ENCell announced on Thursday that it has signed a CDMO contract worth about 5.7 billion won ($4.2 million) with the Gene Cell Therapy Strategic Research Center of the Korea Research Institute of Bioscience and Biotechnology (KRIBB).

The contract is the largest single contract awarded to ENCell and will run through May 31, 2029. Under the agreement, ENCell will establish a clinical production platform for the development and production of personalized adeno-associated virus (AAV) gene therapy products in collaboration with KRIBB.

AAVs are widely utilized in the development of in vivo gene therapies due to their low immunogenicity and safety in not integrating into the patient's genome.

ENCell stated that it offers optimal contract development and manufacturing organization solutions to its customers through its differentiated production and quality control systems, along with one-stop service at its global-class GMP facility, the only one in Korea capable of producing cells and viruses simultaneously.

With this agreement, ENCell plans to market itself more aggressively for CDMO orders in the AAV field and will strive to build a platform that meets customer needs and achieves satisfactory results.

“As the No. 1 company in Korea's Cell and Gene Therapy (CGT) CDMO sector by revenue and market share, ENCell was successful in winning the contract to build a platform for the development of customized AAV gene therapy products based on our unparalleled track record,” ENCell CEO Chang Jong-wook said. “We will work together with the Korea Research Institute for Bioscience and Biotechnology to introduce AAV-based therapies, which are gaining traction around the world, and achieve global-level results based on our excellent technology.”

Following Novartis and Janssen, ENCell has expanded its collaboration with advanced drug development companies both domestically and internationally, including the signing of a CMO contract with a large global pharmaceutical company in December of last year.