[Edaily Reporter SONG YOUNG-DOO ] As the domestic stock market showed a broad-based decline, stock prices in the pharmaceutical and biotech sectors also moved in different directions depending on individual company news. DAE HWA PHARM CO., LTD rose more than 10% on the back of additional approval in China for the oral anticancer drug “Liporacel” for the treatment of breast cancer. DongKook Pharmaceutical Co.,Ltd. also posted strong gains after announcing a name change and plans to expand its global business. In contrast, G2GBIO, Inc., which had been on an upward trend recently on expectations of a technology transfer within the year, fell more than 10% on the day.

DAE HWA PHARM CO., LTD Targets Breast Cancer Following Stomach Cancer in China… Additional Supply Expected

According to KG Zeroin MP Doctor on the 12th, DAE HWA PHARM CO., LTD closed at 13,200 won, up 10.25% (1,230 won) from the previous trading day. The rise in DAE HWA PHARM CO., LTD’s stock price is attributed to expectations of business expansion for Liporacel in China. On the 8th, the company announced that Liporacel had received additional approval from China’s National Medical Products Administration (NMPA) for the treatment of recurrent or metastatic HER2-negative breast cancer.

DAE HWA PHARM CO., LTD(067080)According to reports, while its use in South Korea is limited to first-line treatment for breast cancer, in China it has been approved for use not only in first-line treatment but also in subsequent lines of treatment, including second- and third-line therapies. With the addition of the breast cancer indication to its existing indication for stomach cancer and broader recognition of its applicability across treatment stages, the company has laid the groundwork for expanding its business in the Chinese market.

Liporacel Oral Solution is a product that utilizes DAE HWA PHARM CO., LTD’s lipid-based drug delivery technology to formulate paclitaxel—an anticancer agent—into an oral medication. Unlike conventional intravenous injection methods, it can be taken orally, thereby reducing the burden on patients associated with establishing an IV line and administering the drug. According to ENCell Co., Ltd., the product does not contain “Cremophor EL,” a solubilizing agent used in conventional intravenous paclitaxel, meaning that premedication to prevent hypersensitivity reactions to that ingredient is not required.

This approval was granted based on the results of the multinational Phase 3 “OPTIMAL” trial and the Phase 2 “OPERA” trial. The company states that these studies confirmed the product’s non-inferiority compared to “Taxol,” the existing paclitaxel formulation administered via weekly intravenous injection.

The company’s business in China has already entered the product sales phase. Liporacel was approved in China as a treatment for gastric cancer in September 2024 and began local sales in January of last year. It was listed on China’s National Reimbursement Drug List (NRDL) last year, and reimbursement for the existing gastric cancer indication took effect starting in January of this year.

Supply performance is also becoming evident. In the first half of this year, the supply value of Liporacel in China reached 9.7 billion won. During the same period, DAE HWA PHARM CO., LTD’s sales in China totaled 10.1 billion won, a significant increase from 1.8 billion won in the same period last year. The recent approval of the additional breast cancer indication is significant in that it secures an opportunity to expand the revenue generated in the existing gastric cancer market to other cancer types.

An official from DAE HWA PHARM CO., LTD stated, “Securing an additional indication for breast cancer treatment in China has expanded the clinical scope of Liporacel and opened up new overseas business opportunities,” adding, “We will strengthen cooperation with our local partners to promote product supply and market penetration.”

DongKook Pharmaceutical Co.,Ltd. Plans to Change Company Name to ‘DK Centellian’… Kicks Off Global Expansion

DongKook Pharmaceutical Co.,Ltd.(086450)The company also posted gains amid a bear market after announcing plans for a name change and global business expansion. On that day, the stock price rose 5.58% (1,250 won) from the previous day to close at 23,650 won. This positive trend is believed to stem from investor optimism regarding the company’s vision to broaden its business scope from a pharmaceutical-focused model to one encompassing prevention, treatment, health, and beauty.

The company held a board meeting today and resolved to proceed with changing its name to “DK Centellian.” The plan is to expand its business—which has traditionally focused on domestic pharmaceuticals—to include prevention and treatment as well as the health and beauty sectors, and to target the global market with science-based products and technologies.

The “DK” in the new name embodies the history and scientific credibility of DongKook Pharmaceutical Co.,Ltd., which has built these elements over 58 years. The company explains that “Centellian” reflects its commitment to creating future-oriented value based on its accumulated expertise. The new name thus reflects the company’s strategy to expand its business scope and markets while maintaining the foundation of its existing pharmaceutical business.

The name change will be finalized following approval at a shareholders’ meeting. DongKook Pharmaceutical Co.,Ltd. announced that it will convene an extraordinary general meeting of shareholders on November 27 to amend the relevant articles of incorporation. Going forward, the key focus will be on whether the company’s global expansion strategy translates into concrete action plans and tangible results.

A DongKook Pharmaceutical Co.,Ltd. official stated, “We are pursuing this name change to engage with customers worldwide across a broader range of business areas, encompassing not only prevention and treatment but also health and beauty.”

G2GBIO, Inc. Plummets Amid Technology Transfer Expectations… “No Specific Events”

#G2GBIO, Inc.’s stock price closed at 37,450 won, down 10.83% (4,550 won) from the previous day. The stock fell sharply despite the absence of any significant negative news. Regarding the day’s decline, the company stated, “There are no specific events.”

G2GBIO, Inc.’s stock price had been rising continuously over a short period recently. The stock price, which stood at 31,900 won on the 22nd of last month, rose by approximately 39.2% to 44,400 won on the 7th of this month. In particular, it rose for five consecutive trading days from the 30th of last month to the 7th of this month, and on the 1st of this month, it surged by 21.07% in a single day. However, after turning downward on the 8th, the stock saw a sharper decline today, giving back some of its recent gains. It is speculated that this may be due to a combination of overall market weakness and profit-taking following the short-term rally.

The recent rise is attributed to the expanding market for long-acting injectables and expectations for the global commercialization of the company’s proprietary sustained-release platform, “InnoLAMP.” In a notice posted on its website late last month, G2GBIO, Inc. explained that as demand for long-acting injectables—particularly for diabetes and obesity treatments—has grown, interest in InnoLAMP from global pharmaceutical companies has also increased.

According to the company, global pharmaceutical firms are reviewing various platforms to secure long-acting formulations suited to the characteristics of their drugs. G2GBIO, Inc. highlights InnoLAMP’s strengths as its proven polymer materials, high drug loading capacity, mass production capabilities, and competitive patent portfolio.

The company is also expanding the range of applicable drugs. It has broadened its development scope from the existing semaglutide to include cagrilinotide, terzepatide, and retatruotide. It explained that a long-acting formulation of “Cagrisema,” which combines cagrilinotide and semaglutide, is also under development and that it has secured a related microparticle patent.

Market attention is focused on whether collaborations with global pharmaceutical companies will lead to actual technology transfer agreements. The company has mentioned the possibility of a technology transfer agreement being finalized within the year. Previously, a representative of G2GBIO, Inc. stated, “We are collaborating with numerous global pharmaceutical companies, and discussions regarding a partnership with a global firm—which we disclosed earlier this year—are proceeding as planned,” adding, “We expect our collaboration with global partners to yield concrete results starting in the fourth quarter of this year.”