On the 27th in front of Namdaecheon in Yangyang-gun, Gangwon Province. This is Korea's largest salmon spawning ground, where salmon gather every October to November, and the birthplace of regenerative medicine corporations PharmaResearch, known for the skin-regenerating injection dubbed the salmon shot, "Rejuran."
PharmaResearch was founded in 2001 by Chairperson Jeong Sang-su and grew rapidly after succeeding in extracting polynucleotide (PN) and polydeoxyribonucleotide (PDRN), skin tissue regeneration components, from salmon testes and semen. According to the company, the two components promote the secretion of various growth factors along with anti-inflammatory effects to accelerate tissue regeneration.
Jeong, the chairperson, is from Gangneung, where salmon return. After graduating from Chung-Ang University College of Pharmacy in 1982, Jeong worked on development and global pharmaceutical approvals at Daewoong Pharmaceutical before founding PharmaResearch. Jeong succeeded in business by using salmon seen while growing up in the hometown.
PharmaResearch's revenue last year was 350.1 billion won, and operating profit was 126.1 billion won, marking record-high annual revenue and operating profit. The skin-regenerating injection and basic skincare line Rejuran have fueled performance growth as word of mouth spread not only in Korea but also among foreigners. The company has declared a "leap to a global corporations" beyond the domestic market this year and is focusing on expanding into the global market.
◇ Making skin-regenerating ingredients from salmon byproducts
PharmaResearch signed a joint resource development contract with the Salmon Business Office at the East Sea Life Resources Center (Yangyang Life Resources Center) of the Korea Fisheries Resources Agency (FIRA) in Yangyang and is developing raw materials here by using testes from male salmon left after artificial fertilization. PharmaResearch CEO Son Ji-hun said, "It is meaningful from an ESG (environmental, social, governance) management perspective as well, as it utilizes discarded marine resources as high value-added raw materials."
The male salmon testes are transported to PharmaResearch's manufacturing plant in Gangneung. There, the genetic material deoxyribonucleic acid (DNA) is extracted. The company's commercialized skin-regenerating components come from DNA. The company cites its independently developed process technology as its core competitiveness. It is a technology that processes DNA extracted from salmon germ cells to high purity to make raw materials for skin-regenerating injections that can be applied to the human body.
Han Jun-ho, assistant manager on the raw materials team at PharmaResearch, said, "The core of the technology is the optimization process that keeps the quality and stability of DNA uniform," adding, "Natural-derived substances are prone to quality differences depending on extraction sources or processing methods, but our proprietary process technology minimizes these variables."
The company has developed and commercialized various products using DNA components. Representative examples include Rejuran Healer, a medical device injection for skin moisturization and elasticity recovery; Conjuran, an injection for knee joint pain relief and cartilage protection; Rejuvenex, a pharmaceutical for wound recovery after skin grafts; Lian, an eye drop for corneal and conjunctival damage recovery; and Rejuran, a cosmetic for skin improvement.
◇ "On the verge of surpassing 500 billion won in revenue… speeding up global localization"
At the site of the "PharmaResearch Global Medical Symposium" held in Gangneung on the 28th, PharmaResearch CEO Son Ji-hun said, "Since taking office as CEO in March, I have focused on diversifying and localizing in the global market," adding, "The goal is to make PharmaResearch a global corporations where the lights never go out, 24 hours a day." Son worked at the headquarters of U.S. pharmaceutical company Bristol Myers Squibb (BMS) and served domestically as executive director of the global business division at Dong-A Pharmaceutical Co., CEO of Baxter Korea, CEO of Dongwha Pharm, and CEO of HUGEL.
Son said, "We will first focus on the Western European market, ship the initial batch to the United Kingdom within this year, and sequentially launch Rejuran in 21 countries starting in January next year." In August, the company signed a partnership agreement with VIVACY, a global aesthetics company headquartered in France, securing a distribution network across 22 Western European countries.
The injectable Rejuran Healer has been approved not only in Korea but in more than 20 countries, including Australia, Europe, China, Japan, and Southeast Asia. The company said Rejuran is the only brand among polynucleotide-component medical devices to have received approval under the European Medical Device Regulation (MDR). Son said, "The goal is to lead the European skin booster (a procedure that injects skin-nourishing components directly into the dermis to help improve the skin) market within three years."
PharmaResearch is also targeting the Middle East and South America. Son said, "We have signed a contract with Medica Group, a distributor in the United Arab Emirates. In South America, we have completed product launches in Mexico and Chile, and registration is underway in Brazil," adding, "As for the United States, we are taking a mid- to long-term approach, considering the Food and Drug Administration (FDA) medical device approval process."
PharmaResearch set record quarterly results for 11 consecutive quarters through the second quarter of this year. Son said, "At the current pace, we expect to surpass 500 billion won in annual revenue this year." However, in the third quarter, there was a temporary impact as trainee doctors who had resigned returned to their training hospitals, reducing the medical workforce available for procedures at private clinics. Son said, "Next year, we aim to achieve more than 600 billion won in revenue by further expanding domestic demand and exports to sustain the growth trend."
Regarding the company's withdrawal in July of its plan to establish a holding company through a spin-off, Son said, "It was a decision that reflected shareholders' opinions," adding, "We have no plans to reinitiate the establishment of a holding company at this time, and we are continuously reviewing various options, including mergers and acquisitions (M&A), to streamline management and grow the business."