Celltrion and Celltrion Healthcare held a board meeting on Monday and decided to repurchase shares to stabilize stock prices to enhance shareholder value and increase confidence in business growth.

Celltrion will repurchase a total of 696,865 shares of its own stock for an aggregate purchase price of approximately 100 billion won (approximately $75 million), and Celltrion Healthcare will repurchase a total of 690,000 shares of its own stock for an aggregate purchase price of approximately 45 billion won. 

The companies plan to acquire the treasury shares through over-the-counter (OTC) purchases between August 29 and November 28, 2023.

While both companies stated that their respective businesses are progressing smoothly, both Celltrion and Celltrion Healthcare believe that the market value of the company continues to be undervalued due to market uncertainties despite the recent merger decision and detailed vision for future growth engines.  

Celltrion and Celltrion Healthcare also announced similar share repurchasing plans in February this year for 309,406 shares worth 50 billion won and 437,000 shares worth 25 billion won respectively for similar reasons.

As a result, this year, the companies have completed share repurchases totaling 1,355,376 shares of Celltrion ($202.4 billion) and 1,215,000 shares of Celltrion Healthcare ($73.0 billion). 

Together, both companies have repurchased approximately $275 billion worth of shares this year. 

“We plan to proceed with this share repurchase as quickly as possible and will continue to implement measures to enhance shareholder value as needed,” said an official from the Celltrion Group. "We will do our best to strengthen business competitiveness, preserve corporate value, and enhance shareholder value by securing various product pipelines, future growth engines, and expanding global sales."