LG Chem expands global drug development via open innovation

LG Chem is expanding its global new drug development capabilities through an “open innovation” strategy that combines joint research, technology licensing, and mergers and acquisitions (M&A).

During the Global Open Innovation Week in Seoul, Won Jong-heon, head of business development at LG Chem, explained that the company utilizes external artificial intelligence (AI) technologies for early-stage candidate discovery. To maximize value, the company pursues joint research or technology licensing (L/I) for external technologies, while opting for technology exports (L/O) when its own assets require a partner's specialized expertise.

Key collaborations include a joint research and license option agreement with UK-based LabGenius Therapeutics to discover next-generation tumor-targeted antibodies. Additionally, LG Chem is working with domestic AI drug discovery firm Galux on cancer drug research using an AI-based protein design platform. The company also recently licensed an obesity treatment candidate, LB54640, to the US-based Rhythm Pharmaceuticals to leverage their expertise in rare diseases.