Daewoong Pharmaceutical Reaps R&D Investment Benefits... Designated as 'Excellent Corporate Research Institute' for 2 Consecutive Times

Annual Sales Revenue R&D Investment Over 10%
Increase in PhD Personnel Ratio to 28%

Daewoong Pharmaceutical announced on the 9th that its pharmaceutical research institute has been selected as an 'Excellent Corporate Research Institute for the First Half of 2023' hosted by the Ministry of Science and ICT.

Exterior view of Yongin Daewoong Bio Center. [Photo by Daewoong Pharmaceutical]

The Excellent Corporate Research Institute designation system was introduced in 2017 to drive the qualitative growth of corporate-affiliated research institutes, which are the foundation of corporate research and development (R&D).

Daewoong Pharmaceutical explained that it was recognized as an excellent corporate research institute based on outstanding R&D capabilities and contributions in technological innovation activities. It was selected through a three-stage evaluation process including self-assessment and expert reviews in areas such as core proprietary technologies, research personnel, and research environment. The status of an excellent corporate research institute is valid for the next three years and provides incentives such as preferential selection in national R&D projects and expanded opportunities for government awards.

Daewoong Pharmaceutical emphasized that its pharmaceutical research institute has been recognized externally for its R&D capabilities by being designated as an excellent corporate research institute for two consecutive times since 2020. Daewoong Pharmaceutical has consistently invested more than 10% of its annual sales in R&D.

Additionally, the company is actively securing doctoral-level personnel in the R&D field. The proportion of doctoral researchers at Daewoong Pharmaceutical, which accounted for 17% of the total research institute personnel in 2021, increased to 28% in 2022. These researchers currently play a key role in Daewoong Pharmaceutical’s new drug development process.

In fact, Daewoong Pharmaceutical explained that as a result of actively engaging in research and development, it has succeeded in developing new drugs for two consecutive years, which is unusual. Following last year’s launch of the gastroesophageal reflux disease treatment new drug 'Pexuclu' (active ingredient: Pexuprazan Hydrochloride), it released the diabetes treatment new drug 'Envlo' (active ingredient: Inavogliflozin) in May this year, achieving new drug development success for two consecutive years. Pexuclu recorded cumulative prescription sales of 41 billion KRW within one year of its official launch in July last year. Envlo is the first domestically developed sodium-glucose co-transporter (SGLT)-2 inhibitor class treatment. The SGLT-2 inhibitor class is currently the most notable among diabetes treatments, with indications expanding beyond diabetes to heart failure, kidney failure, liver disease, obesity, and other various conditions.

In addition, Daewoong Pharmaceutical achieved two new drug technology exports in the first half of this year. In April, it signed a contract to transfer global development and commercialization rights of the oral autoimmune treatment new drug candidate 'DWP213388' to Vitalibio, a subsidiary of the U.S. biotechnology investment company Additum Bio. The contract size, excluding royalty income, amounts to 477 million USD (approximately 639.1 billion KRW).

In January, it signed a technology export contract for the Greater China region with the UK’s CS Pharmaceuticals for 'Versiporocin,' a candidate drug for idiopathic pulmonary fibrosis with a PRS (Prolyl-tRNA Synthetase) inhibition mechanism. The contract size reached 336 million USD (413 billion KRW). Versiporocin is a new drug that received FDA approval for Phase 2 clinical trials and fast-track designation last year.

Daewoong Pharmaceutical is conducting research by identifying 15 new drug candidates as core areas of R&D. To achieve research capabilities at the level of the 'Global Top 20' by 2030, it is promoting open collaboration with various partners such as domestic and international biotech companies and hospitals. To this end, it is accelerating the expansion of its new drug pipeline through open collaboration models including ▲joint R&D models ▲localization and technology-based partnerships ▲mutual growth through strategic investments ▲spin-outs and AI new drug development.

Seungho Jeon, CEO of Daewoong Pharmaceutical, said, "Recently, the government has identified biohealth as a future growth industry leading Korea’s exports. Daewoong Pharmaceutical is elevating its research capabilities to a world-class level through cost-effective investments that yield visible results." He added, "We will continue to invest generously in R&D to become a leading company driving innovation in Korea’s biohealth industry."

This content was produced with the assistance of AI translation services.