Celltrion Chairman Sung-jin Seo is conducting on-site inspections in France to launch a direct pharmacy sales model across Europe.
On August 18, Celltrion announced that it has completed the integration and restructuring of Gifrer, a French healthcare company acquired in May, and is now ready to leverage its pharmacy channel as a new growth engine.
Since last week, Chairman Seo has been inspecting the operational status of the French subsidiary and Gifrer as part of a global sales review for the second half of the year. He has outlined a management direction to combine Gifrer's pharmacy sales network with the competitiveness of Celltrion's products to achieve tangible results. Following the acquisition of Gifrer, Celltrion has been restructuring its collaboration systems, workforce management, and sales strategies for each product. The company states that it has now moved beyond stable operations to the stage of creating synergies.
Gifrer boasts a network of over 9,000 pharmacies across France, along with supply chains to more than 800 hospitals and a product portfolio of over 140 items, including over-the-counter drugs, prescription medications, and health supplements. Celltrion plans to stabilize Gifrer's existing business foundation while integrating the direct sales capabilities in biopharmaceuticals that the French subsidiary has developed, aiming to establish a sales system that encompasses both hospitals and pharmacies.
Historically, Celltrion's direct sales system in Europe has primarily focused on hospitals, healthcare professionals, and bidding organizations, with limited coverage of pharmacies. The company emphasizes the strategic value of the newly acquired pharmacy channel, which connects prescriptions initiated in hospitals to actual dispensing and repeat purchases.
Particularly, subcutaneous injection (SC) formulations, which patients administer themselves, rely heavily on pharmacy channels as a key distribution network. Since 2022, France has been implementing alternative dispensing for certain biopharmaceuticals in pharmacies. As the range of applicable products expands, pharmacy networks are becoming crucial for the competitiveness of biosimilars.
In response to these regulatory changes, Celltrion plans to utilize Gifrer's pharmacy network to promote the sales of SC formulation drugs and to expand its biosimilar sales scope in anticipation of future increases in alternative dispensing targets. The company is currently preparing to sell the osteoporosis treatment 'Stoboclo-Osenbelt' (active ingredient denosumab) through pharmacies in accordance with French regulations and alternative dispensing schedules.
Gifrer's growth strategy extends beyond just selling Celltrion's products. The company is also considering licensing and local launches of third-party biosimilars, generics, and healthcare products that are in high demand at pharmacies, without competing directly with its own products.
Synergies at the group level are also set to intensify. Celltrion Skin Cure plans to launch its dermacosmetic brand 'Zipiderm' in the French pharmacy distribution market early next year, with Gifrer handling local sales and distribution. The French subsidiary aims to combine the medical network it has built through the sales of skin disease-related biopharmaceuticals, such as Uplyma and Omriclo, with Gifrer's pharmacy sales network to create synergies.
Kim Dong-sik, Celltrion's Global Head for Europe, stated, "We will focus on combining Gifrer's pharmacy network with Celltrion's product competitiveness to achieve tangible results. We will also expand our portfolio to include non-competing third-party products and gradually extend the pharmacy sales model validated in France to other European countries in accordance with local regulations."
On August 18, Celltrion announced that it has completed the integration and restructuring of Gifrer, a French healthcare company acquired in May, and is now ready to leverage its pharmacy channel as a new growth engine.
Since last week, Chairman Seo has been inspecting the operational status of the French subsidiary and Gifrer as part of a global sales review for the second half of the year. He has outlined a management direction to combine Gifrer's pharmacy sales network with the competitiveness of Celltrion's products to achieve tangible results. Following the acquisition of Gifrer, Celltrion has been restructuring its collaboration systems, workforce management, and sales strategies for each product. The company states that it has now moved beyond stable operations to the stage of creating synergies.
Gifrer boasts a network of over 9,000 pharmacies across France, along with supply chains to more than 800 hospitals and a product portfolio of over 140 items, including over-the-counter drugs, prescription medications, and health supplements. Celltrion plans to stabilize Gifrer's existing business foundation while integrating the direct sales capabilities in biopharmaceuticals that the French subsidiary has developed, aiming to establish a sales system that encompasses both hospitals and pharmacies.
Historically, Celltrion's direct sales system in Europe has primarily focused on hospitals, healthcare professionals, and bidding organizations, with limited coverage of pharmacies. The company emphasizes the strategic value of the newly acquired pharmacy channel, which connects prescriptions initiated in hospitals to actual dispensing and repeat purchases.
Particularly, subcutaneous injection (SC) formulations, which patients administer themselves, rely heavily on pharmacy channels as a key distribution network. Since 2022, France has been implementing alternative dispensing for certain biopharmaceuticals in pharmacies. As the range of applicable products expands, pharmacy networks are becoming crucial for the competitiveness of biosimilars.
In response to these regulatory changes, Celltrion plans to utilize Gifrer's pharmacy network to promote the sales of SC formulation drugs and to expand its biosimilar sales scope in anticipation of future increases in alternative dispensing targets. The company is currently preparing to sell the osteoporosis treatment 'Stoboclo-Osenbelt' (active ingredient denosumab) through pharmacies in accordance with French regulations and alternative dispensing schedules.
Gifrer's growth strategy extends beyond just selling Celltrion's products. The company is also considering licensing and local launches of third-party biosimilars, generics, and healthcare products that are in high demand at pharmacies, without competing directly with its own products.
Synergies at the group level are also set to intensify. Celltrion Skin Cure plans to launch its dermacosmetic brand 'Zipiderm' in the French pharmacy distribution market early next year, with Gifrer handling local sales and distribution. The French subsidiary aims to combine the medical network it has built through the sales of skin disease-related biopharmaceuticals, such as Uplyma and Omriclo, with Gifrer's pharmacy sales network to create synergies.
Kim Dong-sik, Celltrion's Global Head for Europe, stated, "We will focus on combining Gifrer's pharmacy network with Celltrion's product competitiveness to achieve tangible results. We will also expand our portfolio to include non-competing third-party products and gradually extend the pharmacy sales model validated in France to other European countries in accordance with local regulations."
* This article has been translated by AI.
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