Dong-A Pharmaceutical aims to boost overseas growth

Dong-A Pharmaceutical, the No. 1 drug maker in the country, will be transformed into Dong-A Socio Holdings on March 1 after the company’s shareholders decided to establish a holding company for more aggressive overseas expansion.

Over 73 percent of the drug maker’s shareholders voted for the company’s transformation yesterday.

Under Dong-A Socio Holdings, there will be two main affiliates: Dong-A ST for developing prescription-only-medicine (POM) and Dong-A Pharmaceutical for over-the-counter drugs.

The shares of Dong-A will be split into two. Dong-A Socio Holdings will get 37 percent and the POM unit will get the remaining 63 percent stake.

“The launch of the holding company will grant more independence, transparency and responsibility to the top management,” said Kim Won-bae, chairman of the group.