[Alpha Biz= Kim Jisun] Seoul, South Korea — July 8, 2025 — PharmaResearch has announced the withdrawal of its planned corporate spin-off, less than a month after unveiling the restructuring proposal. The decision comes in response to heightened investor concerns over shareholder value dilution and corporate governance changes.
At a board meeting held on July 8, the company resolved to cancel its previously announced plan to split into a holding company, PharmaResearch Holdings, and an operating entity, PharmaResearch, through a spin-off structure. The original intention was to separate the aesthetics and biopharmaceutical business, including its flagship Rejuran product line, to streamline strategic focus and pursue long-term growth through a holding company model.
“We have carefully reconsidered our strategy to transition into a holding company structure after gathering diverse input from shareholders and market participants,” the company stated. “Concerns over potential erosion of shareholder value, governance restructuring, and insufficient communication were key factors in our decision.”
PharmaResearch emphasized that its core business plans remain unchanged. The company will continue to accelerate its global aesthetics business, targeting key markets such as the U.S., Europe, Japan, and China. It also intends to strengthen internal investment functions and explore strategic M&A opportunities.
CEO Ji-hoon Sohn commented, “We understand that some shareholders supported the original intention behind the spin-off and may find this reversal disappointing. However, we are committed to becoming a more shareholder-friendly company by actively listening to diverse perspectives and prioritizing sustainable growth.”
The reversal comes less than a month after PharmaResearch’s board approved the spin-off on June 13. Under the initial plan, the existing corporation would have become the holding company, while a newly established entity would have taken over the core operations. The proposed split ratio was 74.28% for the holding company and 25.72% for the new operating entity.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
