Traphaco Joint Stock : Kick-off meeting technology transfer phase 2 between Traphaco and Daewoong

On August 19^th, 2021, Traphaco Joint Stock Company and Daewoong Pharmaceutical Limited Company, Korea (Daewoong) organized the kick-off meeting of Technology Transfer Project for the the Phase 2.

In the Annual General Meeting of Shareholders of Traphaco Joint Stock Company (Traphaco) on March 31^st, 2021, 5-year company development orientation for the period 2021-2025 has been set with the goals of compound growth rate for total revenue & profit in manufactured and exploited imports products; in which one of the most important activity is enhancing technology transfer for the phase 2 with Daewoong.

Determining the importance of this project, right after the Congress, the Non Herrbal Sub-Committee was established, focusing on 4 main areas: technology transfer products, new pharmaceutical products at Traphaco Hung Yen, exploited imports products and ETC channel products. Since the beginning of operation, the Sub-Committee has prioritized and focused resources on the Technology Transfer Project, coordinated with related departments, and delivered many positive results.

At the kick-off meeting, Ms. Dao Thuy Ha - Deputy General Director of Traphaco, Co-Head of the Non Herbal Sub-Committee - presented an overview summary report on the operation results of the Non Herbal Sub-Committee. Accordingly, the objective of this project is to increase the proportion of ETC channel revenue, contribute to the goal of achieving the total revenue growth through the diversification of Traphaco's product portfolio; Increase the proportion of new pharmaceutical products with high scientific strength such as First Generic and Generic Drugs; Increase the amount of highly competitive new pharmaceutical products when participates in tenders activity at public health facilities, with the cooperation and support from Daewoong partner.

Mr. Lee Tae Yon - Co-Head of Non Herbal Subcommittee - shared about the implementation plan after the kick-off meeting. It is expected that there will be 12 products to be transferred technology during this period. Especially, the new points of Technology Transfer Phase 2 are: Products are selected based on sales forecasts and cost estimates to ensure effectiveness and many products have good market capacity with highly potential efficiency.

Regarding the implementation method, the two sides together researched and transferred technology directly at the stage of commercialization to the market, that contribute to speed up the deployment speed and optimizing costs. Daewoong will accompany with Traphaco's R&D department to ensure trial production and get regulatory approval, thereby enhancing Traphaco's capacity. The total revenue for the 5 years forecast since the stage of products commercialization is expected to be $26 million.

Speaking at the meeting, Mr. Tran Tuc Ma - General Director of the company insisted that the Technology Transfer process is totally important for the company's goals and development orientation. Mr. Ma on behalf of the Board of Management committed to create the best conditions for the technology transfer process to be implmented that follow the planned schedule.

Mr. Nguyen Anh Tuan - Vice Chairman of the Board of Directors of Traphaco shared about the trust of the Board of Directors and appreciated the achieved results of the cooperation of the two sides. The project will bring important values ​​to Traphaco: in terms of revenue growth, financial efficiency and distribution channels, creating a good product portfolio with many categories of drug that have great market demand and other new technologies that are more suitable with the trend; He also emphasized the necessary to work closely with Daewoong in the upcoming time and committed to creating favorable conditions for both sides through coordinating role of the Board of Directors.

The production line of tablet medicine at Traphaco's 4.0 pharmaceutical factory

Previously, in March 2019, the Kick-off Meeting of the Phase 1 Technology Transfer Project between Traphaco and Daewoong was successfully organized. Right after the kick-off meeting, the transfer teams of the two sides developed and implemented a specific plan for the best technology transfer.

The Technology Transfer project between Traphaco and Daewoong opens up many opportunities and tightens the cooperation relationship between the two parties, contributing to the realization of Traphaco's sustainable development orientations.