Peptron Surges Sixfold in a Year, Eli Lilly Effect Continues

Technology for Prolonged Efficacy of Peptide-Based Drugs Draws Attention
Partnerships with Global Pharmaceutical Companies Expected to Expand

The market capitalization of Peptron, a company developing peptide pharmaceuticals and antibody therapeutics, is approaching 5 trillion won. This is a result of the growing importance of long-acting platform technologies following the emergence of obesity treatments.

According to the financial investment industry on May 23, Peptron's stock price has risen by 105.8% so far this year. Compared to a year ago, it has surged by 565%. During the same period, the KOSDAQ index fell by 15.2%. Even during a sluggish domestic stock market, Peptron's stock price has shown a steep upward curve. Foreign investors have purchased 44.1 billion won worth of Peptron shares over the past three months. The average return on investment has reached 54.5%.

The steady growth in Peptron's corporate value is driven by expectations for its SmartDepot technology, which extends the efficacy of peptide-based drugs for more than one week. This is closely related to obesity treatments. Since the introduction of obesity treatments using glucagon-like peptide-1 (GLP-1) analogs, interest in long-acting platforms has increased significantly. Semaglutide, the active ingredient in Wegovy, is a long-acting GLP-1 therapy developed for once-weekly administration.

The pharmaceutical industry expects that a one-month formulation, which lasts longer than one week, will have an even greater impact. It is anticipated that such a formulation will maximize weight loss effects and provide greater preventive benefits for other diseases as well.

Yeonorae, a researcher at Hyundai Motor Securities, explained, "GLP-1 obesity treatments are likely to become medications that require administration for at least 10 years." She added, "This creates unmet needs for improved convenience and efficacy." She further stated, "Unlike insulin, which is directly linked to immediate survival, it is difficult for patients to continue self-administering a once-weekly treatment for 10 years, even if adherence is high. However, with SmartDepot technology, it is possible to extend the dosing interval to one month, and potentially up to three months by adjusting the size of the microspheres."

Previously, in October last year, Peptron signed a technology evaluation agreement with Eli Lilly regarding a long-acting platform lasting more than one month. Peptron's SmartDepot platform technology will be applied to Eli Lilly's peptide-based drugs. The contract period is approximately 14 months, lasting until the evaluation is completed. Eli Lilly chose Peptron because the company possesses its own production facilities, enabling high-quality mass production. Researcher Ye stated, "If Peptron's platform agreement is successfully concluded, it is expected to be used across Eli Lilly's obesity treatments. As the long-acting technology for peptide pharmaceuticals is just beginning to blossom, Peptron is expected to continue expanding its partnerships."