Celltrion Completes Integration of France’s Gifrer, Steps Up European Pharmacy Strategy Subtitle

Celltrion has finished integrating its acquisition of French pharmaceutical company Gifrer, setting the stage for the company's broader expansion of its pharmacy business throughout Europe. Celltrion's Chairman, Seo Jung-jin, recently toured Gifrer's facilities and discussed the integration process with company executives. Seo emphasized the need to turn Gifrer's extensive pharmacy network into increased sales and market share.

Gifrer operates a vast network of over 9,000 pharmacies and supplies products to more than 800 hospitals across France, with a portfolio of approximately 140 over-the-counter drugs, pharmacy products, and health functional products. Celltrion aims to integrate Gifrer's pharmacy network with its own direct-sales capabilities in the European hospital market, creating a unified sales platform.

Pharmacy sales are expected to be crucial for Celltrion's subcutaneous (SC) biosimilars, which are increasingly dispensed via pharmacies. France has permitted pharmacy substitution for certain biologic medicines since 2022, with the eligible product list gradually expanding. Celltrion intends to initiate direct pharmacy sales of its denosumab biosimilar, Stoboclo-Osenvelt, in accordance with French regulations and the timeline for pharmacy substitution implementation.

Additionally, Celltrion plans to broaden Gifrer's product portfolio beyond Celltrion's offerings, considering licensing and launching non-competing biosimilars, generic drugs, and healthcare products to boost sales and optimize the pharmacy sales network's efficiency. Celltrion's derma-cosmetics brand, Zipiderm, is also set to enter the French pharmacy cosmetics market early next year, with Gifrer managing local sales and distribution.

The company intends to utilize France as a pilot for its pharmacy direct-sales model. Following an assessment of the model's performance and profitability, Celltrion plans to gradually expand the model into other European markets, contingent on each country's regulatory landscape, pharmacy distribution infrastructure, and biosimilar substitution policies.

Kim Dong-sik, Global Head of Celltrion's European operations, stated that the integration work at Gifrer is complete and the company is now poised to generate tangible results by merging Gifrer's pharmacy network with Celltrion's product offerings. Celltrion anticipates that the acquisition will bolster its existing hospital-focused direct-sales model while establishing a new pathway to patients through pharmacies, potentially generating an additional growth engine for its European business.