SK Bioscience, a pharmaceutical affiliate of South Korea’s SK Group, said Wednesday it has acquired a 7 percent stake, or 6.5 million shares, in US biotech firm Novavax in a deal worth some 110 billion won ($83.5 million).

The stock deal was inked as a mean of payment for Novavax, which owed SK Bioscience for manufacturing the former's COVID-19 vaccine.

On top of the new agreement, the companies also extended their recent license contract on Novavax’s new vaccine targeted at COVID-19 variants.

The Korean company will manufacture Novavax’s undiluted vaccines and Matrix M and supply them in prefilled syringes at its Andong plant in North Gyeongsang Province. SK Bioscience has secured exclusive commercial rights for Novavax in South Korea and non-exclusive rights in Thailand and Vietnam.

While developing its own homegrown COVID-19 vaccine, the firm is expected to further enhance its presence in the global market with Novavax as a partner.

“SK Bioscience’s strategic investment and pledge for further cooperation show confidence in our technology and potential,” said John C. Jacobs, Novavax's CEO. “The two firms will continuously seek possibilities in our quest to protect the health of humanity.”

SK Bioscience CEO Ahn Jae-yong also expressed his expectation for the synergy created by the global partnership between the two vaccine makers.

Apart from COVID-19 vaccines, SK Bioscience also aims to extend global networks for new pneumococcal vaccine and mRNA vaccine developments while pursuing a “glocalization” strategy.