This summer, executives at pharmaceutical and bio corporations are giving up vacations and heading to the office. In the case of Kolon TissueGene(950160), the mood is to focus on work to make up for the failure of the phase 3 clinical trial for an osteoarthritis treatment. With the economic downturn and investment slowdown dragging on, some are choosing to visit the field instead of taking time off.
◇Kolon TissueGene, Celltrion… executives with no summer vacation
On the 7th, according to the pharmaceutical and bio industry, Kolon TissueGene co-CEOs No Moon-jong and Jeon Seung-ho are giving up their summer vacations and going to work. It is to manage the fallout from the failure of the phase 3 U.S. clinical trial of the osteoarthritis treatment TG-C (formerly Invossa). No returned to Korea from the U.S. headquarters for a press briefing held on Jun. 21 and was said to have gone back to the United States afterward. Jeon was also said to be reporting to the domestic office.
Kolon TissueGene's osteoarthritis treatment failed in the first attempt at a phase 3 clinical trial in the United States last month. Patients saw pain relief after dosing, but the effect was not better than placebo (dummy drug). The company is conducting two phase 3 trials in the United States. With the second phase 3 readout coming in Oct., the company is taking every precaution. A Kolon TissueGene official said, "The two CEOs are analyzing the cause," and added, "They will focus on future business plans."
Seo Jung-Jin, chairman of the Celltrion(068270) group, is also giving up his summer vacation to visit overseas subsidiaries. Starting with France on the 10th, he will visit the United States, Canada, and Japan in sequence to review sales and more. Celltrion is pursuing a strategy of establishing subsidiaries in major overseas countries and selling medicines directly. With Seo checking operations, swift on-site decision-making appears likely. Celltrion strengthened its pharmacy sales network by acquiring the French corporation Giphar in May. As the company aims for 5 trillion won in consolidation sales this year, the move is seen as a strategy to boost overseas sales.
Hugel CEO Jang Doo-hyun reportedly took his vacation before the heat wave began and has no separate plans this summer. Hugel is locked in fierce competition in the filler and Botox markets. The company recently unveiled a new filler with enhanced safety, which Jang is said to be overseeing personally. Jang holds monthly sales and marketing meetings to review business strategy. He also attended a town hall meeting the previous day with Global CEO Carrie Strom. A Hugel official said, "Jang regularly meets medical experts at domestic and overseas academic symposia."
◇Some recharge while mapping out plans for the second half
Some are taking short breaks while planning management strategies for the remainder of the second half. CEO Yun Sang-bae of CJ 바이오사이언스 is reportedly recharging on vacation this week. A CJ Bioscience official said, "Yun goes to the office if needed, even while on vacation."
CJ Bioscience halted its anticancer drug clinical program this year and shifted its business strategy. It plans to launch the MAC solution in the first half of next year, which analyzes gut microorganisms to provide personalized health management. Yun is said to have been the first in the company to try it. As anticancer drug development requires significant time and expense, the move is seen as a strategy to focus on businesses that can generate immediate results.
GC 녹십자 CEO Heo Eun-chul and GC CEO Heo Yong-joon are also reportedly taking summer vacations. Green Cross will invest 140 billion won in the second half to begin construction of facilities at its Ochang plant in North Chungcheong Province to produce subcutaneous (under the skin) injections of Aliglo. Aliglo is an immunodeficiency treatment currently administered intravenously. The company plans to switch it to a subcutaneous injection so patients can administer it on their own without going to the hospital. The goal is to enter U.S. clinical trials in 2027.