ST Pharm to construct second oligonucleotide facility in Korea

The expansion is expected to make the company the largest CDMO in oligonucleotide production in 2025

South Korea's ST Pharm — an API CDMO — has announced plans to invest $126 million during the next three to four years in building a second oligonucleotide facility at its Banwol campus located in Ansan.

The company says the new facility will have four to six large production lines and a solvent recycling system, which will make the manufacturing process more environmentally friendly as well as help to reduce costs.

According to the company, the plant will offer customers efficiency by shortening the production period through a parallel cross-production process design.

Last year, ST Pharm decided to expand the capcity at its first site from 1.5 to 6.4 mole per year. Establishing a second oligonucleotide plant will provide a production capacity of 14 mole per year, which forecasts the company to become the world's largest (in terms of capacity) CDMO in oligonucleotide production in 2025.

The demand for raw materials and APIs is expected to surge if new blockbuster oligonucleotide drugs are approved for commercialisation from 2024. The company says the second manufacturing plant and production facilities will prepare it for this uptick in demand.

By 2030, ST Pharm says its oligonucleotide CDMO services will generate ₩1 trillion KRW, which will help it to become a global top 5 CDMO for mRNA and various next generation RNA therapies.