Korean biotech stocks surge after UK approves gene editing therapy

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Korean biotech stocks surge after UK approves gene editing therapy

Published: 17 Nov. 2023, 17:18

SHIN HA-NEE
[email protected]

[SHUTTERSTOCK]

Biotech stocks hit the ceiling in the Korean market on Friday, following the British authorities’ latest decision to give the world’s first approval to a gene editing therapy that cures blood disorders.

The United Kingdom became the first nation to grant regulatory approval to a Crispr gene-editing tool on Thursday, as its Medicines and Healthcare products Regulatory Agency authorized Casgevy, developed by Vertex Pharmaceuticals and Crispr Therapeutics, to treat sickle cell disease and beta thalassemia.

Both are hereditary blood disorders caused by genetic mutation.

Crispr is a genome editing technology that earned Jennifer Doudna and Emmanuelle Charpentier the Nobel Prize in chemistry in 2020.

Crispr, often referred to as “genetic scissors,” allows the removal of problematic genes from the human body to treat hereditary disorders.

Following the milestone news, Korean biotech companies involved with genetic engineering soared on the stock market.

ToolGen, a Korean gene therapy developer, surged 29.83 percent on the Kosdaq market on Friday to close at 61,800 won ($47.68), nearly hitting the daily trading limit of 30 percent.

ToolGen holds patents on genetic scissor technologies and is currently developing a rare disease treatment using Crispr.

The company was founded in 1999 by Kim Jin-soo, a pioneering scientist in the field who was the first in the world to edit human genes using the Crispr-Cas9 protein, or third-generation gene scissors, in 2012. Kim is no longer the largest shareholder of the company as Genexine, a local biotech company, acquired the controlling share in 2020.

Genexine, which holds 14.12 percent of ToolGen, rose 13.35 percent to 10,360 won.

Kosdaq-listed Macrogen also soared 29.77 percent to close at 22,450 won.

Macrogen signed a technology transfer deal with Seoul National University for gene editing technology and also acquired a nonexclusive license to around 50 Crispr technologies in 2018.

BY SHIN HA-NEE [[email protected]]