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- 2025-12-27 12:03:48
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- SNU professor investigates new anti-cholesterol medicine
- by Eo, Yun-Ho Jan 07, 2020 06:29am
- 김효수 교수 Researchers in Korea are onto developing a next generation anti-cholesterol medicine. Pharmaceutical industry reported on Jan. 7, a team of Seoul National University researchers led by Professor Kim Hyo-soo is preparing a Phase 1 clinical study on candidate medicine inhibiting cyclase-associated protein 1 (CAP1). Previously, Seoul National University Hospital’s Research-driven Hospital Project—Inflammation/ Metabolism Unit Program led by Professor Kim Hyo-soo and Professor Jang Hyun-duk discovered CAP1 protein essential for protein convertase subtilisin/kexin type-9 (PCSK9) to destroy low-density lipoprotein (LDL)-receptor and identified the mechanism. LDL-cholesterol, when combined with LDL-receptor on the surface of hepatocytes, enters into the hepatocyte through a pathway called clathrin. Then the LDL-cholesterol is broken down, while LDL-receptor moves back to the cell surface and is reused. After then, CAP1 carries PCSK9 combined with LDL-receptor to an intracellular pathway, caveolin, where LDL-receptor is broken down by lysosome without getting reused. In short, PCSK9 is essential for CAP1 to break down LDL-receptor. Interestingly, CAP can be found in every organ of a human body, which means CAP1-inhibiting mechanism could be effective not only for lowering cholesterol level but also for other disease. In fact, the CAP1-inhibitor, currently under investigation by Professor Kim’s team, is targeting for indication on treating fatty liver and cancer. Professor Kim Hyo-soo stated, “With the six-year-long research, we have confirmed possibility of the investigational medicine, and we are planning for a Phase 1 trial on the medicine. Although PCKS9-inhibitor has been commercialized and demonstrated effectiveness, CAP-inhibitor could be another treatment option.” The team has already conducted a study with CAP1-inactivated mice. The outcome found the mice lacking CAP1 had hepatocyte surface with increased LDL-receptor and had significantly lower the level of LDL-cholesterol level in its blood. Also when intentionally breaking down LDL-receptor in liver of mice injected with PCSK9 antibody, the symptom of degraded LDL-receptor has been improved noticeably in mice without CAP1. Moreover, the research team analyzed PCSK9 gene mutation in people with considerably low LDL-cholesterol and found mutated PCSK9 could not properly bind with CAP1 to be functional.
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- Ildong starts distribution of GSK generic drugs
- by Jung, Hye-Jin Jan 07, 2020 06:28am
- From the 6th, Ildong will begin supplying nine OTC drugs from GlaxoSmithKline. Orders from wholesalers and direct-selling pharmacies began on the 3rd, and the products are shipped from the 6th, depending on the order amount Under the co-promotion agreement with GSK, Ildong has sold a comprehensive cold medicine 'Theraflu', an ophthalmic drug 'Otrivin', a smoking cessation drug 'Nicotinell', a hyperhidrosis drug 'Driclor', and an external anti-inflammatory drug 'Voltaren', denture attachments 'Polident', toothpaste 'Sensodyne' and 'Parodontax', and co-band medical expander 'BreatheRight'. Last year, domestic sales of nine products stood at about ₩46 billion. These products have been sold by Dong-wha until last year. Traders are interested in supply prices. In particular, it is common practice for OTC drugs to raise their supply prices when their sales corporation changes. First, pharmacies that deal directly with Ildong will receive their products at prices similar to those offered by Dong-wha. An official at Ildong said, “It is an internal decision that there is no price increase on a direct pharmacy basis. OTC drugs are particularly easy to raise when prices change due to higher drugstore and consumer resistance, but considered pharmacy convenience as much as possible”. On the other hand, the purchase price of wholesalers is likely to be slightly adjusted. Some wholesalers are adjusting their orders because nine items will see a 3% price increase overall. A wholesaler said, “It is reported that the price will increase by 3-4%. The exact price will be known next week.” Unlike reimbursed drugs with a fixed insurance premium, non-paid drugs, over-the-counter drugs, are sold by margins by wholesalers at supply prices set by pharmaceutical companies. In general, wholesalers spend about 8% of their supply on distribution, so over-the-counter drug margins are determined within 8-10%. When wholesaler prices rise, pharmacy sales and consumer prices go up. However, Ildong responded that there will be little price increase due to the high proportion of direct pharmacies. It is because Ildong operates Ildong Shop, a pharmaceutical online mall, and since Ildong is a pharmaceutical company with a high proportion of OTC sales among domestic pharmaceutical companies, most of them are directly dealing with pharmacies. An official of Ildong said, “The high proportion of direct pharmacies is also beneficial to correct the distribution order, in the case of GSK products, we would like to maintain stable sales by increasing the proportion of direct drug sales rather than wholesale supply”.
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- 5-year ‘Botox War’ to end this year
- by Kim, Jin-Gu Jan 06, 2020 11:00pm
- The legal dispute between Daewoong Pharmaceutical and Medytox over botulinum toxin strain would come to an end this year. While the industry predicts the final decision would be made in coming June, legal experts see either one of them losing the case would take a heavy blow. According to industry sources on Jan. 3, the U.S. International Trade Commission (ITC) has scheduled to have Daewong Pharmaceutical-Medytox strain trial in February, preliminary decision in June and final decision in October. ITC has announced a specific schedule of the trial on June 5 EST. The question of has Daewoong Pharmaceutical stolen Nabota’s botulinum toxin strain as accused by Medytox or it was discovered by Daewoong Pharmaceutical as it claims would be answered on June 6 in Korea. Unlike other general court litigation, the U.S. ITC patent investigation is dealt in a unique style. What differs the most is the role of Staff Attorney. The staff attorney is a third party, apart from either the complainant or defendant, appointed by the judge. The assigned staff attorney takes a role of investigating honest and fair proceedings of the two disputed parties during “discovery” and representing “public interest” during trials as an independent party. Specifically, the staff attorney conveys their position on the patent infringement accusation to the judge. The judge, on the other hand, is not mandated to accept the staff attorney’s position, but it is perceived as significant influence on the outcome, according to patent dispute experts. It has been reported Korean-American attorney Brian Koo has been appointed as a staff attorney for the case. Basically, other than the judge, the attorney is holding the key to the litigation result. After the preliminary decision has been forwarded to the two parties in June, the proceeding would end with the final decision in October. Generally, the preliminary decision goes unchanged for the final result, but it could be flipped. The judge rules the preliminary decision, while the Commission makes the final decision. After the final decision has been forwarded, each company can file an appeal to the U.S. Court of Appeals for the Federal Circuit (CAFC) within 60 days. However, CAFC would decide whether or not to accept the appeal. Regardless of the result, industry and legal experts say either one of the parties would take a significant impact. Several tens of billions have been spent on the litigation already. The two companies’ financial statement from the third quarter last year found that Medytox and Daewoong Pharmaceutical have spent 7.8 billion won and 10.4 billion won, respectively. Meanwhile, their financial burden would snowball after they initiate civil suit proceedings after the final ITC decision.
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- BMS re-applied for suspension about Eliquis
- by Kim, Jin-Gu Jan 06, 2020 06:21am
- Eliquis' price has dropped by 30% since last 1st. This is in accordance with the Seoul Administrative Court's decision at the end of last year. However, It is also likely that drug prices will rise again in the 2nd course of legal disputes. The Ministry of Health and Welfare recently announced that Eliquis' suspension of price cuts has been lifted as of January 1 through a notice of the ‘Pharmaceutical Benefit List and Reimbursement Limit Table’. Eliquis’ price has been reduced from ₩1,185 to ₩830. The action is in response to a decision made by the Seoul Administrative Court on December 19 last year. The administrative court went for the defendant, welfare department in a minimum lawsuit for the adjustment of the upper limit on the amount of drug adjustments filed by BMS against the minister. It was ruling that Eliquis' disposal of the drug price was justified following the launch of the generic.. Eliquis' price was initially to be reduced to July 1. However, BMS has filed a series of petitions for suspension of drug price reduction and a minimum lawsuit. The court accepted the BMS' claim. The decision was made to suspend the price cut. The Ministry of Health and Welfare delayed the Eliquis’ price cut twice. The suspension lasted until December 31 of last year. The court ruled in favor of the Ministry of Welfare, leaving approximately two weeks before the suspension of the Ministry of Welfare. The suspension was lifted. The price was automatically lowered from January 1 Eliquis' price may rise again. This is because BMS who lost the first trial appealed to the Seoul High Court. Indeed, BMS, the legal representative of BMS, was confirmed that the Ministry of Health and Welfare applied for suspension from the Seoul High Law immediately the day after the Ministry of Health and Welfare announced the suspension of drug price reduction. The application for suspension shall be decided by the court, independent of a trial on an appeal case(Original suit). The decision of the original case and the decision to suspend execution were allotted to the ninth administration of the Seoul High Court. It is unknown whether the court will accept the BMS’ application. The relevant trial date has not been set yet. In general, most courts cite the application for suspension of drug price reduction, but it is difficult to predict easily that there is also the opposite case. In the first trial, part 14 of the Seoul Administrative Court accepted the application for suspension of BMS. On the contrary, in last September, part 6 of Seoul Administrative Court rejected the application for price reduction’s suspension of the disposable eye drops from 21 domestic pharmaceutical companies.
- Company
- SK gets world’s first quadrivalent flu vaccine PQ by WHO
- by Lee, Seok-Jun Jan 06, 2020 06:20am
- For the first time in the world, a quadrivalent influenza vaccine passed prequalification (PQ) by the World Health Organization (WHO). SK Bioscience announced on Jan. 2 WHO has completed the seven-month long PQ evaluation and granted a certification of PQ on its Sky Cellflu Quadrivalent. This marks the first time in the world history for a cell-cultured quadrivalent influenza vaccine to pass WHO’s PQ evaluation procedure. Even including egg-based vaccines, only three quadrivalent influenza vaccines, except Sky Cellflu Quadrivalent, have passed the PQ. WHO’s PQ evaluation follows strict set of criteria to verify safety and efficacy of vaccine by assessing the finished pharmaceutical product’s manufacturing procedure, quality and clinical trial outcomes. The evaluation procedure includes technical document review of clinical trial and quality test data, sample quality test, and due diligence on GMP and quality control system. A company with PQ certification is eligible for international bidding for vaccine procurement called by UN-affiliated UNICEF and Pan American Health Organization (PAHO). As of last year, the PAHO’s market volume for influenza vaccine has reached about USD 700 billion (about 81.4 billion won). Sky Flucell Quadrivalent is a vaccine preventing four types of influenza viruses. Unlike typical egg-based vaccinea, the Korean-made quadrivalent vaccine is produced with top-of-the-line aseptic culture system, which does not require preservative. With the unique qualities, the vaccine has less risk of allergic reaction or adverse reaction from egg or antibiotics when administered. Besides, the vaccine can be manufactured quickly as its production time is close to a half of other vaccine’s. Since its split from SK Chemical in July 2018, SK Bioscience has been specializing in vaccine production. The company’s vaccine portfolio includes Korea’s first trivalent cell-cultured influenza vaccine ‘Sky Cellflu,’ the world’s first quadrivalent cell-cultured influenza vaccine ‘Sky Cellflu Quadrivalent,’ the world’s second shingles vaccine ‘Sky Zoster’ and the second Korean-made varicella vaccine, ‘Sky Varicella.’
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- Nexavar reimbursement cleared for severe HCC patients
- by Eo, Yun-Ho Jan 06, 2020 06:20am
- From this year, reimbursed prescription would be granted on liver cancer treatment Nexavar treating patient with severe liver dysfunction. According to the new pharmaceutical listing, reimbursement on Nexavar (sorafenib) would be provided for a patient, including pediatric patient, with advanced hepatocelluar carcinoma (HCC) who is unable to undergo local treatment like surgery or transarterial chemoemoblization (TACE), and qualifies condition of being classified as class A or B7 according to Child-Pugh scoring; in Stage III or more advanced; or classified as Grade 0 to 2 of ECOG Performance Status. Provided by the newly revised listing, treatment access to Nexavar has been expanded not only for patients with good liver condition graded by Child-Pugh scoring, but also for patients with HCC with severe liver dysfunction. The coverage expansion has been decided based on the safety profile confirmed in the GIDEON study incorporating HCC treatment guideline from home and abroad and numerous HCC patients classified in class B7 by Child-Pugh scoring. With 3,371 participants around the world with unresectable HCC, GIDEON study evaluated safety of sorafenib by treating the subgroup patients with 800 mg of sorafenib daily, reduced when necessary. The study found consistent safety profile in over 70 percent of the participants, specifically in Child-Pugh A patient group (61 percent) and Child-Pugh B7 patient group (11 percent). Consistent incidences of adverse events were reported from Child-Pugh A and Child-Pugh B7 patients groups with 69 percent and 67 percent, respectively. Commonly reported drug-related adverse reaction from Child-Pugh B7 group was diarrhea (27 percent), hand-foot syndrome (20 percent) and fatigue (16 percent). And in the subgroup analysis of GIDEON on 482 Korean patients, the safety profile was consistent in Child-Pugh A patient group (56.8 percent) and Child-Pugh B patient group (21.8 percent). The subgroup analysis found overall patient group treated with sorafenib (n=482), including Child-Pugh B patients, reached median overall survival of 8.5 months, which was not too far off from the median overall survival of 10.2 months in Child-Pugh A patients only group. Commonly referred by cancer academics, the U.S. National Comprehensive Cancer Network (NCCN) Guidelines (Version 3.2019) and HCC Treatment Guideline in Korea (2018) recommends Nexavar as systemic treatment for HCC patients with specific tumor condition including Child-Pugh A and B7 class of liver function. Professor Kim Yoon Jun of Gastroenterology Department at Seoul National University Hospital commented, “Preserving the liver function is crucial in HCC treatment, but patients with already dysfunctional liver or cancer-damaged liver had not have many treatment option. However, even the patients with severe liver condition, who used to be inaccessible to systemic anticancer therapy, can now access to higher level treatment option with expanded reimbursement.”
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- Daewoong launches 'Nabota' Phase III clinical trial in China
- by An, Kyung-Jin Jan 02, 2020 11:26pm
- On the 28th, Sung-soo Park , Director of Nabota Business Division, Daewoong Pharm. Co., Ltd (Third left in front row) is taking commemorative photos with the researchers such as Yu-ri Pan, professor of dermatology (Fourth left in front row) of Zhejiang Provincial PeopleNabota, a botulinum toxin preparation developed by Daewoong Pharm. Co., Ltd (CEO Seung-ho Jeon), has begun preparations for clinical trials in China. Daewoong Pharm. Co., Ltd announced on the 31st that it held a researcher meeting for Nabota's phase III clinical trials in China at the Pullman Skyway Hotel in Shanghai on the 28th. Daewoong Pharm. Co., Ltd aimed to release the product in 2022 after acquiring Nabota's moderate to severe frown lines improvement indications in China. Daewoong Pharm. Co., Ltd plans to demonstrate non-inferiority and safety by comparing Nabota with the reference drug for 16 weeks in 500 patients with moderate or higher frown lines. The clinical trials will be conducted in 12 institutions, including the 9th Hospital of Shanghai Jiao Tong University, which is famous for its plastic surgery in China. Around 60 people attended the meeting, including professors in the 9th Hospital of Shanghai Chung-Ang University Hospital including the chief clinical officer of China, Chung Bong Lee, clinical researchers and hospital staff. In addition to the announcement of China's Phase III trial plan and questions and answers, Nabota products and clinical trial experiences were introduced. In order to improve understanding of the product and clinical trials, Dr. Won-Woo Choi, a dermatologist of the Wells Dermatology Center, conducted a training program to assist in the launching of clinical trials such as the method for evaluating the frown lines. Chung Bong Lee, Professor of the 9th Hospital of Shanghai Chung-Ang University Hospital said, “2020 is the most anticipated time of change in the medical beauty market. Many people are looking forward to new products, and Nabota will strive to become a successful importer of botulinum toxin in China”. Sung-Soo Park, director of Nabota Business Division, Daewoong Pharm. Co., Ltd, said, “China has the largest number of patients in the world, while its market penetration rate is as low as 2%. The market is expected to grow the most in the future because there are only two licensed drugs. If a high-quality, reasonably priced product, such as Nabota, is officially approved and supplied to the market, Chinese potential patients will be able to receive botulinum toxin procedures more easily and safely”.
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- What's the court ruling on the claim of CSO's money?
- by Jung, Hye-Jin Jan 02, 2020 06:05am
- Medical personnel who received rebates from the CSO in exchange for prescriptions of drugs pleaded not guilty in medical law, the court was found guilty. Doctors insisted that the money they received could not be rebated because the CSO was not a 'medical supplier' as defined by the Medical Law, but the court found that the amount provided by the pharmaceuticals and the CRO planning to offer the rebate was also guilty. The Seoul Western District Court sentenced the fines and penalties for medical doctors A and B last October. A and B, the head of the hospital of X hospital, accepted a proposal from a pharmaceutical company, CSO C, who was in charge of sales agency, saying that prescription of medicines will be given a certain amount of cash and meals. They were caught receiving cash of ￦4.5 million and ￦4.7 million respectively. Doctor A and B pleaded not guilty because ▲ the person who gave the money was not a drug provider, and ▲the individual did not use the money received. In particular, doctors A and B suggested that the amount received from the CRO cannot be rebate, and presented Article 23-2 of the Medical Act and Article 23-3 of the Medical Act. Defendants said that all medical laws prohibit medical workers and others accepting money, etc. from 'pharmaceutical suppliers' (according to Article 47, paragraph 2 of the pharmaceutical affairs law). One argued that money did not apply to this decree. It was argued that money received from a CSO sales person, not a drug supplier, does not fall under this law. The issue was whether the receipt of money from a CSO sales representative would not fall under the requirements of Article 23-2 of Article 2 of Medical Law and Article 23-3 (1) of Medical Law. Prosecutors in charge of the case were reportedly submitted to the Tribunal after investigating the meaning, background, role, problems, and actions of the government and related associations. The court did not accept all the claims of the doctors based on all the evidence. The judiciary said, “Even if the person who provided the money was not a drug supplier, it was processed in a violation of the pharmacist law, & CSOs are no problem in evaluating them as drug providers, CSOs can be evaluated as a drug provider if they can evaluate the degree of participation of CSO officials, the contents of collusion between drug companies and CSO officials, and the sharing of behaviors as joint norms”. Based on the data submitted to the court, between the pharmaceutical company's employees and the CSO officials, the company planned to receive money from the pharmaceutical company in the name of agency commission and pay most of it as a rebate to medical workers. This proved to be the case. The Tribunal decided that CSOs can be evaluated as drug providers and CSO can be seen as a co-criminal recognizing the fact that the CSO received commissioned money in the name of the agency commission, most of it was provided to the medical workers for rebates. The Tribunal also did not acknowledge that doctors claimed that the money they received from the CSO was used to run hospital wards, not individuals. The court judged, “Even if there is a part of the money received and belonged to other members, it does not exclude it from the economic benefits of Doctor A and B. It does not mean that the money belongs to the hospital, which is a medical institution”. The judiciary's judgment is that the hospital staff is an autonomous organization run by the hospital's affiliates and doctors, and is not an official organization of the hospital. In addition, it was hard to say that money was spent on the operation of the legislature due to the lack of substance and the lack of grouping, and there was no evidence that the money was distributed regularly to the members of the legislature. In addition, Doctor A and B, the head of the hospital, suggested that they realistically present drug prescription guidelines and influence residents’ prescriptions. The statement that the pharmaceutical offered them money also affected the ruling. The court pointed out that “after the defendants were paid directly, they used it as expenses for the members of the legislature, such as event expenses, and even if they knew it, it was only a consumption method after the violation of medical law”.
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- Round 2 of Eliquis pricing reduction litigation to begin
- by Kim, Jin-Gu Jan 01, 2020 10:35pm
- Bristol-Myers Squibb (BMS) has decided to make an appeal after losing the Eliquis (apixaban) pricing reduction litigation suit. The twice postponed Eliquis pricing reduction could be postponed, yet again. According to pharmaceutical industry sources, BMS has filed an appeal on Dec. 23 at Seoul High Court. Seemingly, the legal dispute between Ministry of Health and Welfare (MOHW) and BMS over Eliquis would continue. Seoul Administrative Court on Dec 19 rejected the litigation BMS filed against Minister of Health and Welfare to revoke the decision to adjust maximum reimbursed price, and ruled favorable to the defendant, MOHW. Accordingly, the maximum reimbursed price of Eliquis was supposed to be reduced by 30 percent, down to 830 won per tablet, from Jan. 1 next year. MOHW also announced it would postpone the new pricing of Eliquis until Dec. 31. However, the table has turned as BMS is appealing the court ruling. The drug pricing reduction could be postponed for three times. Legal experts say the suspension of drug pricing reduction is limited to each trial. Therefore, BMS may now request for another suspension of the execution as the company is to start another trial. However, it is still unclear if Seoul High Court would accept BMS’ request of suspension. Previously, the court accepted the request most of the times, but in some cases it had not. Regardless, the industry sources predict the ministry would take a reserved action as MOHW itself is unsure of the result of the second trial. In case the ministry loses the second trial after lowering the drug’s price on Jan. 1, the drug price would drop to 830 won and rise back up again to 1,185 won. The sources say the ministry would probably maintain the present pricing to minimize the confusion. A pharmaceutical industry insider analyzed ”The BMS’ appeal has double intentions. The company wants to revoke the ministry decision, while it delays the actual pricing reduction point as much as possible.” The current law states the original’s maximum reimbursed price is to be lowered by 30 percent from the point of same class generic is available, and it is to be brought down to 53.55 percent of the original price from the following year and on. As apixaban generic was launched in June, MOHW had initially planned to lower the price of Eliquis from 1,185 won to 830 won by 30 percent, starting from July 1. However, the reduction was postponed, when BMS requested for suspension of the execution on July 1, and the court accepted the request on July 19. The ministry stated the grace period would end on Dec. 31.
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- The NPS, strengthen management intervention of companies
- by Chon, Seung-Hyun Dec 31, 2019 06:45am
- The nation's largest institutional investor, the National Pension Service declared that it will actively participate in management of investment companies. Starting next year, the possibility of exercising shareholder rights, such as dismissal of directors, will be raised against “bad companies” that violate laws such as embezzlement and resignation. Pharmaceutical bio companies with high stakes in the national pension will also be affected by their participation in national pension management. The National Pension Fund Management Committee held the ninth meeting in 2019 to deliberate and decide on the Guidelines for Active Shareholder Activities. This is a follow-up to the Principles for National Pension Depositary Responsibilities implemented in July last year. The stewardship code is an action guide for the institutional investors, such as pension funds, to faithfully fulfill the responsibilities of trustees, including shareholder activities, for the benefit of the citizens. The active shareholder activity guideline is based on the decision and implementation of the shareholder proposal by the Fund Management Committee within the scope of the Commercial Law and Capital Markets Act. If a pension-invested company undermines corporate value such as embezzlement or labor, and the company does not make efforts to improve it, the national pension may offer a shareholder proposal such as moving away from the company or changing its articles of incorporation. Active pension shareholders' activities are divided into key management issues and unexpected concerns. Key management issues include corporate dividend policy, adequacy of executive remuneration limits, embezzlement and directions, such as damage to corporate value, violation of shareholders' rights, and continuous exercise of voting rights. The National Pension Service will carry out four levels of trustee responsibility activities: private conversation target companies, private key management companies, public key management companies, and shareholder proposals. Unforeseen issues are those that may cause unforeseen damages to corporate values or shareholder rights in relation to the environment, society and governance. Large-scale industrial accidents or severe environmental damage are included. Unexpected concerns go through two stages: selection of companies to be closed talks and shareholder proposals. Neung-hoo Park, The Minister of Health and Welfare said, “The main purpose of the 'Active Shareholder Activities Guidelines' that the National Pension Plan is to create is not to intervene or interfere with corporate management, and it is to improve the profitability of the National Pension System by solving problems through dialogue with companies to increase corporate value and shareholder value”. However, the business community criticizes the national pension as a management intervention. This is because, depending on the will of the National Pension, there is more room to interfere with management such as the removal of directors and the change of articles of incorporation. The Federation of Korean Industries criticized on the day, “If the national pension increases involvement in corporate management and interference with corporate governance, the business activities of companies that have to concentrate on entering new industries and creating jobs will be reduced, and the vitality of our economy will be lost”. As of the end of 2018, national pension investment pharmaceutical bio companies and their shareholdings (Source: The National Pension Service)Pharmaceutical bio companies with high stakes in the National Pension will also be affected by management intervention. As of the end of last year, there are eight pharmaceutical bio companies with more than 10% of the national pension, including Dong-A Socio Holdings, Dong-A ST, Kolmar Korea, Chong Kun Dang, SK Chemicals, Suheung, Yuhan, and Hanmi Pharmaceutical. A total of 22 pharmaceutical bio companies have more than 5% of the national pension. Dong-A Socio Holdings and Dong-A ST, who have the largest stake in the national pension, have faced opposition from the national pension. In 2013, when Dong-A Pharm attempted to split the company into a holding company system, the National Pension Service, which owns a 9.5% stake, then voted against it. The split of the old Dong-A Pharmaceutical is divided into the holding company 'Dong-A Socio Holdings', 'Dong-A ST' in charge of specialty medicines, and 'Dong-A Pharmaceutical', including the general medicine business division, including Bacchus. Dong-A Pharm is a wholly owned subsidiary of the holding company. At the time, the National Pension Service rejected the agenda item, saying, “Because the Bacchus division, which earns 50% of its operating profit from Dong-A Pharm's cash cows, becomes a privately held company, there is a risk of losing shareholder value, despite opposition from the three major shareholders pensions, Dong-A Pharm managed to split 73.38% of the shares in the extraordinary shareholders' meeting”. However, it is also observed that major pharmaceutical bio companies, such as large pharmaceutical companies, have stable control through the change of holding company structure, so that the active shareholder activity of the National Pension will not be a threat. In March, the National Pension Service voted against some agenda at the regular shareholders' meetings of seven pharmaceutical bio companies, including Dong-A ST, Dong-A Socio Holdings, Hanmi Pharmaceutical, Samsung BioLogics, Celltrion, and Seoheung, but all passed by the original plan.
