Yuhan eyes next Leclaza with R&D, open innovation after U.S. approval

Industry

Yuhan eyes next Leclaza with R&D, open innovation after U.S. approval

Published: 23 Aug. 2024, 17:40 Updated: 23 Aug. 2024, 18:58

SHIN HA-NEE
shin.hanee@joongang.co.kr

Yuhan Corporation CEO Cho Wook-je speaks during a press conference held in western Seoul on Friday. [YONHAP]

Following the U.S. approval of lung treatment Leclaza, Korea’s first cancer drug to achieve the milestone, Yuhan Corporation is now seeking the next breakthrough with a renewed focus on research and development (R&D).

The pharmaceutical company expects to have 12 pipelines in the clinical trial stage by next year, compared to the current eight.

“Yuhan is investing about 20 percent of our revenue into R&D every year, and the amount is expected to reach 250 billion won ($186.7 million) this year,” said Kim Yeol-hong, the R&D president in Yuhan, during a press conference held in western Seoul on Friday.

“We will bolster our capabilities in all areas required in drug development, from identifying drug candidates with high potential to marketing, in order to find the next Leclaza,” said Kim, adding that the experience Yuhan gained from the approval of Leclaza would help the company speed up the process for future projects.

The press conference came after the U.S. Food and Drug Administration (FDA) approved the combination of Johnson & Johnson (J&J)’s amivantamab, or Rybrevant, and lazertinib — which is branded as Leclaza in Korea and Lazcluze in the United States — as a first-line treatment for adult patients with nonsmall lung cancer on Tuesday.

“The success of Leclaza is a representative case of open innovation,” said Lee Young-mi, Yuhan’s vice president of R&D.

“Open innovation breaks down all barriers within the Korean pharmaceutical sector and the global market in drug development, a shift from the previous era where [companies] sought for growth only with their own capabilities,” said Lee.

Yuhan, the leading pharmaceutical company in Korea in terms of revenue, signed a licensing deal with J&J-owned Janssen for the nonsmall lung cancer treatment lazertinib, which Yuhan licensed in from Genosco in 2015.

With this signing, which is worth up to $1.25 billion, Yuhan has received a $50 million upfront payment and $100 million in milestone payments so far. Yuhan will be awarded with remaining payments in line with the progress made in getting regulatory approval in other countries and marketing. Royalties from global sales revenue will be paid separately.

Yuhan is currently focusing on three major areas — oncology; cardiovascular, renal and metabolism diseases; and immunology and inflammation. So far, the company has signed license deals worth 4.7 trillion won in total with five global Big Pharma companies, including J&J, Boehringer Ingelheim and Gilead.

“We believe that the latest success has provided us with direction for the road ahead,” said Yuhan Corporation CEO Cho Wook-je, adding that “Yuhan will further ramp up our R&D efforts in developing the next Leclaza and its successors.”

BY SHIN HA-NEE [shin.hanee@joongang.co.kr]