pharm edaily

[Kim Jiwan, Edaily Reporter] Korea’s biotech sector showed strong stock performance on the 7th fueled by promising IPO momentum strategic investments and improving fundamentals.

DreamCIS surged on news of its portfolio company’s IPO success. Hugel gained on record breaking earnings and upbeat outlook. Helixmith rose sharply on expectations of regulatory approval and a turnaround in results.

DreamCIS won 1.5B Investment Set to Yield Hundreds of Billions

Global CRO DreamCIS saw a notable share price increase following the news that its investee G2G Bio had successfully completed a blockbuster IPO process. Shares of DreamCIS closed at won 3,475 up 6.60% (won 215) from the previous day.

G2G Bio is scheduled to debut on the KOSDAQ on August 14. It drew institutional interest with a 810:1 bookbuilding competition while retail subscriptions amassed over won 3 trillion reflecting one of the strongest IPOs in Korea‘s recent biotech history.

DreamCIS, which invested won 1.5 billion in G2G Bio back in 2022, holds a projected 1.39% stake post-IPO. Assuming G2G Bio reaches a market cap of won 1 trillion, DreamCIS’s stake would be worth won 13.9 billion and won 27.8 billion at a won 2 trillion valuation. This positions DreamCIS to realize substantial investment gains, while opening new doors for collaboration in tech transfer and CDMO ventures.

Market watchers see this IPO success as more than just a financial win. DreamCIS has positioned itself not merely as an investor but as a “lifecycle partner,” supporting G2G Bio from clinical development and regulatory approval to manufacturing and commercialization.

The company’s “DreamScience” platform is expected to further facilitate global tech licensing and co-development following G2G’s IPO. In addition, DreamCIS is expected to play a key role in the expansion of G2G’s InnoLAMP long acting injection platform and GMP manufacturing capacity.

“Our mission is to be a success partner across the full drug development cycle from preclinical design to regulatory approval, licensing, and sales,” said DreamCIS CEO Yoo Jung hee. “This co-growth case with G2G Bio showcases a new results driven business model for CROs.”

Hugel Hits Record H1 Earnings, Eyes 50% Operating Margin in H2

Hugel’s share price rose sharply as the company announced record-high first-half results and projected continued strength through the second half.

On the 7th, Hugel closed at won 360,000, up 5.26% (won 18,000) from the previous day. H1 sales crossed the won 200 billion mark for the first time (+15.5% YoY), while operating profit jumped 33.6% to won 95.6 billion. Key growth drivers included robust HA filler exports and a 105% YoY surge in cosmetics revenue.

In the second half, momentum is expected to continue with full scale exports of the botulinum toxin Letibot, which recently secured FDA approval. Letibot’s U.S. shipments are increasing steadily, Chinese market sales have grown 50% YoY, and shipments to Brazil are resuming after a distributor change.

Hugel is also set to benefit from higher margins, a stronger product mix, and reduced legal costs, with analysts projecting annual operating margin near 50% well above the five year average of 39%, and reminiscent of the industry’s mid-2010s “golden era.”

Helixmith Surges on China Partner’s Imminent Approval

Helixmith shares soared as optimism grew around its Chinese partner Northland Biotech’s regulatory progress and the company’s own financial turnaround.

Helixmith ended the day at won 4,110, up 13.69% from the previous session. Northland Biotech, which licensed Helixmith’s gene therapy NL003 (Engensis), has completed Phase 3 trials for Critical Limb Ischemia (CLI) and is now awaiting final approval from China’s NMPA with only administrative steps remaining.

Northland’s stock has surged 94% YTD and 33% in the past three months reflecting growing market anticipation. Industry analysts forecast NL003 to launch within the year, targeting an estimated 600 million CLI patients in China, with a market size of around won 800 billion.

If approved Helixmith is entitled to receive 4% of gross sales or 7% of net sales whichever is greater for 7 years. This revenue stream has been factored into recent investor enthusiasm.

Financial performance is also improving. After BioSolution took over management in 2023 Helixmith has sharply reduced its net loss from won 64 billion in 2023 to won 15.4 billion in 2024, with a Q1 2025 net loss narrowed to won 1.5 billion. BioSolution holding an 18.23% stake is expected to benefit significantly from Helixmith’s recovery.