Foreign Ownership of Celltrion Rises on Strong Earnings, IR Activities

SEOUL, July 7 (Yonhap) -- Foreign ownership of Celltrion Inc., a South Korean biotech company, has risen over the past six years, driven by strong earnings and increased relationship-building activities with overseas investors, the company said Tuesday.

Offshore ownership of the firm rose 3.4 percentage points to 24.5 percent over the past six months as of end-June, according to data provided by the company.

During the same period, foreign investors purchased around 1.8 trillion won (US$1.18 billion) in bio companies listed on the benchmark KOSPI, of which 1.6 trillion won was concentrated in Celltrion, the company added.

The increase in foreign ownership comes on the back of prospects that the company will continue its robust performance in the second quarter.

Celltrion has said its estimated second-quarter operating profit was 430 billion won, up 77.3 percent on-year, while sales climbed 35.2 percent on-year to 1.3 trillion won.

They mark the highest second-quarter estimate on record, the company explained.

It also comes on the back of growing investor relations (IR) activity outside of South Korea, the company explained. Celltrion has been hosting several non-deal road shows (NDR) in major financial districts, including those in the United States, Tokyo and Singapore, to expand its base among global institutional investors.

Celltrion plans to further its IR activities in the second half, starting with Europe this month. In September, the company plans to invite around 50 foreign investors to South Korea for a "Research and Development (R&D) Day" event aimed at promoting the company's R&D competitiveness and explaining long-term goals, it said.

"We are seeking to continue expanding direct communications with global investors by holding both NDRs and conferences in various areas," Celltrion said. "The company will make efforts to strengthen our base with long-term investors and improve corporate value, through active IR activities."