Celltrion takes over French health care firm Gifrer

Gifrer's physiological saline solution / Captured from Gifrer's website

Celltrion said Tuesday it acquired French health care firm Gifrer, securing a sales network capable of responding swiftly to changes in local health care policies.

According to the Korean biopharmaceutical firm, its French unit acquired the entire stake in Gifrer. The two sides did not disclose the financial details of the deal, but said they plan to finalize administrative procedures related to the acquisition by the end of this month.

Celltrion said it will operate Gifrer as an independent entity and retain the employment of around 70 employees working at the French firm.

Established in 1912, Gifrer is a small company but holds a sales network spanning more than 9,000 pharmacies and about 800 hospitals across France. It also holds a meaningful market presence in local over-the-counter products, including physiological saline solution, tooth whitening products, infant care products and other drugstore medicines.

The acquisition marks Celltrion’s strategic move aimed at leveraging Gifrer’s local sales network. Through the deal, the company secured pharmacy sales capabilities tailored to proactively respond to the French government’s expanding substitution dispensing policy.

Substitution dispensing refers to a system that allows pharmacists to independently select and dispense medicines containing the same active ingredient as those prescribed by doctors at hospitals.

France introduced the system for certain medicines in 2022, increasing the importance of pharmacy sales capabilities for drugmakers. In the first quarter of last year, Humira, one of the world’s best-selling autoimmune disease treatments, was added to the substitution dispensing list, making stronger pharmacy sales capabilities increasingly important for Celltrion, which produces biosimilars of the drug.

Celltrion plant in Incheon / Courtesy of Celltrion

Celltrion said the osteoporosis treatment Prolia and cancer-related bone disorder treatment Xgeva are expected to be added to the substitution dispensing list this year. The company plans to leverage Gifrer’s pharmacy sales network to market its biosimilars Stoboclo and Osenvelt, which reference Prolia and Xgeva, respectively.

Along with the sales network, Celltrion said it expects around 250 billion won ($169 million) of additional revenue from Gifrer’s products over the next five years.

“As substitution dispensing approvals continue to expand in France, the acquisition of Gifrer allows the company to proactively respond to policy changes and expand into new business areas,” a Celltrion official said.

“Starting with the acquisition of Gifrer, Celltrion will continue to explore mergers and acquisitions opportunities that can strengthen our direct sales capabilities.”