Daewoong Pharmaceutical's 'Pexuprazan' Technology Exported to Four Latin American Countries Worth 34 Billion KRW

Daewoong Pharmaceutical Headquarters Exterior (Photo by Daewoong Pharmaceutical)

[Asia Economy Reporter Lee Chun-hee] Daewoong Pharmaceutical's new drug for gastroesophageal reflux disease, 'Fexuprazan,' is expanding its presence through technology licensing out to four Latin American countries, including Colombia.

Daewoong Pharmaceutical announced on the 24th that it has signed a license-out agreement with Colombian company BIOPAS for Fexuprazan in Colombia, Ecuador, Peru, and Chile. The total contract value is approximately 34 billion KRW.

Through this agreement, Daewoong Pharmaceutical granted BIOPAS the rights to distribute and sell Fexuprazan in these countries. Both companies plan to obtain local approval for Fexuprazan in these countries by 2024. Daewoong Pharmaceutical will provide the necessary data, while BIOPAS will handle local clinical trials and approval procedures and bear the costs. As of 2019, the market size for gastrointestinal disease treatments in these four countries is known to be about 630 billion KRW.

Including Brazil and Mexico, with which contracts were previously signed, Daewoong Pharmaceutical has achieved the milestone of launching Fexuprazan in six Latin American countries. The combined population of these countries accounts for 70% of the Latin American population. The total contract value for Brazil (approximately 86 billion KRW) and Mexico (approximately 57 billion KRW) amounts to 177 billion KRW, and the total global technology export value reaches 1.037 trillion KRW.

Fexuprazan is a new drug for gastroesophageal reflux disease developed independently by Daewoong Pharmaceutical. It is a P-CAB agent that reversibly blocks proton pumps that secrete gastric acid in the stomach lining. Clinical trials have demonstrated that it improves symptoms faster and has longer-lasting effects compared to the currently best-selling PPI agents in the global acid suppression market. Additionally, it immediately alleviated heartburn symptoms regardless of day or night from the initial administration and improved cough symptoms, one of the atypical symptoms of gastroesophageal reflux disease. Notably, in patients with severe symptoms, Fexuprazan showed improvement in heartburn symptoms in three times more patients compared to the comparator drug esomeprazole.

Hyunjin Park, Head of Global Business Division at Daewoong Pharmaceutical, said, "By launching Fexuprazan in most major countries across the Americas, including North and Latin America, the global competitiveness of Fexuprazan is now fully proven," adding, "We will supply Fexuprazan, the best new drug in its class, worldwide to provide better treatment options to more patients."