VGX Pharmaceutical Inc., a U.S pharmaceutical company, has concluded a tentative deal to invest $200 million in building its Asian regional headquarters here, according to the Ministry of Health and Welfare on Monday.
The company signed the memorandum of understanding with the North Chungcheong Provincial Government on Sunday to establish its regional headquarters, research and production facilities in Osong, which is located 160 kilometers south of Seoul, the ministry said.
The investment by the U.S. company, which specializes in HIV and anti-hepatitis treatments, is expected to be the second-largest investment in South Korea by a foreign pharmaceutical company.
Construction for the VGX's head office is scheduled to begin next year for completion by 2011.
In June, the U.S. pharmaceutical giant Pfizer Inc. agreed tentatively with the South Korean government to invest $300 million.
South Korea is currently in talks with about 10 other overseas pharmaceuticals to attract investments for development and research, according to the ministry officials.