CG MedTech, a Daewoong Pharmaceutical affiliate specializing in orthopedic implant research and manufacturing, said on the 10th that it acquired the Seongnam human tissue bank owned by CGBio.
Through the acquisition, CG MedTech secured not only a track record of certification from the American Association of Tissue Banks (AATB) but also human tissue processing facilities and core equipment that comply with U.S. Food and Drug Administration (FDA) regulations. It also acquired a cell processing facility, building production infrastructure that meets global standards.
Based on the secured infrastructure, CG MedTech plans to push ahead in earnest with extracellular matrix (ECM)-based therapeutics and a regenerative skin booster business. ECM, a biomaterial that induces tissue regeneration, is considered a next-generation material with high potential for use across various medical fields, including skin, soft tissue, and bone tissue regeneration.
It will also strengthen links with existing businesses. As part of expanding its dental portfolio, CG MedTech will promote the production of bone graft substitutes for the alveolar bone and aims to enhance synergies between its existing implant business and biomaterials business.
Industry watchers view the acquisition as a turning point for CG MedTech to expand from a spine-and-orthopedics-centered business structure into the bio sector beyond dental. In particular, by internalizing production infrastructure, the company is expected to respond more organically across product development, manufacturing, and commercialization.
Yu Hyeonseung, CEO of CG MedTech, said, "This acquisition is an important opportunity to directly secure a human tissue processing foundation and expand our business into the bio field," adding, "Based on synergies with our spine, orthopedics, and dental businesses, we will broaden our portfolio to include ECM-based therapeutics, regenerative skin boosters, and bone graft substitutes for the alveolar bone, while continuously strengthening our contract development and manufacturing organization (CDMO) capabilities."