KDDF GLOBAL C&D PROJECT’S
Established in September 2011, the Korea Drug Development Fund (KDDF), a consortium of three health-related Korean Ministries – the Ministry of Science, ICT, and Future Planning; the Ministry of Trade, Industry, and Energy; and the Ministry of Health and Welfare – is a government-initiated drug development program, which aims to transform Korea into a global leader for new drug development and to enhance national competitiveness in the global arena.
In the first phase of the project, KDDF focused on building its own business portfolio and process that is essential to global drug development. In consequence, this helped us establish a top-notch screening system for numerous research and development (R&D) projects, coupled with a successful milestone-based output management system. In the subsequent second phase of the project, KDDF further materialized its innovation-driven portfolio management strategy through a newly introduced joint R&D program with global Big Pharma, the actual developers who aspire to commercialize early stage assets, and continued to expand its support in the Research & Business Development (R&BD) field.
To date, our strenuous efforts have produced significant results. In 2015, Hanmi Pharma signed a series of mega-hit licensing deals. In addition, 18 technologies in different phases of development have been successfully transferred at home and abroad; 5 global licensing-out deals exceeding more than 20 billion won as up-front cash payment per product (e.g., Genexine, CJ HealthCare, and LegoChem Biosciences) and 13 bridge licensing-out deals made by research and academic circles with domestic and foreign pharmaceutical firms. As of 2016, the fund witnessed the total revenue reaching 5 trillion won from a total of 18 technology transfers.
First, KDDF will become a “consulting entity” that plays a pivotal role in expediting new drug development projects. To Date, the main focus of KDDF was selecting innovative projects and giving funds to support R&D. As a consulting organization, KDDF will support research institutes with diverse resources and service as part of its plan to enhance the value of their new drug projects.
Second, KDDF will become an ideal partner that can address the so-called “bottleneck” in the new drug development phase, since it is important to overcome this stage. In order to effectively meet the challenges faced by local scientists and to create an ecosystem in which they feel comfortable to perform long-term R&D, KDDF will come up with optimal solutions via a large pool of domestic and foreign experts who will form its consultation group.
Third, KDDF will pass on the world-class expertise in its consulting manpower and project management system to the whole industry circle. Now that KDDF is celebrating its 5-year anniversary, the fund has accumulated valuable know-hows in drug development. It is imperative that the KDDF’s assets must be shared with all scientists working in the local healthcare and biopharmaceutical sector, since these assets do not belong only to KDDF. With this in mind, every KDDF member will have more opportunity to meet with you and to share our knowledge in an active manner.
Lastly, KDDF will place more priority on investing pipelines at an earlier stage of development. Now that KDDF will end its business operations by 2020, the remaining four years will be the last opportunity to spur more aggressive investment to create new first-in-class products and attractive technologies and to pave the way for expediting earlier technology transfer. Korea is already being recognized for its excellent clinical research and drug development infrastructure, world-class researchers, hospitals and facilities. Thus, attempts to shorten the development process will be ceaselessly made by investing in early novel treatments, which may lead to successful global licensing-out opportunities at an early stage.
KDDF, which is backed by a collaborative effort of three healthcare related ministries for the first time in Korea, has supported all stages of drug development with brilliant achievements. With its vision to transform Korea into a global leader for new drug development, KDDF will endeavor to raise national competitiveness by sustaining the outcomes and attaining our third-phase goals as an internationally recognized benchmark model.
We would appreciate your kind advice and innovative ideas at all times.
Muk Hyunsang, CEO