMSUNG ELECTRO-MECHANICS GMBH 100.0
Samsung Electro-Mechanics Co., Ltd. Samsung Electro-Mechanics(Thailand) Co., Ltd. 75.0
Samsung Electro-Mechanics Co., Ltd. Samsung Electro-Mechanics Philippines, Corp. 100.0
Samsung Electro-Mechanics Co., Ltd. Calamba Premier Realty Corporation 39.8
Samsung Electro-Mechanics Co., Ltd. Samsung Electro-Mechanics Pte Ltd. 100.0
Samsung Electro-Mechanics Co., Ltd. Samsung Electro-Mechanics Vietnam Co., Ltd. 100.0
Samsung Electro-Mechanics Co., Ltd. Dongguan Samsung Electro-Mechanics Co., Ltd. 100.0
Samsung Electro-Mechanics Co., Ltd. Tianjin Samsung Electro-Mechanics Co., Ltd. 81.8
Samsung Electro-Mechanics Co., Ltd. Samsung High-Tech Electro-Mechanics(Tianjin) Co., Ltd. 95.0
Samsung Electro-Mechanics Co., Ltd. Samsung Electro-Mechanics (Shenzhen) Co., Ltd. 100.0
Samsung Electro-Mechanics Co., Ltd. Kunshan Samsung Electro-Mechanics Co., Ltd. 100.0
Samsung Electro-Mechanics Co., Ltd. iMarket Asia Co., Ltd. 8.7
Samsung Electro-Mechanics America, Inc. Samsung Electro-Mechanics do Brasil Intermediacoes de Negocios Ltda. 100.0
Investor Investee Share ratio
Calamba Premier Realty Corporation Batino Realty Corporation 100.0
Samsung Fire & Marine Insurance Co., Ltd. SAMSUNG FIRE & MARINE MANAGEMENT CORPORATION 100.0
Samsung Fire & Marine Insurance Co., Ltd. SAMSUNG FIRE & MARINE INSURANCE COMPANY OF EUROPE 100.0
Samsung Fire & Marine Insurance Co., Ltd. P.T. Asuransi Samsung Tugu 70.0
Samsung Fire & Marine Insurance Co., Ltd. Samsung Vina Insurance Co., Ltd 75.0
Samsung Fire & Marine Insurance Co., Ltd. SAMSUNG REINSURANCE PTE. LTD 100.0
Samsung Fire & Marine Insurance Co., Ltd. 삼성재산보험(중국)유한공사 100.0
Samsung Fire & Marine Insurance Co., Ltd. Samsung Fire & Marine Insurance Management Middle East 100.0
Samsung Fire & Marine Insurance Co., Ltd. SAMSUNG FIRE & MARINE CONSULTORIA EM SEGUROS LTDA. 100.0
Samsung Heavy Industries Co., Ltd. Camellia Consulting Corporation 100.0
Samsung Heavy Industries Co., Ltd. Samsung Heavy Industries India Pvt.Ltd. 100.0
Samsung Heavy Industries Co., Ltd. SAMSUNG HEAVY INDUSTRIES (M) SDN.BHD 100.0
Samsung Heavy Industries Co., Ltd. 삼성중공업(영파)유한공사 100.0
Samsung Heavy Industries Co., Ltd. 삼성중공업(영성)유한공사 100.0
Samsung Heavy Industries Co., Ltd. 영성가야선업유한공사 100.0
Samsung Heavy Industries Co., Ltd. SAMSUNG HEAVY INDUSTRIES NIGERIA LIMITED 100.0
Samsung Heavy Industries Co., Ltd. SAMSUNG HEAVY INDUSTRIES BRASIL ASSESSORIA EM PROJETOS
EMPRESARIAIS LTDA. 100.0
Samsung Heavy Industries Co., Ltd. SHI BRAZIL CONSTRUCTION 100.0
SAMSUNGHEAVY INDUSTRIESNIGERIALIMITED SHI - MCI FZE 70.0
Samsung Life Insurance Co., Ltd. Porta Nuova Varesine Building 2 S.r.l. 51.0
Samsung Life Insurance Co., Ltd. 30 GRESHAM STREET(JERSEY) LIMITED 100.0
Samsung Life Insurance Co., Ltd. THAI SAMSUNG LIFE INSURANCE CO., LTD. 48.9
Samsung Life Insurance Co., Ltd. Beijing Samsung Real Estate Co.. Ltd 90.0
Samsung Asset Management Co., Ltd. Samsung Asset Management (New York), Inc. 100.0
Samsung Asset Management Co., Ltd. Samsung Asset Management(London) Ltd. 100.0
Samsung Asset Management Co., Ltd. Samsung Private Equity Manager I Co., Ltd 100.0
Samsung Asset Management Co., Ltd. Samsung Asset Management (Hong Kong) Ltd. 100.0
30 GRESHAM STREET(JERSEY) LIMITED 30 GRESHAM STREET (SINGAPORE) LIMITED 100.0
Samsung Asset Management (Hong Kong) Ltd. Samsung Asset Management (Beijing) Ltd. 100.0
CHEIL INDUSTRIES ITALY SRL COLOMBO VIA DELLA SPIGA S.R.L 100.0
Investor Investee Share ratio
Samsung Fashion Trading Co. ,Ltd Eight Seconds(Shanghai)Co., Ltd. 100.0
Samsung C&T Corporation MYODO METAL CO., LTD. 100.0
Samsung C&T Corporation Samsung C&T Japan Corporation 100.0
Samsung C&T Corporation Samsung C&T America Inc. 100.0
Samsung C&T Corporation Samsung Finance Corporation. 80.0
Samsung C&T Corporation Samsung E&C America, INC. 100.0
Samsung C&T Corporation SAMSUNG OIL & GAS USA CORP 90.0
Samsung C&T Corporation Samsung Renewable Energy Inc. 100.0
Samsung C&T Corporation SCNT Power Norte S. De R.L. de C.V. 100.0
Samsung C&T Corporation QSSC, S.A. de C.V. 60.0
Samsung C&T Corporation Samsung C&T Oil & Gas Parallel Corp. 100.0
Samsung C&T Corporation Samsung C&T Canada Ltd. 100.0
Samsung C&T Corporation Samsung C&T Deutschland GmbH 100.0
Samsung C&T Corporation Samsung C&T U.K. Ltd. 100.0
Samsung C&T Corporation Samsung C&T ECUK Limited 100.0
Samsung C&T Corporation Whessoe engineering Limited 100.0
Samsung C&T Corporation SCNT Investment Atlantic SPRL 100.0
Samsung C&T Corporation POSS-SLPC, s.r.o 50.0
Samsung C&T Corporation Solluce Romania 1 B.V. 80.0
Samsung C&T Corporation SAM investment Manzanilo.B.V 53.3
Samsung C&T Corporation Solluce Slovenia 1 B.V. 80.0
Samsung C&T Corporation Ecosolar OOD 100.0
Samsung C&T Corporation Ecoenergy Solar OOD 100.0
Samsung C&T Corporation Agrilplam EOOD 100.0
Samsung C&T Corporation Fishtrade EOOD 100.0
Samsung C&T Corporation Manageproject EOOD 100.0
Samsung C&T Corporation Solar Park EOOD 100.0
Samsung C&T Corporation Veselinovo Energy OOD 100.0
Samsung C&T Corporation Samsung C&T Construction Hungary Kft. 100.0
Samsung C&T Corporation Samsung C&T (KL) Sdn.,Bhd. 100.0
Samsung C&T Corporation Samsung C&T Malaysia SDN. BHD 100.0
Investor Investee Share ratio
Samsung C&T Corporation Erdsam Co., Ltd. 100.0
Samsung C&T Corporation Samsung Chemtech Vina LLC 51.7
Samsung C&T Corporation S-print Inc 40.0
Samsung C&T Corporation Cassava Investment Korea Pte. Ltd. 29.7
Samsung C&T Corporation Samsung Development (Thailand) Co., Ltd. 33.0
Samsung C&T Corporation Samsung C&T Thailand Co., Ltd 43.9
Samsung C&T Corporation Cheil Holding Inc. 40.0
Samsung C&T Corporation Samsung Const. Co. Phils.,Inc. 25.0
Samsung C&T Corporation Samsung Design Philippines Inc 100.0
Samsung C&T Corporation PT. INSAM BATUBARA ENERGY 90.0
Samsung C&T Corporation Samsung C&T India Pte., Ltd. 100.0
Samsung C&T Corporation Samsung C&T Corporation India Private Limited 100.0
Samsung C&T Corporation Malaysia Samsung Steel Center Sdn.Bhd 70.0
Samsung C&T Corporation Samsung C&T Singapore Pte., Ltd. 100.0
Samsung C&T Corporation S&G Biofuel PTE.LTD 50.5
Samsung C&T Corporation SAMSUNG C&T Mongolia LLC. 70.0
Samsung C&T Corporation Samsung C&T Eng.&Const. Mongolia LLC. 100.0
Samsung C&T Corporation S&WOO CONSTRUCTION PHILIPPINES,INC. 40.0
Samsung C&T Corporation Samsung C&T Hongkong Ltd. 100.0
Samsung C&T Corporation Samsung C&T Taiwan Co., Ltd. 100.0
Samsung C&T Corporation Samsung Precision Stainless Steel(pinghu) Co.,Ltd. 55.0
Samsung C&T Corporation SAMSUNG C&T (SHANGHAI) CO., LTD. 100.0
Samsung C&T Corporation Samsung C&T (Xi'an) Co., Ltd. 100.0
Samsung C&T Corporation Samsung Nigeria Co., Ltd. 99.9
Samsung C&T Corporation SAMSUNG C&T CORPORATION SAUDI ARABIA 100.0
Samsung C&T Corporation SAM Gulf Investment Limited 100.0
Samsung C&T Corporation Samsung C&T Chile Copper SpA 100.0
Samsung C&T Corporation SCNT Power Kelar Inversiones Limitada 100.0
Samsung C&T Corporation Samsung C&T Corporation Rus LLC 100.0
Samsung C&T Corporation JSC BALKHASH THERMAL POWER PLANT 50.0
Samsung C&T Corporation Samsung SDI America, Inc. 8.3
Investor Investee Share ratio
Samsung C&T Corporation Samsung SDI(Malaysia) Sdn, Bhd. 6.4
Samsung C&T Corporation Samsung SDI(Hong Kong) Ltd. 2.4
Samsung C&T Corporation Beijing Samsung Real Estate Co.. Ltd 10.0
Samsung C&T Corporation Cheil Industries Corp., USA 100.0
Samsung C&T Corporation CHEIL INDUSTRIES ITALY SRL 100.0
Samsung C&T Corporation Samsung Fashion Trading Co. ,Ltd 100.0
Samsung C&T Corporation CHEIL INDUSTRIES INC. VIETNAM COMPANY LIMITED 100.0
Samsung C&T Corporation Samsung C&T Corporation UEM Construction JV Sdn Bhd 60.0
Samsung C&T Corporation iMarket Asia Co., Ltd. 19.3
Samsung Welstory Co., Ltd. WELSTORY VIETNAM COMPANY LIMITED 90.0
Samsung Welstory Co., Ltd. Shanghai Ever-Hongjun Business Mgt Service Co.,LTD 85.0
Samsung Welstory Co., Ltd. Shanghai Welstory Food Company Limited 70.0
Multicampus Corporation LANGUAGE TESTING INTERNATIONAL, INC 82.4
Eight Seconds(Shanghai)Co., Ltd. Eight Seconds (Shanghai) Trading Co., Ltd. 100.0
PengTai Greater China Co., Ltd. PengTai China Co., Ltd. 100.0
PengTai Greater China Co., Ltd. PengTai Taiwan Co., Ltd. 100.0
PengTai Greater China Co., Ltd. PengTai Interactive Advertising Co.,Ltd. 100.0
PengTai China Co., Ltd. PengTai e-Commerce Co.,Ltd. 100.0
PengTai China Co., Ltd. PengTai Marketing Service Co., Ltd. 100.0
PengTai Interactive Advertising Co.,Ltd. MEDIALYTICS Inc. 51.0
iMarket Asia Co., Ltd. iMarket China Co., Ltd. 80.0
Samsung Securities Co., Ltd. Samsung Securities (America), Inc. 100.0
Samsung Securities Co., Ltd. Samsung Securities (Europe) Limited. 100.0
Samsung Securities Co., Ltd. Samsung Securities (Asia) Limited. 100.0
Samsung SDS iMarket Asia Co., Ltd. 40.6
Samsung SDS Samsung SDS Global SCL America, Inc. 100.0
Samsung SDS SAMSUNG SDS GSCL CANADA., LTD. 100.0
Samsung SDS Samsung SDS America, Inc. 100.0
Samsung SDS Samsung SDS Europe Ltd. 100.0
Samsung SDS Samsung SDS Global SCL Hungary Kft. 100.0
Samsung SDS Samsung SDS Global SCL Slovakia, s.r.o. 100.0
Investor Investee Share ratio
Samsung SDS Samsung SDS Global SCL Poland Sp. Z.o.o. 100.0
Samsung SDS Samsung SDS Global SCL UK Ltd. 100.0
Samsung SDS Samsung GSCL Sweden AB 100.0
Samsung SDS Samsung SDS Global SCL France SAS 100.0
Samsung SDS Samsung SDS Global SCL Greece Societe Anonyme 100.0
Samsung SDS Samsung SDS Global SCL Baltics, SIA 100.0
Samsung SDS Samsung SDS Global SCL Italy S.R.L. A Socio Unico 100.0
Samsung SDS Samsung SDS Global Supply Chain Logistics Spain S. 100.0
Samsung SDS Samsung SDS Global SCL Netherlands Cooperatief U.A 100.0
Samsung SDS Samsung SDS Global SCL Germany GmbH 100.0
Samsung SDS Samsung GSCL Portugal, Sociedade Unipessoal Lda 100.0
Samsung SDS Samsung SDS Global SCL Austria GmbH 100.0
Samsung SDS Samsung SDS Global SCL Czech s.r.o. 100.0
Samsung SDS Samsung SDS Global SCL Switzerland GmbH 100.0
Samsung SDS Samsung SDS Asia Pacific Pte. Ltd. 100.0
Samsung SDS Samsung Data Systems India Private Limited 100.0
Samsung SDS SAMSUNG SDS VIETNAM CO., LTD. 100.0
Samsung SDS Samsung SDS India Private Limited 100.0
Samsung SDS SAMSUNG SDS GLOBAL SCL ASIA PACIFIC PTE. LTD. 100.0
Samsung SDS Samsung SDS GSCL Vietnam Co Ltd 100.0
Samsung SDS PT. Samsung SDS Global SCL Indonesia 100.0
Samsung SDS Samsung SDS Global SCL Philippines Co., Ltd. 100.0
Samsung SDS Samsung SDS Global SCL Thailand Co.,Ltd 100.0
Samsung SDS Samsung SDS Global SCL Malaysia SDN.BHD. 100.0
Samsung SDS SAMSUNG SDS GLOBAL SCL AUSTRALIA PTY., LTD. 100.0
Samsung SDS SDS-ACUTECH CO., LTD 50.0
Samsung SDS ALS SDS Joint Stock Company 51.0
Samsung SDS Samsung SDS China, Ltd. 100.0
Samsung SDS Samsung IT Services (Beijing) Co., Ltd. 100.0
Samsung SDS Samsung SDS Global SCL Hong Kong Ltd 100.0
Samsung SDS SAMSUNG SDS Global SCL Egypt Co. Ltd. 100.0
Investor Investee Share ratio
Samsung SDS Samsung SDS Global SCL South Africa (PTY) Ltd. 100.0
Samsung SDS
Samsung SDS Global SCL Transport and Logistics Joint Stock
Company 100.0
Samsung SDS Samsung SDS Global Supply Chain Logistics Middle East DWC-LLC 100.0
Samsung SDS Samsung SDS Latin America Solucoes Em Tecnologia Ltda 99.7
Samsung SDS SAMSUNG SDS GLOBAL SCL LATIN AMERICA LOGISTICA LTD 99.7
Samsung SDS Samsung SDS Global SCL Rus Limited Liability Company 100.0
Miracom INC Co., Ltd. MIRACOM INC ASIA PACIFIC LTD 100.0
Samsung SDS Global SCL America, Inc. Samsung SDS Latin America Solucoes Em Tecnologia Ltda 0.3
Samsung SDS Global SCL America, Inc. Samsung SDS Mexico, S.A. DE C.V. 99.0
Samsung SDS Global SCL America, Inc. Samsung SDS Global SCL Panama S. A. 100.0
Samsung SDS Global SCL America, Inc. Samsung SDS Global SCL Chile Limitada 100.0
Samsung SDS Global SCL America, Inc. Samsung SDS Global SCL Peru S.A.C. 100.0
Samsung SDS Global SCL America, Inc. Samsung SDS Global SCL Colombia S.A.S. 100.0
Samsung SDS Global SCL America, Inc. SAMSUNG SDS GLOBAL SCL LATIN AMERICA LOGISTICA LTD 0.3
Samsung SDS Europe Ltd. Samsung SDS Global SCL Netherlands Cooperatief U.A 0.0
Samsung SDS Global SCL Netherlands
Cooperatief U.A Samsung SDS Global SCL Poland Sp. Z.o.o. 0.0
Samsung SDS Global SCL Netherlands
Cooperatief U.A Samsung SDS Global SCL Greece Societe Anonyme 0.0
Samsung SDS Global SCL Netherlands
Cooperatief U.A Samsung SDS Global SCL Rus Limited Liability Company 0.0
Samsung SDS China, Ltd. Samsung SDS Global SCL Beijing Co., Ltd 100.0
Samsung IT Services (Beijing) Co., Ltd. Samsung SDS Global Development Center Xi'an 100.0
MIRACOM INC ASIA PACIFIC LTD MIRACOM INC CHINA LTD 100.0
Samsung Engineering Co., Ltd. Offshore 1 consulting Corporation 49.0
Samsung Engineering Co., Ltd. Samsung Engineering America Inc. 100.0
Samsung Engineering Co., Ltd. Samsung Engineering Hungary Ltd. 100.0
Samsung Engineering Co., Ltd. Samsung Engineering (Malaysia) SDN. BHD. 100.0
Samsung Engineering Co., Ltd. PT Samsung Engineering Indonesia Co., Ltd. 100.0
Samsung Engineering Co., Ltd. Samsung Engineering (Thailand) Co., Ltd. 81.0
Samsung Engineering Co., Ltd. Samsung Engineering India Private Ltd. 100.0
Samsung Engineering Co., Ltd. Samsung Engineering Vietnam 100.0
Investor Investee Share ratio
Samsung Engineering Co., Ltd. Samsung Engineering Construction(Shanghai) Co., Lt 100.0
Samsung Engineering Co., Ltd. SAMSUNG ENGINEERING CONSTRUCTION XIAN CO., LTD. 100.0
Samsung Engineering Co., Ltd. Samsung Saudi Arabia Company Limited. 100.0
Samsung Engineering Co., Ltd. Muharraq Wastewater Services Company W.L.L. 64.8
Samsung Engineering Co., Ltd. Muharraq STP Company B.S.C. 4.6
Samsung Engineering Co., Ltd. Muharraq Holding Company 1 Ltd. 45.0
Samsung Engineering Co., Ltd. Samsung Ingenieria Mexico Construccion Y Operacion S.A. De C.V. 99.9
Samsung Engineering Co., Ltd. Samsung Engineering Trinidad Co., Ltd. 100.0
Samsung Engineering Co., Ltd. Samsung Ingenieria Manzanillo, S.A. De C.V. 99.9
Samsung Engineering Co., Ltd. Grupo Samsung Ingenieria Mexico, S.A. De C.V. 100.0
Samsung Engineering Co., Ltd. Samsung Ingenieria Energia S.A. De C.V. 100.0
Samsung Engineering Co., Ltd. Samsung Engineering Bolivia S.A 100.0
Samsung Engineering Co., Ltd. Samsung Ingenieria DUBA S.A. de C.V. 100.0
Samsung Engineering Co., Ltd. Samsung Engineering Kazakhstan LLP 100.0
Samsung Engineering America Inc. SEA Construction, LLC 100.0
Samsung Engineering America Inc. SEA Louisiana Construction, L.L.C. 100.0
Samsung Engineering (Malaysia) SDN. BHD. Muharraq Wastewater Services Company W.L.L. 0.3
Samsung Engineering India Private Ltd. Samsung Saudi Arabia Company Limited. 0.0
Samsung Saudi Arabia Company Limited. Samsung EPC Company Ltd. 75.0
Muharraq Holding Company 1 Ltd. Muharraq Holding Company 2 Ltd. 100.0
Muharraq Holding Company 2 Ltd. Muharraq STP Company B.S.C. 89.9
S-1 Corporation SOCM LLC 100.0
S-1 Corporation S-1 CORPORATION VIETNAM CO., LTD 100.0
S-1 Corporation Samsung Beijing Security Systems 100.0
Cheil Worldwide Inc. Cheil USA Inc. 100.0
Cheil Worldwide Inc. Cheil Central America Inc. 100.0
Cheil Worldwide Inc. IRIS Worldwide Holdings Limited 85.2
Cheil Worldwide Inc. Cheil Europe Ltd. 100.0
Cheil Worldwide Inc. Cheil Germany GmbH 100.0
Cheil Worldwide Inc. Cheil France SAS 100.0
Cheil Worldwide Inc. Cheil Nordic AB 100.0
Investor Investee Share ratio
Cheil Worldwide Inc. Cheil India Pvt. Ltd. 100.0
Cheil Worldwide Inc. Cheil (Thailand) Ltd. 100.0
Cheil Worldwide Inc. Cheil Singapore Pte. Ltd. 100.0
Cheil Worldwide Inc. Cheil Vietnam Co. Ltd. 99.0
Cheil Worldwide Inc. Cheil Integrated Marketing Philippines, Inc. 100.0
Cheil Worldwide Inc. Cheil Malaysia SDN BHD 100.0
Cheil Worldwide Inc. Cheil China 100.0
Cheil Worldwide Inc. Cheil Hong Kong Ltd. 100.0
Cheil Worldwide Inc. Bravo Asia Limited 100.0
Cheil Worldwide Inc. Bravo Asia-Shanghai 100.0
Cheil Worldwide Inc. Cheil MEA FZ-LLC 100.0
Cheil Worldwide Inc. Cheil South Africa Pty., Ltd. 100.0
Cheil Worldwide Inc. CHEIL KENYA LIMITED 99.0
Cheil Worldwide Inc. Cheil Communications Nigeria Ltd. 99.0
Cheil Worldwide Inc. Cheil Jordan LLC 100.0
Cheil Worldwide Inc. Cheil Ghana Limited 100.0
Cheil Worldwide Inc. Cheil Brazil Communications Ltda. 100.0
Cheil Worldwide Inc. Cheil Mexico Inc. SA de CV 98.0
Cheil Worldwide Inc. Cheil Chile SpA. 100.0
Cheil Worldwide Inc. Cheil Rus LLC 100.0
Cheil Worldwide Inc. Cheil Ukraine LLC 100.0
Cheil Worldwide Inc. Cheil Kazakhstan LLC 100.0
Hotel Shilla Co., Ltd. Samsung Hospitality America Inc. 100.0
SBTM Co., Ltd. SAMSUNG HOSPITALITY U.K. Limited 100.0
SBTM Co., Ltd. SAMSUNG HOSPITALITY ROMANIA SRL 100.0
SBTM Co., Ltd. Samsung Hospitality Vietnam Co., Ltd. 99.0
SBTM Co., Ltd. Samsung Hospitality Philippines Inc. 100.0
SBTM Co., Ltd. Samsung Hospitality India Private Limited 100.0
Hotel Shilla Co., Ltd. Shilla Travel Retail Pte.Ltd 100.0
Hotel Shilla Co., Ltd. SHILLA LIMITED Macao 100.0
Hotel Shilla Co., Ltd. Samsung Shilla Business Service Beijing Co., Ltd. 100.0
Investor Investee Share ratio
Hotel Shilla Co., Ltd. SHILLA LIMITED Hong Kong 100.0
Hotel Shilla Co., Ltd. Shilla Travel Retail Hong Kong Limited 100.0
Hotel Shilla Co., Ltd. Shilla Travel Retail Taiwan Limited 100.0
Iris Americas, Inc. Iris USA, Inc. 100.0
Iris Americas, Inc. Iris Atlanta, Inc. 100.0
Iris Americas, Inc. Iris Experience, Inc. 100.0
Iris Americas, Inc. Iris Latin America, Inc. 100.0
Iris Americas, Inc. Iris Worldwide San Diego, Inc. 100.0
Iris Latin America, Inc. Irisnation Latina No.2, S. de R.L. de C.V. 0.0
Iris Latin America, Inc. Irisnation Latina, S. de R.L. de C.V. 0.0
Iris Canada Holdings Ltd Pricing Solutions Ltd 75.1
Cheil USA Inc. The Barbarian Group LLC 100.0
Cheil USA Inc. McKinney Ventures LLC 100.0
Cheil USA Inc. Cheil India Pvt. Ltd. 0.0
Cheil USA Inc. Cheil Mexico Inc. SA de CV 2.0
Samsung Hospitality America Inc. Samsung Hospitality Europe GmbH 100.0
IRIS Worldwide Holdings Limited Iris Nation Worldwide Limited 100.0
IRIS Worldwide Holdings Limited Josh & James Limited 100.0
Iris Nation Worldwide Limited Iris Americas, Inc. 100.0
Iris Nation Worldwide Limited Irisnation Latina No.2, S. de R.L. de C.V. 100.0
Iris Nation Worldwide Limited Irisnation Latina, S. de R.L. de C.V. 100.0
Iris Nation Worldwide Limited Iris Canada Holdings Ltd 100.0
Iris Nation Worldwide Limited Iris London Limited 100.0
Iris Nation Worldwide Limited Iris Promotional Marketing Ltd 100.0
Iris Nation Worldwide Limited Iris Ventures 1 Limited 100.0
Iris Nation Worldwide Limited Founded Partners Limited 76.0
Iris Nation Worldwide Limited Iris Products (Worldwide) Limited 100.0
Iris Nation Worldwide Limited Iris Korea Limited 100.0
Iris Nation Worldwide Limited Iris PR Limited 100.0
Iris Nation Worldwide Limited Iris Concise Limited 100.0
Iris Nation Worldwide Limited Iris Digital Limited 100.0
Investor Investee Share ratio
Iris Nation Worldwide Limited Iris Amsterdam B.V. 100.0
Iris Nation Worldwide Limited Datalytics Limited 100.0
Iris Nation Worldwide Limited Iris Ventures (Worldwide) Limited 100.0
Iris Nation Worldwide Limited Iris Culture Limited 100.0
Iris Nation Worldwide Limited Concise Consultants Limited 100.0
Iris Nation Worldwide Limited Pricing Solutions (UK) Limited 75.0
Iris Nation Worldwide Limited Atom42 Limited 64.0
Iris Nation Worldwide Limited Iris Services Limited Dooel Skopje 100.0
Iris Nation Worldwide Limited Irisnation Singapore Pte Limited 100.0
Iris Nation Worldwide Limited Iris Worldwide Integrated Marketing Pvt Limited 100.0
Iris Nation Worldwide Limited Iris Sydney PTY Ltd 100.0
Iris Nation Worldwide Limited Iris Worldwide (Thailand) Limited 100.0
Iris Nation Worldwide Limited Iris (Beijing) Advertising Company Limited 100.0
Iris Nation Worldwide Limited Irisnation Hong Kong Limited 100.0
Iris London Limited Iris Partners LLP 100.0
Iris Promotional Marketing Ltd Holdings BR185 Limited 100.0
Iris Ventures 1 Limited Iris Germany GmbH 100.0
Founded Partners Limited Founded Partners, Inc. 100.0
Iris Ventures (Worldwide) Limited THE ELEPHANT ROOM LIMITED 49.0
Iris Germany GmbH Pepper NA, Inc. 100.0
Iris Germany GmbH Pepper Technologies Pte Limited 100.0
Cheil Europe Ltd. BEATTIE MCGUINNESS BUNGAY LIMITED 100.0
Cheil Europe Ltd. Cheil Italia S.r.l 100.0
Cheil Europe Ltd. CHEIL SPAIN S.L 100.0
Cheil Europe Ltd. CHEIL BENELUX B.V. 100.0
Cheil Germany GmbH Cheil Austria GmbH 100.0
Cheil Singapore Pte. Ltd. PengTai Greater China Co., Ltd. 95.0
Cheil Singapore Pte. Ltd. PT. CHEIL WORLDWIDE INDONESIA 100.0
Cheil Integrated Marketing Philippines, Inc. Cheil Philippines Inc. 30.0
Cheil Hong Kong Ltd. PengTai Greater China Co., Ltd. 3.1
Samsung Shilla Business Service Beijing Co., Ltd. Samsung Hospitality China Co.,Ltd 100.0
Investor Investee Share ratio
Cheil MEA FZ-LLC One Agency FZ LLC 100.0
Cheil MEA FZ-LLC One RX Project Management Design and Production Limited
Company 0.0
Cheil South Africa Pty., Ltd. CHEIL KENYA LIMITED 1.0
Cheil South Africa Pty., Ltd. Cheil Communications Nigeria Ltd. 1.0
One Agency FZ LLC One RX India PVT. LTD 100.0
One Agency FZ LLC One RX Project Management Design and Production Limited
Company 100.0
One Agency FZ LLC One RX Interior Design LLC 100.0
One Agency FZ LLC One RX Printing LLC 100.0
One Agency FZ LLC One Agency South Africa Pty., Ltd. 100.0
One RX Interior Design LLC One RX India PVT. LTD 0.0
Holdings BR185 Limited Brazil 185 Participacoes Ltda 100.0
Brazil 185 Participacoes Ltda Iris Router Marketing Ltda 100.0
Samsung Electro-Mechanics Co., Ltd. SAMSUNG ELECTRO MECHANICS SOFTWARE INDIA BANGALORE
PRIVATE LIMITED 99.9
B. Invests in other companies
(As of Dec. 31, 2017) (Unit: million won, thousand shares, %)
Name of
company
Date of
initial
acquisition
Purpose of
Investment
Cost of
initial
acquisition
Beginning balance Increase(decrease) Ending balance Financial status in
recent business years
Volume Share
ratio Book value
Acquisition
(disposal)
Gain(loss)
on
evaluation
Volume Share
ratio
Book
value
Total
assets
Current
net
profit(loss)Volume Amount
Samsung
Bioepis
Co., Ltd.
(unlisted)
2012.02.28 Joint
venture 139,995 15,568 93.31 4,895,524 4,000 200,014 -97,365 19,568 94.61 4,998,173 1,045,240 -106,460
Archigen
Biotech
Ltd.
(unlisted)
2014.06.23 Joint
venture 71,372 100,000 50.00 48,832 - - -38,771 100,000 50.00 10,061 119,418 -38,971
Total 115,568 - 4,944,356 4,000 200,014 -136,136 119,568 - 5,008,234 1,208,993 -141,400
※ The value of profit/loss on evaluation of Samsung Bioepis Co., Ltd. reflects the evaluated value for investment stocks accounted in equity method.
※ Biogen Therapeutics Inc. has the right to buy up to 49.9% of shares in the Company’s investee, Samsung Bioepis Co., Ltd. according to the shareholders arrangement
with the Company.
X. Transactions with Stakeholders (Related Party Transactions)
1. Credit offerings for affiliates and subsidiaries
A. Provisional payments and loans (incl. securities loan)
Not applicable
B. Collateral provided
Not applicable
C. Debt guarantee Not applicable
2. Acquisitions and disposals of assets with affiliates and subsidiaries
A. Acquisitions and disposals of assets Not applicable as of the date when the Company’s business report is submitted.
B. Purchase or sale of securities Not applicable as of the date when the Company’s business report is submitted.
C. Investment and disposal of invested shares
(Unit: million won)
Name (Corporation) Relation Type of
transation
Date of
transaction
Reference
date
Item of
transaction
Face
value
Transaction
amount
Criteria of
calculation
Samsung Bioepis
Co., Ltd. Affiliate
Paid-in
capital
increase
2017.06.14 - Common
stocks 5,000 200,000 Rights offering
3. Business transactions with affiliates and subsidiaries (Unit: million won)
Name Relation Transaction type Contract period
Contract details
Contact amount
Samsung Engineering Co., Ltd.
Affiliate Purchase 2017.1~12 Construction
cost 310,898
Samsung Bioepis
Co., Ltd. Affiliate Sales/Purchase/etc. 2017.1~12
Product/raw materials etc.
23,494
4. Transactions with stakeholders other than affiliates and subsidiaries Not applicable as of the date when the Company’s business report is submitted.
XI. Other Information
1. Public disclosure and shareholder meetings
A. Progress and change of notices Disclosure
date Title Details Progress
2016.11.16 Entering into Single Sales or Supply Contract
◦ Overview of contract -Contract name: Outsourced drug manufacturing -Contract amount: USD 262,350,990 -Counterpart: Cilag GmbH International -Contract period: 2016.11.15 ~ contract end date
※ Contract end date is not disclosed due to confidentiality.
In progress
2017.1.25 Entering into Single Sales or Supply Contract
◦ Overview of contract -Contract name: Outsourced drug manufacturing -Contract amount: USD 7,374,662 -Counterpart: Pharmaceutical company in
Switzerland -Contract period: 2016.12.20 ~ 2018.12.31
In progress
2017.7.4 Entering into Single Sales or Supply Contract
◦ Overview - Contract name: Outsourced drug manufacturing - Contract amount: USD 55,513,715 - Counterpart: Sun Pharma Global FZE - Contract period: 2017. 7. 4 ~ Contract end date
※ The disclosure of the confidential details of contract end date is reserved.
In progress
2017.7.21 Entering into Single Sales or Supply Contract
◦ Overview - Contract name: Outsourced drug manufacturing - Contract amount: USD 13,984,000 - Counterpart: Pharmaceutical company in Europe - Contract period: 2017. 7. 20 ~ Contract end date
※ The disclosure of the confidential details of contract end date is reserved.
In progress
2017.9.6
Material Management Information related to Judgment of Investment
◦ Overview -Signed the binding letter of intent regarding
outsourced drug manufacturing -Contract amount : USD 9,307,201 -Counterpart : Pharmaceutical company in Europe -LOI date : 2017. 9.6
In progress
2017.11.8 Entering into Single Sales or Supply Contract
◦ Overview - Contract name: Outsourced drug manufacturing - Contract amount: USD 7,212,800 - Counterpart: Pharmaceutical company in US - Contract period: 2017. 11. 8 ~ Contract end date
※ The disclosure of the confidential details of contract end date is reserved.
In progress
2017.12.21 Entering into Single Sales or Supply Contract
◦ Overview - Contract name: Outsourced drug manufacturing - Contract amount: USD 41,654,000 ,- Counterpart: Pharmaceutical company in EU - Contract period: 2017. 12. 21 ~ Contract end date
※ The disclosure of the confidential details of contract end date is reserved.
In progress
2018.2.1 Entering into Single Sales or Supply Contract
◦ Overview - Contract name: Outsourced drug manufacturing - Contract amount: USD 104,977,380 - Counterpart: Pharmaceutical company in Asia - Contract period: 2018. 2. 1 ~ Contract end date
※ The disclosure of the confidential details of contract end date is reserved.
In progress
2018.2.22 Entering into Single Sales or Supply Contract
◦ Overview - Contract name: Outsourced drug manufacturing - Contract amount: USD 16,608,000 - Counterpart: Pharmaceutical company in US - Contract period: 2018. 2. 21 ~ Contract end date
※ The disclosure of the confidential details of contract end date is reserved.
In progress
B. Summary of results of shareholder meetings
Date of meeting Agenda Resolution
2013.02.14 - Appointment of auditors Pass
2013.03.29
- Approval of financial statements for the 2nd accounting period
- Approval of compensation limit of directors
- Adoption of the executive severance pay rules
- Alteration of the articles of incorporation
Pass
2014.03.27
- Approval of financial statements for the 3rd accounting period
- Appointment of directors
- Approval of the compensation limit of directors
Pass
2014.10.08 - Appointment of auditors Pass
2015.03.27
- Approval of financial statements for the 4th accounting period
- Approval of directors
- Approval of compensation limit of directors
Pass
2016.03.30
- Approval of financial statements for the 5th accounting period
- Appointment of directors
- Approval of compensation limit of directors
- Report the appointment of independent directors
Pass
2016.08.10
- Approval of stock split
- Approval of the articles of incorporation
- Appointment of directors
- Appointment of the members of audit committee
Pass
2017.03.24
- Approval of financial statements for the 6th accounting period
- Appointment of directors
- Approval of compensation limit of directors
Pass
2018.03.22 - Approval of financial statements for the 7th accounting period
- Approval of compensation limit of directors Pass
2. Contingent liability, etc.
A. Important litigations
(1) Samsung BioLogics Co., Ltd.
The Company’s on-going litigations after January 1, 2017 are as follows:
Plaintiff Samsung Biologics Co., Ltd.
Defendant Lonza Biologics PLC
Date of lawsuit 2017.07.03
Overview Patent nullity trial of Lonza’s DNA expression vector, especially its promoter, regarding cell line
development.
Progress Judge was designated on July 10th 2017, after the lawsuit. Awaiting the defendant’s response.
(2) Samsung Bioepis Co., Ltd.
The Company’s on-going litigations after January 1, 2017 are as follows:
Plantiff Defendant Overview Progress
Samsung Bioepis UK
Limited and Biogen
Idec Limited
AbbVie Biotechnology
Limited
Lawsuit for invalidation of AbbVie’s two patents in
Europe in relation to Samsung Bioepis’ Humira
biosimilar
The lawsuit’s subjects are one patent and one application for
patent in England related to indications such as rheumatoid
arthritis and psoriasis. The lawsuit for invalidation of patents
proceeded in a British court on the basis of lack of
inventiveness and novelty, and the Plaintiff won at trial in
March 2017. Defendant’s appeal is underway.
Samsung Bioepis
UK Limited
AbbVie B.V. and
AbbVie Biotechnology
Limited
Lawsuit for invalidation of AbbVie’s patent in the
Netherlands in relation to Samsung Bioepis’
Humira biosimilar
The lawsuit’s subject is a patent in the Netherlands related to
indications such as rheumatoid arthritis. The lawsuit for
invalidation of patent proceeding in the Dutch court is based
on the lack of inventiveness and novelty.
Samsung Bioepis
UK Limited
AbbVie B.V. and
AbbVie Biotechnology
Limited
Lawsuit for invalidation of AbbVie’s patent in the
Netherlands in relation to Samsung Bioepis’
Humira biosimilar
The lawsuit’s subject is a patent in the Netherlands related to
indications such as inflammatory enteropathy. The lawsuit for
invalidation of patent proceeding in the Dutch court is based
on the lack of inventiveness and novelty.
Samsung Bioepis
Co., Ltd.
AbbVie Biotechnology
Limited and
AbbVie Corporation
Lawsuit for invalidation of AbbVie’s patent in
Canada in relation to Samsung Bioepis’ Humira
biosimilar.
The subject of the lawsuit is invalidation of a Canadian patent
based on lack of novelty and proper description.
AbbVie
Biotechnology
Limited and
AbbVie Corporation
Samsung Bioepis
Co., Ltd.
2017.04.25 Lawsuit for violation of AbbVie’s 4
patents under Canada’s patent-
approval linkage system in relation to
Samsung Bioepis’ Humira biosimilar.
2017.10.20 Claims regarding two patents
withdrawn
2017. 12 Claims regarding two patents still in
progress.
The lawsuit subjects in progress are two patents since the
withdrawal of claims related to the other two patents in
October 2017.
Pfizer Ireland
Pharmaceuticals,
Wyeth LLC
and Pfizer Australia
Pty Ltd
Samsung Bioepis
AU Pty Ltd
Preliminary discovery application regarding
violation of Samsung Bioepis’ patent in Australia
and request for Pfizer and Wyeth to submit
related documents in order to determine the
violation of patent in relation to Samsung Bioepis’
Brenzys in December 2016.
2017.03.21 1st instance dismissed
2017.11.29 2nd instance accepted
2018.01 3rd instance in progress
Sanofi-Aventis U.S.
LLC;Sanofi-Aventis
Deutschland GmbH;
and
Sanofi Winthrop
Industrie
Merck Sharp &
DohmeCorp.
Lawsuit regarding violation of 10 Sanofi patents in
the United States under the drug approval-patent
linkage system of the U.S. against Samsung
Bioepis’ partner (Merck Sharp & Dohme Corp.) in
relation to Insulin glargine (Lantus) products.
Sanofi-Aventis U.S. LLC; Sanofi-Aventis Deutschland GmbH;
and Sanofi Winthrop Industrie
B. Details of promissory note and check for guarantee
- Not applicable
C. Details of collateral provided and debt guarantee
- Not applicable
D. Debt obligation purchase agreement
- Not applicable
E. Other contingent liabilities
- Not applicable
(1) Derivative liabilities
According to the shareholders’ agreement with the Company, Biogen Therapeutics Inc. has the right
to purchase up to 49.9% of shares in Samsung Bioepis Co., Ltd., the Company’s investee.
The derivatives expire in 2018; the exercise price is the sum of principal investment and
accumulated interests; the value of derivatives may significantly change depending on market
conditions and the exercise of stock options. If Biogen Therapeutics Inc. does not exercise its stock
option until the maturity date (2018), the judgment about its control may change. This may cause
loss. (Refer to Note 5, 11)
(2) Major agreements with financial institutions
[Samsung BioLogics Co., Ltd.]
Loan commitments signed with financial institutions as of the end of 2017 are as follows:
(Unit: thousand won, USD)
Bank Type Limits Execution amount
Currency Amount Currency Amount
Woori Bank
Overdraft KRW 10,000,000 KRW -
B2B Plus KRW 12,000,000 KRW -
Facility investment loan KRW 70,000,000 KRW 30,000,000
KEB Hana Bank
(old, Hana
Bank)
Overdraft KRW 10,000,000 KRW -
Facility investment loan KRW 50,000,000 KRW 50,000,000
Facility investment loan KRW 50,000,000 KRW 800,000
Combined limit KRW 40,000,000 KRW -
Shinhan Bank
General purpose loan KRW 19,214,000 KRW -
Overdraft KRW 10,000,000 KRW -
Facility investment loan KRW 70,000,000 KRW 30,000,000
Kookmin Bank Facility investment loan KRW 50,000,000 KRW 50,000,000
Facility investment loan KRW 60,000,000 KRW 30,000,000
NH Nonghyup
Bank Facility investment loan KRW 50,000,000 KRW 50,000,000
Korea
Development
Bank (KDB)
Facility loans in Fcy KRW 180,000,000 KRW 180,000,000
Export-Import
Bank of Korea Facility loans in Fcy USD 13,500 USD 13,500
Industrial &
Commercial
Bank of China
Facility loans in Fcy USD 50,000 USD 10,007
Total KRW 681,214,000 KRW 420,800,000
USD 63,500 USD 23,507
Details of guarantees provided from financial institutions at the end of 2017 are as follows:
(Unit: thousand won, USD)
Bank Type Limits Payment guarantee
Currency Amount Currency Amount
Woori Bank
Confirmed guarantees in Won KRW 9,500,000 KRW 2,071,579
Commitments on import L/C
issuance USD 8,500 USD -
Collateral loan guarantees USD 17,800 USD -
Shinhan Bank
Commitments on import L/C
issuance USD 10,000 USD -
Confirmed guarantees in Won USD 10,000 USD -
Kookmin Bank Confirmed guarantees in Fcy KRW 30,000,000 USD -
Total KRW 39,500,000 KRW 2,071,579
USD 46,300 USD -
[Samsung Bioepis Co., Ltd.]
(Unit: thousand won, USD)
Bank Details Limits Execution Amount
Currency Amount Currency Amount
Woori Bank
Working capital general
purpose loans KRW 70,000,000 KRW -
B2B Plus KRW 4,000,000 KRW -
KEB Hana Bank
Combined limit KRW 30,000,000 KRW 30,000,000
Revolving facility for
corporate general loans KRW 20,000,000 KRW -
Long-term Fcy loans USD 30,000,000 USD 30,000,000
Shinhan Bank General purpose loans KRW 45,000,000 KRW 45,000,000
Confirmed guarantees in Won KRW 7,000,000 KRW -
NH Nonghyup
Bank General purpose loans KRW 30,000,000 KRW 30,000,000
SMBC Bank Short-term Fcy loans USD 50,000,000 USD -
BNP Paribas Bank Short-term Fcy loans USD 40,000,000 USD -
China
Construction Bank
Corporation
Commitments on Lcy
loans KRW 20,000,000 KRW 20,000,000
Kookmin Bank Commitments on Lcy
loans KRW 50,000,000 KRW 50,000,000
Total KRW 276,000,000 KRW 175,000,000
USD 120,000,000 USD 30,000,000
(3) Free land use rights
[Samsung BioLogics Co., Ltd.]
The Company is exempted from all rental fees on land usage by meeting the requirements for rent
reductions provided by the Public Asset Management Ordinance of Incheon Metropolitan City when
the Company concluded a contract to lease the land with Incheon Metropolitan City. The Company
recognized the fair value of the exempted rental fee from Incheon Metropolitan City as intangible
asset, and booked the same amount as deduction of assets in the account of government grants.
The free land lease period and the requirements for full exemption are as follows:
① Land lease period
Total land lease period is 50 years with the initial period of 20 years from April 28, 2011 when the
land lease contract was concluded and every 10 years of renewal afterwards.
② Requirements for exemption
The Company whose foreign investment amounts to more than USD 20 million is subject to the
exemption from Common Property Management Ordinance of Incheon. After that, the Company,
including foreign invested enterprises that meet the average daily employee count of above 300, is
subject to exemption.
(4) Others
[Samsung Bioepis Co., Ltd.]
Samsung Bioepis Co., Ltd. concluded a land purchase contract with the Incheon Free Economic
Zone Authority (IFEZA). The purchased land shall be used to build research facilities; the
construction of the facilities shall begin in 2.5 years, and the construction shall be completed in 2
years.
F. Issuance of debt securities recognized as assets
Not applicable
3. Other matters including sanctions
A. Sanctions
[Samsung BioLogics Co., Ltd.]
The Company received a fine (9,500 thousand won) on December 14, 2016 from Incheon Main
Customs because the Company did not report to the head of Foreign Exchange Bank about the
payments related to the goods lease contract in accordance with Section 1 of Article 18 of the
Foreign Exchange Transactions Act, and paid the fine. The Company will make efforts to prevent
any similar violations, such as reinforcing education.
The Company was designated as an unfaithful disclosure corporation on April 6, 2017 by Korea
Exchange and received a fine (8,000 thousand won) because the Company violated the disclosure
regulation according to the Article 35 and 38-2 of KOSPI Market Disclosure Regulation by delaying to
disclose the audit report of its subsidiary on March 3, 2017, when it was supposed to disclose by
February 28, 2017. The Company will make efforts to prevent any similar violations, such as
reinforcing monitoring.
[Samsung Bioepis Co., Ltd.]
Not applicable
B. Failure in disgorgement of short-term sales margin
The Company has not been notified of the occurrence of short-term sales margin until the date
when disclosure documents for the past three business years and this business year were prepared,
from the Securities and Futures Commission (Chairman of the Financial Services Commission).
C. Important matters occurred after the document preparation reference date
Not applicable
D. Use of direct financing funds
(1) Use of public offering funds
(As of Dec 31, 2017) (Unit: million won)
Category Payment
date Amount
paid Fund use plan Actual fund use
Reason for difference
IPO (on the stock
market) 2016.11.08 1,483,763
Funds for facilities(780,000) Payback of debt (303,763)
Acquisition of other corporate securities
(400,000)
Funds for facilities Payback of debt
Acquisition of other corporate securities
-
※ Acquisition cost of other corporate securities (400 billion won) will be funded in two
installments (1st: 200 billion won in December 2016 / 2nd: 200 billion won in June 2017)/ For
details, refer to the disclosure of the Decision on Acquisition of Shares or Investment Securities
of Other Corporation.
(2) Use of private placement funds @@
(As of Dec 31, 2017) (Unit: million won)
Category Payment
date
Fund use plan Actual fund use Reason for
difference Fund use Amount paid Fund use
Amount paid
Capital increase by allocation to stockholder
2015.2.24
Acquisition of equipment
funds & other corporate securities
133,400
Acquisition of equipment
funds & other corporate securities
133,400 -
Capital increase by allocation to stockholder
2015.8.20
Acquisition of equipment
funds & other corporate securities
133,800
Acquisition of equipment
funds & other corporate securities
133,800 -
E. Subsidiaries of overseas holding company
Not applicable
F. Changes in legal risks
Not applicable
G. Matters regarding the depositor protection of financial institutions
Not applicable
H. Satisfaction with the requirements of special purpose acquisition company
Not applicable
I. Roles and obligations as a financial investment business of special purpose acquisition
company
- Not applicable
J. Follow-up information including mergers
- Not applicable
K. Green management
The Company states the matters regarding greenhouse gas emissions and energy consumption that
must be reported to the government in accordance with Article 44 of the Framework Act on Low
Carbon and Green Growth as the Company falls under the entities subject to the target
management of greenhouse gas emissions and energy consumption prescribed in Section 5 of Article
42 of the Framework Act on Low Carbon and Green Growth.
The reason that greenhouse gas emission rises every year is because the Company is constructing
new plants and increasing rate of operation in plants in addition to maintaining GMP environment in
manufacturing facilities. Details of greenhouse gas emissions and energy consumption are as follows:
Year Name Annual greenhouse emission (ton) Annual energy consumption (TJ)
Direct Indirect Total Fuel Electricity Steam Total
2012 SamsungBioLogicsCo.,Ltd. 3,121 9,646 12,767 61 198 - 259
2013 SamsungBioLogicsCo.,Ltd. 6,687 16,302 22,988 130 336 - 466
2014 SamsungBioLogicsCo.,Ltd. 8,548 20,663 29,211 167 425 - 592
2015 SamsungBioLogicsCo.,Ltd. 18,245 40,420 58,665 356 832 - 1,188
2016 SamsungBioLogicsCo.,Ltd. 22,361 46,118 68,479 437 950 - 1,387
2017 SamsungBioLogicsCo.,Ltd. 29,587 55,727 85,314 579 1,147 - 1,726
※ The greenhouse gas emissions and energy consumption above are the data disclosed in the Greenhouse Gas
Inventory and Research Center under the Office for Government Policy Coordination Prime Minister’s
Secretariat.
[Confirmation by Expert]
1. Confirmation by expert
Not applicable
2. Expert’s relations
Not applicable
