Overview of AIIf the U.S. passes the Biosecurity Act, Korean

Overview of AI
If the U.S. passes the Biosecurity Act, Korean biotech companies such as Samsung Biologics, Somagen, Binex, and ST Farm are expected to gain reflective profits that fill the business gap of Chinese companies, especially noteworthy to companies in the CDMO/CMO (Consignment Development Production/Consignment Production) sector and individual biotechs with high potential for technology exports.

Expected impact and benefits of the Biosecurity Act
Samsung Biologics: Samsung Biologics is considered the largest CDMO/CMO beneficiary due to the possibility of a Chinese company’s business withdrawal.
Somagen: The reflection profit from the enactment of the Biosecurity Act is expected to be large, and sales are expected to increase due to restrictions on transactions with Chinese companies.
ST.Pharm, Binex: It is considered a stockholder related to the Biosecurity Act, and it is likely to benefit from passing the bill.
Prestige Biologics, Aprogen Biologics, Hanmi Pharmaceutical: It is also attracting attention as a theme stock following the passage of the Biosecurity Act.

Key Beneficiaries
CDMO/CMO (Consignment Development Production/Consignment Production): Due to business restrictions of Chinese biotech companies such as Wuxi Biologics, there is a high possibility that Korean biotech companies will increase their work and expand their orders.
Technology Export (License Out): Anticipation of a rate cut, along with positive performance by individual biotechs and increased potential for technology exports, could lead to biotech-focused strength