Samsung Biologics has signed a second contract development deal with bio venture firm GI Innovation, the firms announced Thursday.

GI Innovation, founded in July 2017, researches novel drug candidates for inveterate cancer, immuno-deficiency diseases and metabolic diseases using a combination of microbiome and biologics platform. Microbiome refers to microbial ecosystem within the human body.

GI Innovation and Samsung Biologics had signed their first deal in June 2018. 

With the second deal, Samsung Biologics will supply GI Innovation with CDO services from cell development to manufacturing of cells for phase 1 clinical trials.

The firms anticipate an acceleration in business by combining GI Innovation’s competitive drug candidates with Samsung Biologics’ world-class development facility.

With an increase in the volume of novel bio drugs development, and a corresponding boom in the number of small and mid-sized biotech firms contracting out development and manufacturing, the CDO market in South Korea is growing at a rapid rate -- average of 15 percent per year.

The Samsung subsidiary started out in April 2011 as a contract manufacturing organization. It bridged out to contract development business in 2018 and is quickly amassing a track record.

“Samsung Biologics’ consistent services of contract research, contract development and contract manufacturing will enable biotech firms to dramatically reduce time and costs, and focus on novel drug candidate discovery and out-licensing,” said the firm’s CEO Kim Tae-han.

GI Innovation’s CEO Nam Su-youn positively assessed the corporate role in biopharmaceutical development.

“Manufacturing a consistent pool of cells for research is the biggest hurdle and a chronic issue for bio venture firms,” Nam said, “Through our collaboration with Samsung Biologics we wish to successfully showcase a win-win model for a venture firm and a big corporate.”

By Lim Jeong-yeo (kaylalim@heraldcorp.com)