[Edaily Reporter Shin Ha-yeon ] "Through this IPO, we will construct a second active pharmaceutical ingredient (API) plant and enter the contract manufacturing business for vaccine microneedles, thereby transforming into a global pharmaceutical company that expands exports both domestically and overseas."
Kim Ho-jin, CEO of HL Genomics, made these remarks in an interview with E-Daily, stating, “We will further strengthen the competitiveness of our existing active pharmaceutical ingredient (API) business while adding new ventures to open a second chapter of growth.”

HL Genomics is a company specializing in active pharmaceutical ingredients (APIs) that originated in 2007 as part of Hallym Pharmaceutical’s vertical integration strategy for APIs. The company primarily produces active ingredients for treatments of chronic diseases such as allergies and cardiovascular conditions. Its compound annual growth rate (CAGR) over the past five years was 16.7%, and its average operating profit margin over the past three years reached 31.7%. Last year, on a consolidated basis, the company recorded revenue of 28.9 billion won and operating profit of 9.3 billion won. Notably, it has maintained 19 consecutive years of positive operating and net income, demonstrating stable profitability.
CEO Kim cited “quality” and “trust” as the company’s primary competitive advantages. “Active pharmaceutical ingredients (APIs) are the most essential starting materials for finished pharmaceutical products,” he said. “Our greatest competitive advantage lies in having built strong relationships of trust with our clients by consistently supplying high-quality APIs over the long term.” He further emphasized, “Demand has been steadily increasing, with the average factory utilization rate over the past three years reaching 116%, and we are confident that we are a strong small-to-medium-sized enterprise with a proven track record.”
The primary reason for pursuing a KOSDAQ listing is to expand production capacity (CAPA). The current plant is effectively at full capacity. With a utilization rate of 124% last year and 118% this year, supply is failing to keep up with demand. Although the company has responded by maximizing production efficiency in the wake of the COVID-19 pandemic—when demand for certain products, such as allergy treatments, surged—it has determined that a fundamental solution lies in expanding production facilities.
CEO Kim said, “Although the factory expansion was delayed longer than expected due to the industrial complex approval process, we have now received conditional approval, and construction is set to begin shortly,” adding, “Once the second factory is fully operational, we expect to reduce manufacturing costs by 10–30% per product.” He continued, “We plan to prioritize expanding production of allergy and cardiovascular products, which offer significant cost-saving potential.” He added, “Our growth foundation will become much more solid through expanded production capacity and enhanced cost competitiveness.”
Another growth driver following the IPO is the contract manufacturing (CMO) and contract development and manufacturing (CDMO) business for microneedle vaccines. The company has signed a joint venture agreement with #QuadMedicine Inc. and is preparing to build a microneedle vaccine production facility. The plan is to take on the role of production once clinical development is complete and target the global market.
CEO Kim stated, “We plan to further expand our market dominance in our existing API business and diversify our business portfolio by launching new CMO and CDMO operations,” adding, “Our goal is to serve as a partner that participates from the early stages of R&D through to commercial production.” He continued, “Once the vaccine microneedle business gains full momentum, it will become another pillar of growth alongside the API business.”
The company is also setting its sights on overseas markets in earnest. While exports are currently focused on Colombia, Taiwan, Mexico, and Indonesia, the plan is to expand into highly regulated markets such as Europe in the future. To this end, the company will build a second plant to EU GMP standards and strengthen its quality systems and regulatory compliance capabilities.
CEO Kim said, “While entry into Japan or Europe has not yet been finalized, expanding into overseas markets is a key pillar of our mid- to long-term growth strategy,” adding, “We plan to thoroughly analyze the market and regulatory environments of each country before the second plant begins operations and enter those markets in stages.”
Reducing dependence on Hallym Pharmaceutical is another post-IPO challenge. The company has already lowered Hallym Pharmaceutical’s share of total sales from a past high of 90% to around 40%. The goal is to further reduce this dependence by expanding sales to external customers and overseas markets. He noted, “While Hallym Pharmaceutical’s stable captive market is clearly a strength, we will build an independent growth foundation by continuously expanding our external customer base and overseas markets.”
In closing, CEO Kim emphasized, “The active pharmaceutical ingredients (API) industry is one where, once a supplier is adopted, it is difficult to switch. Customers prioritize quality and stable supply capabilities over price. We have built a reputation as a company that delivers the quality and trust to justify even higher prices.” He added confidently, “Through our second plant and new business ventures, we will demonstrate our ability to take a significant leap forward as a global API company.”