Hugel said Wednesday that it would merge with its subsidiaries, Hugel Pharma and Hugel Meditec. The company expects the merger will maximize synergy and enhance managerial efficiency. The merger is set for next Jan. 31.
Hugel Pharma 휴젤파마 manages more than 4,000 to 5,000 private aesthetic clinics in Korea, while Hugel Meditec 휴젤메디텍 manages a sales network dedicated to general hospitals.
The decision was made after Bain Capital, a global alternative investment firm, acquired the company in July. Since the acquisition, the company has undergone post-merger integration (PMI) to transform Hugel 휴젤 into a global biopharmaceutical company.
“The merger will be executed through a simplified process without the issuance of new shares,” the company said in a statement. “Therefore, there will be no direct impact on Hugel’s management, financials, or operations.”
The company also announced the appointment of their new joint representative and chief executive officer, Song Seong-keun 송성근. Song has led Hugel Pharma since 2014 and will be in charge of an organizational integration between Hugel and Hugel Pharma.
“We have decided on a merger to create synergy through a convergence of development and production, sales and marketing, and to enhance managerial efficiency,” a company official said. “We expect the merger will have a positive impact on both internal and external credibility as well as financial and operational activities.