SK Bioscience, which acquired Germany's IDT Biologika in June, announced on July 25th that it has entered into a conditional equity purchase agreement (SAFE) to invest approximately $2.1 million in the U.S. biotech company Sunflower Therapeutics. This partnership is expected to create significant technological synergies between the two companies.

Founded in 2018, Sunflower Therapeutics is a biotech firm that has developed the 'Yeast Expression System,' a protein manufacturing technology essential for the development of antigens and antibodies. This system simplifies the vaccine production process, reducing the time required and enhancing overall efficiency, thereby lowering manufacturing costs.

Through this SAFE investment, SK Bioscience aims to optimize its vaccine production processes using Sunflower's technology. The company anticipates that incorporating Sunflower’s Yeast Expression System into the vaccine production line at its Andong L House facility could improve yield by up to 7.7 times compared to current methods. This enhancement is projected to reduce production costs per dose by 88.7%.

The two companies first established their relationship in 2023 while collaborating on the research and development of a human papillomavirus (HPV) vaccine. SK Bioscience plans to explore various strategies to maximize the value of its investment during Sunflower's potential future IPO and third-party mergers and acquisitions, while also expanding their technological collaboration.

An SK Bioscience representative stated, "We have been continuously collaborating with Sunflower since last year. Due to the potential changes in our equity stake depending on Sunflower's IPO and other related events, we cannot disclose the specific percentage of our holdings in Sunflower."

Meanwhile, in June, SK Bioscience invested approximately $250 million to acquire IDT Biologika, a German contract development and manufacturing organization (CDMO) for biopharmaceuticals. IDT Biologika has an impressive track record recognized by regulatory agencies in the U.S., Europe, and more than ten other key pharmaceutical markets.

At a press conference on June 27th, Ahn Jae-yong, CEO of SK Bioscience, stated, "From SK Bioscience's perspective, the acquisition of IDT Biologika is a 'perfect fit.' There are complementary aspects between the company's Andong L House vaccine plant and IDT Biologika. By combining the software and hardware of both companies, we aim to create immediate synergies and expand our revenue."

SK Bioscience has expanded its production capacity with the acquisition of IDT Biologika and aims to optimize its vaccine processes through its investment in Sunflower Therapeutics. This move is seen as an effort to seek synergies in the field of vaccine development.

An SK Bioscience representative commented, "The investment in Sunflower considers the potential synergies with the acquisition of Germany's IDT. Regardless of the synergies from the IDT acquisition, various technologies from Sunflower can be utilized in multiple aspects at the Andong L House vaccine plant."