Jinwon Life Science announced in a regulatory filing on the 23rd that it has signed a lease agreement to operate the Texas Plant No. 1 of VGXI, its U.S. subsidiary.

According to the filing, VGXI signed the lease for Plant No. 1, located in The Woodlands, Texas, with landlord SJBC COMMERCIAL XIX LLC. The leased area is approximately 36,437 square feet (SF).

The contract period runs from October 23, 2026 to January 31, 2037, totaling 123 months (10 years and 3 months). The lease deposit is $134,151.56, to be paid within 10 business days of the contract date.

Rent payments begin on January 1, 2027, with rent waived through December 31, 2026. The base monthly rent for 2027 is $109,311, increasing 3% annually thereafter, reaching $146,904.84 per month by January 2037, when the contract expires. Management and operating fees are to be paid separately each month based on the leased area's proportion of approximately 51.2%.

After the contract expires, a renewal option is included allowing extension for 5-year terms, twice, for up to 10 years, at market rental rates at that time. Jinwon Life Science will provide a joint surety to the landlord for rent payments and contract performance obligations.

Jinwon Life Science explained that it originally planned to operate VGXI's second plant in Conroe to fulfill its partnership with Soter Bio., but due to delays in the refinancing schedule, it will instead install and operate a dedicated line at the Woodlands Plant, its first plant, to begin production.

Meanwhile, VGXI is a major subsidiary of Jinwon Life Science engaged in the CDMO (contract development and manufacturing) business. As of the filing, VGXI's total assets stand at 126.674 billion won, equivalent to 106.3% of Jinwon Life Science's consolidated total assets of 119.27169 billion won.