Seoul: Lotte Biologics Co., the biotech arm of Lotte Group, announced that it has signed a deal with an Asia-based biotech company for the production of a clinical-stage antibody-drug conjugate (ADC) candidate. This agreement marks the inaugural step towards the full-scale operation of Lotte Biologics’ ADC manufacturing facility at the Syracuse Bio Campus in New York, which has been undergoing expansion since 2023.

According to Lao News Agency, Lotte Biologics has invested US$100 million to establish the ADC manufacturing facility within its existing U.S. plant. An ADC is a targeted cancer therapy that delivers potent medicine directly to cancer cells. Through this deal, Lotte Biologics plans to launch its ADC contract development and manufacturing organization (CDMO) services, aiming to cater to a wide range of client needs, from clinical development to commercial production.

The company’s Chief Executive Officer (CEO) James Park emphasized in the release, “With this contract as a starting point, we will ensure a stable supply of high-quality ADC therapeutics and strengthen our position in the global market, not only as an antibody manufacturer, but also as a CDMO specializing in ADCs.” A CDMO provides comprehensive services, from drug research and development to commercial-scale manufacturing.

Lotte Biologics acquired its U.S. plant from Bristol Myers Squibb in 2022. Besides the U.S. facility, the company is constructing its first domestic plant in Incheon, approximately 35 kilometers west of Seoul. The new facility is expected to commence operations in 2027.

With its expanding infrastructure, Lotte Biologics aims to achieve 1.5 trillion won (US$1.05 billion) in sales by 2030 and secure a position among the world’s top 10 CDMOs. The company reported 234.4 billion won in sales last year.