Hanmi Science Jumps Amid Power Struggle Over Corporate Control[K-BIO Pulse]

[Kim Jiwan, Edaily Reporter] On the 24th Korea’s pharmaceutical and biotech sector moved into the market spotlight as corporate control disputes breakthrough drug development results and rising order backlogs converged to drive strong gains across bio and healthcare stocks.

Hanmi Science surged on escalating governance tensions Hyundai ADM rallied on breakthroughs in overcoming cancer drug resistance while Biotoxtech gained momentum on expectations of a sharp earnings turnaround backed by a massive order backlog.



◇Hanmi Science jumps on control dispute

Shares of Hanmi Science posted a sharp rally as news of deepening management conflict surfaced.

According to KG Zeroin MP DOCTOR, Hanmi Science rose 7,950 won or 18.60%, to 50,700 won compared with the previous session.

The surge is widely attributed to escalating friction between the company’s largest shareholder Shin Dong guk and Park Jae hyun CEO of Hanmi Pharmaceutical. The dispute has become a direct clash between assertions of shareholder authority and demands for independence under a professional management system.

Before market open, Shin disclosed that he had borrowed approximately 213.7 billion won using shares of Hanyang Precision as collateral to acquire an additional 6.45% stake in Hanmi Science. His ownership has now increased to 29.83%, raising speculation that he may seek sole control after distancing himself from former ally Song Young-sook.

The conflict intensified following the resolution of the earlier family ownership dispute. Shin had previously supported the professional management structure led by Song and her daughter Lim Ju hyun, but tensions later emerged when Shin’s appointees attempted to cut R&D budgets and staffing levels, triggering internal backlash.

Park recently stated in an interview “I rejected Shin’s directives to use cheaper raw materials and minimize facility investments in accordance with company principles” publicly raising concerns over management interference.

In response, senior executives at Hanmi Pharmaceutical held a protest rally at company headquarters on the 23rd, demanding an end to Shin’s involvement in management. The standoff between shareholder dominance and managerial autonomy is expected to continue weighing heavily on the group’s governance structure.

Song Young-sook, Chairwoman of the Hanmi Group, is entering the Hanmi Science board meeting held at the Hanmi Tower in Songpa, Seoul. (Photo by Song Young-du)

◇Hyundai ADM gains spotlight on drug breakthrough

Hyundai ADM’s shares have continued a steep climb as its transformation from a contract research organization (CRO) into an innovative drug developer gains investor focus particularly following research progress aimed at overcoming cancer drug resistance.

The company closed up 29.93% at 15,670 won, hitting the daily upper limit and marking a new 52-week high. The stock has now surged more than 400% since the beginning of the year.

Market attention centers on Hyundai ADM’s identification of genetic changes linked to the “stromal barrier” in drug resistant tumor tissues. The findings suggest a potential new therapeutic approach for patients who no longer respond to existing cancer treatments drawing strong interest across the biotech sector.

Investor sentiment has also been boosted by the company’s planned name change at its March shareholders’ meeting to Penetrium Biosciences signaling a shift toward becoming a First in Class drug developer rather than a CRO.

CEO Cho Won dong said “The name change is a declaration that our identity has evolved from clinical support to a drug development company”

adding “With scientific evidence proven through human organoids we aim to open a new era where humanity is freed from the fear of cancer.”

◇Biotoxtech’s Order Backlog Surges to 41.5 Billion Won, Raising Expectations for Strong Earnings Growth

Preclinical and clinical CRO specialist Biotoxtech is entering a new growth phase, driven by a 415 billion won order backlog and rapid expansion at its subsidiary operations.

On the day, Biotoxtech closed at 3,950 won up 680 won (20.96%) from the previous trading session.

In a shareholder letter released on the 23rd, the company acknowledged that reduced private and government R&D spending over the past two years created a challenging business environment, but emphasized that operational efficiency and quality competitiveness have now positioned it for recovery.

As of the end of last year, Biotoxtech’s backlog stood at roughly 415 billion won with the fourth quarter marking the second highest quarterly order intake in company history. Given that CRO contracts typically convert into revenue over several quarters, management expects meaningful earnings acceleration beginning this year.

The firm also highlighted the strategic backing of Celltrion, which holds a 10.22% stake, underscoring confidence in its technology and long term stability.

Its high-growth subsidiary Keyprime Research, a non-human primate (NHP) research specialist, has been doubling both orders and revenue annually and has recently begun formal IPO preparation procedures.

Biotoxtech is further strengthening shareholder returns through share buybacks and planned cancellations while expanding IR activities. The company is currently executing a 10 billion won treasury share repurchase program running through the 26th.

A company official stated, “After enduring two difficult years we are now preparing for our second leap forward,”

adding “We will repay shareholder trust through earnings growth and transparent communication.”