Lotte Biologics, Axcelead and Kanaph sign three-way agreement to expand ADC toolbox
Lotte Biologics has signed a memorandum of understanding with Axcelead Drug Discovery Partners and Kanaph Therapeutics to co-develop an antibody-drug conjugate (ADC) toolbox platform. The agreement aims to advance next-generation ADCs by combining each company’s specialized capabilities in payload, linker, and conjugation technologies.
Axcelead will contribute its drug discovery platform and extensive compound library of over 1.2 million compounds to identify novel payload candidates for ADC development. Kanaph will focus on addressing current limitations in linker and payload design by developing an innovative technology platform. The technologies generated through the collaboration will be transferred to Lotte, which will incorporate them into its existing ADC platform, including SoluFlex Link.
The resulting ADC toolbox will allow drug developers to select from a range of linker, payload, and conjugation technologies tailored to their therapeutic goals, according to the announcement. Lotte plans to offer this as part of a one-stop ADC development and manufacturing service.
The agreement supports Lotte’s broader strategy to expand its ADC capabilities and service offerings. The company operates a GMP-certified facility in Syracuse, New York and is investing over $100 million into ADC modality infrastructure, with additional manufacturing capacity under construction in South Korea.
Lotte is rapidly expanding with a focus on monoclonal antibodies (mAbs) and the ADC market. The company is investing $1 billion in its Songdo Bio Campus in South Korea, with Plant 1 scheduled for completion this year and full-scale commercial production by 2027 — bringing online 120,000 liters of biopharmaceutical manufacturing capacity. The plan overall is to build three plants at the Incheon site by 2030 and achieve full operation by 2034.
CEO James Park, who took the helm of Lotte in December 2024, told Pharma Manufacturing in March that “there’s definitely going to be a need for more mAbs in the near future, which is one of the reasons why we’re building large capacity in Korea.”
In April, Lotte started full-scale operations at its new ADC manufacturing facility in Syracuse, following the signing of a production agreement with an Asia-based biotech company. The deal covers a clinical-stage ADC candidate and represents the facility’s first commercial order.