Samsung Biologics plans to acquire PolyPeptide and enter the high-growth GLP-1 peptide CDMO market

Overview

This report is a quick note on Samsung Biologics published by Nomura on July 20, 2026, focusing on the company's proposed acquisition of Swiss peptide API CDMO company PolyPeptide Group AG. The report believes the transaction represents a strategic extension of Samsung Biologics' antibody CDMO capabilities into the peptide CDMO market and could benefit from rapidly growing outsourced manufacturing demand related to GLP-1 receptor agonists.

Core views

The core views are: first, PolyPeptide holds a leading position in peptide API development and commercial production, serving areas including metabolic diseases, oncology, and endocrinology; second, the GLP-1 RAs market remains in an expansion phase, with third-party data estimating that its market size could grow from USD72bn to USD180bn over the next 10 years; third, the transaction valuation implies 2026E EV/EBITDA of 19.1x, and Nomura believes Samsung Biologics has an opportunity to acquire peptide manufacturing capabilities and global big-pharma customer resources through the acquisition; fourth, Nomura maintains its Buy rating and KRW2,200,000 target price.

Analysis framework

The report combines event-driven analysis with fundamental valuation: it first reviews the acquisition terms, financing arrangements, and tender offer conditions; then assesses PolyPeptide's revenue growth, EBITDA margin, participation in clinical projects, and technical capabilities; and finally links the transaction to global GLP-1 drug demand, CDMO outsourcing trends, and the valuation framework for Samsung Biologics' existing CMO business.

Methodology notes

• Valuation methodsDCF

  Target price valuation

  The report discloses that the KRW2,200,000 target price is based on DCF valuation, assuming that CMO business revenue will grow at an average annual rate of 10% during 2026-35F, with an average OPM of 47%, a WACC of 6.8%, and a perpetual growth rate of 3.0%.

• industry_analysisTAM / CAGR

  GLP-1 market opportunity estimation

  The report cites third-party data estimating the current GLP-1 RAs market size at USD72bn and forecasting it to reach USD180bn over the next 10 years, equivalent to an approximately 11% compound annual growth rate.

• transaction_analysisEV/EBITDA

  M&A valuation multiple

  The report's headline view states that Samsung Biologics is entering PolyPeptide at 2026E EV/EBITDA of 19.1x, serving as the core multiple for evaluating the transaction price and strategic rationale.

Asset mapping & comparison

Structured mapping from thesis to named assets (strengths, weaknesses, peers, risks).

• Samsung Biologics (207940.KS)

  Covered subject and acquirer in the report

  Strengths

  Has established antibody CDMO capabilities, cash and operating cash flow support, and potential access to the rapidly growing peptide CDMO market through the acquisition.

  Weaknesses

  The transaction is sizable and may require debt or potential equity financing, with short-term financial impacts requiring monitoring.

  Comparison

  Compared with relying solely on its antibody CDMO business, acquiring PolyPeptide would expand Samsung Biologics into the GLP-1-related outsourced peptide manufacturing market.

  Risks

  Failure to meet the tender offer threshold, financing dilution or increased leverage, underperformance in M&A integration, and delays in plant construction.

• PolyPeptide Group AG (PPGN SW)

  Proposed acquisition target

  Strengths

  A leading peptide API CDMO involved in approximately one-third of global peptide Phase III trials, with solvent-reduction technology and contracts with global Top 20 pharmaceutical companies.

  Weaknesses

  The report does not provide an independent rating, and the earnings margin guidance is in the high teens; subsequent earnings delivery remains to be observed.

  Comparison

  Complementary to Samsung Biologics' existing antibody CDMO capabilities, helping it enter peptide API development and commercial manufacturing.

  Risks

  Customer project progress, fluctuations in GLP-1 demand, capacity expansion, and integration execution.

Key data

• Transaction valueKRW2.7tnAssuming Samsung Biologics acquires 100% of PolyPeptide's equity.
• Tender offer priceCHF44.31/shareCorresponding to an equity value of CHF1.46bn.
• Controlling shareholder committed sale percentage55.6%Draupnir Holding B.V. has irrevocably committed to sell its entire stake.
• Transaction completion thresholdAt least 66.7% of voting rightsSamsung Biologics must obtain at least two-thirds of the voting rights through the tender offer.
• Tender offer timingLaunch by the end of August 2026, lasting approximately 2 monthsBased on the report's description of the transaction process.
• PolyPeptide 1H26 revenueEUR236.6bnThe original text discloses EUR236.6bn and year-on-year growth of 41.6%; the unit may be affected by OCR and should be checked against the original PDF.
• PolyPeptide 1H26 EBITDA margin20.7%The 1H26 metric disclosed in the report.
• PolyPeptide 2026E revenue guidance25-30% year-on-year growthCompany guidance.
• PolyPeptide 2026E EBITDA margin guidanceHigh teensCompany guidance.
• Current GLP-1 RAs market sizeUSD72bnThird-party data cited by the report.
• Projected GLP-1 RAs market size in 10 yearsUSD180bnCorresponding to approximately 11% CAGR.
• Target priceKRW2,200,000Nomura's DCF valuation result.
• Closing priceKRW1,396,000Price on 16-Jul-2026.

Impact & implications

If completed, the transaction would add peptide API development and commercial production capabilities to Samsung Biologics' existing antibody CDMO platform and provide access to PolyPeptide's customer base and technical expertise in peptide projects such as GLP-1. From an investment perspective, the report views the acquisition as a positive event that expands the addressable market and strengthens the long-term growth narrative, although financing, the transaction completion rate, and integration execution remain key near-term considerations.

Risks

• Completion of the transaction depends on Samsung Biologics obtaining at least 66.7% of the voting rights through the tender offer.
• The financing structure may include debt or potential equity financing, requiring attention to leverage and dilution risks.
• Downside risks to the disclosed target price include delays in plant construction.
• If GLP-1 market expansion and outsourced manufacturing demand fall below expectations, transaction synergies would be weakened.
• Some units in PolyPeptide's financial data appear to contain suspected OCR errors and should be checked against the original PDF before use.

What to watch

• Whether the tender offer launches as planned by the end of August 2026.
• Whether the final tender offer acceptance rate exceeds the 66.7% threshold.
• Samsung Biologics' final financing mix: cash, operating cash flow, debt, or equity financing.
• Delivery against PolyPeptide's 2026E revenue growth guidance of 25-30% and high-teens EBITDA margin guidance.
• The pace of GLP-1 RAs market expansion from the United States into the ROW and pricing pressure.
• Post-acquisition peptide CDMO order wins, customer cross-selling, and capacity integration progress.