KHIDI touts success for its Boston C&D Incubation Office

The Korea Health Industry Development Institute (KHIDI) said its efforts to support the global expansion of local pharmaceutical and biotech companies through the Boston C&D Incubation Office have yielded significant outcomes.

Established in 2022 as part of the “K-Blockbuster Global Expansion Project,” the office operates within the Cambridge Innovation Center (CIC) in Boston.

Resident companies can receive up to 1.2 million won per month ($820) in rental subsidies, along with promotional and networking support during major events such as BIO International.

As one of the world’s premier bio-clusters, Boston offers unparalleled access to cutting-edge research facilities, industry leaders, and investment networks. Leveraging these resources, KHIDI has facilitated the local market entry of Korean companies, providing them with critical infrastructure and opportunities for global collaboration.

Over the past three years, the initiative has supported 35 companies with office space and professional consulting services. This has led to tangible results, including the establishment of five U.S. subsidiaries, five regulatory approvals, and three technology transfer deals.

Voronoi, a 2022 participant, established its U.S. subsidiary and in August 2024, signed a 3.3 billion won technology licensing option agreement with U.S.-based Anvia for an autoimmune disease treatment.

“The incubation office was instrumental in navigating the complexities of early-stage localization, from setting up a U.S. subsidiary to broadening our network through venture capital and business development events,” Voronoi’s U.S. President Ahn Jae-young said.

Humedix’s U.S. arm, Huons USA, achieved a significant export increase for its lidocaine local anesthetic, expanding sales from 12.3 billion won in 2022 to 26.2 billion won in 2023.

Recognized by the Ministry of Health and Welfare for its success, the company plans to launch multi-dose lidocaine products and CMC ophthalmic solutions in the U.S. by 2025.

Yuhan USA also formed strategic partnerships with venture capital firm 5AM and signed 16 confidentiality disclosure agreements (CDAs) with bio-pharmaceutical companies for technology evaluation. Yuhan is also collaborating with the University of Cincinnati on a joint research licensing project, bolstering its pipeline for open innovation.

ABION, another program participant, secured FDA approval in December 2023 to conduct a phase 2 trial of vabametkib in combination with Yuhan’s lazertinib (ingredient: Leclaza) for non-small cell lung cancer.

Last year, Orum Therapeutics signed a multi-target licensing and option agreement worth 1.3 trillion won with Vertex Pharmaceuticals. Autotelic Bio, in partnership with Mexico’s Chinoin Pharmaceuticals, inked a five-year exclusive licensing and supply deal for ATB-101, an incrementally modified drug.

NexAI also exported its immuno-oncology drug candidate NXI-101 to Japan’s Ono Pharmaceutical. The two companies are jointly developing clinical strategies and plan to manage U.S. trials from the Boston office.

“The satisfaction rate among companies utilizing the C&D Incubation Office over the past three years has been exceptionally high,” KHIDI’s Pharmaceutical and Biotech Industry Division Director Kim Yong-woo said. “With more Korean companies entering Boston, the opportunities for mutual learning and minimizing trial-and-error have expanded exponentially.”

Meanwhile, the application for new resident companies in 2025 will open during the final week of January on the KHIDI website.