Announcement of “Rich & Famous,” KOLON corporate message
- Breaking down the formality with the Best Employee of 2021 giving the New Year speech instead of the CEO -
▷ Moving away from top-down culture to sympathizing leadership culture
▷ Representing the intent to prosper while sharing the future value of growth with the society
▷ To focus on identifying the future growth engine by being “first” and to be eternally remembered for creative innovation
During the New Year’s kick-off meeting held on January 3, 2022, the Best Employee of 2021 gave the New Year’s speech, renewing the commitment to make KOLON Group a respected corporation by returning the proceeds of growth to the society.
It was the custom until last year for the CEO to give the New Year’s speech. However, in 2022, the Best Employee of 2021 made the speech on behalf of the Group, representing the Group’s new corporate culture that is moving away from the top-down approach.
Jae-In Lee, Deputy Managing Director at KOLON Global, who was awarded the top One&Only Award gave the New Year’s remarks this year. Going forward, the employee who achieved the most in the previous year will be making the New Year’s speech, regardless of his/her position and title. This will further establish a corporate culture that encourages all the members to connect with the corporate message for the year.
“Rich & Famous,” the KOLON corporate message for 2022, signifies that the more the Group shares the future values, which will be created through continuous growth, with the employees, shareholders, customers and the society, the more prosperity and reputation it would gain. KOLON Group emphasized the importance of executing the strategy of “winning by making surprise moves” every year with precision to reach the ambitious goal of realizing corporate value of KRW 300 trillion by 2028.
KOLON Group mentioned that “each subsidiary and each business division should proactively search for new business opportunities. We can only seize the future if we become the first through creative innovation and be remembered for eternity.”
Regarding the recently resumed phase III clinical trial in the United States for the new drug and the expansion of the indications, the Group highlighted that “we need to take this turning point as an opportunity and fully concentrate on completing this first-in-class drug.” It also remarked that “We, the KOLON Group, will be totally different from who we are now, when our businesses that incorporate the One&Only DNA will start to grow exponentially based on the white paper and when we arm ourselves with integrity and continuity and grow hand in hand with the society.”
It also underscored the importance of creative thinking in ESG management which has now become a trend in this era, saying “We have to generate more social values while enlarging the growth pie in our own way. Only those companies that take responsibility can pursue growth by creating value for the society.”
After the kick-off meeting, all employees started their New Year’s work wearing the badge and the bracelet that represent the KOLON corporate message. In representation of this year’s corporate message, Rich & Famous, a tree that embodies the abundant future values was placed on the white paper which symbolizes KOLON Group’s One&Only DNA. It has been the tradition of KOLON Group for the past decade to create a new design for the badge every year to remind the employees of the roles and responsibilities they need to focus on and to share the vision of the Group.
KOLON TissueGene resumes Phase III clinical trial for TG-C in the US
- World’s first cell and gene therapy for osteoarthritis, TG-C, anticipated to gain speed with clinical trials
- Clinical trials beginning on December 27, 2021 (US Western Standard Time) at approximately 80 clinics across the United States
- Plans to complete administration to patients enrolled in Phase III clinical trial by 2023
- Phase II clinical trial for osteoarthritis of the hip also approved, enabling expansion of TG-C indications and proving its safety
KOLON TissueGene, Inc. (Co-CEOs Moon Jong Noh, Sung Han) resumed administration of TG-C, the world’s first-in-class cell and gene therapy for osteoarthritis (OA), to patients with knee OA who enrolled in the phase III clinical trial in the United States.
KOLON Tissue Gene (“Company”) announced on December 28, 2021 that the injection of TG-C to patients enrolled in the clinical trial was reinitiated on December 27 (WST) at Source Healthcare in Santa Monica, California. The Company plans to complete the injection to a total of 1,020 patients (including 11 patients who already completed the clinical trial) at around 80 clinical centers across the US by 2023.
Unlike the traditional treatments of knee OA such as surgery, opioids or physical therapy, TG-C is a first-in-class cell and gene therapy that treats the disease through an intra-articular injection on the knee.
The Company designed the clinical trial so that TG-C can be approved as a Disease-Modifying Osteoarthritis Drug (DMOAD) that not only controls pain and improves the function, but also enhances the structure of the joints. To date, no drug has been acknowledged as DMOAD globally.
As the injections resumed after the Food and Drug Administration (FDA) acknowledged the cumulated performance of the Company’s scientific clinical data, the phase III clinical trial of TG-C is anticipated to gain progress and speed.
Other achievements for the Company included expansion of the clinical indication and reconfirmation of the safety of TG-C, as the FDA recently approved the clinical trial of TG-C on hip OA patients. The FDA allowed the Company to skip the investigational new drug (IND) application and phase I clinical trial, and progress straight into the phase II clinical trial.
Approximately 38 million patients are suffering from osteoarthritis in the United States, of which around 20 million are given prescriptions for knee OA symptoms (Simon-Kucher, 2020). Furthermore, according to “Osteoarthritis? Global Forecast 2014-2024” published by Globaldata, the market size of OA in the major countries around the world is expected to increase from USD 7.6 billion in 2021 to USD 9.2 billion in 2024, predicting an average growth rate of 8.26% per annum.
Co-CEO Sung Han of KOLON TissueGene remarked that “TG-C injections to the enrolled patients will be completed by 2023. As the scientific data of phase I and II clinical trials are still effective and highly trustworthy, we are expecting promising outcomes from phase III. We hope to complete the clinical trials successfully so that TG-C can become a game-changer not only in the US but in the global OA market as well.”
Specialists from around 80 university hospitals and professional clinics that have been playing pivotal roles in treating OA in the US including Mount Sinai Hospital, New York University and Rothman Orthopedic Institute are participating in the phase III clinical trial as the trial investigators.
The FDA had issued a clinical hold against KOLON TissueGene in May 2018, after which the Company had to submit an explanation on why the origin of the TG-C 2 allogenic cell had been mislabeled, together with additional experimental data regarding the characteristics of the cell. After thoroughly reviewing the experimental data submitted by the Company, the FDA commented that all of the issues related to the clinical hold issued against TG-C had been resolved with satisfaction and lifted the clinical hold in April 2020. The Company reinitiated phase III clinical trial and resumed injections to patients after the process of selecting the hospital, enrolling patients and preparing the specimen was completed.
○ Introduction of convenient and safe e-payment service to enhance customers’ convenience
○ Seeking for various ways to collaborate in online advertisement and marketing
The Automotive Division of KOLON Global, the leader in the Korean imported car market, sets out to enhance the customers’ convenience via FinTech. KOLON Global signed an MOU on December 6th for a strategic partnership with Viva Republica, the operator of Toss, a mobile financial services application, to introduce electronic payment services. The companies will also cooperate in online advertisement and marketing.
Through this MOU, KOLON Global plans to introduce Toss Payment’s convenient and safe electronic payment service and will cooperate with Viva Republica, who has 21 million users, for diverse online marketing activities. The two companies plan to continue the close cooperation going forward to further enhance customers’ convenience.
KOLON Global has been leading the premium imported car distribution market for the past 30 years and has extensive experience and knowhow in this field. In addition to BMW, Mini, Rolls Royce, Audi, and Volvo, it was also selected as the dealer for JEEP, and is expanding their imported car brand portfolio.
Viva Republica is leading the Korean FinTech market by launching various consumer-friendly financial services. It is continuously innovating in the diverse areas of finance such as payment gateway, banking and securities.
According to a KOLON Global insider, “the company anticipates synergy from the partnership as differentiated benefits can be provided to the customers by applying FinTech services. The MOU will be the opportunity to drive future businesses to create new customer benefits.”
Kyu-Ho Lee, Head of the Automotive Division at KOLON Global, Cheol-Won Jeon, Head of the BMW Division, Seung-Gun Lee, CEO of Viva Republica and Min-Pyo Kim, CEO of Toss Payments, and guests were present at the MOU signing ceremony.
- Record performance in consecutive quarters with KRW 104.8Bn of sales and KRW 11.2Bn of operating profit
- Driving performance with overseas marketing strategies focusing on high value-added, large-scale customers
- To accelerate growth by shifting to materials used in next generation mobility and expanding overseas high value-added markets
In its provisional performance disclosure on September 5th, KOLON Plastics (CEO Min-Soo Bang) announced that its sales and operating profit marked KRW 104.8Bn and KRW 11.2Bn (IFRS consolidated basis), respectively, in Q3 2021.
Quarterly operating profit was KRW 11.2Bn, exceeding KRW 10Bn for the first time since the company was founded. This demonstrates a growth of 13,603% year-on-year and 36% quarter-on-quarter.
Considering the uneasy internal and external circumstances, given the declining demand for vehicle parts following the global semiconductor shortage, shipment delays and the increase in the cost of materials caused by the spread of the delta variant of COVID19, these results are all the more impressive.
The company commented that such performance was made possible by stabilizing the supply through implementation of marketing strategies overseas, focusing on high value-added, large-scale customers for the past few years, and by improving profitability through higher average selling prices.
They also mentioned that they will shift their focus to materials used in next generation mobility such as electric and hydrogen vehicles, in an expedited manner. This will enable their entry into overseas high value-added markets, thereby laying the foundation for sustainable growth.
KOLON to join hands with KIST for joint development of core technologies for future growth
- MOU for cooperation in hydrogen economy, next generation secondary battery and bio
▷ Joint development of materials for hydrogen production and storage, and 4 core materials used in next generation secondary batteries
▷ Joint research on commercialization of bio and health care technologies such as biomaterials
▷ Joint use of research and analytic facilities and equipment; mutual exchange of human resources
To ensure sustainable growth in the future, KOLON Group is partnering with Korea Institute of Science and Technology (KIST) to accelerate the development of core technologies required for the hydrogen economy, next generation secondary battery, and bio and health care.
KOLON Group announced on November 3rd that it entered into an MOU with KIST for joint development of core technologies for future growth and exchange of human resources. Going forward, KOLON and KIST will identify the core material technologies relevant to production and storage of hydrogen, next generation secondary batteries, and drug delivery systems, and closely collaborate in joint research and commercialization of such technologies. Byung-Duk Ahn, Vice Chairman/CEO of Kolon Corporation, and Seok-Jin Yoon, President of KIST, and guests were present for the MOU signing ceremony.
While industries are moving faster to promote the hydrogen economy, KOLON and KIST plan to concentrate on developing core materials for production and storage of green hydrogen based on electrolysis technology. Traditionally, expensive, rare earth metals were used as a catalyst when splitting water with electricity to generate hydrogen. KOLON and KIST aim to develop new catalysts and core materials to enhance the efficiency and the economic feasibility of electrolysis.
They will also develop technologies pertaining to the four core materials (anode, cathode, electrolytes and separators) of the next generation secondary battery. The focus will be on developing material that can resolve the chronic problems of conventional secondary batteries such as stability, usage time and recharging speed. In particular, KOLON plans to combine the cumulative outcome of KIST’s research regarding electrolytes and cathode, which will determine the performance of all-solid-state batteries, with the Group’s R&D capability, to secure the base technology for next generation batteries.
In the area of bio and health care, joint research will be conducted to commercialize the new drug substances developed by KOLON by applying the biomaterials developed by KIST. KIST developed the temperature-sensitive hydrogel that helps the absorption of drugs. KIST also possesses diverse biomaterial technologies pertaining to the drug delivery system and new drug compound.
The parties also agreed to exchange human resources. Programs will be developed at KIST to develop KOLON’s researchers into professionals and KOLON will be hiring KIST student researchers who will take part in research projects. Furthermore, the parties agreed to extend the cooperative partnership to enable joint use of property analysis and assessment infrastructure, and to jointly identify and develop other core future technologies.
Byung-Duk Ahn, Vice Chairman of KOLON Group, mentioned that “by combining KIST’s fearless cutting-edge scientific technology with KOLON’s legacy, our Institute and our company will be pre-emptively preparing ourselves for the coming future and will be able to leap to the next level.”
Seok-Jin Yoon, President of KIST remarked that “it is time for the source technology our researchers have been working on in such fields as the hydrogen economy and bio is used by the Korean people to resolve social issues. We will facilitate the cooperation with KOLON Group and provide all possible support so that the research for the future produces tangible results today.”
Auto Parts & IT
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By means of core material development, KOLON will create a better life than now.
Bio &Health Care
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A engineering and construction business based on expertise and know-how is expanding its position as global marketers with new markets.