Daewoong Pharmaceutical said Wednesday that the company has signed a memorandum of understanding with ADM Korea to establish a joint clinical development system, by sharing global clinical research and development strategy and clinical trial infrastructure.

The agreement is aimed to maximize the potential for clinical success of newly developed drugs and strengthen the foundation for global advances through a strategic alliance with a specialized contract research organization with many experiences in successful clinical trials, the company said.

The two companies plan to participate in clinical development at home and abroad, share human resources and infrastructure for clinical trials, establish a strategy for the joint clinical development system, and set up global clinical trial strategy and direction for the overseas expansion of new drugs.

ADM Korea is a CRO with rich experiences in conducting clinical trials of new drugs, and has provided global-level clinical trials not only in Korea but throughout Asia, raising expectations for a successful partnership in joint clinical development projects, Daewoong said in a press release.

"We expect the joint clinical development system will raise the clinical success rate in developing new drugs and accelerate global market expansion," said Park Hyun-jin, head of Daewoong Pharmaceutical’s development headquarters.

ADM Korea Managing Director Cho Mi-hyun also said, “We will try hard to contribute to successful drug development by providing high-quality global clinical services.”

Daewoong Pharmaceutical completed the phase 3 clinical trials of Fexuprazan, a new drug for gastroesophageal reflux disease last year, and aims to enter the global clinical market this year. The company is also developing new treatments for a variety of rare and refractory diseases, such as autoimmune disease drug DWP212525 and fibrosis treatment DWN12088.